Telia Lietuva (TEL1L) Q2 2025 earnings summary

Executive summary

• Revenue for H1 2025 increased by 1.3% year-over-year to EUR 241.7 million, with service revenue up 4.2% and net profit rising 22.9% to EUR 44.7 million.

• Adjusted EBITDA margin exceeded 40% due to efficiency measures, with adjusted EBITDA up 9.4% to EUR 97.0 million.

• Dividend of EUR 0.11 per share (EUR 64.1 million total) was paid in May 2025 for 2024, the highest in company history.

• Strategic initiatives included launching a next-gen IoT platform, rebranding shared hosting, expanding TV content, and testing standalone 5G at Klaipėda Seaport.

• Growth in mobile and internet service revenue offset declines in fixed voice and equipment sales.

Financial highlights

• Q2 2025 revenue up 2% year-over-year to EUR 121.9 million; H1 2025 revenue at EUR 241.7 million (+1.3%).

• Adjusted EBITDA (excluding non-recurring items) up 9.4% to EUR 97.0 million; margin rose to 40.2%.

• Net profit increased 22.9% year-over-year to EUR 44.7 million; EPS at EUR 0.077.

• Free cash flow grew 10.7% to EUR 57.0 million.

• Capex for H1 2025 was EUR 23.7 million; capex to sales ratio at 11.6%.

Outlook and guidance

• Dividend policy maintains net debt/EBITDA below 1.5 and payout of up to 80% of free cash flow and 100% of net profit.

• Plans to construct the largest data center in Lithuania to meet growing cloud demand.

• Ongoing focus on efficiency, digital transformation, network modernization, and expanding service offerings.