Telefónica, S.A.

OTCPK:TELF.Y Stock Report

Market Cap: US$23.3b

Telefónica Past Earnings Performance

Past criteria checks 0/6

Telefónica's earnings have been declining at an average annual rate of -69.4%, while the Telecom industry saw earnings growing at 13.9% annually. Revenues have been declining at an average rate of 1.4% per year.

Key information

-69.40%

Earnings growth rate

-69.37%

EPS growth rate

Telecom Industry Growth6.72%
Revenue growth rate-1.42%
Return on equity-10.22%
Net Margin-6.56%
Next Earnings Update29 Jul 2026

Recent past performance updates

Recent updates

Seeking Alpha • Nov 19

Telefonica: The Turnaround Story Income Investors Should Skip

Summary Telefónica (TEF) is cutting its dividend by 50% in 2026-2027, ending its status as a high-yield income stock. TEF's persistent dividend cuts reflect high leverage, weak free cash flow, and years of mismanagement, forcing a shift to a payout tied to recurring FCF. The new strategic plan targets modest 1.5-2.5% revenue growth, cost cuts, capex reduction, and deleveraging to 2.5x net debt/EBITDAaL by 2028. While the turnaround plan is coherent, TEF remains a low-growth, low-margin story; it is no longer suitable for dividend-focused investors. Read the full article on Seeking Alpha
Seeking Alpha • Nov 07

Telefonica Q3 Earnings: Not Very Attractive Due To Volatility In Certain Regions

Summary Telefonica S.A.'s Q3 earnings show a 3% y/y decline in sales, with significant revenue drops in Brazil and Hispam due to currency depreciation and competitive pressures. The company's high debt load (€32B long-term, €6B short-term) is concerning, though it has decent free cash flow and cash reserves to cover obligations. Telefonica Tech's growth in digital solutions, with a 9.5% y/y increase, offers potential for future revenue diversification and top-line improvement. Despite an attractive 7.22% dividend yield, high exposure to volatile currencies and lackluster growth leads me to assign a hold rating for now. Read the full article on Seeking Alpha
Seeking Alpha • Sep 18

AT&T Vs. Telefonica: Only One Of These High-Yields Is A Buy

Summary Telefonica and AT&T are high-yield telecoms with checkered pasts. Both have made a lot of progress towards deleveraging and putting their businesses and dividends on a more sustainable path. We compare them side-by-side and share our take on which is the better buy today. Read the full article on Seeking Alpha
Seeking Alpha • Aug 22

Telefonica: There Is Further Upside Here - I Say 'Buy'

Summary Conservative leverage, FCF improvement, and on-track results make Telefonica stock a buy with a €4.9/share price target. Telefonica is a decent investment with good yield and potential for outperformance, primarily income-oriented. The company's 2Q24 results show accelerating top-line growth, EBITDA growth, and expansion of 5G coverage, supporting the positive thesis. Read the full article on Seeking Alpha
Seeking Alpha • May 31

Telefonica: Steadily Pushing Upward

Summary Telefonica has seen improvements in its results, with accelerating revenue and EBITDA growth, low churn rates, and enhanced customer experience. The company has achieved its goals in terms of fiber, infra growth, and coverage, with 5G coverage at 63% in core markets. Telefonica's FCF is expected to grow at more than 10%, affirming a positive outlook for the company. Read the full article on Seeking Alpha
Seeking Alpha • Jan 29

With 8% Dividend Yield, Telefonica Has Upside Potential

Summary Telefonica's various telecoms businesses present a mixed bag overall, with solid positions in Spain and the U.K. offset by weaker operations in Latin America and Germany. Medium-term financial goals point to modest growth and look achievable, while the 8%-yielding dividend is more secure than it appears at first glance. These shares look around 25% undervalued based on a rough sum-of-the-parts method, with the market basically ignoring the value of its U.K. joint venture. Read the full article on Seeking Alpha
Seeking Alpha • Nov 23

Telefonica: Don't Let An 8% Dividend Yield Fool You

Summary Telefonica S.A. offers an 8% forward dividend yield, but dividend growth is unlikely due to revenue challenges and high leverage. The company's financial performance has been declining, and its weak balance sheet limits room for investment in growth initiatives. My valuation analysis suggests the stock has almost no upside potential. Read the full article on Seeking Alpha

Revenue & Expenses Breakdown

How Telefónica makes and spends money. Based on latest reported earnings, on an LTM basis.

Earnings and Revenue History

OTCPK:TELF.Y Revenue, expenses and earnings (EUR Millions)
DateRevenueEarningsG+A ExpensesR&D Expenses
31 Mar 2635,906-2,356820
31 Dec 2535,945-2,199820
30 Sep 2541,620-1,0201790
30 Jun 2541,536-7971850
31 Mar 2541,963-4651790
31 Dec 2436,4411,445610
30 Sep 2440,571-1,4311550
30 Jun 2440,287-8691400
31 Mar 2440,747-9151550
31 Dec 2341,455-1,1461550
30 Sep 2339,5641,7322230
30 Jun 2339,6531,6902230
31 Mar 2341,4111,3791250
31 Dec 2240,7761,802860
30 Sep 2241,188-119660
30 Jun 2239,856127860
31 Mar 2239,1187,7261210
31 Dec 2139,2777,884800
30 Sep 2140,95910,1912060
30 Jun 2142,2709,3251860
31 Mar 2142,9231,8261510
31 Dec 2043,9491,332890
30 Sep 2046,4592072380
30 Jun 2047,580-762380
31 Mar 2048,3533412380
31 Dec 1949,3128601230
30 Sep 1949,1601,6762,1000
30 Jun 1949,1503,2582,1000
31 Mar 1949,4483,1402,1000
31 Dec 1849,5082,9291,0710
30 Sep 1849,7522,7982,2800
30 Jun 1850,8282,4982,2800
31 Mar 1851,9162,7032,2800
31 Dec 1752,8712,8562,2800
30 Sep 1753,4422,3272,3320
30 Jun 1753,7622,4712,3320
31 Mar 1753,5192,3442,3320
31 Dec 1652,9032,1132,3320
30 Sep 1653,091-2592,5300
30 Jun 1653,939-5322,5300
31 Mar 1656,8734182,5300
31 Dec 1555,8623682,5300
30 Sep 1553,8022,8631,8790

Quality Earnings: TELF.Y is currently unprofitable.

Growing Profit Margin: TELF.Y is currently unprofitable.

Free Cash Flow vs Earnings Analysis

Past Earnings Growth Analysis

Earnings Trend: TELF.Y is unprofitable, and losses have increased over the past 5 years at a rate of 69.4% per year.

Accelerating Growth: Unable to compare TELF.Y's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: TELF.Y is unprofitable, making it difficult to compare its past year earnings growth to the Telecom industry (-9.7%).

Return on Equity

High ROE: TELF.Y has a negative Return on Equity (-10.22%), as it is currently unprofitable.

Return on Assets

Return on Capital Employed

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/07/22 14:50
End of Day Share Price 2026/07/22 00:00
Earnings2026/03/31
Annual Earnings2025/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Telefónica, S.A. is covered by 41 analysts. 11 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Andrew Charles BealeArete Research Services LLP
null nullBanco de Sabadell. S.A.
Fernando Cordero BarreiraBanco Santander