4Q25 Results: Telefonica Brasil S.A.

Rhea-AI Summary

Telefónica Brasil (NYSE: VIV) reported 4Q25 and full-year 2025 results: net operating revenue of R$15,611m in 4Q25 (+7.1% YoY) and R$59,595m for 2025 (+6.7% YoY). EBITDA reached R$6,699m in 4Q25 (+8.1% YoY) with a 42.9% margin. Net income was R$1,876.9m in 4Q25 (+6.5% YoY) and R$6,168m for 2025 (+11.2% YoY).

Key operational highlights: FTTH homes passed 31.0m (+6.4% YoY), 7.8m connected homes (+12.0% YoY), 5G in 716 cities covering 67.7% of population, and shareholder remuneration of R$6,376.5m in 2025 (payout 103.4%).

Positive

• Net income +11.2% in 2025 (R$6,168m)
• EPS +13.4% in 2025 (R$1.91)
• Corporate Data, ICT & Digital revenue +17.1% in 2025
• FTTH revenue +10.4% in 2025; connected homes +12.0% YoY
• Free Cash Flow +11.4% in 2025 (R$9,153m)

Negative

• None.

News Market Reaction – VIV

+3.18%

1 alert

+3.18% News Effect

On the day this news was published, VIV gained 3.18%, reflecting a moderate positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Net Operating Revenue 4Q25: R$15,611m (+7.1% YoY) Net Operating Revenue 2025: R$59,595m (+6.7% YoY) EBITDA 4Q25: R$6,699m (+8.1% YoY) +5 more

8 metrics

Net Operating Revenue 4Q25 R$15,611m (+7.1% YoY) Consolidated net operating revenue in 4Q25

Net Operating Revenue 2025 R$59,595m (+6.7% YoY) Full-year 2025 consolidated net operating revenue

EBITDA 4Q25 R$6,699m (+8.1% YoY) 4Q25 reported EBITDA

EBITDA Margin 4Q25 42.9% (up 0.4 p.p.) 4Q25 reported EBITDA margin vs 4Q24

Net Income 4Q25 R$1,876.9m (+6.5% YoY) Net income attributable to Telefônica Brasil in 4Q25

EPS 4Q25 R$0.59 (+8.6% YoY) 4Q25 earnings per share after stock split adjustments

Free Cash Flow 4Q25 R$2,287m (+111.9% YoY) 4Q25 free cash flow

Shareholder Remuneration 2025 R$6,376.5m (103.4% payout) Total remuneration to shareholders in 2025 vs net income

Market Reality Check

Price: $16.24 Vol: Volume 716,160 is about 0...

normal vol

$16.24 Last Close

Volume Volume 716,160 is about 0.77x the 20-day average of 924,949, showing subdued trading interest pre-announcement. normal

Technical Shares at $15.74 trade above the 200-day MA of $12.13 and are 4.43% below the 52-week high of $16.47.

Peers on Argus

VIV was modestly positive while key telecom peers showed mixed but mostly small ...

VIV was modestly positive while key telecom peers showed mixed but mostly small moves: RCI +0.21%, TLK +0.86%, BCE +0.31%, SATS -3.62%, TU flat. This points to company-specific drivers rather than a broad sector rotation.

Common Catalyst Limited same-day peer news, with only EchoStar (SATS) flagging an earnings-related conference call, supports a primarily stock-specific context for VIV’s earnings release.

Historical Context

1 past event · Latest: Oct 30 (Positive)

Pattern 1 events

Date	Event	Sentiment	Move	Catalyst
Oct 30	3Q25 earnings	Positive	-5.6%	Strong 3Q25 growth in revenue, EBITDA, net income and FTTH metrics.

Pattern Detected

The last quarterly results showed positive operational trends but a -5.62% next-day move, indicating the stock has previously sold off despite strong earnings metrics.

Recent Company History

Over the past few months, Telefônica Brasil has consistently reported revenue and profitability expansion. In 3Q25, net operating revenue was R$14,949m (+6.5% YoY), EBITDA reached R$6,486m with a 43.4% margin, and net income was R$1,888m (+13.3% YoY). EPS rose to R$0.59 (+15.6% YoY). The company also expanded FTTH coverage and 5G footprint, while committing to distribute at least 100% of net income for 2024–2026. Today’s 4Q25/2025 release continues that narrative of steady growth and high shareholder remuneration.

Market Pulse Summary

This announcement details broad-based growth for 4Q25 and 2025, with net revenue of R$15,611m in the...

Analysis

This announcement details broad-based growth for 4Q25 and 2025, with net revenue of R$15,611m in the quarter (+7.1% YoY), EBITDA of R$6,699m (+8.1% YoY), and free cash flow of R$2,287m (+111.9% YoY). Full-year revenue reached R$59,595m, and shareholder remuneration totaled R$6,376.5m with a 103.4% payout. Investors may focus on sustainability of cash generation, ongoing FTTH and 5G investments, and the company’s commitment to distributing at least 100% of net income through 2026.

Key Terms

ftth, ifrs 16, 5g

3 terms

ftth technical

"Our FTTH network achieved 31.0 million homes passed (+6.4% YoY)..."

Fiber to the home (FTTH) is a broadband delivery method that runs optical fiber directly from a network to individual residences, replacing slower copper or wireless links. Like replacing a narrow water pipe with a wide one, it provides much faster, more reliable internet and supports higher data use. Investors care because FTTH requires large upfront investment but can create stable recurring revenue, long-term customer lock-in, and a competitive edge in regions with growing data demand.

ifrs 16 financial

"CAPEX ex-IFRS 16 5 | | 2,359 | | 2,456 | | (4.0 | )"

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.

5g technical

"Investments were mainly directed to the strengthening of our 5G network..."

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.

Sao Paulo, Brazil--(Newsfile Corp. - February 23, 2026) - Telefônica Brasil (B3: VIVT3) (NYSE: VIV) announces its results for 4Q25 and 2025.

The Company has registered strong growth driven by consistent Revenue, EBITDA and Net Income evolution.

R$ million		4Q25			4Q24			% YoY			2025			2024			% YoY
Net Operating Revenue		15,611			14,581			7.1			59,595			55,845			6.7
Mobile Services		9,841			9,201			7.0			38,383			36,022			6.6
FTTH		2,009			1,829			9.8			7,828			7,093			10.4
Corporate Data, ICT and Digital Services		1,483			1,346			10.2			5,542			4,735			17.1
Handsets and Electronics		1,337			1,177			13.7			3,946			3,730			5.8
Other Revenues¹		940			1,029			(8.7	)		3,896			4,265			(8.7	)
Total Costs		(8,912	)		(8,383	)		6.3			(34,773	)		(32,965	)		5.5
EBITDA		6,699			6,199			8.1			24,822			22,880			8.5
EBITDA Margin		42.9%			42.5%			0.4 p.p.			41.7%			41.0%			0.7 p.p.
EBITDA AL²		5,277			4,831			9.2			19,395			17,796			9.0
EBITDA AL² Margin		33.8%			33.1%			0.7 p.p.			32.5%			31.9%			0.7 p.p.
Net Income³		1,877			1,763			6.5			6,168			5,548			11.2
Earnings per Share (EPS)4		0.59			0.54			8.6			1.91			1.69			13.4
CAPEX ex-IFRS 165		2,359			2,456			(4.0	)		9,270			9,166			1.1
CAPEX ex-IFRS 165/Net Revenue		15.1%			16.8%			(1.7) p.p.			15.6%			16.4%			(0.9) p.p.
Operating Cash Flow (OpCF)6		4,340			3,742			16.0			15,552			13,714			13.4
OpCF6 Margin		27.8%			25.7%			2.1 p.p.			26.1%			24.6%			1.5 p.p.
Operating Cash Flow AL (OpCF AL)7		2,918			2,374			22.9			10,124			8,629			17.3
OpCF AL7 Margin		18.7%			16.3%			2.4 p.p.			17.0%			15.5%			1.5 p.p.
Free Cash Flow		2,287			1,080			111.9			9,153			8,219			11.4
Total Subscribers (Thousand)		116,716			116,050			0.6			116,716			116,050			0.6

 

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, licenses and CyberCo acquisition. 6 - Operating Cash Flow is equivalent to EBITDA less Capex ex-IFRS 16, licenses and CyberCo acquisition. 7 - AL Operating Cash Flow is equivalent to EBITDA After Leases less Capex ex-IFRS 16, licenses and CyberCo acquisition.

Net revenue grew +7.1% YoY, driven by the solid performances of mobile postpaid (+9.0% YoY) and FTTH revenues (+9.8% YoY). Postpaid's performance is driven by its consistent customer base growth (+6.5% YoY), ending the quarter with 70.8 million accesses due to significant migrations and the acquisition of new customers. These factors, combined with annual price adjustments, contributed to a new record in mobile ARPU, which reached R$31.8, an increase of +5.8% YoY in the quarter.

Fixed Revenues increased by +5.4% YoY, reflecting the consistent growth of FTTH (+9.8% YoY) and Corporate Data, ICT and Digital Services (+10.2% YoY) revenues. Our FTTH network achieved 31.0 million homes passed (+6.4% YoY), connecting 7.8 million homes (+12.0% YoY).

EBITDA ex-Concession Migration Effects reached R$6,596.9 million, up +17.7% YoY, with a margin of 42.3%, while Reported EBITDA registered an increase of +8.1% YoY in the quarter, with a margin of 42.9%, up +0.4 p.p. YoY.

In 4Q25, Capex totaled R$2,359.3 million, a decrease of -4.0% YoY, representing 15.1% of revenues, a decline of -1.7 p.p. YoY. Investments were mainly directed to the strengthening of our 5G network, which is already present in 716 cities (+1.4x YoY), covering 67.7% of the Brazilian population, and expanding our fiber operation, accelerating connected households by +12.0% YoY.

Operating Cash Flow summed R$4,339.7 million, an evolution of +16.0% YoY, with a margin of 27.8% (+2.1 p.p. YoY) in relation to net revenue. Net income of the quarter reached R$1,876.9 million, growing +6.5% YoY.

The remuneration paid to shareholders amounted to R$6,376.5 million in 2025, +9.1% versus last year, with R$2,630.0 million related to interest on equity declared in the fiscal years 2024 and 2025, R$2,000.0 million to capital reduction and R$1,746.5 million to share buybacks, resulting in a payout of 103.4% over net income. For payments in 2026, the Company has already deliberated R$6,990.0 million, with R$4,000.0 million related to capital reduction. Once again, we reaffirm our commitment to distribute, between 2024 and 2026, at least 100% of the net income for each fiscal year.

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.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/284879

FAQ

What were Telefónica Brasil (VIV) consolidated revenues for 4Q25 and full-year 2025?

4Q25 net operating revenue was R$15,611m, and 2025 revenue totaled R$59,595m. According to the company, revenue grew +7.1% in 4Q25 and +6.7% for 2025, driven by mobile postpaid and FTTH performance.

How did Telefónica Brasil (VIV) perform on profitability metrics in 4Q25 and 2025?

Reported EBITDA in 4Q25 was R$6,699m with a 42.9% margin; 2025 EBITDA was R$24,822m. According to the company, EBITDA grew +8.1% in 4Q25 and +8.5% in 2025, with margin expansion versus prior year.

What operational progress did Telefónica Brasil (VIV) report for FTTH and 5G in 4Q25?

FTTH reached 31.0 million homes passed and 7.8 million connected homes. According to the company, connected homes rose +12.0% YoY and 5G now covers 67.7% of Brazil's population across 716 cities.

What was Telefónica Brasil's (VIV) cash generation and shareholder returns in 2025?

Free cash flow for 2025 was R$9,153m and total shareholder remuneration was R$6,376.5m. According to the company, payouts represented 103.4% of net income and payments of R$6,990.0m were deliberated for 2026.

Did Telefónica Brasil (VIV) report growth in digital and corporate services in 2025?

Yes. Corporate Data, ICT and Digital Services revenue grew +17.1% in 2025. According to the company, this segment was a notable driver of fixed revenue expansion alongside FTTH growth.