Telecom Italia S.p.A. Q2 2026 Earnings Recap

TIM’s Q2 results were broadly in line with expectations, reflected by a flat stock reaction. While underlying operational metrics showed signs of improvement, the temporary MVNO transition continued to weigh on reported numbers, resulting in little market movement.

Key Takeaways

• Group revenues increased 2.0% year-over-year to EUR 6.8 billion; excluding the MVNO transition, revenue growth was 3.3%.
• EBITDA after lease rose 1.2% reported, and 6.3% on an underlying basis excluding MVNO impact, indicating improving operating leverage.
• Domestic market revenues were stable; adjusted for MVNO effects, they grew about 2%, with EBITDA after lease up 7.1%.
• Brazil segment delivered strong growth: revenues up 6%, EBITDA after lease up 5.5%, maintaining its role as a key growth driver.
• Capital discipline continued with EUR 0.9 billion CapEx (12.6% of revenues), EUR 0.7 billion equity free cash flow, and a stable leverage ratio of 1.94x.