Telefonica SA ( (TEF) ) has released its Q3 earnings. Here is a breakdown of the information Telefonica SA presented to its investors.
Telefónica SA, a leading telecommunications company, operates in the telecommunications industry, offering fixed and mobile telephony, broadband services, and digital solutions across Europe and Latin America. The company is known for its extensive fiber optic and mobile networks and its commitment to sustainability and digital transformation.
In its latest earnings report, Telefónica SA highlighted its sustained progress in free cash flow growth and reiterated its financial guidance for 2024 despite facing foreign exchange headwinds. The company emphasized its strategic initiatives, such as expanding 5G coverage to 71% in core markets and securing long-term agreements in Spain and Brazil, which contribute to its competitive advantage and commercial momentum.
The company reported a slight decline in revenue by 0.3% year-on-year for the first nine months of 2024, largely due to currency depreciation, particularly in Latin America. However, its EBITDA increased by 0.4%, and its free cash flow saw a significant rise of 27.7%. Telefónica’s operational highlights include a strong focus on digital services and infrastructure improvements across its operating regions, including Spain, Brazil, and Germany.
Telefónica’s strategic focus remains on network transformation, customer engagement, and operational efficiency to drive profitable growth. The company continues to pursue key strategic steps, such as signing new wholesale agreements and exploring inorganic opportunities in Latin America. Despite the challenges posed by currency fluctuations, Telefónica remains on track to meet its full-year 2024 targets, as supported by its robust commercial momentum and local currency growth in its core markets.
Looking ahead, Telefónica’s management remains optimistic about achieving its 2024 guidance, focusing on sustainable growth and digital transformation. The company continues to lead the sector in sustainability, demonstrating positive progress in areas such as energy consumption reduction and promoting gender diversity.
