TEO

This article first appeared on GuruFocus. Release Date: August 07, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Consolidated EBITDA margin expanded to 35.8% in H1 2026, up 580 basis points year-over-year, driven by efficiency gains and TMA integration. Telecom Argentina SA (NYSE:TEO) achieved record EBITDA margins in Q2 2026, with telecom standalone at 40.5% and TMA at nearly 30%, showing strong operational execution. Service revenues grew 16% year-over-year in constant pesos, with telecom standalone posting 2% real growth and mobile, broadband, and pay TV services growing at a weighted average of over 5%. Net debt to EBITDA leverage improved to 1.36 times, down from 1.74 times in fiscal year 2025, reflecting stronger cash generation and a solid balance sheet. Free cash flow before dividends and interest payments increased by over $200 million year-over-year to approximately $400 million in H1 2026. TMA standalone EBITDA margin improved significantly to 29.3% in H1 2026 from 22.9% in H1 2025, indicating successful integration and efficiency initiatives. Regional operations in Paraguay posted strong results, with revenue growing almost 30% and EBITDA increasing 37.5% year-over-year, reaching an EBITDA margin above 50%. Prepaid mobile accesses declined 10.1% year-over-year due to shorter reactivity periods for deactivating dormant lines, which could impact future subscriber growth. Consolidated CapEx intensity remains high at 18.6% of revenues, reflecting continued heavy investment in FTTH and 5G, which may pressure near-term cash flows. TMA service revenues remained broadly stable in real terms year-over-year, indicating limited top-line growth in the acquired business. The company's net income was significantly impacted by exchange rate fluctuations, with gains in H1 2026 driven by peso appreciation, which may not be sustainable. Consolidated mobile subscriber base showed a slight decrease overall, driven by a 5.8% decline in prepaid segment, despite postpaid growth. The integration of TMA continues to present challenges, as TMA's EBITDA margin (29.3%) remains well below telecom's standalone margin (39.7%), indicating potential for further convergence but also ongoing operational gaps. Warning! GuruFocus has detected 9 Warning Signs with TEO. Is TEO fairly valued? Test your thesis with our free DCF calculator. Q: Could you provide more details on the drivers behind the significant EBITDA margin expansion, and is this level sustainable going forward? A: Federico Pra, Financial Director, explained that the margin expansion was broad-based, driven by both Telecom and TMA. Key contributors included lower labor costs from right-sizing operations, reduced fees for services and maintenance due to automation, lower commissions and advertising costs, and decreased handset costs. He noted that Telecom's standalone EBITDA margin reached 39.7% in 1H26, a record since 2018, and TMA's margin improved to 29.3%, with both achieving record levels in Q2 2026, reinforcing the opportunity for further value creation as TMA converges toward Telecom's profitability levels. Q: What is the current status of the TMA integration, and what are the key milestones or synergy targets? A: Federico Pra highlighted that TMA is operating with its own independent commercial strategy, but efficiency gains are already evident. TMA's standalone EBITDA margin improved significantly from 22.9% in 1H25 to 29.3% in 1H26. On a consolidated basis, including a full quarter of TMA contribution in Q2 2026, the EBITDA margin expanded by over 9 percentage points year-over-year, from 27.7% to 36.8%, demonstrating the progress of the integration and synergy realization. Q: Can you elaborate on the real service revenue growth, especially excluding TMA, and the ARPU trends across different segments? A: Federico Pra stated that Telecom's service revenues, excluding TMA, grew 2% year-over-year in real terms in 1H26. Mobile, broadband, and pay TV service revenues grew at a weighted average rate of over 5% for Telecom and approximately 2% for TMA on a standalone basis. In US dollar terms, mobile ARPU grew 29% year-over-year for Telecom and 11% for TMA, while broadband ARPU grew 5% and 10%, respectively, reflecting a continued focus on value management. Q: What is the company's strategy regarding capital expenditures, particularly for 5G and FTTH, and how is this impacting subscriber growth? A: Consolidated CapEx reached over $0.6 billion in 1H26, representing an intensity of 18.6% of revenues, with a focus on FTTH expansion and 5G deployment. The company upgraded nearly 1,000 4G sites and expanded its 5G footprint to over 1,500 sites. This investment is driving subscriber growth, with FTTH now representing 36% of Telecom's broadband base (over 1.5 million accesses) and TMA's broadband base being 97% FTTH. Combined broadband accesses grew 3.2% year-over-year. Q: How is the company managing its balance sheet and debt profile given the current economic environment? A: Luis Fernando Rial Ubago, Head of Investor Relations, highlighted that the company's net debt to EBITDA leverage improved to 1.36 times in 1H26, down from 1.74 times in FY2025. This was driven by stronger cash generation and a solid cash position of over $600 million, mostly held in US dollar-denominated instruments. The company extended the average life of its debt to almost five years, creating a smoother maturity profile and reducing refinancing risk. Q: What were the main drivers of the net income swing to a profit in 1H26? A: Luis Fernando Rial Ubago explained that the consolidated net income of approximately ARS 870 billion in 1H26, compared to a negative net income of ARS 100 billion in 1H25, was largely driven by exchange differences. In 1H25, the real depreciation of the peso generated exchange difference losses on foreign currency debt, while in 1H26, the real appreciation of the peso generated exchange difference gains, resulting in a positive net financial income, which, combined with EBIT expansion, drove the profit. Q: Can you provide more color on the performance of the digital ecosystem, particularly Personal Pay, and the regional operations in Paraguay? A: Federico Pra noted that Personal Pay reached 6.1 million onboarded clients, up 20% year-over-year. Regional operations in Paraguay posted strong results, with revenue growing almost 30% from $102 million to $132 million and EBITDA increasing 37.5% from $54 million to $74 million year-over-year, reaching an EBITDA margin above 50%. Q: How are the subscriber trends evolving, particularly in the mobile segment, and what is the impact of the prepaid decline? A: Federico Pra explained that Telecom's prepaid accesses declined 10.1% year-over-year due to a shorter reactivity period for deactivating dormant lines, with no impact on mobile service revenues. Postpaid subscribers decreased 2.5% year-over-year but increased 1% quarter-over-quarter, with postpaid now representing 41% of the total mobile base. TMA showed strong growth in postpaid customers, up 2.8% year-over-year, reaching almost 9.6 million accesses, with postpaid representing 49% of its total mobile base. Q: What is the outlook for free cash flow generation and the company's ability to fund its strategic priorities? A: Luis Fernando Rial Ubago stated that free cash flow before dividends and interest payments reached approximately $400 million in 1H26, an increase of more than $200 million compared to 1H25, driven by EBITDA expansion. The company's robust cash generation, combined with a solid balance sheet and net leverage of 1.36 times, provides the financial firepower to fund strategic priorities, including 5G and FTTH deployment. Q: Could you discuss the impact of the FIFA World Cup on subscriber growth and engagement? A: Federico Pra highlighted that the FIFA World Cup had a positive impact on subscriber growth, particularly for the Flow platform. Personal Flow's pay TV accesses in Argentina grew 6.6% year-over-year, reaching 3.4 million, and unique customers reached 1.9 million, up 17% year-over-year. TMA's pay TV subscriber base also grew 6.5%, reaching over 435,000 subscribers, also positively affected by the World Cup event. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in Telecom Argentina Stet - France Telecom S.A.? Here are five stocks we like better. Revenue and profitability improved substantially: First-half revenue rose 23% year over year to more than $3.4 billion, while EBITDA margin expanded to 35.8%, supported by the full-period consolidation of TMA and cost-efficiency measures. Digital and broadband services continued to grow: Broadband, pay-TV, Personal Flow and Personal Pay customers increased, while TMA’s postpaid mobile and FTTH broadband bases also expanded. Telecom’s 5G network surpassed 1,500 sites as the company invested heavily in fiber and infrastructure. Cash generation and leverage strengthened: Free cash flow before dividends and interest reached about $400 million, and net debt-to-EBITDA improved to 1.36 times from 1.74 times at year-end 2025, despite first-half capital expenditures of nearly ARS 950 billion. 3 Emerging Stocks You Haven't Heard Much From This Cycle Telecom Argentina Stet - France Telecom (NYSE:TEO) reported higher revenue, expanded profitability and improved leverage for the first half of 2026, supported by the full-period consolidation of Telefónica Móviles Argentina (TMA), operational efficiency measures and continued investment in fiber and 5G infrastructure. During the earnings call, executives said the company’s reported results include TMA, which was acquired on Feb. 24, 2025. As a result, first-half 2026 includes six months of TMA’s contribution, compared with four months in the year-earlier period. → SoundHound AI Sends a Loud Signal After Its Q2 Earnings Beat Consolidated revenue totaled more than $3.4 billion in the first half, up 23% year over year in U.S. dollar terms. In inflation-adjusted Argentine pesos, total revenue reached more than ARS 5 trillion, representing 13% real growth and a 50% nominal increase from the first half of 2025. Service revenue increased 16% year over year in constant pesos. Excluding TMA, Telecom said service revenue rose nearly 2% in real terms, while its mobile, broadband and pay-TV service revenue grew at a weighted average rate of more than 5%. → AST SpaceMobile Earnings Just Reminded Investors How Risky Space Can Be Consolidated EBITDA margin reached 35.8% in the first half, up more than 580 basis points from the prior-year period. The improvement included a 1.4-percentage-point benefit from the deconsolidation of Microsistemas following its joint venture with Banco Macro, according to Financial Director Federico Pra. For Telecom excluding TMA, EBITDA margin was 39.7% for the first half and would have been slightly above 40% excluding higher severance charges. TMA’s standalone EBITDA margin improved to 29.3%, from 22.9% a year earlier. In the second quarter, when both comparison periods included a full quarter of TMA contribution, consolidated EBITDA margin rose to 36.8% from 27.7%. → First Solar’s Profit Engine Faces a New Policy Test in Washington Pra attributed margin gains in part to lower labor costs from efforts to right-size operations, as well as lower maintenance, materials and supplies costs and call-center automation. Lower commissions, advertising expense and handset costs also contributed. Telecom’s prepaid mobile base declined 10.1% year over year to 11.4 million accesses, which management attributed to a shorter period before inactive prepaid lines are disconnected. The company said the reduction was concentrated in low-traffic lines and did not affect mobile service revenue. Postpaid mobile accesses declined 2.5% year over year but increased 1% sequentially to slightly more than 8 million. Postpaid customers accounted for 41% of Telecom’s mobile base, compared with 39% a year earlier. Telecom broadband accesses rose 2.7% year over year to about 4.2 million, with fiber-to-the-home accounting for 36% of its fiber broadband base, or more than 1.5 million accesses. Personal Flow pay-TV accesses in Argentina increased 6.6% to 3.4 million. Management said demand for sports content during the World Cup supported subscriptions and engagement. Personal Flow unique customers reached 1.9 million, an increase of more than 270,000 customers, or 17%, from a year earlier. Personal Pay reached 6.1 million onboarded clients, up 20% year over year. At TMA, postpaid mobile customers rose 2.8% to nearly 9.6 million accesses, while broadband accesses increased 4.6% to more than 1.6 million. Approximately 97% of TMA’s broadband customer base used FTTH technology. Its pay-TV base grew 6.5% to more than 435,000 subscribers. Capital expenditures totaled nearly ARS 950 billion, or more than $600 million, during the first half, representing 18.6% of revenue. CapEx increased 47% year over year in constant pesos, primarily reflecting fiber expansion and 5G deployment. Technical investments accounted for 60% of first-half CapEx. The company said it upgraded nearly 1,040 existing sites during the period and expanded its 5G footprint to more than 1,500 sites as of June 30. Installations and customer-premise equipment represented 32% of capital spending, while international operations accounted for 8%. Free cash flow before dividends and interest payments was about $400 million, an increase of more than $200 million from the first half of 2025, according to the company. Consolidated operating income was ARS 674 billion, producing an operating margin of 13%, up 800 basis points year over year. Telecom reported consolidated net income of approximately ARS 870 million, compared with a net loss of ARS 100 billion in the prior-year period. Management said the swing was driven largely by exchange-rate effects, as real peso appreciation in the first half of 2026 produced exchange gains on foreign-currency-denominated debt, while peso depreciation had created losses in the prior-year period. As of June, gross debt was nearly $3.8 billion and cash and equivalents exceeded $600 million, resulting in net debt of $3.1 billion. Net debt to EBITDA improved to 1.36 times from 1.74 times at the end of 2025. The company said liability-management actions extended the average life of its debt to almost five years and that most refinancing efforts planned for the year had already been completed. Telecom Argentina Stet – France Telecom (NYSE:TEO) is an integrated telecommunications provider based in Buenos Aires, Argentina. Originally formed through the 1990 privatization of the state-owned Empresa Nacional de Telecomunicaciones (ENTel), the company was initially backed by Italian state carrier STET and French operator France Télécom. Since its listing on the New York Stock Exchange under the ticker TEO, Telecom Argentina has evolved into one of the country's principal communications groups, offering a comprehensive portfolio of voice and data services. The company's core business activities span fixed-line telephony, mobile services, broadband internet and digital television. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Telecom Argentina Stet - France Telecom Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Buenos Aires, Argentina--(Newsfile Corp. - August 10, 2026) - Cablevisión Holding S.A., (BCBA: CVH) (OTCID: CVHSY) ("Cablevision Holding", "CVH" or "the Company"), controlling shareholder of Telecom Argentina S.A. (NYSE: TEO) (BYMA: TECO2), announced Friday, August 7, its First Half and Second Quarter 2026 Results. Figures have been prepared in accordance with International Financial Reporting Standards ("IFRS") and are stated in constant Argentine Pesos ("Ps." or "P$") as of June 30, 2026, unless otherwise indicated. The Company's Management has applied IAS 29 (inflation adjustment) in the preparation of these financial statements, following the provisions of Resolution 777/18, issued by the Comisión Nacional de Valores ("CNV"). CVH Highlights (1H26 vs. 1H25): This year includes results of Telefónica Móvil Argentina ('TMA'), which was acquired by Telecom Argentina on February 24, 2025, hence, the results for the 1H26 aren't comparable to the results of 1H25 as they include results of TMA from March 1st 2025. Total Revenues reached Ps. 5,075,511 million, an increase of 13.4% in real terms as of 1H26, compared to the same period of 2025, mostly driven by the incorporation of revenue from TMA and by higher ARPUs in real terms in mobile, internet and Cable TV services, in part the effect of price increases carried implemented in 2024 and the decrease in inflation rate; partially offset by a decrease in fixed telephony and data services and by the loss of control in the subsidiary Micro Sistemas. Total Costs (Excluding Depreciation and Amortization) reached Ps. 3,270,062 million, an increase of 4.1% in constant currency, mainly driven by higher costs on most items, driven by the incorporation of TMA. Excluding this effect, total costs reached Ps. 2,011,830 million, a decrease of 7.3% compared to 1H25. EBITDA reached Ps. 1,805,449 million as of 1H26, an increase of 35.1% in real terms compared to 1H25, mainly driven by the incorporation of TMA's EBITDA, and cost efficiencies obtained by the company, resulting in a higher EBITDA Margin of 35.6% in 1H26, compared to 29.8% in 1H25. Consolidated Net Income amounted to Ps. 849,195 million. Consolidated net income attributable to the Controlling Company amounted to Ps. 313,864 million. FINANCIAL HIGHLIGHTS (1) EBITDA is defined as Total Revenues minus operating cost and expenses (excluding depreciation and amortization). We believe that EBITDA is a meaningful measure of our performance. It is commonly used to analyze and compare media companies based on operating performance, leverage and liquidity. Nonetheless, EBITDA is not a measure of net income or cash flow from operations and should not be considered as an alternative to net income, an indication of our financial performance, an alternative to cash flow from operating activities or a measure of liquidity. Other companies may compute EBITDA in a different manner; therefore, EBITDA as reported by other companies may not be comparable to EBITDA as we report it.(2 ) EBITDA Margin is defined as EBITDA over Total Revenues. CONFERENCE CALL AND WEBCAST INFORMATION CABLEVISIÓN HOLDING S.A(BCBA: CVH) (OTCID: CVHSY)cordially invites you to participate in its Webcast Presentationto discuss the First Half and Second Quarter 2026 Results Date: Tomorrow, August 11, 2026Time: 1:00pm Buenos Aires /12:00am New York /5:00pm London To access the live stream and slide presentation, visit: https://event.choruscall.com/mediaframe/webcast.html?webcastid=DqkFJp01 The webcast presentation will also be available at: https://www.cablevisionholding.com/Inversores ABOUT THE COMPANY CVH was founded as corporate spin-off from Grupo Clarín S.A. and it is the first Argentine holding company that engages in the development of infrastructure and the provision of convergent telecommunications services, focusing on Argentina and the region. CVH's subsidiaries specialize in the provision of cable TV, broadband and mobile communications services; and their brands are well known in the telecommunications and content distribution industries. DisclaimerSome of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of CVH. You can identify forward-looking statements by terms such as "expect", "believe", "anticipate", "estimate", "intend", "will", "could", "may" or "might" the negative of such terms or other similar expressions. These statements are only predictions and actual events or results may differ materially. CVH does not intend to or undertake any obligation to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in CVH's projections or forward-looking statements, including, among others, general economic conditions, CVH's competitive environment, risks associated with operating in Argentina a, rapid technological and market change, and other factors specifically related to CVH and its operations. To view the source version of this press release, please visit https://www.newsfilecorp.com/release/308822

BUENOS AIRES, Aug. 7, 2026 /PRNewswire/ -- Note: 1H26 figures include the effects of the adoption of inflationary accounting in accordance with IAS 29. Therefore, comments regarding 1H26 results and changes in 1H25 results mentioned in this press release correspond to "restated for inflation" or "constant" figures. For analysis purposes, it is important to highlight that the comparative results (June 2025) reflect the year-over-year effect of inflation through June 2026, which reached 33.5%. Additionally, the consolidated results for 1H26 include the full contribution of TMA****, whereas in 1H25, TMA's contribution to the consolidated figures accounted for only 4 months. Consolidated: +16.0% vs. 1H25, reflecting six months of TMA revenues versus only four months in the comparative 1H25 period. During 1H26, the evolution of the customer base in Argentina was as follows: During 1H26, consolidated Operating Income before Depreciation, Amortization and Impairment of Fixed Assets ("Operating Income before D, A & I") margin reached 35.8% (+5.8 p.p. vs. 1H25). Telecom's (excluding TMA) margin recorded a significant improvement, reaching 39.7% in 1H26. Operating Income before D, A & I totaled P$1,816,819 million in 1H26 (+35.1% vs. 1H25, a period that includes only four months of TMA). Consolidated 2Q26 margin stood at 36.8% (+9.2 p.p. vs. 2Q25), reflecting an increase in the Company's operating efficiency. During 1H26, consolidated net income amounted to P$869,038 million (vs. a net loss of P$100,900 million in 1H25). Net income for the period is mainly explained by higher foreign exchange gains recorded in financial results, measured in real terms, as a result of the real appreciation of the peso during the 1H26. Consolidated CAPEX (excluding right-of-use assets) totaled P$946,470 million (+47.3% vs. 1H25) and represented 18.6% of consolidated revenues (increasing vs. 1H25, when it reached 14.4% of revenues). Consolidated Net Financial Debt totaled P$4,646,726 million as of June 30, 2026, decreasing in real terms(-14.7% in constant currency vs. December 31, 2025). Market capitalization as of August 5, 2026. Unaudited non-financial information This refers to the exclusion of the consolidated results from the segment "ICT Services Provided in Argentina – TMA Networks," as presented in Table 3. The same criteria will apply going forward to any results labeled as "Telecom (excluding TMA)." Telecom Argentina S.A. ("Telecom Argentina", "Telecom" or the "Company") (NYSE: TEO; BYMA: TECO2) announced today a consolidated Net Income of P$869,038 million for the period ended June 30, 2026. The consolidated Net Income attributable to the Controlling Company amounted to P$853,902 million. * Figures may not add up due to rounding.** In constant currency – includes additions from rights of use as of June 30, 2026 for P$138,606 million and as of June 30, 2025 for P$122,935 million.*** Telecom figures include IP telephony lines, which totaled approximately 2.49 million and 2.05 million as of June 30, 2026 and June 30, 2025, respectively. TMA figures include IP telephony lines, which totaled approximately 1.61 million and 1.50 million as of June 30, 2026, and June 30, 2025, respectively. Comparative figures for the previous fiscal year have been restated for inflation so that the resulting information is presented in terms of the current measurement unit as of June 30, 2026. The following table shows the evolution of the national consumer price index (National CPI - according to INDEC's official statistics) as of December 31, 2025, and as of June 30, 2025, and 2026: During 1H26, consolidated revenues reached P$5,075,511 million, of which P$4,888,908 million corresponded to Service Revenues. Notably, during this period, Service Revenues showed a positive evolution relative to inflation, as detailed below. Telecom does not determine TMA's commercial or pricing policies. Includes 6 months of TMA revenues whereas the comparative period, 1H25, includes only 4 months. Consolidated Operating Revenues Mobile Services As of June 30, 2026, Telecom's total accesses (excluding TMA) in Argentina and Paraguay reached 22.1 million, while TMA's accesses amounted to 19.5 million. In 1H26, consolidated mobile service revenues reached P$2,668,829 million (+P$525,526 million or +24.5% vs. 1H25), being the main business in terms of service revenues (representing 55% and 51% of service revenues in 1H26 and 1H25, respectively). The increase in revenues is mainly the result of the consolidation of TMA's results in 1H26, which amounted to P$1,162,929 million. Excluding the impact of TMA's consolidation on mobile service revenues, the 8.5% increase for Telecom (excluding TMA) was mainly driven by an 18.4% increase in real terms in the average monthly revenue per customer ("ARPU"). Mobile Services in Argentina As of June 30, 2026, Telecom's mobile accesses (excluding TMA) in Argentina amounted to approximately 19.4 million (-1.5 million or -7.1% vs. 1H25). This decrease is related to prepaid lines that remain inactive for 240 days without any top-up, leading to their disconnection and removal from the customer base. It is important to note that, despite the year-over-year decline, the postpaid customer base increased by 1.3%, or 102 thousand customers, vs. 1Q26. As of June 30, 2026, 59% of customers corresponded to the prepaid segment and 41% to the postpaid segment, while as of June 30, 2025, prepaid customers represented 61% and postpaid customers represented 39%. As of June 30, 2026, TMA's mobile accesses amounted to approximately 19.5 million (+237 thousand or +1.2% vs. 1H25) – including machine-to-machine ("M2M") accesses. The postpaid base increased by 2.8% vs. 1H25, while the prepaid customer base remained practically stable, posting a slight decrease of 0.2%. As of June 30, 2026, postpaid accesses represent 49% of total mobile accesses. TMA's average monthly churn stood at 1.4% in 1H26 (vs. an average of 1.6% in 1H25). ARPU for Telecom (excluding TMA) amounted to P$11,772.2 in 1H26 (+18.4% in real terms vs. 1H25). The effect generated by the restatement into the current measuring unit as of June 30, 2026, included in ARPU, amounted to P$663.1 and P$2,872.6 in 1H26 and 1H25, respectively. Average monthly churn stood at 2.1% in both 1H26 and 1H25. ARPU for TMA amounted to P$9,840.4 in 1H26 (+2.3% in real terms vs. 1H25). The effect generated by the restatement into the current measuring unit as of June 30, 2026, included in ARPU, amounted to P$541.0 and P$2,794.4 in 1H26 and 1H25, respectively. Mobile Services in Paraguay ("Núcleo") As of June 30, 2026, Núcleo's customer base totaled 2.6 million, decreasing by 1.3% compared to 1H25. Of total accesses, 68% correspond to prepaid and 32% to postpaid, while as of June 30, 2025, prepaid accesses represented 72% and postpaid 28%. Average monthly churn stood at 2.8% in 1H26 versus 2.3% in 1H25. During 1H26, mobile service revenues in Paraguay reached P$118,534 million, increasing in real terms (+P$21,220 million vs. 1H25). This increase was mainly driven by a 17.8% rise in ARPU, supported by price increases and a stronger real appreciation of the Guarani against the Argentine peso (36.7% vs. 22.0%), in a context of lower accumulated inflation (33.5% vs. 39.4%). Internet Services Consolidated Internet service revenues reached P$1,101,497 million in 1H26, increasing in real terms (+P$107,160 million, or +10.8%, vs. 1H25). Telecom's subscriber base (excluding TMA) increased, reaching 4.2 million subscribers (+110.4 thousand, or +2.7%, vs. 1H25) during 1H26. Telecom's monthly internet service churn stood at 1.4% and 1.2% as of June 30, 2026, and 2025, respectively. The increase in revenues was mainly driven by the consolidation of TMA's results in 1H26, which amounted to P$277,889 million. Excluding the impact of TMA's consolidation, Telecom's revenues (excluding TMA) increased by 0.7% vs. 1H25. TMA's subscriber base reached almost 1.7 million subscribers (+73 thousand, or +4.6%, vs. 1H25) during 1H26. Monthly internet service churn stood at 2.0% as of June 30, 2026, and 2025, respectively. In 1H26, Telecom's broadband ARPU (excluding TMA) (restated in constant currency as of June 30, 2026) reached P$30,587.3 (-3.6% in real terms vs. 1H25). The effect generated by the restatement into the current measuring unit as of June 30, 2026, included in ARPU, amounted to P$1,171.8 and P$9,185.8 for 1H26 and 1H25, respectively. Additionally, in 1H26, TMA's broadband ARPU (restated in constant currency as of June 30, 2026) reached P$28,946.8 (+1.1% in real terms vs. 1H25). The effect generated by the restatement into the current measuring unit as of June 30, 2026, included in ARPU, amounted to P$1,574.5 and P$8,323.9 for 1H26 and 1H25, respectively. As of June 30, 2026, subscribers with broadband speeds of 100 Mbps or higher represented 99% of the total subscriber base (vs. 92% as of June 30, 2025). Cable TV Services Consolidated cable TV service revenues reached P$541,595 million in 1H26 (+P$25,167 million, or +4.9%, compared to 1H25). The number of TV subscribers for Telecom (excluding TMA), including Uruguay and Paraguay, reached 3.6 million (+206 thousand, or +6.1%, vs. 1H25). TMA's TV subscriber base totaled 0.4 million (+27 thousand, or +6.5%, vs. 1H25). The increase in revenues was mainly driven by the consolidation of TMA's results in 1H26, which amounted to P$60,615 million. Excluding the impact of TMA's consolidation, the 2.1% increase reported by Telecom (excluding TMA) was primarily attributable to a 0.5% increase in ARPU and a 6.1% growth in the customer base compared to 1H25. Telecom's TV subscriber base (excluding TMA) in Argentina reached 3.4 million accesses as of June 30, 2026, representing an increase of 6.6% compared to 1H25. This growth was primarily recorded during June 2026 and was driven by the FIFA World Cup 2026, which boosted demand for bundled cable TV and internet packages to access live match broadcasts and tournament-related content, as well as by new subscriptions to the Football Package. As part of its strategy to continue delivering a flexible, intuitive and innovative entertainment experience, Personal announced its first exclusive partnership with Netflix in Argentina. This strategic agreement incorporates the OTT platform as a new option within Flow+, its flexible entertainment offering featuring interchangeable monthly subscriptions. Under the same monthly fee, customers can choose two subscriptions from the Football Package, HBO, Disney+ Premium, Universal+, and now Netflix Premium, and switch them every 30 days. Telecom's monthly TV ARPU (excluding TMA) (restated in constant currency as of June 30, 2026) reached P$21,870.6 during 1H26 (+0.5% in real terms vs. 1H25). The effect generated by the restatement into the current measuring unit as of June 30, 2026, included in ARPU, amounted to P$837.2 and P$5,902.8 for 1H26 and 1H25, respectively. TMA's monthly TV ARPU (restated in constant currency as of June 30, 2026) reached P$25,255.4 during 1H26 (-7.5% in real terms vs. 1H25). The effect generated by the restatement into the current measuring unit as of June 30, 2026, included in ARPU, amounted to P$1,353.7 and P$7,939.3 for 1H26 and 1H25, respectively. Monthly cable TV churn for Telecom (excluding TMA) stood at 1.5% as of June 30, 2026 and 2025, while TMA's monthly cable TV churn stood at 3.5% and 4.0% as of June 30, 2026 and 2025, respectively. Fixed Telephony and Data Services Consolidated fixed telephony and data service revenues reached P$550,145 million in 1H26 (+P$28,661 million, or +5.5%, compared to 1H25). The variation in Argentina was mainly driven by the consolidation of TMA's results in 1H26, which amounted to P$259,536 million. Fixed voice and data revenues for Telecom (excluding TMA) decreased by 10.9%, primarily because the Company was unable to increase its prices at the same pace as inflation, partially offset by a 3.5% increase in the fixed telephony customer base. It is also worth noting that, although certain data service revenues increased as a result of exchange rate fluctuations (23.0% year-over-year increase), given that these services are primarily denominated in U.S. dollars, such increase remained below cumulative inflation over the last twelve months (33.5%). Telecom's fixed telephony customer base (excluding TMA) reached 2.8 million in 1H26, of which 2.5 million correspond to customers with IP lines. TMA's telephony customer base reached 2.1 million, of which 1.6 million are customers with IP lines. During 1H26, the Pacheco Datacenter, one of the Company's most important technological hubs, obtained the international "Certified Energy Efficient Datacenter Award" (CEEDA), a recognition that validates efficient energy management and the sustainable operation of data centers under global standards. Other Service Revenues Consolidated other service revenues reached P$26,842 million in 1H26 (-P$13,465 million, or -33.4%, compared to 1H25). The decline in other service revenues was mainly attributable to the loss of control of Micro Sistemas, which provided Fintech services in Argentina during 1Q26 and, as of 1H26, is recognized as a joint venture investment. Revenues from equipment sales Consolidated revenues from equipment sales totaled P$186,603 million (-P$75,175 million or -28.7% vs. 1H25). The contribution from the consolidation of TMA's results in 1H26 amounted to P$69,006 million, while equipment sales for Telecom (excluding TMA) decreased by 28.5% in real terms. Consolidated Operating Costs Consolidated Operating Costs, including Depreciation, Amortization and Impairment of Fixed Assets, amounted to P$4,401,308 million in 1H26 (+P$158,751 million or +3.7% vs. 1H25). Excluding Depreciation, Amortization and Impairment of Fixed Assets, consolidated operating costs amounted to P$3,258,692 million and increased by P$126,085 million or 4.0% vs. 1H25. The increase is mainly explained by the impact of the consolidation of TMA amounting to P$332,123 million (excluding the effects of intercompany transactions), resulting from the comparison of 1H26 results for the full six-month period with 1H25 results from the date of TMA's acquisition. The cost breakdown was as follows: Labor costs and severance payments totaled P$1,092,828 million in 1H26 (+P$19,987 million, or +1.9%, compared to 1H25). The increase was mainly driven by the full six months consolidation of TMA's results in 1H26, whose contribution amounted to P$406,231 million. Telecom's headcount (excluding TMA) totaled 17,884 employees as of June 30, 2026. Interconnection and transmission costs, which also include roaming, correspondence services, and line and circuit rentals, amounted to P$139,309 million in 1H26 (+P$16,177 million, or +13.1%, compared to 1H25). The increase was mainly driven by the consolidation of TMA's results in 1H26, whose contribution amounted to P$178,146 million. Fees for services, maintenance and materials: P$622,991 million in 1H26 (+P$37,893 million, or +6.5%, compared to 1H25). The increase was mainly driven by the consolidation of TMA's results in 1H26, whose contribution amounted to P$266,311 million. Excluding the impact of TMA's consolidation, the decrease was mainly attributable to a reduction in services provided by customer call centers due to a lower number of service hours consumed. This was primarily the result of the Company's customer self-service strategy, which enabled a greater proportion of customer interactions and transactions to be completed through digital channels, reducing the need for operational support. Taxes, fees and regulatory charges totaled P$448,516 million (+P$62,379 million or +16.2% vs. 1H25). Taxes, fees and regulatory authority charges in 1H26 include P$179,974 million corresponding to TMA. Commissions and advertising (agents, collection commissions and other commissions) totaled P$235,597 million in 1H26 (-P$8,413 million, or -3.4%, compared to 1H25). TMA's contribution amounted to P$86,424 million. The decrease was mainly attributable to lower advertising expenses related to Personal Pay campaigns following the loss of control of Micro Sistemas, whose results ceased to be consolidated on a line-by-line basis. Cost of equipment sold totaled P$159,024 million in 1H26 (-P$29,404 million or -15.6% vs. 1H25). This variation is mainly due to a decrease in the number of units sold compared to 1H25. The contribution from TMA's results in 1H26 amounted to P$62,727 million. Programming and content costs amounted to P$255,354 million (+P$29,889 million or +13.3% vs. 1H25). Programming and content costs in 1H26 include P$51,507 million corresponding to TMA. Other costs totaled P$305,073 million (-P$2,423 million, or -0.8%, compared to 1H25), including bad debt expense, which totaled P$92,851 million (+P$4,412 million, or +5.0%, compared to 1H25): Depreciation, amortization and impairment of fixed assets totaled P$1,142,616 million (+P$32,666 million, or +2.9%, vs. 1H25). The increase is mainly explained by the impact of the consolidation of TMA amounting to P$53,408 million, resulting from the comparison of 1H26 results for the full six-month period with 1H25 results from the date of TMA's acquisition. Excluding this effect, the decrease is attributable to assets that reached the end of their useful lives after June 30, 2025, and to disposals of property, plant and equipment since that date, partially offset by the impact of depreciation and amortization associated with additions made subsequent to such date. Net Financial Results Consolidated net financial results (including debt-related financial costs and other net financial results) recorded a gain of P$614,769 million in 1H26 (vs. a loss of P$287,613 million in 1H25). *Related to Notes issued in UVA (Unidades de Valor Adquisitivo) The difference in Net Financial Results was mainly attributable to a higher foreign exchange gain, measured in real terms, amounting to P$830,350 million. Although the Company maintained a higher level of U.S. dollar-denominated debt during 2026, thereby increasing its exposure to exchange rate fluctuations, the foreign exchange impact was favorable during the period. This was due to the fact that the U.S. dollar increased by only 1.9% against the Argentine peso, compared to 16.8% in 1H25, while inflation remained at similar levels (16.8% compared to 15.1%). As a result, foreign exchange differences shifted from generating a negative impact in the comparative period to recording a gain in 1H26. Additionally, there was a higher gain on RECPAM of P$111,240 million and a higher gain from changes in the fair value of financial assets of P$19,898 million, driven by a higher volume of government securities acquired during 1H26, together with an improvement in their real market value. These effects were partially offset by higher interest expense on borrowings of P$55,884 million, a lower gain from the indexation of loans of P$4,342 million and lower other net financial results of P$1,120 million. Additionally, the effect derived from the consolidation of TMA amounted to P$5,140 million, resulting from the comparison between results for the full 1H26 period and results for 1H25 from the date of TMA's acquisition. Income Tax Telecom's income tax includes the following effects: the current income tax, determined based on the tax legislation currently applicable to Telecom; the effect of applying the deferred tax method with respect to temporary differences determined by comparing our asset and liability valuations according to tax and financial accounting criteria, which includes the effect of the income tax inflation adjustment. Income tax resulted in a loss of P$452,758 million in 1H26 (compared to a loss of P$46,038 million in 1H25). Losses related to current income tax amounted to P$491,212 million in 1H26 (compared to a loss of P$298,269 million in 1H25), and the income tax charge related to the application of the deferred tax method in 1H26 was a gain of P$38,454 million (compared to a gain of P$252,231 million in 1H25). Additionally, the effect derived from the consolidation of TMA amounted to P$22,671 million, resulting from comparing the results for the full 1H26 against the results of 1H25 from the date of TMA's acquisition. Consolidated Net Financial Debt As of June 30, 2026, our net financial debt (cash, cash equivalents – net of client funds – plus financial investments and derivatives* minus loans) was a net liability and totaled P$4,646,726 million, representing a decrease of P$803,881 million compared to Net Financial Debt as of December 31, 2025, adjusted for inflation. * Contemplates rate swaps and NDF (non-delivery forwards) agreements. Investments in PP&E, intangible assets and rights of use assets As of June 30, 2026, consolidated CAPEX (including additions to PP&E and intangible assets) totaled P$946,470 million (+47.3% vs. 1H25). CAPEX for Telecom (excluding TMA) totaled P$671,165 million (+39.9% vs. 1H25). Including additions from right-of-use, investments amounted to P$1,085,076 million, including P$292,096 million related to TMA. The investments were focused on: Expansion of both fixed and mobile data services to improve transmission and access speed offered to customers, the deployment of 4G coverage and capacity, and continued expansion of 5G to support mobile internet growth and enhance service quality. Deployment and modernization of 4G mobile access sites to improve coverage and increase mobile network capacity. The 4G/LTE rollout reached 98% population coverage. Our mobile network customers with access to our network experienced improved service quality, reaching average speeds of 85 Mbps. During 1H26, we continued expanding our 5G network with the addition of 375 sites. With regard to the fixed access infrastructure, during the first half of 2026 we continued to strengthen our broadband capabilities through the deployment of new fiber optic networks and the modernization of existing infrastructure. FTTH (Fiber to the Home) accesses currently represent 36% of Personal's broadband base, with over 1.5 million accesses, supported by the acceleration of fiber deployment. Relevant financial events of the period Local Notes Issuance Resolution of Argentine Antitrust Tribunal On June 18, 2026, the Company reported that it had been notified of Resolution RESFC-2026-38-APN-TDC#ANC, dated June 17, 2026, issued in Case No. EX-2025-22498026-APN-DR#CNDC, entitled: "TELECOM ARGENTINA S.A. S/ NOTICE UNDER SECTION 9 OF LAW No. 27,442 (Conc. 2025)," rendered by the Argentine Antitrust Tribunal (Tribunal de Defensa de la Competencia) (the "Resolution"). Pursuant to Section 2 of the Resolution, the Argentine Antitrust Commission resolved as follows: "To condition the economic concentration transaction consisting of the acquisition of exclusive control over TELEFÓNICA MÓVILES ARGENTINA S.A. and its subsidiaries by TELECOM ARGENTINA S.A. upon compliance with the remedy set forth in Annex I (IF-2026-60062041-APN-TDC#ANC) (the "Remedy"), which forms an integral part of this Resolution, in accordance with Section 14(b) of Law No. 27,442." In summary, Annex I (IF-2026-60062041-APN-TDC#ANC) establishes, as Remedy: In the mobile telephony segment, "[t]he Parties shall transfer to the Purchaser a minimum base of 6,000,000 mobile service customers, distributed as follows: (a) Buenos Aires Metropolitan Area (AMBA, for its acronym in Spanish): 4,000,000 customers; (b) remaining of the country: 2,000,000 customers, to be freely allocated throughout the national territory outside AMBA, without regional subdivision" (Section 5.1), and "[t]he Parties shall transfer the rights of use of radio spectrum assigned by ENACOM, in the bands and amounts necessary for the competitive operation of the divested mobile service" (Section 6.1). In the residential internet segment, "[t]he Parties shall transfer to the Purchaser the subscriber base of residential internet services provided by TELEFÓNICA in twenty-eight (28) localities, comprising 211,400 subscribers, located in the Province of Buenos Aires, the City of Buenos Aires, the Province of Mendoza, the Province of Neuquén and the Province of Río Negro" (Section 13.1). In addition, behavioral remedies are imposed in the corporate services segment and in the wholesale segment, among others. Relevant events after June 30, 2026 5G Spectrum Auction in Paraguay In June 2026, CONATEL launched Auction No. 01/2026 - Mobile Broadband for the granting of licenses to provide cellular mobile telephony, internet access and data transmission services in the 2,300 MHz and 3,500 MHz frequency bands. The auction contemplates the provision of services under 5G standards and establishes a maximum spectrum cap of 200 MHz per operator or economic group. On July 16, 2026, Núcleo was awarded Lot "I" (3,700-3,750 MHz Band) and Lot "J" (3,750-3,800 MHz Band) for a total amount of US$1 million, of which US$0.7 million was paid on the date of the auction, while US$0.3 million remained outstanding as of the issuance date of these condensed interim consolidated financial statements. The award of the frequency band usage rights will result in their capitalization as intangible assets. Appointment of Chief Financial Officer ("CFO") At its meeting held on July 22, 2026, the Company's Board of Directors resolved to appoint Mr. Manuel Garcia Diez as Chief Financial Officer ("CFO") of Telecom Argentina. Mr. Garcia Diez assumed his duties on August 3, 2026. Telecom Argentina is a leading telecommunications company in Argentina, offering services combining mobile telephony services, cable television services, internet services and fixed telephony services. We also provide Fintech Services, other telephone related services, such as international long-distance and wholesale services, data transmission and IT solutions outsourcing and we install, operate and develop cable television and data transmission services. We provide our services in Argentina (mobile, cable television, internet, fixed and data, fintech services, among others), Paraguay (mobile, internet, satellite TV, fintech services, among others), Uruguay (cable television services, internet and cybersecurity services and products), the United States (fixed wholesale services) and Chile (cybersecurity services and products). These consolidate an ecosystem of platforms and new businesses, providing a comprehensive and convergent experience for our customers. As of June 30, 2026, Telecom Argentina owns 2,153,688,011 issued and outstanding shares. For more information, please contact Investor Relations: For information about Telecom Argentina's services, visit: www.personal.com.arwww.personal.com.py DisclaimerThis document may contain statements that could constitute forward-looking statements, including, but not limited to (i) the Company's expectations for its future performance, revenues, income, earnings per share, capital expenditures, dividends, liquidity and capital structure; (ii) the continued synergies expected from the merger between the Company and Cablevisión S.A. (or the "Merger") and/or the acquisition of Telefónica Móviles Argentina S.A. (or the "Acquisition"); (iii) the implementation of the Company's business strategy; (iv) the changing dynamics and growth in the telecommunications and cable markets in Argentina, Paraguay, Uruguay and the United States; (v) the Company's outlook for new and enhanced technologies; (vi) the effects of operating in a competitive environment; (vii) the industry conditions; (viii) the outcome of certain legal proceedings; and (ix) regulatory and legal developments. Forward-looking statements may be identified by words such as "anticipate," "believe," "estimate," "expect," "intend," "plan," "project," "will," "may" and "should" or other similar expressions. Forward-looking statements are not guarantees of future performance and involve certain risks and uncertainties that are difficult to predict. In addition, certain forward-looking statements are based upon assumptions as to future events that may not prove to be accurate. Many factors could cause actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements that may be expressed or implied by forward-looking statements. These factors include, among others: (i) the Company's ability to successfully implement our business strategy and to achieve synergies resulting from the Merger and/or the Acquisition; (ii) the Company's ability to introduce new products and services that enable business growth; (iii) uncertainties relating to political and economic conditions in Argentina, Paraguay, Uruguay and the United States, including the policies of the new government in Argentina; (iv) the impact of political developments, including the policies of the new government in Argentina, on the demand for securities of Argentine companies; (v) inflation, the devaluation of the peso, the Guaraní and the Uruguayan peso and exchange rate risks in Argentina, Paraguay and Uruguay; (vi) restrictions on the ability to exchange Argentine or Uruguayan pesos or Paraguayan guaraníes into foreign currencies and transfer funds abroad; (vii) the impact of currency and exchange measures or restrictions on our ability to access the international markets and our ability to repay our dollar-denominated indebtedness; (viii) the creditworthiness of our actual or potential customers; (ix) the nationalization, expropriation and/or increased government intervention in companies; (x) technological changes; (xi) the impact of legal or regulatory matters, changes in the interpretation of current or future regulations or reform and changes in the legal or regulatory environment in which the Company operates, including regulatory developments such as sanctions regimes in other jurisdictions (e.g., the United States) which impact on the Company's suppliers; (xii) the effects of increased competition; (xiii) reliance on content produced by third parties; (xiv) increasing cost of the Company's supplies; (xv) inability to finance on reasonable terms capital expenditures required to remain competitive; (xvi) fluctuations, whether seasonal or in response to adverse macro-economic developments, in the demand for advertising; (xvii) the Company's ability to compete and develop our business in the future; (xviii) the impact of increased national or international restrictions on the transfer or use of telecommunications technology; and (xix) the impact of the outbreak of COVID-19 on the global economy and specifically on the economies of the countries in which we operate, as well as on our operations and financial performance. Many of these factors are macroeconomic and regulatory in nature and therefore beyond the control of the Company's management. Should one or more of these risks or uncertainties materialize, or underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, intended, planned or projected. The Company does not intend and does not assume any obligation to update the forward-looking statements contained in this document. These forward-looking statements are based upon a number of assumptions and other important factors that could cause our actual results, performance or achievements to differ materially from our future results, performance or achievements expressed or implied by such forward-looking statements. Readers are encouraged to consult the Company's Annual Report on Form 20-F and the periodic filings made on Form 6-K, which are periodically filed with or furnished to the United States Securities and Exchange Commission, as well as the presentations periodically filed before the Argentine Securities and Exchange Commission (Comisión Nacional de Valores) and the Buenos Aires Stock Exchange (Bolsas y Mercados Argentinos), for further information concerning risks and uncertainties faced by the Company. Contacts:Luis Fernando Rial Ubago - [email protected] Tomás Pellicori - [email protected] View original content to download multimedia:https://www.prnewswire.com/news-releases/telecom-argentina-sa-announces-consolidated-results-for-the-first-half-1h26-and-second-quarter-of-fiscal-year-2026-2q26-302846086.html

This article first appeared on GuruFocus. Release Date: May 11, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Telecom Argentina SA (NYSE:TEO) reported consolidated revenues of over $1.7 billion, marking a 34% year-over-year increase in dollars, driven by the full quarter impact of TMA's results. The company's EBITDA margin improved to 34.8% in Q1 2026, with Telecom standalone reaching over 38%, the highest since the merger with Cablevision in 2018. Investments in network expansion, particularly in fiber-to-the-home and 5G infrastructure, were prioritized, with CapEx amounting to approximately $0.3 billion. Telecom Argentina SA (NYSE:TEO) achieved a significant improvement in its net debt to EBITDA leverage ratio, reducing it to 1.4 times from 1.7 times in the previous year. The company reported strong growth in its regional operations, with Paraguay's revenue growing almost 25% year-over-year in US dollars and an EBITDA margin of over 50%. The prepaid mobile segment saw a 12.2% reduction year-over-year, attributed to updated disconnection criteria for dormant prepaid lines. Postpaid mobile accesses decreased by 3.7% year-over-year, reaching almost 8 million accesses. TMA's pay TV subscriber base decreased by 1.8% year-over-year, with a net loss of approximately 7,000 customers. Operating costs grew by 28% year-over-year, which, although lower than revenue growth, still represents a significant increase. The company faced higher severance charges, impacting the EBITDA margin, which would have been higher without these charges. Warning! GuruFocus has detected 7 Warning Signs with TEO. Is TEO fairly valued? Test your thesis with our free DCF calculator. Q: Can you provide more details on the impact of the TMA acquisition on your financial results? A: Federico Pra, Interim CFO: The acquisition of Telefonica Mobiles Argentina (TMA) significantly boosted our financial results. For the first quarter of 2026, consolidated revenues increased by 34% year-over-year, largely due to the full quarter contribution from TMA, compared to only one month in the first quarter of 2025. This acquisition has been a key driver of our revenue growth and improved EBITDA margins. Q: How has the rollout of 5G and fiber-to-the-home (FTTH) networks progressed? A: Federico Pra, Interim CFO: We have made substantial progress in expanding our 5G and FTTH networks. In the first quarter of 2026, we upgraded nearly 780 existing sites and added over 210 new 5G sites. Our FTTH network now covers a significant portion of our broadband base, with FTTH representing 33% of our broadband connections. These investments are crucial for enhancing network quality and supporting data consumption growth. Q: What are the main factors contributing to the improvement in EBITDA margins? A: Federico Pra, Interim CFO: The improvement in EBITDA margins is attributed to several factors, including the full integration of TMA, efficiency efforts, and cost management strategies. Excluding severance charges, our consolidated EBITDA margin would have reached 36%. Additionally, the deconsolidation of Microsistemas following the joint venture with Banco Macro positively impacted margins. Q: Can you elaborate on the performance of your regional operations, particularly in Paraguay and Uruguay? A: Federico Pra, Interim CFO: Our regional operations have shown strong performance, especially in Paraguay, where revenues grew by almost 25% year-over-year in US dollars, and EBITDA increased by 34%. In Uruguay, we have a stable customer base with 94,000 pay TV customers and approximately 3,200 broadband customers. These operations continue to contribute positively to our overall financial performance. Q: How is Telecom Argentina managing its debt and leverage ratios? A: Luis Rial Ubago, Head of Investor Relations: We have significantly improved our net debt to EBITDA leverage ratio, which now stands at 1.4 times, down from 1.7 times in the previous year. This improvement is due to stronger cash generation and a higher consolidated EBITDA base. We have also extended the average life of our debt to almost five years, reducing refinancing risk and maintaining a strong balance sheet. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Buenos Aires, Argentina--(Newsfile Corp. - May 11, 2026) - Cablevisión Holding S.A., (OTC Pink: CVHSY) (BCBA: CVH) ("Cablevision Holding", "CVH" or "the Company") controlling shareholder of Telecom Argentina S.A. (NYSE: TEO) (BCBA: TECO2), announced today its First Quarter 2026 Results. Figures have been prepared in accordance with International Financial Reporting Standards ("IFRS") and are stated in constant Argentine Pesos ("Ps." or "P$") as of March 31, 2026, unless otherwise indicated. The Company's Management has applied IAS 29 (inflation adjustment) in the preparation of these financial statements, following the provisions of Resolution 777/18, issued by the Comisión Nacional de Valores ("CNV"). CVH Highlights (1Q26 vs. 1Q25): This year includes results of Telefónica Móvil Argentina ('TMA'), which was acquired by Telecom Argentina on February 24, 2025, hence, the results for the 1Q26 aren't comparable to the results of 1Q25 as they include results of TMA from March 1st 2025. Total Revenues reached Ps. 2,357,686 million, an increase of 30.5% in real terms as of 1Q26, compared to the same period of 2025, mostly driven by the incorporation of revenue from TMA and by higher ARPUs in real terms in mobile services, in part the effect of price increases carried implemented in 2025; partially offset by lower sales of equipment and fixed telephony and data services. Total Costs (Excluding Depreciation and Amortization) reached Ps. 1,543,469 million, an increase of 27.4% in constant currency, mainly driven by higher costs on all items, driven by the incorporation of TMA. Excluding this effect, total costs reached Ps. 931,863 million, a decrease of 6.5% compared to 1Q25. EBITDA reached Ps. 814,217 million as of 1Q26, an increase of 36.9% in real terms compared to 1Q25, mainly driven by the incorporation of TMA's EBITDA, and from cost efficiencies realized by the company, resulting in a higher EBITDA Margin of 34.5% in 1Q26, compared to 32.9% in 1Q25. Consolidated Net Income amounted to Ps. 628,855 million. Consolidated net income attributable to the Controlling Company amounted to Ps. 234,688 million. FINANCIAL HIGHLIGHTS   (1) EBITDA is defined as Total Revenues minus operating cost and expenses (excluding depreciation and amortization). We believe that EBITDA is a meaningful measure of our performance. It is commonly used to analyze and compare media companies based on operating performance, leverage and liquidity. Nonetheless, EBITDA is not a measure of net income or cash flow from operations and should not be considered as an alternative to net income, an indication of our financial performance, an alternative to cash flow from operating activities or a measure of liquidity. Other companies may compute EBITDA in a different manner; therefore, EBITDA as reported by other companies may not be comparable to EBITDA as we report it.(2 ) EBITDA Margin is defined as EBITDA over Total Revenues. CONFERENCE CALL AND WEBCAST INFORMATIONCABLEVISIÓN HOLDING S.A(BYMA: CVH) (OTC Pink: CVHSY)cordially invites you to participate in its Webcast Presentationto discuss the First Quarter 2026 Results Date: Wednesday, May 13, 2026Time: 12:00pm Buenos Aires /11:00am New York /3:00pm London To access the live stream and slide presentation, visit: https://event.choruscall.com/mediaframe/webcast.html?webcastid=B7VbKXvN The webcast presentation will also be available at: https://www.cablevisionholding.com/Inversores ABOUT THE COMPANY CVH was founded as corporate spin-off from Grupo Clarín S.A. and it is the first Argentine holding company that engages in the development of infrastructure and the provision of convergent telecommunications services, focusing on Argentina and the region. CVH's subsidiaries specialize in the provision of cable TV, broadband and mobile communications services; and their brands are well known in the telecommunications and content distribution industries. DisclaimerSome of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of CVH. You can identify forward-looking statements by terms such as "expect", "believe", "anticipate", "estimate", "intend", "will", "could", "may" or "might" the negative of such terms or other similar expressions. These statements are only predictions and actual events or results may differ materially. CVH does not intend to or undertake any obligation to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in CVH's projections or forward-looking statements, including, among others, general economic conditions, CVH's competitive environment, risks associated with operating in Argentina a, rapid technological and market change, and other factors specifically related to CVH and its operations. To view the source version of this press release, please visit https://www.newsfilecorp.com/release/297079

Market Cap (NYSE: TEO): US$ 5,091.3 million1 Note: 1Q26 figures include the effects of the adoption of inflationary accounting in accordance with IAS 29. Therefore, comments regarding 1Q26 results and changes in 1Q25 results mentioned in this press release correspond to "restated for inflation" or "constant" figures. For analysis purposes, it is important to highlight that the comparative results (March 2025) reflect the year-over-year effect of inflation through March 2026, which reached 32.6%. Additionally, the consolidated results for 1Q26 include the full contribution of TMA, whereas in the comparative period, 1Q25, TMA's contribution to the consolidated figures accounted for only one month. During 1Q26, consolidated revenues reached P$2,357,686 million. Service revenues totaled P$2,275,239 million in 1Q26, with the following performance: Telecom (excluding TMA)³: +1.6% vs. 1Q25. TMA: -1.3% vs. 1Q25. Telecom does not determine TMA's commercial or pricing policy. Consolidated: +33.6% vs. 1Q25, including 3 months of TMA revenues versus only one month in the comparative 1Q25 period. During 1Q26, the evolution of the customer base in Argentina was as follows: Telecom (excluding TMA): Total mobile accesses declined by 8.9%, reaching 19.4 million. This decrease is largely explained by disconnections of prepaid lines most of them with no recorded traffic, with no impact on mobile service revenues. Meanwhile, the fixed segment recorded increases in the number of accesses: pay TV accesses totaled 3.3 million in the same period (+148 thousand or +4.7% vs. 1Q25), while the fixed broadband segment recorded a 3.3% increase, totaling 4.2 million accesses (+135 thousand vs. 1Q25). TMA: Total mobile accesses (including M2M) amounted to 19.2 million (+340 thousand or +1.8% vs. 1Q25). Meanwhile, the fixed broadband segment totaled 1.6 million accesses (+75 thousand or +4.8% vs. 1Q25). Lastly, pay TV subscribers totaled 0.4 million in the same period (-7 thousand or -1.8% vs. 1Q25). During 1Q26, a consolidated Operating Income before Depreciation, Amortization and Impairment of Fixed Assets ("Operating Income before D, A & D") margin of 34.8% was achieved (+1.6 p.p. vs. 1Q25). Telecom's margin (excluding TMA) recorded a significant improvement, exceeding 38% in 1Q26. Operating Income before D, A & D totaled P$819,491 million (+36.7% vs. 1Q25, a period that includes only one month of TMA). During 1Q26, consolidated net income amounted to P$642,984 million (vs. net income of P$123,593 million in 1Q25). Net income for the period is mainly explained by higher foreign exchange gains recorded in financial results, measured in real terms, as a result of the real appreciation of the peso during the quarter. Consolidated CAPEX (excluding right-of-use assets) totaled P$433,768 million (+85.1% vs. 1Q25) and represented 18.4% of consolidated revenues (increasing vs. 1Q25, when it reached 13.0% of revenues). Consolidated Net Financial Debt totaled P$4,296,790 million as of March 31, 2026, decreasing in real terms (-15.6% in constant currency vs. December 31, 2025). (1) Market capitalization as of May 8, 2026.(2) Unaudited non-financial information(3) This refers to the exclusion of the consolidated results from the segment "ICT Services Provided in Argentina - TMA Networks," as presented in Table 3. The same criteria will apply going forward to any results labeled as "Telecom (excluding TMA)." BUENOS AIRES, ARGENTINA / ACCESS Newswire / May 11, 2026 / Telecom Argentina S.A. ("Telecom Argentina", "Telecom" or the "Company") (NYSE:TEO)(BYMA:TECO2) announced today a consolidated Net Income of P$642,984 million for the period ended March 31, 2026. The consolidated Net Income attributable to the Controlling Company amounted to P$636,682 million. Comparative figures for the previous fiscal year have been restated for inflation so that the resulting information is presented in terms of the current measurement unit as of March 31, 2026. * Figures may not add up due to rounding.** In constant currency - includes additions from rights of use as of March 31, 2026 for P$80.224 million and as of March 31, 2025 for P$57.933 million.*** Telecom figures include IP telephony lines, which totaled approximately 2.36 million and 1.94 million as of March 31, 2026 and March 31, 2025, respectively. TMA figures include IP telephony lines, which totaled approximately 1.58 million and 1.46 million as of March 31, 2026, and March 31, 2025, respectively. The following table shows the evolution of the national consumer price index (National CPI - according to INDEC's official statistics) as of December 31, 2025, and as of March 31, 2025, and 2026: During 1Q26, consolidated revenues reached P$2,357,686 million, of which P$2,275,239 million corresponded to Service Revenues. Notably, during this period, Service Revenues showed a positive evolution relative to inflation, as detailed below. Consolidated Operating Revenues Mobile Services As of March 31, 2026, Telecom's total accesses (excluding TMA) in Argentina and Paraguay reached 22.1 million, while TMA's subscribers amounted to 19.2 million. In 1Q26, consolidated mobile service revenues reached P$1,235,803 million (+P$413,403 million or +50.3% vs. 1Q25), being the main business in terms of service revenues (representing 54% and 48% of service revenues in 1Q26 and 1Q25, respectively). The increase in revenues is mainly the result of the consolidation of TMA's results in 1Q26, which amounted to P$539,745 million. Excluding the impact of TMA's consolidation on mobile service revenues, the 9.0% increase for Telecom (excluding TMA) was mainly driven by an 18.7% increase in real terms in the average monthly revenue per customer ("ARPU"). Mobile Services in Argentina As of March 31, 2026, Telecom's mobile accesses (excluding TMA) in Argentina amounted to approximately 19.4 million (-1.9 million or -8.9% vs. 1Q25). The decrease is mainly explained by: (a) in the prepaid base, a change implemented in 2025 in the measurement of the useful life of lines, which was reduced from 360 days to 242 days to consider their definitive disconnection since the last top-up date, resulting in a 12.2% decrease in the prepaid base; and (b) in postpaid customers, higher disconnections associated with changes in commercial strategies, with the postpaid base decreasing by 3.7%. As of March 31, 2026, 59% of customers corresponded to the prepaid modality and 41% were postpaid, whereas as of March 31, 2025, prepaid customers represented 61% and postpaid customers 39%. As of March 31, 2026, TMA's mobile accesses amounted to approximately 19.2 million (+340 thousand or +1.8% vs. 1Q25) - including machine-to-machine ("M2M") accesses. The postpaid base increased by 2.9% vs. 1Q25, while the prepaid base grew by 0.8%. As of March 31, 2026, postpaid accesses represent 49% of total mobile accesses. TMA's average monthly churn stood at 1.6% in 1Q26 (vs. an average of 2.0% in 1Q25). ARPU for Telecom (excluding TMA) amounted to P$10,766.4 in 1Q26 (+18.7% in real terms vs. 1Q25). The effect generated by the restatement to the current unit of measure as of March 31, 2026, included in ARPU amounts to P$351.6 and P$2,445.7 in 1Q26 and 1Q25, respectively. Average monthly churn stood at 2.4% in 1Q26 (vs. an average of 2.0% in 1Q25). ARPU for TMA amounted to P$9,122.8 in 1Q26 (-0.7% in real terms vs. 1Q25). The effect generated by the restatement to the current unit of measure as of March 31, 2026, included in ARPU amounts to P$281.0 and P$2,481.6 in 1Q26 and 1Q25, respectively. Mobile Services in Paraguay ("Núcleo") As of March 31, 2026, Núcleo's subscriber base totaled 2.7 million, representing a 3% increase compared to 1Q25. Of total accesses, 69% correspond to prepaid and 31% to postpaid, while as of March 31, 2025, prepaid accesses represented 73% and postpaid 27%. Average monthly churn stood at 2.5% in 1Q26 versus 2.1% in 1Q25. During 1Q26, mobile service revenues in Paraguay reached P$55,716 million, increasing in real terms (+P$10,420 million vs. 1Q25). The increase in mobile service revenues in Paraguay was driven by the real appreciation of the Guaraní against the Argentine peso of 36.6% over the last twelve months compared to cumulative inflation for the period of 32.6% in 1Q26 vs. 1Q25, whereas in 1Q25 the real appreciation of the Guaraní against the Argentine peso was 14.1% over the last twelve months compared to cumulative inflation for the period of 55.9%, as well as by a 0.7% increase in the customer base due to commercial efforts to capture new customers. Internet Services Consolidated Internet service revenues reached P$508,925 million in 1Q26, growing in real terms (+P$81,527 million or +19.1% vs. 1Q25). Telecom's subscriber base (excluding TMA) increased, reaching 4.2 million accesses (+135 thousand or +3.3% vs. 1Q25) during 1Q26. Telecom's average monthly Internet services churn stood at 1.3% and 1.2% as of March 31, 2026, and 2025, respectively. The increase in revenues is mainly the result of the consolidation of TMA's results in 1Q26, which amounted to P$126,646 million. Excluding the impact of TMA's consolidation, Telecom's revenues (excluding TMA) decreased slightly, recording -0.4% vs. 1Q25. TMA's subscriber base reached 1.6 million accesses (+75 thousand or +4.8% vs. 1Q25) during 1Q26. The average monthly Internet services churn stood at 2.1% as of March 31, 2026, and 2025, respectively. In 1Q26, Telecom's broadband ARPU (excluding TMA) (restated in constant currency as of March 31, 2026) reached P$28,389.6 (-5.0% in real terms vs. 1Q25). The effect generated by the restatement to the current unit of measure as of March 31, 2026, included in ARPU amounts to P$656.6 and P$8,071.3 for 1Q26 and 1Q25, respectively. Additionally, in 1Q26, TMA's broadband ARPU (restated in constant currency as of March 31, 2026) reached P$25,793.5 (-7.1% in real terms vs. 1Q25). The effect generated by the restatement to the current unit of measure as of March 31, 2026, included in ARPU amounts to P$791.4 and P$7,500.4 for 1Q26 and 1Q25, respectively. As of March 31, 2026, accesses with a service of 100 Mb or higher represented 98% of the total subscriber base (vs. 90% as of March 31, 2025). Cable TV Services Consolidated cable TV service revenues reached P$249,042 million in 1Q26 (+P$20,065 million or +8.8% vs. 1Q25). The number of TV accesses for Telecom (excluding TMA), including Uruguay and Paraguay, reached 3.5 million (+130 thousand or +3.9% vs. 1Q25). TV accesses for TMA totaled 0.4 million (-7 thousand or -1.8% vs. 1Q25). The positive variation in revenues in Argentina is mainly due to the consolidation of TMA's results in 1Q26, which amounted to P$27,038 million. Excluding the impact of TMA's consolidation, the 1.9% increase for Telecom (excluding TMA) was mainly driven by a 0.3% increase in ARPU and a 4.7% increase in the customer base vs. 1Q25. The subscriber base in Argentina for Telecom (excluding TMA) amounted to 3.3 million accesses as of March 31, 2026, representing a 4.7% increase compared to 1Q25. The increase in the customer base, mainly observed during February 2026, was driven by a commercial environment that favored higher levels of demand and service net adds in 1Q26. Of this customer base, 1.9 million are subscribed to Flow Flex. With the aim of continuing to develop a flexible, intuitive, and innovative service, Personal announced its first exclusive partnership in Argentina with Netflix. This strategic agreement incorporates the over-the-top platform as a new option within Flow+, its flexible entertainment offering with included subscriptions that can be swapped month to month. Maintaining the same fee, customers can choose two subscriptions from Pack Fútbol, HBO, Disney+ Premium, Universal+, and now Netflix Premium, and switch them every 30 days. Monthly TV ARPU for Telecom (excluding TMA) (restated in constant currency as of March 31, 2026) reached P$20,077.8 during 1Q26 (+0.3% in real terms vs. 1Q25). The effect generated by the restatement to the current unit of measure as of March 31, 2026 included in ARPU amounts to P$214.1 and P$4,856.9 for 1Q26 and 1Q25, respectively. Additionally, monthly TV ARPU for TMA (restated in constant currency as of March 31, 2026) reached P$22,689.3 during 1Q26 (-11.7% in real terms vs. 1Q25). The effect generated by the restatement to the current unit of measure as of March 31, 2026 included in ARPU amounts to P$688.1 and P$6,938.3 for 1Q26 and 1Q25, respectively. Average monthly cable TV churn for Telecom (excluding TMA) stood at 1.6% as of March 31, 2026 and 1.5% as of March 31, 2025, while for TMA it stood at 3.8% and 4.2% as of March 31, 2026 and 2025, respectively. Fixed Telephony and Data Services Consolidated revenues from fixed telephony and data services reached P$268,833 million in 1Q26 (+P$61,537 million or +29.7% vs. 1Q25). The variation in Argentina is mainly due to the consolidation of TMA's results in 1Q26, which amounted to P$127,241 million. Fixed-line voice and data revenues for Telecom (excluding TMA) decreased by 10.3%, mainly because the Company was not able to increase prices at the same pace as inflation, considering cumulative inflation over the last twelve months of 32.6%, partially offset by a 3.8% increase in the fixed-line customer base. The fixed-line customer base for Telecom (excluding TMA) reached 2.8 million customers in 1Q26, of which 2.4 million correspond to customers with IP lines. TMA's fixed-line customer base reached 2.1 million customers, of which 1.6 million are customers with IP lines. During 1Q26, the Pacheco Datacenter, one of the Company's most important technological hubs, obtained the international "Certified Energy Efficient Datacenter Award" (CEEDA), a recognition that validates efficient energy management and the sustainable operation of data centers under global standards. Other Service Revenues Consolidated other service revenues reached P$12,636 million (-P$4,156 million or -24.7% vs. 1Q25). The decrease in other service revenues is mainly explained by the loss of control over Micro Sistemas, which provided Fintech services in Argentina in 1Q25 and, as of 1Q26, is recognized as an investment in a joint venture. Revenues from equipment sales Consolidated revenues from equipment sales totaled P$82,447 million (-P$20,793 million or -20.1% vs. 1Q25). The contribution from the consolidation of TMA's results in 1Q26 amounted to P$32,743 million, while equipment sales for Telecom (excluding TMA) decreased by 39.7% in real terms. Consolidated Operating Costs Consolidated Operating Costs, including Depreciation, Amortization and Impairment of Fixed Assets, amounted to P$2,061,928 million in 1Q26 (+P$404,209 million or +24.4% vs. 1Q25). Excluding Depreciation, Amortization and Impairment of Fixed Assets, consolidated operating costs amounted to P$1,538,195 million and increased by P$331,404 million or 27.5% vs. 1Q25. Operating costs in 1Q26 include P$621,220 million, corresponding to the consolidation of TMA. The cost breakdown was as follows: Labor costs and severance payments totaled P$509,473 million in 1Q26 (+P$129,094 million or +33.9% vs. 1Q25). The increase is mainly due to the consolidation of TMA's results in 1Q26, whose contribution amounted to P$181,261 million. Telecom's headcount (excluding TMA) totaled 18,103 employees as of March 31, 2026. Interconnection and transmission costs, which also include roaming, correspondence services, and line and circuit rentals, amounted to P$68,474 million in 1Q26 (+P$22,963 million or +50.5% vs. 1Q25). The increase is mainly due to the consolidation of TMA's results in 1Q26, whose contribution amounted to P$76,435 million. Fees for services, maintenance and materials: P$281,837 million in 1Q26 (+P$54,076 million or +23.7% vs. 1Q25). The increase is mainly due to the consolidation of TMA's results in 1Q26, whose contribution amounted to P$117,838 million. Excluding the impact of TMA's consolidation, the decrease is mainly explained by the implementation of the efficiency and resource management plan aimed at improving and automating processes, and by a 4% improvement in the average cost of service fees compared to 1Q25. Taxes, fees and regulatory charges totaled P$208,938 million (+P$57,884 million or +38.3% vs. 1Q25). Taxes, fees and regulatory authority charges in 1Q26 include P$84,691 million corresponding to TMA. Commissions and advertising (agents, collection commissions and other commissions) totaled P$107,647 million in 1Q26 (+P$13,114 million or +13.9% vs. 1Q25). The increase is mainly due to the consolidation of TMA's results in 1Q26, whose contribution amounted to P$41,208 million. Cost of equipment sold totaled P$72,328 million in 1Q26 (-P$3,678 million or -4.8% vs. 1Q25). This variation is mainly due to a decrease in the number of units sold compared to 1Q25. The contribution from TMA's results in 1Q26 amounted to P$30,078 million. Programming and content costs amounted to P$134,847 million (+P$34,201 million or +34.0% vs. 1Q25). Programming and content costs in 1Q26 include P$41,867 million corresponding to TMA. Other costs totaled P$154,651 million (+P$23,750 million or +18.1% vs. 1Q25), among which doubtful accounts amounted to P$47,247 million (+P$13,233 million or +38.9% vs. 1Q25): Bad debt expenses in 1Q26 include P$18,150 million related to TMA. The charge for bad debt represented 2.0% of total revenues as of March 31, 2026 (vs. 1.9% in 1Q25). Other operating costs, which include charges for lawsuits and other contingencies, energy and other utilities, insurance, leases and internet capacity, among others, amounted to P$107,404 million (+P$10,517 million or +10.9% vs. 1Q25). TMA's contribution in 1Q26 amounted to P$29,692 million. Depreciation, amortization and impairment of fixed assets totaled P$523,733 million (+P$72,805 million or +16.1% vs. 1Q25). The charge for the period includes P$200,120 million corresponding to the consolidation of TMA, as well as the impact of amortization of additions made after March 31, 2025, partially offset by the effect of assets that completed their useful lives after that same date. Net Financial Results Net financial results (including financial debt costs and other net financial results) recorded a gain of P$630,864 million in 1Q26 (vs. a gain of P$133,876 million in 1Q25). Additionally, the effect derived from the consolidation of TMA amounted to P$13,701 million, resulting from the comparison of results for the full 1Q26 against the results of 1Q25 from TMA's acquisition date onward: *Related to Notes issued in UVA (Unidades de Valor Adquisitivo) The variation recorded in net financial results is mainly explained by higher foreign exchange gains, measured in real terms, of P$530,164 million, resulting from inflation of 32.6% compared to an appreciation of the U.S. dollar against the Argentine peso of 28.7% (compared to inflation of 55.9% versus an appreciation of the U.S. dollar against the Argentine peso of 25.2% in 1Q25). It should be noted that, in 1Q26, a depreciation of the U.S. dollar against the Argentine peso of 5% occurred, whereas in 1Q25 there was an appreciation of the U.S. dollar against the Argentine peso of 4.1%. Likewise, the increase in foreign exchange results was partially due to a higher level of U.S. dollar-denominated indebtedness in 2026, which resulted in greater exposure to fluctuations of the Argentine peso against the U.S. dollar. Additionally, there was a higher positive RECPAM of P$38,435 million and higher gains from changes in the fair value of financial assets of P$20,816 million, resulting from exposure to inflation of 32.6% on the quoted value of financial assets measured at fair value (compared to inflation of 55.9% in 1Q25), partially offset by higher loan interest expense of P$63,512 million and higher losses from financial discounts on assets, liabilities and others of P$21,849 million, and lower gains from the inflation adjustment of loans of P$7,234 million, due to the fact that the UVA adjustment exceeded inflation, generating negative results in real terms. Income Tax Telecom's income tax includes the following effects: Income tax resulted in a loss of P$320,657 million in 1Q26 (compared to a loss of P$158,789 million in 1Q25). Losses related to current income tax amounted to P$335,982 million in 1Q26 (compared to a loss of P$316,821 million in 1Q25), and the income tax charge related to the application of the deferred tax method in 1Q26 was a gain of P$15,325 million (compared to a gain of P$158,032 million in 1Q25). Additionally, the effect derived from the consolidation of TMA amounted to P$28,304 million, resulting from comparing the results for the full 1Q26 against the results of 1Q25 from the date of TMA's acquisition. Consolidated Net Financial Debt As of March 31, 2026, our net financial debt (cash, cash equivalents - net of client funds - plus financial investments and derivatives* minus loans) was a net liability and totaled P$4,296,790 million, representing a decrease of P$792,365 million compared to Net Financial Debt as of December 31, 2025, adjusted for inflation. * Contemplates rate swaps and NDF (non-delivery forwards) agreements. Investments in PP&E, intangible assets and rights of use assets As of March 31, 2026, consolidated CAPEX (including additions to PP&E and intangible assets) totaled P$433,768 million (+85.1% vs. 1Q25). CAPEX for Telecom (excluding TMA) totaled P$292,725 million (+60.9% vs. 1Q25). Including additions from right-of-use, investments amounted to P$513,992 million, including P$120,577 million related to TMA. The investments were focused on: Expansion of both fixed and mobile data services to improve transmission and access speed offered to customers, the deployment of 4G coverage and capacity, and continued expansion of 5G to support mobile internet growth and enhance service quality. Deployment and modernization of 4G mobile access sites to improve coverage and increase mobile network capacity. The 4G/LTE rollout reached 98% population coverage. Our mobile network customers with access to our network experienced improved service quality, reaching average speeds of 84 Mbps. During 1Q26, we continued expanding our 5G network with the addition of 126 sites. With regard to the fixed access infrastructure, during the first quarter of 2026 we continued to strengthen our broadband capabilities through the deployment of new fiber optic networks and the modernization of existing infrastructure. FTTH (Fiber to the Home) accesses currently represent 33% of Personal's broadband base, with nearly 1.4 million accesses, supported by the acceleration of fiber deployment. Relevant financial events of the period Secondary Offering of American Depositary Shares ("ADSs") On February 10, 2026, Fintech Telecom LLC, in its capacity as selling shareholder, completed a secondary offering of 4,050,549 ADSs, representing 20,252,745 Class B shares of the Company. In connection with the offering, Fintech Telecom LLC granted the underwriters a 30-day option to purchase up to an additional 607,582 ADSs, representing 3,037,910 Class B shares of the Company, which option was exercised in full. In aggregate, the transaction included 23,290,655 Class B shares (representing 1.08% of the total share capital of Telecom Argentina) and consequently reduced Fintech Telecom LLC's ownership interest in Telecom Argentina in the form of ADSs. Relevant events after March 31, 2026 Ordinary and Extraordinary General Shareholders' Meeting The Ordinary and Extraordinary General Shareholders' Meeting of Telecom held on April 29, 2026, resolved, among other matters, the following: The proposal of the Board of Directors, restated as of March 31, 2026, using the National Consumer Price Index (National CPI) published on April 14, 2026, in accordance with CNV Resolution No. 777/2018, was approved with respect to Retained Earnings as of December 31, 2025, which show a negative balance of P$135,642,104,918, consisting of: Likewise, the corporate reorganization was approved, pursuant to which Telecom Argentina, as the surviving company, absorbs Teledifusora San Miguel Arcangel S.A. through a merger, with effect as of January 1, 2026. TMA Regulatory Process - Extension of Deadline On April 30, the Company was notified of Resolution TDC 14/2026 (DISFC-2026-14-APN-TDC#ANC) issued by the National Competition Defense Tribunal (Tribunal de Defensa de la Competencia), pursuant to which it was resolved to extend by an additional 30 days the original 45-day term established in Section 14 of Law No. 27,442, in the proceedings conducted under file EX-2025-22498026-APN-DR#CNDC, entitled: "TELECOM ARGENTINA S.A. / NOTICE UNDER SECTION 9 OF LAW No. 27,442" (Conc. 2025). Likewise, Resolution TDC 14/2026 clarifies that the granted extension will become effective once the 45-day term established in Section 14 of Law No. 27,442 expires, the calculation of which began on February 24, 2026, without prejudice to the possibility of granting additional extensions, if necessary, up to completing the maximum term provided for in said section. ******* Telecom Argentina is a leading telecommunications company in Argentina, offering services combining mobile telephony services, cable television services, internet services and fixed telephony services. We also provide Fintech Services, other telephone related services, such as international long-distance and wholesale services, data transmission and IT solutions outsourcing and we install, operate and develop cable television and data transmission services. We provide our services in Argentina (mobile, cable television, internet, fixed and data, fintech services, among others), Paraguay (mobile, internet, satellite TV, fintech services, among others), Uruguay (cable television services, internet and cybersecurity services and products), the United States (fixed wholesale services) and Chile (cybersecurity services and products). These consolidate an ecosystem of platforms and new businesses, providing a comprehensive and convergent experience for our customers. As of March 31, 2026, Telecom Argentina owns 2,153,688,011 issued and outstanding shares. For more information, please contact Investor Relations: For information about Telecom Argentina's services, visit: www.personal.com.ar www.personal.com.py Disclaimer This document may contain statements that could constitute forward-looking statements, including, but not limited to (i) the Company's expectations for its future performance, revenues, income, earnings per share, capital expenditures, dividends, liquidity and capital structure; (ii) the continued synergies expected from the merger between the Company and Cablevisión S.A. (or the "Merger") and/or the acquisition or Telefónica Móviles Argentina S.A. (or the "Acquisition"); (iii) the implementation of the Company's business strategy; (iv) the changing dynamics and growth in the telecommunications and cable markets in Argentina, Paraguay, Uruguay and the United States; (v) the Company's outlook for new and enhanced technologies; (vi) the effects of operating in a competitive environment; (vii) the industry conditions; (viii) the outcome of certain legal proceedings; and (ix) regulatory and legal developments. Forward-looking statements may be identified by words such as "anticipate," "believe," "estimate," "expect," "intend," "plan," "project," "will," "may" and "should" or other similar expressions. Forward-looking statements are not guarantees of future performance and involve certain risks and uncertainties that are difficult to predict. In addition, certain forward-looking statements are based upon assumptions as to future events that may not prove to be accurate. Many factors could cause actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements that may be expressed or implied by forward-looking statements. These factors include, among others: (i) the Company's ability to successfully implement our business strategy and to achieve synergies resulting from the Merger and/or the Acquisition; (ii) the Company's ability to introduce new products and services that enable business growth; (iii) uncertainties relating to political and economic conditions in Argentina, Paraguay, Uruguay and the United States, including the policies of the new government in Argentina; (iv) the impact of political developments, including the policies of the new government in Argentina, on the demand for securities of Argentine companies; (v) inflation, the devaluation of the peso, the Guaraní and the Uruguayan peso and exchange rate risks in Argentina, Paraguay and Uruguay; (vi) restrictions on the ability to exchange Argentine or Uruguayan pesos or Paraguayan guaraníes into foreign currencies and transfer funds abroad; (vii) the impact of currency and exchange measures or restrictions on our ability to access the international markets and our ability to repay our dollar-denominated indebtedness; (viii) the creditworthiness of our actual or potential customers; (ix) the nationalization, expropriation and/or increased government intervention in companies; (x) technological changes; (xi) the impact of legal or regulatory matters, changes in the interpretation of current or future regulations or reform and changes in the legal or regulatory environment in which the Company operates, including regulatory developments such as sanctions regimes in other jurisdictions (e.g., the United States) which impact on the Company's suppliers; (xii) the effects of increased competition; (xiii) reliance on content produced by third parties; (xiv) increasing cost of the Company's supplies; (xv) inability to finance on reasonable terms capital expenditures required to remain competitive; (xvi) fluctuations, whether seasonal or in response to adverse macro-economic developments, in the demand for advertising; (xvii) the Company's ability to compete and develop our business in the future; (xviii) the impact of increased national or international restrictions on the transfer or use of telecommunications technology; and (xix) the impact of the outbreak of COVID-19 on the global economy and specifically on the economies of the countries in which we operate, as well as on our operations and financial performance. Many of these factors are macroeconomic and regulatory in nature and therefore beyond the control of the Company's management. Should one or more of these risks or uncertainties materialize, or underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, intended, planned or projected. The Company does not intend and does not assume any obligation to update the forward-looking statements contained in this document. These forward-looking statements are based upon a number of assumptions and other important factors that could cause our actual results, performance or achievements to differ materially from our future results, performance or achievements expressed or implied by such forward-looking statements. Readers are encouraged to consult the Company's Annual Report on Form 20-F and the periodic filings made on Form 6-K, which are periodically filed with or furnished to the United States Securities and Exchange Commission, as well as the presentations periodically filed before the Argentine Securities and Exchange Commission (Comisión Nacional de Valores) and the Buenos Aires Stock Exchange (Bolsas y Mercados Argentinos), for further information concerning risks and uncertainties faced by the Company. ******* SOURCE: Telecom Argentina S.A. View the original press release on ACCESS Newswire

This article first appeared on GuruFocus. Release Date: March 11, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Telecom Argentina SA (NYSE:TEO) reported consolidated revenues of over $5.7 billion for 2025, marking a 53% year-over-year increase in constant Argentine pesos, driven by the incorporation of Telefonica Moviles Argentina (TMA). The company's EBITDA margin improved to over 30.3% in fiscal year 2025, with a potential increase to over 32% when excluding severance charges from TMA. Telecom Argentina SA (NYSE:TEO) successfully expanded its fiber-to-home (FTTH) network and 5G infrastructure, with a significant increase in CapEx to approximately $1.0 billion, an 88% increase from the previous year. The company maintained a solid credit profile with a net debt to estimated pro forma EBITDA leverage ratio of around 1.7 times, showing improvement from the previous year. Telecom Argentina SA (NYSE:TEO) achieved growth in its broadband and Pay TV segments, with broadband accesses increasing by 3.2% year-over-year and Pay TV subscriptions growing for the second consecutive year. Telecom Argentina SA (NYSE:TEO) recorded a consolidated net loss of approximately ARS145 million for fiscal year 2025, compared to a net income of almost ARS1.4 trillion in 2024, primarily due to financial factors. The company faced a decrease in mobile subscribers, particularly in the prepaid segment, with a 10.7% reduction year-over-year, although this did not impact mobile service revenues. TMA's Pay TV subscriber base saw a decline of 7.9% year-over-year, with a net loss of approximately 33,000 customers. The company's financial results were impacted by FX exchange losses due to lower inflation compared to the base of devaluation, affecting the financial results for fiscal year 2025. Despite improvements, TMA's EBITDA margin, excluding severance charges, was still lower than Telecom Argentina SA (NYSE:TEO)'s margin, indicating room for further efficiency improvements. Warning! GuruFocus has detected 10 Warning Signs with TEO. Is TEO fairly valued? Test your thesis with our free DCF calculator. Q: Can you provide more details on the impact of the Telefonica Moviles Argentina (TMA) acquisition on your financials? A: Federico Pra, Interim CFO: The acquisition of TMA significantly boosted our consolidated revenues, which totaled over $5.7 billion, marking a 53% year-over-year increase in constant Argentine pesos. TMA's contribution was a key driver of this growth. Excluding TMA, our service revenues grew in real terms for the first time since adopting International Accounting Standard 29. The EBITDA margin also improved, reaching over 30.3%, and would have been higher without the increase in severance charges at TMA. Q: How has the integration of TMA affected your operational performance and market position? A: Federico Pra, Interim CFO: The integration of TMA has strengthened our market leadership, with mobile subscriber bases reaching 19.9 million for Telecom and 19.1 million for TMA. We have seen growth in broadband and pay TV subscriptions, supported by the expansion of our fiber-to-home network and strong commercial performance. TMA's standalone service revenues grew by 4% in real terms, contributing to our overall growth. Q: What are the key factors driving the improvement in your EBITDA margin? A: Federico Pra, Interim CFO: The improvement in our EBITDA margin, which reached 33.7% excluding TMA, is due to several factors. These include efficiency efforts, lower maintenance and material costs, and reduced labor costs from right-sizing operations. The margin would have been even higher without the increased severance charges at TMA. Our focus on cost efficiency and operational improvements has been crucial in achieving this margin expansion. Q: Can you elaborate on your capital expenditure priorities and how they align with your strategic goals? A: Federico Pra, Interim CFO: Our capital expenditure for 2025 was approximately $1.0 billion, an 88% increase from the previous year. We prioritized expanding both fixed and mobile access networks, particularly through the rollout of our fiber-to-home network and 5G infrastructure. These investments are essential for strengthening network quality, supporting data consumption growth, and reinforcing our competitive positioning in the long term. Q: How are you managing your debt and financial stability following the TMA acquisition? A: Federico Pra, Interim CFO: Our net debt to estimated pro forma EBITDA leverage ratio improved to around 1.7 times in fiscal year 2025, even after incorporating the financial acquisition of TMA. We have extended the average life of our debt to more than five years, reducing refinancing risk and maintaining a solid credit profile. Our financial strategy focuses on maintaining a competitive financing cost while ensuring long-term growth and stability. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

TMA acquisition drove consolidated scale — revenues rose about 53% YoY in constant pesos (service revenues +55%), with TMA contributing nearly $1.9 billion of consolidated revenue and over $0.4 billion of consolidated EBITDA in 2025. Excluding TMA, Telecom returned to real growth with service revenues up 4% YoY, powered by broadband (FTTH adoption) and Pay TV recovery, while mobile declines were mainly prepaid deactivations that management said did not materially impact mobile service revenues. Profitability and balance sheet strengthened: consolidated EBITDA margin improved to ~30.3% (would be >32% excluding higher severance), TMA margins rose under efficiency plans, CapEx jumped to ~ARS1.5 trillion for FTTH and 5G rollout, and pro forma net debt/EBITDA was about 1.7x after extending maturities (including a $600M 10‑year note). Interested in Telecom Argentina Stet - France Telecom S.A.? Here are five stocks we like better. 3 Emerging Stocks You Haven't Heard Much From This Cycle Telecom Argentina Stet - France Telecom (NYSE:TEO) used its earnings call for the year and fourth quarter ended December 31, 2025, to highlight the impact of its 2025 acquisition of Telefónica Móviles Argentina (TMA), a return to real growth in service revenues at the legacy business, and continued investment in fiber and 5G. Management said the results were presented on a consolidated basis including 10 months of TMA contribution (March through December 2025), alongside figures for Telecom excluding TMA and standalone TMA metrics for the full year. The company also noted that its 2025 reported figures reflect inflation accounting under IAS 29, and that it provided some historical figures for easier interpretation. → Microsoft Positioned to Win AI Race With Dual-Model Strategy Interim CFO Federico Pra said consolidated revenues totaled “over $5.7 billion,” up 53% year-over-year in constant Argentine pesos, “mainly driven by the incorporation of TMA results.” On service revenues, the company reported consolidated service revenues of “over $5.4 billion,” up 55% year-over-year in real terms with TMA included. Excluding TMA, management said total service revenues grew 4% year-over-year in real terms, which it characterized as the first year of real growth since the adoption of IAS 29. Pra added that mobile, broadband, and Pay TV service revenues were growing in real terms at a weighted average rate of 7%, while fixed voice and data grew below inflation. → FuelCell Energy Is Burning Cash Faster Than It’s Building Momentum On TMA as a standalone business, management said service revenues grew 4% in real terms during 2025 to approximately $2.1 billion. Pra emphasized that Telecom does not determine TMA’s pricing strategy, noting TMA continues to define and implement its own commercial strategy independently. Operationally, the company said the combined footprint across Telecom and TMA reinforced its market position in mobile, while fixed services showed signs of recovery. Mobile (Telecom/Personal): Prepaid accesses fell 10.7% year-over-year to almost 12 million in 4Q 2025, which management attributed to an updated disconnection criterion for new prepaid adds implemented in July 2024 that shortened inactivity periods before deactivation. Postpaid decreased 3.2% to almost 8 million. Management said the prepaid decline was largely lines with no traffic and “does not generate an impact on mobile service revenues.” Postpaid represented 40% of the total mobile base, up from 38% in 4Q 2024. Broadband (Telecom/Personal): Broadband accesses rose 3.2% year-over-year to 4.2 million in 4Q 2025, driven by FTTH adoption. FTTH reached almost 1.3 million accesses and represented 30% of the broadband base. Pay TV (Telecom/Personal Flow): Subscriber base in Argentina increased 1.4% year-over-year to almost 3.3 million. Unique Flow customers reached almost 2 million, up by more than 490,000, helped by Flow Flex, according to management. TMA mobile: Postpaid accesses grew 2.2% year-over-year to over 9 million, representing 49% of TMA’s mobile base. These figures included machine-to-machine connections of almost 2.9 million, up 6% versus 2024. TMA broadband: Broadband accesses rose 5.8% year-over-year to more than 1.6 million, with about 95% on FTTH technology. TMA Pay TV: Subscriber base declined 7.9% year-over-year, a net loss of about 33,000 customers, to 391,000. → Why This Defense ETF Could Keep Rallying as the Iran Conflict Escalates When combining Telecom and TMA, management said broadband grew 3.9% and Pay TV grew 0.4%, while mobile subscribers declined mainly due to the prepaid disconnection policy change at Telecom. Pra said consolidated EBITDA margin reached 30.3% in fiscal 2025 in constant currency, improving by more than 200 basis points versus 2024. In nominal terms, the company reported a 31.7% EBITDA margin for 2025. Management also provided several margin views tied to the TMA integration and severance charges: Consolidated EBITDA margin would have been “over 32%” excluding an increase in the run rate of severance charges at TMA. On a comparable basis excluding TMA contributions, EBITDA margin reached 33.7%, which management said was the highest level since 2020. In real terms, EBITDA increased by ARS 1 trillion, or 65% year-over-year, supported by TMA’s contribution and efficiency efforts. Pra highlighted cost areas that contributed to margin expansion, including fees for service, maintenance, and materials, citing lower maintenance and supplies, handset costs, and lower labor costs associated with “right sizing” efforts. For TMA specifically, management outlined an efficiency plan aimed at bringing TMA’s margin closer to Telecom’s, including elimination of management and brand fees, optimization of handset and SIM procurement, and initiatives to reduce video platform operating costs. Looking ahead, the company pointed to further efforts in programming expenses and optimization of the commercial network. Pra said TMA’s EBITDA margin excluding higher severance charges was approximately 26% versus 11% in fiscal 2024. Management said TMA contributed nearly $1.9 billion in consolidated revenues and over $0.4 billion in consolidated EBITDA during 2025, and that on a standalone annual basis TMA generated almost $2.3 billion in revenues and EBITDA of $0.5 billion versus $265 million reported in 2024 under the prior owner. Head of Investor Relations Luis Rial Ubago said consolidated EBIT increased in fiscal 2025 with the EBITDA expansion, and the company recorded operating income of ARS 450 million. He cited an operating margin of 5.4% of consolidated revenues in real terms (and “almost 23%” in historical figures). The company posted a consolidated net loss of approximately ARS 145 million in 2025, compared with net income of almost ARS 1.4 trillion in 2024. Management attributed the 2024 net income largely to financial gains from a strong real appreciation of the Argentine peso that created significant positive exchange differences on foreign-currency debt. In 2025, management said inflation ran below peso devaluation, resulting in FX exchange losses that hurt financial results. Capital expenditures in PP&E and intangible assets totaled almost ARS 1.5 trillion—an equivalent of over $1 billion at the official exchange rate—representing 17.8% of revenues, and rising 98% year-over-year in constant pesos. The company said investments prioritized FTTH expansion and 5G deployment. Key network figures cited included 105 new sites deployed, nearly 688 existing sites upgraded, over 800 new 5G sites added in the 3.5 GHz band, and a 5G footprint surpassing 1,000 sites by year-end. In fixed access, the company cited more than 16,000 new blocks deployed for FTTH and overlays of almost 11,400 HFC blocks, with more than 1 million homes passed during 2025—described as the largest FTTH rollout since the Telecom-Cablevisión merger. On cash generation, management said free cash flow before dividends and interest payments was over $0.6 billion in 2025. The company said the year-over-year expansion exceeded $0.2 billion and could have been around $0.3 billion excluding TMA’s extraordinary tax payments. Management said net debt to estimated pro forma EBITDA was about 1.7x in 2025, improving versus 2024 despite the financing used for the TMA acquisition. Using the company’s pro forma USD conversions, management cited pro forma revenues of $6.1 billion and pro forma EBITDA of $1.8 billion as of December 2025, with gross debt of $3.7 billion, cash and equivalents over $0.5 billion, and net debt of $3.2 billion. The company also discussed FX sensitivity, stating that FX depreciation in 3Q 2025 had low impact on EBITDA and almost no effect on leverage, and that in 4Q 2025 a 5.4% FX variation was outpaced by 7.9% inflation, helping the company “absorb” currency movement. On liability management, management said it extended the average life of debt to more than five years and secured $2.7 billion of financing during 2025. It also referenced a $600 million 10-year final maturity note issued in January 2026, describing the transaction as an unprecedented milestone for the company and Argentine corporates, with an order book exceeding 3.3x the issued amount. Management said these actions helped deconcentrate maturities, reduce refinancing risk, and preserve competitive funding costs. Separately, management noted a dividend payment announced in November and highlighted several financing-related awards mentioned during the call. In closing remarks, management reiterated its focus on broadband-led recovery in fixed services, continued record FTTH and 5G expansion, and progress in digital financial services. The company said Personal Pay reached 4.7 million onboarded clients in Argentina (29% annual growth) and reported increases in total payment volume and transaction counts, alongside more than ARS 414 billion in remunerated client account balances as of December 2025. Management also said it formed a joint venture with Banco Macro to accelerate Personal Pay’s growth and expand its product offering. Telecom Argentina Stet – France Telecom (NYSE:TEO) is an integrated telecommunications provider based in Buenos Aires, Argentina. Originally formed through the 1990 privatization of the state-owned Empresa Nacional de Telecomunicaciones (ENTel), the company was initially backed by Italian state carrier STET and French operator France Télécom. Since its listing on the New York Stock Exchange under the ticker TEO, Telecom Argentina has evolved into one of the country's principal communications groups, offering a comprehensive portfolio of voice and data services. The company's core business activities span fixed-line telephony, mobile services, broadband internet and digital television. The article "Telecom Argentina Stet - France Telecom Q4 Earnings Call Highlights" was originally published by MarketBeat.