TPG Telecom (TPG) H1 2026 earnings summary

Executive summary

• Strong first-half momentum and earnings growth driven by mobile expansion, digital-first and MVNO brands, and disciplined cost management, positioning for continued growth into FY27.

• Mobile network coverage increased to 99% of the population, with subscriber share up ~1ppt since MOCN launch and lower port-outs.

• Enhanced network, customer-centric initiatives, and simplified operating structure supported market share gains and improved customer satisfaction.

• Interim dividend increased to 10.0 cents per share, 25% franked, reflecting strong cash flow and positive outlook.

• Net profit after tax from continuing operations was $35 million, up 9.4% year-over-year.

Financial highlights

• Mobile service revenue up 3.1% to $1,224 million; total service revenue up 0.5% to $2,071 million.

• EBITDA up 1.0% to $821 million; Pro Forma EBITDA up 4.5% year-over-year.

• Gross margin increased 2.9% to $1,329 million, outpacing service revenue growth.

• Operating free cash flow was $199 million, up 16.4% on a pro forma basis.

• Free cash flow to equity at $93 million, up $108 million.

Outlook and guidance

• FY26 EBITDA guidance unchanged at $1,665–$1,735 million; capex expected at ~$750 million.

• Capex expected to decline to $650 million in FY27 and $550–650 million in FY28.

• Further ARPU acceleration, margin growth, and improved Home Broadband subscriber performance expected in 2H26.

• Continued focus on progressive dividend policy aligned with earnings and cash flow growth.