TPG Telecom reports $821M half-year earnings

• TPG Telecom delivered a 1% increase in statutory first-half earnings to $821 million.
• The telecommunications business reported a net profit of $35 million and declared an interim dividend of 10 cents per share.
• Executives stated that a simplified operating structure and recent debt reductions are driving this margin improvement.

TPG Telecom (ASX:TPG) reported a 1% half-year earnings increase to $821 million. Net profit after tax came to $35 million, compared to $32 million in the prior year.

The NPAT reflects higher EBITDA and a reduction in net financing costs following the repayment of $2.7 billion in bank borrowings in late 2025.

Service revenue was up to $2.07 billion. Mobile service revenue increased 3.1% to $1.22 billion, driven by an increase of 64,000 mobile subscribers.

Operating costs were $508 million, an increase of 0.2% from a year earlier.

"We grew earnings and maintained positive momentum across the business, driven by sustained mobile customer growth and a focus on operational efficiency. We are executing our strategy with discipline, improving profitability and generating strong cash flows," said TPG Telecom CEO and Managing Director Iñaki Berroeta.

Management stated that full-year earnings are expected to reach between $1.66 billion and $1.73 billion.

Following the announcement, the TPG share price was down at $3.53, as executives projected sustainable long-term value.

TPG’s board declared an interim dividend up 1 cent per share to 10.0 cents per share, 25% franked, reflecting a policy to increase dividends subject to sustainable growth in profit and cash flow.

The telecommunications provider recently simplified its internal operating structure to improve business performance and reduce overarching costs.