TIM S.A. Q3 2026 Earnings Recap

TIM’s shares rose 5.9% after earnings, as investors appeared to reward continued growth in revenue, EBITDA and cash generation, alongside reaffirmed 2026 guidance. The positive picture is tempered by competitive pressure in mobile: postpaid pricing remained constrained, and management said ARPU had faced erosion earlier in the year.

Key Takeaways

• Q3 service revenue was approximately BRL 6.9 billion, up 5.3% year over year. For the first nine months, service revenue grew 5.8%.
• Normalized EBITDA increased nearly 7% in the quarter, with margin above 52% on an after-IFRS 16 basis. Reported EBITDA grew close to 8%, with margin expanding about 1 percentage point to 41.3%.
• Mobile revenue grew 4%, supported by ARPU expansion, but management said postpaid competitive dynamics were broadly unchanged from Q2 and front-book price increases had not occurred so far.
• Ultra Fibra revenue rose 12.7%, with double-digit customer-base growth for a third consecutive quarter; B2B revenue grew 19.3% over the last 12 months.
• First-nine-month operating cash flow was almost BRL 5 billion, up 11.6%. TIM ended the quarter with BRL 5.2 billion in cash, and management said it remained on track to deliver 2026 guidance.