Telstra lifts earnings, dividend and buy-back on strong first-half FY26

Telstra Corporation Limited ( (AU:TLS) ) just unveiled an update.

Telstra reported a strong first half of FY26, with ongoing growth in earnings driven by momentum across its core businesses, tight cost control and disciplined capital management. Underlying EBITDA increased across Mobiles, Fixed Consumer & Small Business, InfraCo Fixed and Amplitel, with the Mobiles division delivering a $93 million EBITDA uplift on the back of higher ARPU and continued customer preference for its network.

The group achieved 14% Cash EBIT growth, largely reflecting lower first-half capex, and delivered 3.1 percentage points of positive operating leverage in line with its Connected Future 30 targets through a $179 million, or 2.4%, reduction in underlying operating expenses. Backed by stronger cash earnings and a robust balance sheet, the board lifted the interim dividend to 10.5 cents per share and expanded the on-market share buy-back from up to $1 billion to up to $1.25 billion, underscoring its focus on sustainable, growing shareholder returns.

The most recent analyst rating on (AU:TLS) stock is a Hold with a A$4.90 price target. To see the full list of analyst forecasts on Telstra Corporation Limited stock, see the AU:TLS Stock Forecast page.

More about Telstra Corporation Limited

Telstra Group Limited is a leading Australian telecommunications and technology company, providing mobile, fixed broadband, enterprise connectivity and infrastructure services. It operates through businesses including Mobiles, Fixed Consumer & Small Business, InfraCo Fixed and towers unit Amplitel, and is executing its Connected Future 30 strategy to drive growth and efficiency.

Average Trading Volume: 17,253,808

Technical Sentiment Signal: Buy

Current Market Cap: A$55.61B

See more data about TLS stock on TipRanks’ Stock Analysis page.