Telefónica S.A.

Telefonica increased second-quarter revenue by 3.0% to about €8.3 billion and adjusted EBITDA by 6.4% to €2.9 billion. Reported profit from continuing operations fell to €87 million; on an adjusted basis it was €473 million (-20%). Free cash flow dropped to €611 million in the quarter, but around €3 billion is still expected for the year; operating cash flow after leases is now forecast to rise by more than 3%. The German business O2 saw revenue decline by 11% to about €1.8 billion and an EBITDA drop of 7.2% to roughly €0.6 billion, mainly due to customer migration to Vodafone. » More on finanzen.net

The German unit O2 Telefónica reported an 11.1% revenue decline in Q2 to around €1.8 billion and an EBITDA of about €0.6 billion (-7.2%). The main reason was the loss of the major customer 1&1, which transferred around 12 million customers to Vodafone by the end of 2025; smartphone sales collapsed by about a quarter. New CEO Santiago Argelich Hesse has launched a savings program including around 1,100 voluntary job cuts, the closure of 60 shops and further cost reductions aimed at 2027. Management expects revenue and profit growth next year; contract customers rose in Q2 by 30,000 to around 32 million. » More on finanzen.net

O2 Telefónica will in Germany cut up to 1,100 full-time positions by the end of the year and close around 60 of its roughly 800 own shops. The restructuring will cost about €265 million; up to €155 million is being set aside in provisions for a second round of savings. From 2028, annual costs are expected to fall by about €185 million. The company cites organizational simplification, consolidation of tasks and increased use of artificial intelligence as reasons; part of the pressure stems from the loss of major customer 1&1, which led to revenue declines. » More on finanzen.net