What are the details of Telefônica Brasil (VIV) share buyback program announced in 2026?

Telefônica Brasil approved a new share buyback program of up to R$1.0 billion. According to Telefônica Brasil, the repurchases may occur until February 2027, reinforcing capital allocation to shareholders alongside the commitment to distribute at least 100% of FY2026 net income.

1Q26 Results: Telefônica Brasil S.A.

Rhea-AI Impact

(Neutral)

Rhea-AI Sentiment

(Very Positive)

Rhea-AI Summary

Telefônica Brasil (NYSE:VIV) reported 1Q26 net operating revenue of R$15,457 million, up 7.4% year over year, driven by postpaid mobile and FTTH.

EBITDA rose 8.9% to R$6,209 million (40.2% margin), while net income increased 19.2% to R$1,261 million and EPS grew 21% to R$0.39.

Capex ex-IFRS 16 reached R$2,048 million (13.2% of revenue). Operating cash flow grew 8.5% to R$4,162 million and free cash flow rose 3.6% to R$2,200 million.

Shareholder remuneration committed for distribution totaled R$6,990 million, plus a new share buyback program of up to R$1.0 billion through February 2027 and a commitment to distribute at least 100% of FY2026 net income.

AI-generated analysis. Not financial advice.

Positive

Net operating revenue up 7.4% YoY to R$15,457 million
EBITDA up 8.9% YoY to R$6,209 million; margin 40.2%
Net income up 19.2% YoY to R$1,261 million; EPS R$0.39
Operating cash flow up 8.5% YoY to R$4,162 million
Committed shareholder remuneration of R$6,990 million, above FY2025 by 9.6%
New share buyback program up to R$1.0 billion through February 2027

Negative

Capex ex-IFRS 16 up 9.6% YoY to R$2,048 million (13.2% of revenue)
Free cash flow up 3.6% YoY to R$2,200 million, below EBITDA growth
Other revenues declined 7.3% YoY to R$926 million

News Market Reaction – VIV

-5.51%

1 alert

-5.51% News Effect

-$1.45B Valuation Impact

$24.93B Market Cap

2.98K Volume

On the day this news was published, VIV declined 5.51%, reflecting a notable negative market reaction. This price movement removed approximately $1.45B from the company's valuation, bringing the market cap to $24.93B at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Net Operating Revenue: R$15,457m EBITDA: R$6,209m Net Income: R$1,261m +5 more

8 metrics

Net Operating Revenue R$15,457m 1Q26, +7.4% YoY

EBITDA R$6,209m 1Q26, margin 40.2%, +8.9% YoY

Net Income R$1,261m 1Q26, +19.2% YoY

EPS R$0.39 1Q26, +21.0% YoY

Free Cash Flow R$2,200m 1Q26, +3.6% YoY

Shareholder Remuneration R$6,990m Committed for distribution in the period (IoE and capital reduction)

Capital Reduction R$4,000m Portion of shareholder remuneration in the period

Share Buyback Program R$1.0bn New program authorized, to be repurchased until Feb 2027

Market Reality Check

Price: $14.78 Vol: Volume 1,508,939 is 35% a...

normal vol

$14.78 Last Close

Volume Volume 1,508,939 is 35% above the 20-day average of 1,121,391, indicating elevated interest ahead of/around the Q1 release. normal

Technical Shares trade above the 200-day MA, with price at 15.60 versus the 200-day MA of 13.58.

Peers on Argus

VIV gained 1.43% with strong Q1 results, while close telecom peers were mixed: R...

VIV gained 1.43% with strong Q1 results, while close telecom peers were mixed: RCI +0.38%, TLK +0.53%, TU +0.08%, SATS +2.75%, and BCE -1.55%. The modest, mixed peer moves point to a stock-specific driver rather than a broad sector rotation.

Historical Context

2 past events · Latest: Feb 23 (Positive)

Pattern 2 events

Date	Event	Sentiment	Move	Catalyst
Feb 23	Annual report filing	Positive	+2.1%	Filed 2025 Form 20-F with audited financial statements and disclosures.
Feb 23	Quarterly earnings results	Positive	+3.2%	Reported 4Q25 and FY25 revenue, EBITDA and net income growth with high payout.

Pattern Detected

Recent fundamental and reporting events (4Q25 results, Form 20-F filing) were followed by positive price reactions, suggesting the stock has recently responded constructively to financial disclosures.

Recent Company History

Over the past few months, Telefônica Brasil has highlighted solid operating and financial performance. In 4Q25, the company reported growing net operating revenue and EBITDA with healthy margins, alongside shareholder remuneration of R$6,376.5m. The subsequent 2025 Form 20-F filing provided detailed audited financials. Today’s 1Q26 release, showing further revenue, EBITDA and net income growth plus substantial capital returns and a buyback program, extends that trajectory of disciplined growth and shareholder focus.

Market Pulse Summary

The stock moved -5.5% in the session following this news. A negative reaction despite healthy 1Q26 m...

Analysis

The stock moved -5.5% in the session following this news. A negative reaction despite healthy 1Q26 metrics—net revenue of R$15,457m, EBITDA of R$6,209m, and net income up 19.2% YoY—would contrast with prior positive responses to earnings and filings. In such a scenario, concerns might focus on higher Capex of R$2,048m or expectations set by strong past quarters, even as substantial remuneration of R$6,990m and a R$1.0bn buyback remain in place.

Key Terms

ebitda, ebitda margin, eps, capex, +4 more

8 terms

ebitda financial

"EBITDA | 6,209 | 5,704 | 8.9"

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.

ebitda margin financial

"EBITDA Margin | 40.2 % | 39.6 % | 0.5 p.p."

EBITDA margin is the share of each dollar of sales that a company keeps as operating cash profit before interest, taxes, and accounting for equipment wear and long-term investments. Think of it like the cash a store has left from every sale after paying day-to-day running costs but before paying rent, loan interest or replacing old machinery. Investors use it to compare core profitability and operational efficiency across companies by removing financing and accounting differences.

eps financial

"Earnings per Share (EPS) 4 | 0.39 | 0.33 | 21.0"

Earnings per share (EPS) measures how much profit a company makes for each outstanding share of its stock by dividing the company’s profit after expenses by the number of shares. It matters to investors because it shows how much of the company’s “pie” each share represents—higher EPS usually signals greater profitability per share, helps compare companies of different sizes, and influences stock valuations and investor decisions.

capex financial

"CAPEX ex-IFRS 16 5 | 2,048 | 1,869 | 9.6"

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.

ifrs 16 regulatory

"Does not include amounts related to IFRS 16 effects and licenses."

An international accounting rule that requires companies to record most leases on their balance sheet as assets and matching obligations, rather than keeping them off the books. Think of it like treating a long-term rental of a car as if the company owned it for accounting purposes; this makes a company’s assets, liabilities and reported profits more transparent so investors can better compare financial strength, debt levels and cash flow trends across businesses.

operating cash flow financial

"Operating Cash Flow (OpCF) 6 | 4,162 | 3,835 | 8.5"

Operating cash flow is the amount of money a company earns from its main business activities, like selling products or services. It shows how well the company can generate cash to pay bills, invest in growth, or return money to shareholders. This figure helps investors understand if the company’s core operations are healthy and sustainable.

interest on equity financial

"R$2,990.0 million related to interest on equity declared in 2025"

A payment a company makes to its shareholders that compensates them for the capital they provided, similar to how a lender receives interest on a loan. In some accounting or tax systems this payment is treated like interest rather than a regular dividend, which can change a company’s reported profit, cash flow and the taxable income of investors; that treatment affects shareholder returns and valuation.

5g technical

"We continued to expand our 5G network, now live in 905 municipalities"

5G is the fifth generation of wireless technology that provides faster internet connections, lower latency, and greater capacity than previous networks. It enables quicker downloads, smoother streaming, and more reliable connections for devices. For investors, 5G represents a significant upgrade in technology infrastructure that can drive growth in related industries such as smartphones, smart cities, and the Internet of Things.

AI-generated analysis. Not financial advice.

05/11/2026 - 08:40 AM

Telefônica Brasil - (B3: VIVT3; NYSE: VIV) announces its results for 1Q26.

SÃO PAULO, May 11, 2026 /PRNewswire/ --

The Company delivered strong growth, supported by solid Revenue and EBITDA performance, while posting its highest YoY increase in Net Income since 1Q24.

*R$ million*	1Q26	1Q25	% YoY

Net Operating Revenue	15,457	14,390	7.4
Mobile Services	9,881	9,272	6.6
FTTH	2,076	1,899	9.3
Corporate Data, ICT and Digital Services	1,423	1,312	8.5
Handsets and Electronics	1,152	909	26.6
Other Revenues¹	926	999	(7.3)
Total Costs	(9,248)	(8,687)	6.5
EBITDA	6,209	5,704	8.9
EBITDA Margin	40.2 %	39.6 %	0.5 p.p.
EBITDA AL²	4,800	4,376	9.7
EBITDA AL² Margin	31.1 %	30.4 %	0.6 p.p.
Net Income³	1,261	1,058	19.2
Earnings per Share (EPS)⁴	0.39	0.33	21.0

CAPEX ex-IFRS 16⁵	2,048	1,869	9.6
CAPEX ex-IFRS 16⁵/Net Revenue	13.2 %	13.0 %	0.3 p.p.
Operating Cash Flow (OpCF)⁶	4,162	3,835	8.5
OpCF⁶ Margin	26.9 %	26.7 %	0.3 p.p.
Operating Cash Flow AL (OpCF AL)⁷	2,752	2,508	9.7
OpCF AL⁷ Margin	17.8 %	17.4 %	0.4 p.p.
Free Cash Flow	2,200	2,124	3.6

Total Subscribers (Thousand)	117,367	116,127	1.1

^{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 calculated 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 – AL Operating Cash Flow is equivalent to EBITDA After Leases less Capex ex-IFRS 16 and licenses.}

Net revenue amounted to R$15,457.0 million, an increase of +7.4% YoY, driven by postpaid (+7.8% YoY) and FTTH (+9.3% YoY). In Postpaid, our strategy remains successful as we continue to grow our total postpaid customer base (+6.9% YoY), ending the quarter with 72.1 million accesses. Postpaid ARPU (excluding M2M and dongles) increased +0.8% YoY to R$52.6, reflecting an improved customer mix and service revenue dynamics.

Fixed Revenues grew by +5.1% YoY, reflecting the consistent growth of FTTH (+9.3% YoY) and Corporate Data, ICT and Digital Services (+8.5% YoY) revenues. In Fiber, we continue to grow both our footprint and penetration: in 1Q26, we reached 31.5 million homes passed (+6.2% YoY) and 8.0 million homes connected (+11.5% YoY), resulting in a +1.2 p.p. increase in take-up. Combined with this significant expansion, ARPU increased +0.8% QoQ, while churn remained at 1.5% for the quarter.

EBITDA recorded an increase of +8.9% YoY in 1Q26, totaling R$6,209.3 million, with a margin of 40.2%, +0.5 p.p. YoY, while EBITDA AL expanded +9.7% YoY, with a margin of 31.1%, +0.6 p.p. YoY.

In this quarter, Capex totaled R$2,047.5 million, an increase of +9.6% YoY, representing 13.2% of revenues, +0.3 p.p. YoY, in line with 1Q25 and below our 2025 average, as we continue to pursue optimal Capex allocation. We continued to expand our 5G network, now live in 905 municipalities and covering 71% of the Brazilian population along with fiber expansion, reaching 453 cities.

Operating Cash Flow summed R$4,161.8 million, +8.5% YoY, resulting in a margin of 26.9% (+0.3 p.p. YoY). Net income for the period hit R$1,261.1 million, rising +19.2% YoY, the highest increase since 1Q24.

Shareholder remuneration totaled R$6,990.0 million in the period committed for distribution, already surpassing FY2025 by +9.6%, of which R$2,990.0 million related to interest on equity declared in 2025 and R$4,000.0 million related to capital reduction, with an additional R$890.0 million interest on equity declared YTD. This year, the Board of Directors approved a new Share Buyback Program in the amount of up to R$1.0 billion, to be repurchased until February 2027. We reaffirm our commitment to distribute 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

View original content:https://www.prnewswire.com/news-releases/1q26-results-telefonica-brasil-sa-302768193.html

SOURCE Telefônica Brasil S.A.

FAQ

How did Telefônica Brasil (VIV) perform in revenue and earnings in 1Q26?

Telefônica Brasil reported 1Q26 net operating revenue of R$15,457 million and net income of R$1,261 million. According to Telefônica Brasil, revenue grew 7.4% year over year, while net income increased 19.2%, reflecting stronger profitability and operating performance.

What was Telefônica Brasil (VIV) EBITDA and margin in 1Q26?

Telefônica Brasil posted 1Q26 EBITDA of R$6,209 million with a 40.2% margin. According to Telefônica Brasil, EBITDA grew 8.9% year over year, and the EBITDA margin expanded by 0.5 percentage points, supported by revenue growth and cost control.

What were Telefônica Brasil (VIV) EPS and net income growth in 1Q26?

Telefônica Brasil reported 1Q26 earnings per share of R$0.39 and net income of R$1,261 million. According to Telefônica Brasil, EPS increased 21.0% year over year, while net income rose 19.2%, the highest annual increase since 1Q24.

How much did Telefônica Brasil (VIV) invest in Capex during 1Q26?

Telefônica Brasil recorded 1Q26 Capex ex-IFRS 16 of R$2,048 million. According to Telefônica Brasil, this represented a 9.6% year-over-year increase and 13.2% of net operating revenue, supporting 5G expansion and fiber growth across Brazilian municipalities and cities.

What shareholder remuneration did Telefônica Brasil (VIV) commit to in 1Q26?

Telefônica Brasil committed R$6,990 million in shareholder remuneration for the period. According to Telefônica Brasil, this amount already exceeds FY2025 by 9.6% and includes interest on equity, capital reduction, plus an additional R$890 million interest on equity declared year-to-date.

How did Telefônica Brasil (VIV) operating and free cash flow evolve in 1Q26?

Telefônica Brasil generated 1Q26 operating cash flow of R$4,162 million and free cash flow of R$2,200 million. According to Telefônica Brasil, operating cash flow rose 8.5% year over year, while free cash flow increased 3.6%, supporting investments and shareholder returns.