Telefonica to Meet Guidance After Net Loss Narrows

By Najat Kantouar

Telefonica said it is on track to meet its full-year expectations after reporting a narrower net loss and higher revenue in the first quarter.

The Spanish telecommunications group said Thursday that net loss was 411 million euros ($481.5 million) compared to a loss of 1.30 billion euros for the same period a year earlier.

Adjusted earnings before interest, taxes, depreciation and amortization increased to 2.84 billion euros from 2.80 billion euros, while the corresponding margin was 34.9%, up from 34.6%.

Revenue rose slightly to 8.13 billion euros from 8.09 billion euros. The increase reflected growth in service revenue--a closely watched metric in the industry--that accelerated sequentially to 1.1%, it said.

Revenue in Spain and Brazil grew 2% and 7.4%, respectively, on a year-on-year constant change basis. Meanwhile, Germany revenue fell 8.6% due to temporary negative pressures impacting mobile service revenues and weak German market handset trends, it added.

Analysts had forecast revenue of 8.07 billion euros and adjusted Ebitda of 2.79 billion euros, according to a company-compiled consensus.

Telefonica maintained its full-year guidance, which includes revenue growth of between 1.5% and 2.5%. It still anticipates adjusted Ebitda growth of between 1.5% and 2.5% and free cash flow of around 3.0 billion euros.

Write to Najat Kantouar at najat.kantouar@wsj.com

(END) Dow Jones Newswires

May 14, 2026 02:16 ET (06:16 GMT)