Sao Paulo, Brazil--(Newsfile Corp. - July 28, 2026) - Telefônica Brasil (B3: VIVT3) (NYSE:VIV) announces its results for 2Q26.

Consistent Revenue and EBITDA performance drives +17.0% YoY growth in Net Income.

R$ million

2Q26

2Q25

% YoY

6M26

6M25

% YoY

Net Operating Revenue

15,757

14,645

7.6

31,214

29,035

7.5

Mobile Services

10,183

9,555

6.6

20,064

18,827

6.6

FTTH

2,147

1,940

10.7

4,223

3,839

10.0

Corporate Data, ICT and Digital Services

1,467

1,361

7.8

2,890

2,673

8.1

Handsets and Electronics

1,048

820

27.8

2,199

1,729

27.2

Other Revenues¹

913

969

(5.8

)

1,839

1,968

(6.5

)

Total Costs

(9,177

)

(8,712

)

5.3

(18,424

)

(17,399

)

5.9

EBITDA

6,581

5,933

10.9

12,790

11,637

9.9

EBITDA Margin

41.8%

40.5%

1.3 p.p.

41.0%

40.1%

0.9 p.p.

EBITDA AL²

5,139

4,607

11.6

9,939

8,983

10.6

EBITDA AL² Margin

32.6%

31.5%

1.2 p.p.

31.8%

30.9%

0.9 p.p.

Net Income³

1,573

1,344

17.0

2,834

2,403

17.9

Earnings per Share (EPS)⁴

0.49

0.42

18.5

0.89

0.74

19.6

CAPEX ex-IFRS 16⁵

2,589

2,439

6.1

4,636

4,308

7.6

CAPEX ex-IFRS 16⁵/Net Revenue

16.4%

16.7%

(0.2) p.p.

14.9%

14.8%

0.0 p.p.

Operating Cash Flow (OpCF)⁶

3,992

3,494

14.3

8,154

7,329

11.3

OpCF⁶ Margin

25.3%

23.9%

1.5 p.p.

26.1%

25.2%

0.9 p.p.

Operating Cash Flow AL (OpCF AL)⁷

2,551

2,168

17.7

5,303

4,676

13.4

OpCF AL⁷ Margin

16.2%

14.8%

1.4 p.p.

17.0%

16.1%

0.9 p.p.

Free Cash Flow

2,661

2,979

(10.7

)

4,861

5,103

(4.8

)

Total Accesses (Thousand)

118,809

116,190

2.3

118,809

116,190

2.3

1 - Other Revenues include Fixed Voice, xDSL, FTTC and IPTV. 2 - AL means After Leases. 3 - Net Income attributable to Telefônica Brasil. 4 - Earnings per Share (EPS) calculated based on net income attributable to Telefônica Brasil divided by the weighted average of outstanding shares in the period. EPS for 2025 was recalculated considering the effects of the Split and Reverse Stock Split effective on April 15, 2025. 5 - Does not include amounts related to IFRS 16 effects and licenses. 6 - Operating Cash Flow is equivalent to EBITDA less Capex ex-IFRS 16 and licenses. 7 -Operating Cash Flow AL is equivalent to EBITDA After Leases less Capex ex-IFRS 16 and licenses.

Net revenue reached R$15,757.4 million, increasing +7.6% YoY, supported by strong postpaid (+7.9% YoY) and FTTH revenues (+10.7% YoY), as well as the continued expansion of Corporate Data, ICT and Digital Services (+7.8% YoY). Human Postpaid remained a key growth driver, with +3.6 million net additions LTM, bringing the base to 52.4 million accesses (+7.3% YoY). ARPU increased to R$53.9 (+0.8% YoY), while churn remained at a historically low level of 1.0%.

Our Fiber business continued to deliver solid execution, with the footprint expanding to 32.0 million homes passed (+6.4% YoY) and homes connected reaching 8.2 million (+11.3% YoY) in 2Q26. This performance supported a +1.1 p.p. increase in take-up (25.6% in 2Q26), while ARPU increased +0.7% QoQ and churn fell to 1.4% during the quarter.

EBITDA registered double-digit growth, +10.9% YoY, the strongest performance since 3Q23, with a margin of 41.8%, +1.3 p.p. YoY. EBITDA AL increased +11.6% YoY, with margin expansion of +1.2 p.p. YoY to 32.6%.

Capex totaled R$2,588.5 million, up +6.1% YoY, lower than 1Q26 growth rate (+9.6% YoY), representing 16.4% of revenues, a reduction of -0.2 p.p. YoY. Investments remained focused on expanding and enhancing our network infrastructure, with 5G now available in 978 municipalities and our FTTH network reaching 453 cities.

Operating Cash Flow reached R$3,992.3 million, increasing +14.3% YoY, leading to a margin of 25.3% (+1.5 p.p. YoY). Net Income totaled R$1,572.5 million, rising +17.0% YoY.

Shareholder remuneration paid out in 7M26 reached R$6,990.0 million, surpassing the total amount distributed in 7M25 by +31.6%. This amount comprises R$2,990.0 million in interest on capital declared in 2025 and R$4,000.0 million related to capital reduction. In addition, as of July 2026, we had already declared R$2,220.0 million in interest on capital, representing an increase of +34.5% YoY in 7M26. Earlier this year, the Board of Directors approved a Share Buyback Program of up to R$1.0 billion, with repurchases authorized until February 2027. We remain firmly committed to distributing to shareholders at least 100% of FY2026 net income.

TELEFÔNICA BRASIL - Investor Relations
ir.br@telefonica.com

To download the complete version of the Company's earnings release, please visit our website: https://ri.telefonica.com.br/en

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