Tele2 (TEL2) investor relations material

Executive summary

• Achieved 2% year-over-year growth in end-user service revenue and 4% growth in underlying EBITDA/EBITDAAL in Q2 2026, driven by strong cost control and performance across all segments.

• Equity free cash flow reached SEK 1.5 billion in Q2, with SEK 6.2 billion generated over the last twelve months.

• Recognized as one of the world's most sustainable companies and the most sustainable telco in the Nordics by Time Magazine.

• Announced a partnership with Scaleway to launch sovereign and scalable cloud and AI solutions in Sweden.

• CEO transition completed, with Nicholas Högberg appointed as President and CEO effective July 1, 2026.

Financial highlights

• End-user service revenue grew 2% year-over-year to SEK 5.6 billion in Q2 2026; total revenue reached SEK 7.4 billion, up 2%.

• Underlying EBITDA/EBITDAAL increased 4% year-over-year to SEK 3.0 billion, with margin at 40% in Q2 2026.

• Net profit was SEK 1.2 billion, up from SEK 1,196 million year-over-year; EPS at SEK 1.75.

• CapEx to sales increased seasonally versus Q1 but remained below last year's level due to lower 5G rollout pace; CapEx excluding spectrum and leases was SEK 665 million.

• Economic net debt at end of Q2 was SEK 19.7 billion, a reduction of SEK 4.6 billion from end of 2025; leverage at 1.7x underlying EBITDA/EBITDAAL.

Outlook and guidance

• On track to reach full-year 2026 guidance: low single-digit organic growth in end-user service revenue, low to mid single-digit organic growth in underlying EBITDA/EBITDAAL, and CapEx to sales of 10%-11%.

• Dividend of SEK 10.50 per share to be paid in two tranches in 2026.

• Full-year spectrum payments estimated at SEK 180 million; taxes at SEK 1.45 billion; net financial items at SEK 600 million.