Breaking News
Get 40% Off 0
Is NVDA a 🟢 buy or 🔴 sell? Unlock Now

Telefonica reports 9.3% rise in Q3 net profit, surpassing analysts' expectations

Published Nov 09, 2023 03:38
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.
 
TEF
+0.04%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
TEF
+1.63%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

Spanish telecom giant Telefonica (NYSE:TEF) announced a surprising increase of 9.3% in its Q3 net profit on Wednesday, reaching 502 million euros ($535.73 million). This figure significantly outperformed analysts' predictions, which were based on the company-provided consensus and set at 276 million euros.

In addition to the unexpected rise in net profit, Telefonica also reported an increase in core earnings to 3.33 billion euros from last year's figure of 3.25 billion. The company's total revenues also saw growth, hitting the milestone of 10.32 billion euros. Angel Vila, the COO of Telefonica, credited this surge in profitability to improved revenue flows, reduced energy costs, and enhanced network efficiency.

Despite the positive financial results, Telefonica's shares experienced a roller-coaster ride on Wednesday. Initially spiking by over 2%, they later fell by 0.5%.

Looking forward, Telefonica provided an optimistic outlook on its annual profitability for the next few years. The company's strategic plan spanning from 2023 to 2026 forecasts a yearly growth of 2% in core earnings and a rise of 1% in total revenues. For the year 2023 alone, Telefonica expects a revenue boost of 4% and a core earnings increase of 3% compared to last year's figures.

InvestingPro Insights

InvestingPro data and tips provide valuable insights into Telefonica's recent performance and future prospects. The revenue growth in the last twelve months as of Q2 2023 was 7.0%, consistent with the company's reported surge in profitability.

Two InvestingPro Tips particularly relevant to Telefonica are its accelerating revenue growth and the ability of its strong earnings to continue dividend payments. The company's significant dividend yield of 5.96% as of the end of 2023 underscores this point. Additionally, Telefonica's status as a prominent player in the Diversified Telecommunication Services industry aligns with its optimistic outlook for annual profitability in the coming years.

For more detailed insights and additional tips, consider exploring the InvestingPro platform. With over 10 additional tips available for Telefonica, there's a wealth of information to help guide your investment decisions.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Telefonica reports 9.3% rise in Q3 net profit, surpassing analysts' expectations
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email