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Telefónica Reports Strong 2024 Financial Performance

Telefónica Reports Strong 2024 Financial Performance

Telefonica SA ( (TEF) ) has released its Q4 earnings. Here is a breakdown of the information Telefonica SA presented to its investors.

Telefónica, S.A. is a multinational telecommunications company based in Spain, known for providing a wide range of services including fixed and mobile telephony, broadband, and digital solutions across Europe and Latin America.

Telefónica has reported a successful 2024 financial year, achieving all its financial targets with a revenue increase to €41,315 million and a notable rise in cash flow generation by 14.1% compared to the previous year.

The company saw a 1.6% growth in revenue and a 1.2% increase in EBITDA, with significant contributions from its operations in Spain, Brazil, Germany, and the UK. Telefónica Tech and Telefónica Infra also showed strong performance, with Tech’s revenues growing by 10% and Infra expanding its fibre network significantly. The company managed to reduce its net financial debt to €27,161 million, improving its leverage ratio.

Looking ahead, Telefónica has set ambitious financial goals for 2025, focusing on organic growth in revenue and EBITDA, further reduction in CapEx over sales, and maintaining a stable free cash flow. The company also plans to continue its sustainability efforts, aiming for a 95% reduction in energy consumption per unit of traffic by 2030.

Telefónica’s management remains optimistic about the future, with plans to enhance shareholder value through a proposed dividend of €0.30 per share for 2025, while continuing to invest in technological advancements and sustainability initiatives.

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