Telecom Argentina S.A. announces consolidated results for the nine-month period ("9M26") and third quarter of fiscal year 2026 ("3Q26")(2)

Rhea-AI Summary

Telecom Argentina (TEO) reported a consolidated third-quarter 2026 net loss of P$56,615 million alongside growth in adjusted operating earnings. Nine-month net income totaled P$862,959 million. Third-quarter revenue fell 2.3% year over year in inflation-adjusted pesos to P$2,697,343 million; service revenue declined 1.7%. Adjusted EBITDA reached US$642 million, rising 13% in real pesos, with a 36.1% margin.

Quarterly equity free cash flow reached US$231 million, up 96% in dollar terms. Net debt declined 9% year over year to US$2,927 million, and net leverage reached 1.2 times. Impairments included P$383,870 million associated with assets to be divested and licenses to be returned under the TMA acquisition approval process. TMA billing-cycle discounts totaled approximately P$39,930 million. Nine-month revenue rose 7.6% in real pesos, with nine months of TMA consolidation versus seven a year earlier.

27 points · 0 major

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0 major · 20 points

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Positive

• Moderate pointNine-month consolidated net income totaled P$862,959 million; income attributable to the controlling company was P$837,345 million.
• Moderate pointThird-quarter adjusted EBITDA reached US$642 million, up 37% in dollars and 13% in real pesos year over year.
• Moderate pointThird-quarter EBITDA margin reached 36.1%, versus 31.3% in 3Q25.
• Moderate pointThird-quarter equity free cash flow rose 96% year over year to US$231 million, or 36.0% of EBITDA.
• Moderate pointNet debt fell 9% year over year to US$2,927 million at September 30, 2026.
• Moderate pointThird-quarter capital expenditure totaled US$354 million, up 44% year over year, equivalent to 19.9% of revenue.
• Moderate pointNine-month revenue rose 7.6% in real pesos to P$8,068,010 million versus 9M25.
• Moderate pointNine-month service revenue excluding TMA grew 1.0% in real terms versus 9M25.
• Moderate pointMobile service revenue rose 5.1% to P$1,450,985 million in 3Q26 and 17.2% to P$4,275,014 million in 9M26.

18 minor points

• Minor pointNet leverage declined 0.7 times year over year to 1.2 times net debt/EBITDA.
• Minor pointNine-month service revenue rose 9.4% in real pesos to P$7,773,182 million versus 9M25.
• Minor pointNine-month internet revenue rose 5.2% in real pesos to P$1,733,507 million versus 9M25.
• Minor pointCable TV revenue rose 0.6% to P$297,262 million in 3Q26 and 3.4% to P$870,352 million in 9M26.
• Minor pointParaguay mobile revenue rose 8.3% in 3Q26 and 16.7% in 9M26 in real pesos year over year.
• Minor pointPersonal Argentina postpaid customers increased 1.1%, or 89 thousand, versus 3Q25.
• Minor pointPersonal mobile average revenue per user rose 18.8% in real terms to P$12,940.8 in 9M26.
• Minor pointPersonal mobile average monthly customer churn decreased to 2.0% in 9M26, versus 2.1% in 9M25.
• Minor pointPersonal broadband accesses increased 2.5% year over year to 4,249 thousand at September 30, 2026.
• Minor pointPersonal pay TV subscribers increased 4.3% year over year to 3,597 thousand at September 30, 2026.
• Minor pointPersonal pay TV average revenue per user increased 2.9% in real terms to P$23,692.4 in 9M26.
• Minor pointPersonal fixed lines increased 3.4% year over year to 2,852 thousand at September 30, 2026.
• Minor pointTMA mobile customers increased 5.2% year over year to 20,059 thousand at September 30, 2026.
• Minor pointTMA mobile average revenue per user increased 2.3% in real terms to P$10,376.2 in 9M26.
• Minor pointTMA mobile average monthly customer churn fell to 1.2% in 9M26, versus 1.8% in 9M25.
• Minor pointTMA broadband accesses increased 3.8% year over year to 1,671 thousand at September 30, 2026.
• Minor pointTMA pay TV subscribers increased 9.3% year over year to 447 thousand at September 30, 2026.
• Minor pointTMA pay TV average monthly customer churn fell to 4.2% in 9M26, versus 4.6% in 9M25.

Negative

• Moderate pointThird-quarter consolidated net loss totaled P$56,615 million; loss attributable to the controlling company was P$66,216 million.
• Moderate pointTMA acquisition approval-related asset and license impairments totaled P$383,870 million in 3Q26, without affecting EBITDA or period cash flow.
• Moderate point. Forward-looking: it has not happened yet and may not happen.TMA acquisition approval process entails asset divestitures and license returns.
• Moderate pointThird-quarter revenue declined 2.3% in real pesos year over year to P$2,697,343 million.
• Moderate pointThird-quarter service revenue fell 1.7% in real terms; excluding TMA discounts, it would have declined 0.2%.
• Moderate pointThird-quarter service revenue excluding TMA declined 0.8% in real terms versus 3Q25.
• Moderate pointPersonal Argentina mobile customers fell 11.8% year over year to 17,943 thousand, mainly reflecting inactive prepaid-line disconnections.

13 minor points

• Minor pointReal estate held for sale incurred a P$10,785 million impairment in 3Q26.
• Minor pointTMA billing-cycle discounts totaled approximately P$39,930 million, affecting its third-quarter service revenue by approximately 4.3%.
• Minor pointTMA service revenue declined 3.3% in 3Q26 and 0.6% in 9M26 in real terms year over year.
• Minor pointThird-quarter internet revenue fell 4.6% to P$567,955 million; excluding TMA discounts, it would have grown 0.3%.
• Minor pointFixed telephony/data revenue fell 22.2% to P$269,188 million in 3Q26 and 5.2% to P$851,326 million in 9M26.
• Minor pointOther service revenue fell 47.3% in 3Q26 and 38.9% in 9M26; Micro Sistemas ceased line-by-line consolidation.
• Minor pointEquipment revenue fell 16.8% to P$97,373 million in 3Q26 and 25.2% to P$294,828 million in 9M26.
• Minor pointNúcleo mobile customers declined 2.1% year over year to 2,633 thousand at September 30, 2026.
• Minor pointPersonal broadband average revenue per user fell 2.9% in real terms to P$32,466.0 in 9M26.
• Minor pointPersonal broadband monthly customer churn increased to 1.4% in 9M26, versus 1.2% in 9M25.
• Minor pointTMA broadband average revenue per user fell 7.9% in real terms to P$27,440.3 in 9M26.
• Minor pointTMA pay TV average revenue per user fell 17.1% in real terms to P$25,123.3 in 9M26.
• Minor pointTMA fixed lines declined 2.0% year over year to 2,064 thousand at September 30, 2026.

News Explained

After TMA’s billing-cycle discount adjustment, third-quarter service revenue was down zero point two percent in real terms, rather than the reported one point seven percent.

Telecom Argentina has reported 3Q26 results; the company says impairment losses recorded in the quarter did not affect EBITDA or cash flow.

Excluding TMA’s billing-cycle discounts, consolidated 3Q26 service revenue would have declined 0.2% in real terms year over year, versus the reported 1.7% decline.

Key Figures

Consolidated net loss: P$56,615 million Consolidated net income: P$862,959 million Impairment losses: P$383,870 million +5 more

Consolidated net loss

P$56,615 million

3Q26

Consolidated net income

P$862,959 million

9M26

Impairment losses

P$383,870 million

3Q26; mainly assets to be divested in the TMA acquisition approval process

Total revenue

US$1,778 million

3Q26; +18% vs. 3Q25

Adjusted EBITDA

US$642 million; 36.1% margin

3Q26; +37% vs. 3Q25

Equity FCF

US$231 million

3Q26; +96% vs. 3Q25

Net debt

US$2,927 million

As of September 30, 2026; -9% vs. 3Q25

Net leverage

1.2x

3Q26; -0.7x vs. 3Q25

Historical Context

1 past event · Latest: Aug 07

1 event

1. Aug 07

   1H26 earnings

   24h Move

   +0.2%

   1H26 reported net income of P$869,038 million after a prior-year loss, alongside revenue growth.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

ias 29, ebitda, capex, arpu, +1 more

5 terms

ias 29 regulatory

"adoption of inflationary accounting in accordance with IAS 29."

IAS 29 is an accounting rule that tells companies how to adjust their financial statements when they operate in economies with very high inflation, so numbers reflect current purchasing power rather than outdated prices. For investors, it matters because it converts historic figures into meaningful, comparable values—like updating old price tags to today’s dollars—helping assess real profits, assets and liabilities and avoid being misled by inflation-distorted results.

ebitda financial

"EBITDA: US$ 642 million (+37% vs. 3Q25), with a margin of 36.1%."

EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It measures a company's profitability by focusing on the money it makes from its core operations, ignoring expenses like taxes and accounting adjustments. Investors use EBITDA to compare how well different companies are performing financially, as it provides a clearer picture of operational success without the influence of financial structure or accounting choices.

View in glossary

capex financial

"CAPEX: totaled US$ 354 million (+44% vs. 3Q25)"

Capex, short for capital expenditures, refers to the money a company spends to buy, upgrade, or maintain physical assets such as buildings, equipment, or technology. It matters to investors because these investments can help a company grow and improve its long-term performance, but they also represent significant costs that can impact profitability and cash flow.

arpu financial

"In 9M26, ARPU reached P$12,940.8 (+18.8% in real terms vs. 9M25)"

ARPU, or Average Revenue Per User, measures how much money a company earns, on average, from each of its customers over a set period. It helps investors understand how effectively a business is generating income from its customer base, similar to calculating how much each customer spends at a store. Higher ARPU often indicates stronger sales per customer and better revenue performance.

churn technical

"average monthly churn decreased to 2.0% (vs. 2.1% in 9M25)."

Churn is the rate at which customers or subscribers stop using a company’s product or service over a given period; it can be measured by number of customers lost or by lost revenue. Investors care because high churn is like a leaky bucket — the company must add more new customers or spend more on marketing to keep sales and profits from falling, which can slow growth and reduce long-term value.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Market Cap: USD 4,557.2 million¹

Note: 9M26 reported figures include the effects of the adoption of inflationary accounting in accordance with IAS 29. Therefore, comments regarding 9M26 results and changes vs. 9M25 results mentioned in this press release correspond to "restated for inflation" or "constant" figures. 

BUENOS AIRES, Argentina, Nov. 12, 2026 /PRNewswire/ -- Telecom Argentina S.A. ("Telecom Argentina") – (NYSE: TEO; BYMA: TECO2) announced today a consolidated Net Loss of P$56,615 million for the third quarter ended September 30, 2026, and a consolidated Net Income of P$862,959 million for the nine-month period. The Net Loss attributable to the Controlling Company amounted to P$66,216 million in 3Q26, and the Net Income attributable to the Controlling Company amounted to P$837,345 million in 9M26.

Key considerations when reading the results:

• Inflation-adjusted figures: For analysis purposes, it is important to highlight that the comparative results (September 2025) reflect the year-over-year effect of inflation through September 2026, which reached 33.4%.

National CPI and FX rate	As of September 30, 2025	As of December 31, 2025	As of September 30, 2026
Annual	31.8 %	31.5 %	33.4 %
Quarterly	6.0 %	N/A	5.8 %
9-month cumulative	22.0 %	N/A	23.6 %
BNA ask FX rate (P$/US$)	1,380	1,455	1,517
FX rate – y-o-y change	42.2 %	41.0 %	9.9 %
FX rate – quarterly change	14.5 %	N/A	2.4 %
FX rate – 9-month cumulative change	33.7 %	N/A	4.3 %

 

• USD references: for informational purposes only; they do not imply bimonetary accounting. Translated at the BNA closing ask exchange rate of each period (see table); 2025 figures are first deflated by year-over-year inflation.
• Loss of control of Micro Sistemas (1Q26): its results ceased to be consolidated on a line-by-line basis, which reduces "Other service revenues" vs. the comparative periods, as well as the related advertising costs.
• TMA perimeter: 9M26 includes 9 months of TMA contribution vs. only 7 months in 9M25. It should be noted that Telecom does not determine TMA's commercial or pricing policies.
• Impact of non-recurring items
  • Impairment: impairment losses recorded in 3Q26 within D, A & I, mainly P$383,870 million corresponding to the assets to be divested within the framework of the approval process of the TMA acquisition (P$370,683 million for the measurement of the group of assets to be transferred and P$13,187 million for 3G/4G and PCS licenses to be returned) and P$10,785 million to real estate held for sale. This result does not affect EBITDA or cash flow for the period.
  • Extraordinary discounts at TMA: in 3Q26, TMA granted discounts related to billing cycle changes for approximately P$39,930 million (Internet P$28,932 million, Cable TV P$5,577 million and Fixed Telephony and Data P$5,421 million). They affected its service revenues by approximately 4.3%. Excluding this effect, they would have grown 0.9% vs. 3Q25, compared to a reported decline of 3.3%.
  • Sale of assets: in 3Q26, the sale of copper recovered from the dismantling of Telecom's fixed network (excluding TMA) contributed approximately 0.2 p.p. to the consolidated EBITDA margin. In 3Q25, in contrast, the consolidated margin included a contribution of approximately 1 p.p. from a copper sale carried out by TMA, recorded as a reduction in operating costs, which was not repeated in the current quarter. Excluding both effects, the year-over-year improvement in the EBITDA margin would be greater than reported.

¹ Market capitalization as of November 11, 2026.
² Unaudited non-financial information

 

Highlights of the quarter
	3Q26	vs. 3Q25		Real growth in ARS (vs. inflation)2
TOTAL REVENUE	1,778 USD MM	+18 %		-1 %
SERVICE REVENUE	1,714 USD MM	+19 %		-0 %
ADJ. EBITDA	642 USD MM 36.1% Margin	+37 %		+13 %
EFCF1	231 USD MM 36.0% of EBITDA	+96 %		Bonifications
CAPEX	354 USD MM 19.9% of Revenue	+44 %		CPI: 33.4%
NET DEBT	2,927 USD MM 4.5 Years Debt Average Life	-9 %
NET LEVERAGE	1.2x	-0.7x

¹Equity FCF is calculated based on cash flows from operating and investing activities, adjusted for movements related to financial investments, dividends from associates, acquisitions or divestitures of subsidiaries and financial interest payments.
²Revenue real growth excludes the impact of the extraordinary commercial discounts granted by TMA in the quarter (dark segment).

• Revenues: consolidated revenues for 3Q26 reached US$ 1,778 million (+18% vs. 3Q25) and service revenues US$ 1,714 million (+19% vs. 3Q25). In pesos, service revenues decreased 2% in real terms vs. 3Q25, affected by the extraordinary discounts granted by TMA. Excluding this effect, they would have remained practically stable vs. 3Q25.
• EBITDA: US$ 642 million (+37% vs. 3Q25), with a margin of 36.1%. In pesos, it grew 13% in real terms (above inflation). 
• Equity FCF: reached US$ 231 million (+96% vs. 3Q25), equivalent to 36.0% of EBITDA.
• CAPEX: totaled US$ 354 million (+44% vs. 3Q25), equivalent to 19.9% of revenues.
• Net debt: US$ 2,927 million as of September 30, 2026 (-9% vs. 3Q25), with an average life of 4.5 years.
• Net leverage: 1.2x net debt / EBITDA (-0.7x vs. 3Q25)

 

Quarterly evolution:
Total revenues (USD MM)
3Q25																4Q25	1Q26	2Q26	3Q26
1,501																1,556	1,706	1,726	1,778
Service revenues (USD MM)
3Q25																4Q25	1Q26	2Q26	3Q26
1,437																1,482	1,646	1,660	1,714
EBITDA (USD MM) and EBITDA margin (%)
3Q25																4Q25	1Q26	2Q26	3Q26
470																463	593	636	642
31.3 %																29.8 %	34.8 %	36.8 %	36.1 %
Equity FCF (USD MM) and conversion over EBITDA (%)
3Q25																4Q25	1Q26	2Q26	3Q26
118																105	109	96	231
25.1 %																22.7 %	18.4 %	15.2 %	36.0 %
CAPEX (USD MM) and % of revenues
3Q25																4Q25	1Q26	2Q26	3Q26
246																391	314	326	354
16.4 %																25.1 %	18.4 %	18.9 %	19.9 %
Net debt (USD MM) and net leverage (Net debt /  LTM EBITDA)
3Q25																4Q25	1Q26	2Q26	3Q26
3,213																3,196	3,109	3,135	2,927
1.9x																1.7x	1.4x	1.4x	1.2x
Note: figures in the quarterly evolution are expressed in U.S. dollars. Each quarter is presented in constant currency of its own period and divided by the BNA ask end-of-period exchange rate. Exchange rates used (P$/US$): 3Q25: 1,380; 4Q25: 1,455; 1Q26: 1,382; 2Q26: 1,482; 3Q26: 1,517.

 

 

Operating indicators:

Operating indicators at period end	09/30/2026	09/30/2025	Δ %
Personal
Fixed lines in service (in thousands of lines)	2,852	2,758	3.4 %
Mobile customers (in thousands)	20,576	23,038	-10.7 %
Personal (Argentina)	17,943	20,348	-11.8 %
Núcleo (Paraguay) -including Wimax customers-	2,633	2,689	-2.1 %
Broadband accesses in Argentina (in thousands)	4,249	4,146	2.5 %
Pay TV Subscribers (Includes subsidiaries - in thousands)	3,597	3,447	4.3 %
ARPU Mobile Services (in P$ - Restated by inflation)	12,940.8	10,890.4	18.8 %
ARPU Broadband (in P$ - Restated by inflation)	32,466.0	33,430.9	-2.9 %
ARPU Pay TV (in P$ - Restated by inflation)	23,692.4	23,035.5	2.9 %
Telefónica Móviles Argentina (TMA)
Fixed lines in service (in thousands of lines)	2,064	2,107	-2.0 %
Mobile customers (in thousands)	20,059	19,064	5.2 %
Prepaid + Postpaid (excluding M2M)	17,008	16,192	5.0 %
Machine-to-machine (M2M)	3,052	2,872	6.2 %
Broadband accesses (in thousands)	1,671	1,610	3.8 %
Pay TV Subscribers (in thousands)	447	409	9.3 %
ARPU Mobile Services (in P$ - Restated by inflation)	10,376.2	10,140.5	2.3 %
ARPU Broadband (in P$ - Restated by inflation)	27,440.3	29,786.9	-7.9 %
ARPU Pay TV (in P$ - Restated by inflation)	25,123.3	30,322.1	-17.1 %

Personal

• Mobile: at the end of 3Q26, mobile accesses in Argentina totaled 17.9 million (-11.8% vs. 3Q25). The decline is mainly explained by the disconnection of prepaid lines with no top-ups for 180 days (period reduced from 240 days in June 2026), with no significant impact on revenues. The postpaid segment grew by 1.1% (+89 thousand) vs. 3Q25 and represents 45% of the base (vs. 39% in 3Q25). In 9M26, ARPU reached P$12,940.8 (+18.8% in real terms vs. 9M25) and average monthly churn decreased to 2.0% (vs. 2.1% in 9M25).
  Paraguay (Núcleo): accesses totaled 2.6 million at the end of 3Q26 (-2.1% vs. 3Q25), with a postpaid share of 32% (vs. 29% in 3Q25).
• Internet: accesses reached 4.2 million at the end of 3Q26 (+103 thousand or +2.5% vs. 3Q25). In 9M26, ARPU was P$32,466.0 (-2.9% in real terms vs. 9M25) and monthly churn stood at 1.4% (vs. 1.2% in 9M25).
• TV: subscribers totaled 3.6 million at the end of 3Q26 (+4.3% vs. 3Q25), of which 3.4 million correspond to Argentina (+4.8%). Growth was driven by the FIFA World Cup 2026 and new Football Package subscriptions. In 9M26, ARPU was P$23,692.4 (+2.9% in real terms vs. 9M25) and monthly churn remained at 1.5%.
• Fixed telephony: lines in service totaled 2.9 million at the end of 3Q26 (+3.4% vs. 3Q25), of which 2.6 million correspond to IP telephony.

TMA

• Mobile: accesses totaled 20.1 million at the end of 3Q26 (+995 thousand or +5.2% vs. 3Q25), driven by prepaid (+7.9%) and postpaid (mainly M2M). The postpaid segment grew by 2.5% and represents 48% of the base (vs. 50% in 3Q25). In 9M26, ARPU was P$10,376.2 (+2.3% in real terms vs. 9M25) and average monthly churn decreased to 1.2% (vs. 1.8% in 9M25).
• Internet: accesses reached 1.7 million at the end of 3Q26 (+61 thousand or +3.8% vs. 3Q25). In 9M26, ARPU was P$27,440.3 (-7.9% in real terms vs. 9M25) and monthly churn remained at 2.0%.
• TV: subscribers totaled 0.4 million (+9.3% vs. 3Q25). In 9M26, ARPU was P$25,123.3 (-17.1% in real terms vs. 9M25) and average monthly churn decreased to 4.2% (vs. 4.6% in 9M25).
• Fixed telephony: lines in service totaled 2.1 million at the end of 3Q26 (-2.0% vs. 3Q25), of which 1.6 million correspond to IP telephony.

Average monthly ARPU and churn. ARPU in constant currency as of September 30, 2026.

The evolution of Service Revenues relative to inflation was as follows:

Evolution of Service Revenues in relation to inflation
Service revenues – real % change	Consolidated	Telecom consolidated (excluding TMA)	TMA
9M26 vs. 9M25	9.4 %	1.0 %	-0.6 %
3Q26 vs. 3Q25	-1.7 %	-0.8 %	-3.3 %

Consolidated Operating Revenues

Normalizing the extraordinary discounts granted by TMA in the quarter (approximately P$39,930 million), consolidated service revenues for 3Q26 would have reached P$2,639,900 million (-0.2% vs. 3Q25, compared to -1.7% reported). In turn, the aggregate of Mobile Services, Internet and Cable TV, considered as if it constituted total service revenues, grew 2.0% vs. 3Q25 on a consolidated basis (+3.5% vs. 3Q25 normalizing the discounts).

	3Q26 vs. 3Q25				9M26 vs. 9M25
Consolidated revenues (MMP$, constant currency)	3Q26	3Q25	Δ %		9M26	9M25	Δ %
Mobile Services	1,450,985	1,380,030	5.1 %		4,275,014	3,647,972	17.2 %
Internet Services	567,955	595,228	-4.6 %		1,733,507	1,647,389	5.2 %
Cable TV Services	297,262	295,621	0.6 %		870,352	842,081	3.4 %
Fixed Telephony and Data Services	269,188	345,973	-22.2 %		851,326	897,783	-5.2 %
Other service revenues	14,580	27,674	-47.3 %		42,983	70,325	-38.9 %
REVENUES FROM SERVICES	2,599,970	2,644,526	-1.7 %		7,773,182	7,105,550	9.4 %
REVENUES FROM EQUIPMENT SALES	97,373	117,036	-16.8 %		294,828	394,037	-25.2 %
REVENUES	2,697,343	2,761,562	-2.3 %		8,068,010	7,499,587	7.6 %

Mobile Services

In 3Q26, consolidated mobile service revenues reached P$1,450,985 million (+P$70,955 million or +5.1% vs. 3Q25), consolidating its position as the main business in terms of service revenues (56% of the total in 3Q26 vs. 52% in 3Q25).

In cumulative 9M26, mobile service revenues reached P$4,275,014 million (+17.2% vs. 9M25), a variation mainly explained by the consolidation of 9 months of TMA vs. 7 months in 9M25.

Mobile Services in Argentina

As of September 30, 2026, Telecom's mobile subscribers (excluding TMA) in Argentina amounted to approximately 17.9 million (-2.4 million or -11.8% vs. 3Q25). This decrease is mainly related to prepaid lines that do not make any top-up within the 180-day period (reduced from 240 days in June 2026) of inactivity, leading to their disconnection and removal from the customer base. In turn, the postpaid customer base grew by 1.1%, or 89 thousand customers, vs. 3Q25. As of September 30, 2026, 55% of customers corresponded to the prepaid segment and 45% to the postpaid segment, while as of September 30, 2025, prepaid customers represented 61% and postpaid customers represented 39%.

As of September 30, 2026, TMA's mobile subscribers amounted to approximately 20.1 million (+995 thousand or +5.2% vs. 3Q25) – including M2M accesses. The postpaid base increased by 2.5% vs. 3Q25, while the prepaid base grew by 7.9%. As of September 30, 2026, postpaid accesses represent 48% of total mobile accesses (vs. 50% in 3Q25).

Mobile Services in Paraguay ("Núcleo").

During 3Q26, mobile service revenues in Paraguay reached P$66,324 million, increasing in real terms (+P$5,056 million or +8.3% vs. 3Q25). In 9M26, mobile service revenues totaled P$191,752 million, increasing in real terms (+P$27,510 million or +16.7% vs. 9M25).

Internet Services

Consolidated Internet service revenues reached P$567,955 million in 3Q26, decreasing in real terms (-P$27,273 million or -4.6% vs. 3Q25). Normalizing the extraordinary discounts granted by TMA (P$28,932 million), consolidated Internet service revenues would have remained stable (+0.3% vs. 3Q25). During 9M26, Internet service revenues reached P$1,733,507 million (+P$86,118 million or +5.2% vs. 9M25).

As of September 30, 2026, subscribers with broadband speeds of 100 Mbps or higher represented 99% of the total subscriber base (vs. 97% as of September 30, 2025).

Cable TV Services

Consolidated cable TV service revenues reached P$297,262 million in 3Q26 (+P$1,641 million or +0.6% vs. 3Q25). Normalizing the extraordinary discounts granted by TMA (P$5,577 million), they would have grown 2.4% vs. 3Q25. During 9M26, revenues reached P$870,352 million (+P$28,271 million or +3.4% vs. 9M25). The number of TV subscribers for Telecom (excluding TMA), including Uruguay and Paraguay, reached 3.6 million (+150 thousand or +4.3% vs. 3Q25).

This growth was driven by the increase in subscriptions during the FIFA World Cup 2026, which boosted demand for bundled cable TV and internet packages to access live match broadcasts and content related to the tournament, as well as by new subscriptions to the "Pack Fútbol".

Fixed Telephony and Data Services

Consolidated fixed telephony and data service revenues reached P$269,188 million in 3Q26 (-P$76,785 million or -22.2% vs. 3Q25). Normalizing the extraordinary discounts granted by TMA (P$5,421 million), consolidated revenues for 3Q26 would have decreased 20.6% vs. 3Q25. During 9M26, such revenues reached P$851,326 million (-P$46,457 million or -5.2% vs. 9M25).

During 9M26, the Pacheco Datacenter, one of the Company's most important technological hubs, obtained the international "Certified Energy Efficient Datacenter Award" (CEEDA), a recognition that validates efficient energy management and the sustainable operation of data centers under global standards.

Other Service Revenues

Consolidated other service revenues reached P$14,580 million in 3Q26 (-P$13,094 million or -47.3% vs. 3Q25). During 9M26, such revenues reached P$42,983 million (-P$27,342 million or -38.9% vs. 9M25).

The decline in other service revenues was mainly attributable to the loss of control of Micro Sistemas, which provided Fintech services in Argentina, during 1Q26; as of 9M26, it is recognized as a joint venture investment.

Revenues from equipment sales

During 3Q26, consolidated revenues from equipment sales totaled P$97,373 million (-P$19,663 million or -16.8% vs. 3Q25). During 9M26, such revenues reached P$294,828 million (-P$99,209 million or -25.2% vs. 9M25).

Consolidated Operating Costs

	3Q26 vs. 3Q25				9M26 vs. 9M25
Operating costs (MMP$, constant currency)	3Q26	3Q25	Δ %		9M26	9M25	Δ %
Employee benefit expenses and severance payments	(590,130)	(676,554)	-12.8 %		(1,746,509)	(1,811,784)	-3.6 %
Interconnection and transmission costs	(37,854)	(75,600)	-49.9 %		(185,264)	(205,892)	-10.0 %
Fees for services, maintenance, materials and supplies	(369,486)	(413,664)	-10.7 %		(1,028,706)	(1,032,787)	-0.4 %
Taxes and fees with the regulatory authority	(238,212)	(240,221)	-0.8 %		(712,811)	(648,813)	9.9 %
Commissions and advertising	(119,468)	(140,380)	-14.9 %		(368,766)	(398,580)	-7.5 %
Cost of equipments and handsets	(75,691)	(85,151)	-11.1 %		(243,963)	(284,537)	-14.3 %
Programming and content costs	(127,384)	(133,730)	-4.7 %		(397,588)	(372,306)	6.8 %
Bad debt expenses	(53,479)	(36,171)	47.9 %		(151,730)	(129,753)	16.9 %
Other operating expenses	(111,381)	(94,447)	17.9 %		(335,944)	(326,243)	3.0 %
Subtotal Operating costs before D, A & I	(1,723,085)	(1,895,918)	-9.1 %		(5,171,281)	(5,210,695)	-0.8 %
Depreciation, amortization and impairment of fixed assets ("D, A & I")	(1,013,262)	(644,556)	57.2 %		(2,222,325)	(1,819,053)	22.2 %
Consolidated Operating Costs	(2,736,347)	(2,540,474)	7.7 %		(7,393,606)	(7,029,748)	5.2 %
Operating income before D, A & I	974,258	865,644	12.5 %		2,896,729	2,288,892	26.6 %
As % of Revenues	36.1 %	31.3 %	+4.8 p.p.		35.9 %	30.5 %	+5.4 p.p.

Consolidated Operating Costs, including Depreciation, Amortization and Impairment of Fixed Assets, amounted to P$2,736,347 million in 3Q26 (+P$195,873 million or +7.7% vs. 3Q25). During 9M26, such costs reached P$7,393,606 million (+P$363,858 million or +5.2% vs. 9M25).

Excluding Depreciation, Amortization and Impairment of Fixed Assets, consolidated operating costs amounted to P$1,723,085 million in 3Q26 (P$5,171,281 million in 9M26) and decreased by P$172,833 million or -9.1% vs. 3Q25 (-P$39,414 million or -0.8% in 9M26 vs. 9M25).

The cost breakdown was as follows:

• Labor costs and severance payments totaled P$590,130 million in 3Q26 (-P$86,424 million or -12.8% vs. 3Q25). Telecom's headcount (excluding TMA) totaled 17,782 employees as of September 30, 2026.
• Interconnection and transmission costs, which also include roaming, correspondence services, and line and circuit rentals, amounted to P$37,854 million in 3Q26 (-P$37,746 million or -49.9% vs. 3Q25).
• Fees for services, maintenance and materials: P$369,486 million in 3Q26 (-P$44,178 million or -10.7% vs. 3Q25).
• Taxes, fees and regulatory charges: P$238,212 million (-P$2,009 million or -0.8% vs. 3Q25).
• Commissions and advertising (agents, collection commissions and other commissions): These charges totaled P$119,468 million in 3Q26 (-P$20,912 million or -14.9% vs. 3Q25). The decrease was mainly attributable to lower advertising expenses related to Personal Pay campaigns following the loss of control of Micro Sistemas, whose results ceased to be consolidated on a line-by-line basis.
• Cost of equipment sold totaled P$75,691 million in 3Q26 (-P$9,460 million or -11.1% vs. 3Q25). This variation is mainly due to a decrease in the number of units sold compared to 3Q25.
• Programming and content costs: P$127,384 million (-P$6,346 million or -4.7% vs. 3Q25).
• Other costs totaled P$164,860 million (+P$34,242 million or +26.2% vs. 3Q25), including bad debt expense, which totaled P$53,479 million (+P$17,308 million or +47.9% vs. 3Q25):
  • Bad debt expense represented 2.0% of revenues in 3Q26.

• Other operating costs, which include provisions for litigation and other contingencies, energy and other utilities, insurance, leases and Internet capacity, among others, amounted to P$111,381 million (+P$16,934 million or +17.9% vs. 3Q25).
• Depreciation, amortization and impairment of fixed assets: totaled P$1,013,262 million (+P$368,706 million or +57.2% vs. 3Q25). The increase is mainly explained by the recognition of an impairment loss of P$383,870 million related to the assets to be divested (P$370,683 million for the group of assets to be transferred and P$13,187 million for 3G/4G and PCS licenses to be returned) within the framework of the approval process of the TMA acquisition, and of P$10,785 million on real estate held for sale. Excluding these effects, the decrease is attributable to the effect of assets that reached the end of their useful lives after September 30, 2025, and to disposals of fixed assets since that date, partially offset by the impact of depreciation and amortization associated with additions made subsequent to such date.

      Net Financial Results

Consolidated net financial results (including debt-related financial costs and other net financial results) recorded a gain of P$78,848 million in 3Q26 (vs. a loss of P$609,414 million in 3Q25). During the nine-month period of 2026, they recorded a gain of P$729,368 million (vs. a loss of P$913,752 million in 9M25).

	3Q26 vs. 3Q25				9M26 vs. 9M25
Financial results, net (MMP$, constant currency)	3Q26	3Q25	Δ %		9M26	9M25	Δ %
Exchange differences	166,108	(429,293)	-		943,301	(530,737)	-
RECPAM	80,277	39,221	104.7 %		283,822	125,058	127.0 %
Fair value gains on financial assets at fair value through profit or loss	(18,132)	(18,644)	-2.7 %		13,844	(7,723)	-
Remeasurement in borrowings*	(361)	1,428	-		(2,789)	3,594	-
Net interest	(87,415)	(128,736)	-32.1 %		(338,408)	(320,595)	5.6 %
Others	(61,629)	(73,390)	-16.0 %		(170,402)	(183,349)	-7.1 %
Total Financial results, net	78,848	(609,414)	-		729,368	(913,752)	-
* Related to UVA-linked Notes. (Unidades de Valor Adquisitivo)

The variation in the quarter was mainly attributable to a higher foreign exchange gain, measured in real terms, of P$595,401 million: the U.S. dollar increased by 2.4% against the Argentine peso in 3Q26 (vs. 14.5% in 3Q25), while inflation remained at similar levels (5.8% vs. 6.0%). Additionally, there was a higher RECPAM gain of P$41,056 million, lower net interest of P$41,321 million and lower other negative results of P$11,761 million (mainly lower taxes and bank expenses).

In 9M26, financial results recorded a gain of P$729,368 million (vs. a loss of P$913,752 million in 9M25), mainly explained by a higher foreign exchange gain of P$1,474,038 million: the U.S. dollar increased by only 4.3% against the Argentine peso (vs. 33.7% in 9M25), while inflation remained at similar levels (23.6% vs. 22.0%). Additionally, there was a higher RECPAM gain of P$158,764 million and a higher gain from changes in the fair value of financial assets of P$21,567 million, partially offset by higher net interest of P$17,813 million.

Income Tax

Income tax resulted in a loss of P$89,522 million in 3Q26 (vs. a gain of P$134,610 million in 3Q25). During 9M26, income tax resulted in a loss of P$568,609 million (vs. a gain of P$85,894 million in 9M25).

Cash Flow

	3Q26 vs. 3Q25				9M26 vs. 9M25
Cash flow (MMP$, constant currency)	3Q26	3Q25			9M26	9M25
Total cash flows provided by operating activities	761,861	758,289			2,573,534	1,728,787
Total cash flows used in investing activities	(543,534)	(621,880)			(1,970,276)	(2,754,385)
less Dividends received	(0)	-			(539)	-
less Net payments of investments not considered cash and DFI settlements	272,055	260,905			474,958	152,609
less Payments for acquisition of subsidiaries, net of cash acquired	-	224			-	1,612,319
less Cash flows from change of control in subsidiaries	7	-			46,321	-
Subtotal investing cash flows	(271,473)	(360,751)			(1,449,536)	(989,457)
Free Cash Flow (FCF)	490,388	397,538			1,123,998	739,330
Payments of DFI, interest and related expenses	(139,368)	(180,358)			(451,171)	(409,474)
Equity FCF (EFCF)	351,020	217,180			672,827	329,856

Equity FCF (operating cash flow plus investing cash flow, adjusted for net payments of investments not considered cash and DFI settlements, dividends received, acquisitions of companies and changes of control in subsidiaries, less DFI payments, interest and related expenses) totaled P$351,020 million in 3Q26 (+P$133,840 million or +61.6% vs. 3Q25), mainly explained by higher EBITDA and lower interest payments (P$139,368 million vs. P$180,358 million in 3Q25). In 9M26, Equity FCF reached P$672,827 million (vs. P$329,856 million in 9M25).

Net Financial Debt

As of September 30, 2026, our consolidated net financial position (cash and cash equivalents – net of client funds – plus financial investments and DFI* minus loans) was a net liability and totaled P$4,440,298 million, representing a decrease of P$1,327,280 million compared to Net Financial Debt as of December 31, 2025, adjusted for inflation.

* Contemplates rate swaps and NDF (non-delivery forwards) agreements.

Investments in PP&E, intangible assets and rights of use assets

	3Q26 vs. 3Q25				9M26 vs. 9M25
Investments (MMP$, constant currency)	3Q26	3Q25	Δ %		9M26	9M25	Δ %
Consolidated CAPEX (additions of PP&E and intangible assets)	536,680	452,692	18.6 %		1,538,190	1,132,679	35.8 %
Telecom (excluding TMA)	331,205	283,271	16.9 %		1,041,400	791,063	31.6 %
TMA	205,475	169,421	21.3 %		496,790	341,616	45.4 %
Right-of-use asset additions	64,202	57,133	12.4 %		210,868	187,217	12.6 %
Total investments (including right-of-use assets)	600,882	509,825	17.9 %		1,749,058	1,319,896	32.5 %
CAPEX as % of consolidated revenues	19.9 %	16.4 %	+3.5 p.p.		19.1 %	15.1 %	+4.0 p.p.
CAPEX = Total investments – Right-of-use additions. TMA = Consolidated CAPEX – Telecom (excluding TMA).

In 3Q26, consolidated CAPEX (additions to PP&E and intangible assets) totaled P$536,680 million (+18.6% vs. 3Q25). In cumulative 9M26, consolidated CAPEX totaled P$1,538,190 million (+35.8% vs. 9M25).

The investments were focused on:

• Expansion of both fixed and mobile data services to improve transmission and access speed offered to customers, the deployment of 4G coverage and capacity, and continued expansion of 5G to support mobile internet growth and enhance service quality.
• Deployment and modernization of 4G mobile access sites to improve coverage and increase mobile network capacity. The 4G/LTE rollout reached 97% urban population coverage. Our mobile network customers with access to our network experienced improved service quality, reaching average speeds of 94 Mbps.
• During 9M26, we continued expanding our 5G network with the addition of 887 sites.
• With regard to the fixed access infrastructure, during the first nine months of 2026 we continued to strengthen our broadband capabilities through the deployment of new fiber optic networks and the modernization of existing infrastructure.

Relevant financial events after September 30, 2026

Agreement with Metrotel – Divestiture of assets related to the TMA acquisition

On October 14, 2026, the Board of Directors of Telecom Argentina resolved to accept the offer made by Metrotel to Telecom Argentina and TMA and to proceed with the completion of the acts necessary to carry out the transaction, including the execution of the definitive agreements and the transfer of the contemplated assets.

In this context, Telecom Argentina and TMA entered into an asset transfer agreement under which they agreed to transfer to Metrotel a base of 6,005,425 mobile service customers and 211,566 residential internet service customers, rights of use of their radio spectrum and over the use of certain physical infrastructure (assets associated with the access network and the fiber-to-the-home network deployed in the Autonomous City of Buenos Aires). Additionally, they entered into the Framework Sharing Agreement with Metrotel, which contemplates, among others, the provision of RAN sharing, national and international roaming, co-location and fixed network port rental services. Furthermore, Telecom Argentina agreed to assign to Metrotel certain rights of use of its radio spectrum.

The consideration contemplated in the transaction amounts to US$ 450 million and comprises: (i) the consideration for the sale, assignment and transfer of the assets included in the divestiture, which will be paid in installments; and (ii) the guaranteed minimum commitment for the services to be provided over a five-year period under the Framework Sharing Agreement. A transitional services agreement in favor of Metrotel and a license agreement for the use of the "Tuenti" brand in the Argentine Republic were also executed, the amounts of which are not included in such consideration.

After October 14, 2026, Telecom Argentina and TMA began the process of transferring the identified assets to Metrotel. Final approval of the TMA acquisition is subject to verification by the Argentine Antitrust Tribunal (TDC) of the completion of the divestitures and compliance with the behavioral obligations.

Telecom Argentina is a leading telecommunications company in Argentina, offering services combining mobile telephony services, cable television services, internet services and fixed telephony services. We also provide Fintech Services, other telephone related services, such as international long-distance and wholesale services, data transmission and IT solutions outsourcing and we install, operate and develop cable television and data transmission services.

We provide our services in Argentina (mobile, cable television, internet, fixed and data, fintech services, among others), Paraguay (mobile, internet, satellite TV, fintech services, among others), Uruguay (cable television services, internet and cybersecurity services and products), the United States (fixed wholesale services) and Chile (cybersecurity services and products).

These consolidate an ecosystem of platforms and new businesses, providing a comprehensive and convergent experience for our customers.

As of September 30, 2026, Telecom Argentina has 2,153,688,011 issued and outstanding shares.

For more information, please contact Investor Relations:

Luis Fernando Rial Ubago lfrialubago@personal.com.ar

Tomás Pellicori tlpellicori@personal.com.ar

Eugenio Ivan eivan@personal.com.ar

For information about Telecom Argentina's services, visit:

www.personal.com.ar
www.personal.com.py

Disclaimer:

This document may contain statements that could constitute forward-looking statements, including, but not limited to (i) the Company's expectations for its future performance, revenues, income, earnings per share, capital expenditures, dividends, liquidity and capital structure; (ii) the continued synergies expected from the merger between the Company and Cablevisión S.A. (or the "Merger") and/or the acquisition of Telefónica Móviles Argentina S.A. (or the "Acquisition"); (iii) the implementation of the Company's business strategy; (iv) the changing dynamics and growth in the telecommunications and cable markets in Argentina, Paraguay, Uruguay and the United States; (v) the Company's outlook for new and enhanced technologies; (vi) the effects of operating in a competitive environment; (vii) the industry conditions; (viii) the outcome of certain legal proceedings; and (ix) regulatory and legal developments. Forward-looking statements may be identified by words such as "anticipate," "believe," "estimate," "expect," "intend," "plan," "project," "will," "may" and "should" or other similar expressions. Forward-looking statements are not guarantees of future performance and involve certain risks and uncertainties that are difficult to predict. In addition, certain forward-looking statements are based upon assumptions as to future events that may not prove to be accurate. Many factors could cause actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements that may be expressed or implied by forward-looking statements. These factors include, among others: (i) the Company's ability to successfully implement our business strategy and to achieve synergies resulting from the Merger and/or the Acquisition; (ii) the Company's ability to introduce new products and services that enable business growth; (iii) uncertainties relating to political and economic conditions in Argentina, Paraguay, Uruguay and the United States, including the policies of the government in Argentina; (iv) the impact of political developments, including the policies of the government in Argentina, on the demand for securities of Argentine companies; (v) inflation, the devaluation of the peso, the Guaraní and the Uruguayan peso and exchange rate risks in Argentina, Paraguay and Uruguay; (vi) restrictions on the ability to exchange Argentine or Uruguayan pesos or Paraguayan guaraníes into foreign currencies and transfer funds abroad; (vii) the impact of currency and exchange measures or restrictions on our ability to access the international markets and our ability to repay our dollar-denominated indebtedness; (viii) the creditworthiness of our actual or potential customers; (ix) the nationalization, expropriation and/or increased government intervention in companies; (x) technological changes; (xi) the impact of legal or regulatory matters, changes in the interpretation of current or future regulations or reform and changes in the legal or regulatory environment in which the Company operates, including regulatory developments such as sanctions regimes in other jurisdictions (e.g., the United States) which impact the Company's suppliers; (xii) the effects of increased competition; (xiii) reliance on content produced by third parties; (xiv) increasing cost of the Company's supplies; (xv) inability to finance on reasonable terms capital expenditures required to remain competitive; (xvi) fluctuations, whether seasonal or in response to adverse macro-economic developments, in the demand for advertising; (xvii) the Company's ability to compete and develop our business in the future; (xviii) the impact of increased national or international restrictions on the transfer or use of telecommunications technology; and (xix) the impact of the outbreak of COVID-19 on the global economy and specifically on the economies of the countries in which we operate, as well as on our operations and financial performance. Many of these factors are macroeconomic and regulatory in nature and therefore beyond the control of the Company's management. Should one or more of these risks or uncertainties materialize, or underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, intended, planned or projected. The Company does not intend and does not assume any obligation to update the forward-looking statements contained in this document. These forward-looking statements are based upon a number of assumptions and other important factors that could cause our actual results, performance or achievements to differ materially from our future results, performance or achievements expressed or implied by such forward-looking statements. Readers are encouraged to consult the Company's Annual Report on Form 20-F and the periodic filings made on Form 6-K, which are periodically filed with or furnished to the United States Securities and Exchange Commission, as well as the presentations periodically filed before the Argentine Securities and Exchange Commission (Comisión Nacional de Valores) and the Buenos Aires Stock Exchange (Bolsas y Mercados Argentinos), for further information concerning risks and uncertainties faced by the Company.

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SOURCE Telecom Argentina

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were Telecom Argentina's third-quarter 2026 earnings and revenue?

Telecom Argentina reported a consolidated net loss of P$56,615 million and revenue of P$2,697,343 million for 3Q26. Revenue declined 2.3% year over year in inflation-adjusted pesos. The loss attributable to the controlling company was P$66,216 million.

How did Telecom Argentina's debt and cash flow change in 3Q26?

Net debt declined 9% year over year to US$2,927 million, while quarterly equity free cash flow increased 96% to US$231 million in dollar terms. Net leverage was 1.2 times net debt/EBITDA, down 0.7 times year over year, and debt had an average life of 4.5 years.

Why did Telecom Argentina's Personal mobile customer base decline in 3Q26?

The company attributes the decline mainly to disconnecting prepaid lines without top-ups for 180 days, after reducing the inactivity threshold from 240 days in June 2026, with no significant revenue impact. Personal's Argentina mobile base declined 11.8% year over year, while postpaid customers grew 1.1%.

How did copper sales affect Telecom Argentina's third-quarter EBITDA margin comparison?

Copper recovered from dismantling Telecom's fixed network, excluding TMA, contributed approximately 0.2 percentage points to the consolidated 3Q26 EBITDA margin. In 3Q25, a TMA copper sale contributed approximately 1 percentage point through reduced operating costs. Excluding both effects, the company says year-over-year margin improvement would have been greater.