Company Reports

Telstra lifted fiscal 2026 underlying EBITDA after leases by 4% to AUD 8.3 billion, meeting guidance. A final DPS of AUD 0.105 brings the full-year total to AUD 0.21, 91% franked. Management is guiding for fiscal 2027 EBITDAaL to be AUD 8.5 billion-AUD 8.8 billion, growth of 4% at the midpoint.

Telstra's performance during and since the depths of covid-19 shows the resilience of its earnings and the strength of its balance sheet. The AUD 2.7 billion cost-out program under T22 was delivered, and an additional AUD 428 million of costs was eliminated under the T25 plan.

Telstra's performance during and since the depths of covid-19 shows the resilience of its earnings and the strength of its balance sheet. The AUD 2.7 billion cost-out program under T22 was delivered, and an additional AUD 428 million of costs was eliminated under the T25 plan.

Telstra is coming under scrutiny, as investors assess the threat of satellite-delivered communications alternatives. The catalyst is the initial public offer of Space Exploration Technologies, or SpaceX, whose "mission is to build the systems and technologies necessary to make life multiplanetary."

Telstra delivered a 6% increase in fiscal 2026 first-half underlying EBITDA (after leases) to AUD 4.185 billion. Underlying net profit was up 12% to AUD 1.147 billion. Interim DPS also grew 11% to AUD 0.105, albeit now only 91% franked. Full-year guidance has been reiterated across all metrics.

Telstra's performance during and since the depths of covid-19 shows the resilience of its earnings and the strength of its balance sheet. The AUD 2.7 billion cost-out program under T22 was delivered, and an additional AUD 428 million of costs was eliminated under the T25 plan.

Telstra is six months into its five-year Connected Future 30 strategic journey, with the aim of delivering a mid-single-digit compound annual growth rate in cash earnings from fiscal 2025 to fiscal 2030. We assess the predictability of those earnings and implications for our intrinsic assessment.

Telstra's performance during and since the depths of covid-19 shows the resilience of its earnings and the strength of its balance sheet, especially given the negative impact on high-margin roaming revenue was material during the pandemic. The AUD 2.7 billion cost-out program under T22 was delivered, and an additional AUD 428 million of costs was eliminated under the T25 plan.

Telstra's performance during and since the depths of covid-19 shows the resilience of its earnings and the strength of its balance sheet, especially given the negative impact on high-margin roaming revenue was material during the pandemic. The AUD 2.7 billion cost-out program under T22 was delivered, and an additional AUD 428 million of costs was eliminated under the T25 plan.

Telstra's fiscal 2025 underlying EBITDA grew by 5% to AUD 8.621 billion and underlying net profit increased 3% to AUD 2.195 billion. A final dividend per share of AUD 0.095 was declared, bringing the total for the year to AUD 0.19 fully franked, up 6%.

Telstra reaffirmed fiscal 2025 earnings guidance, setting the base for a new five-year strategic plan. It is targeting mid-single-digit compound annual growth in cash earnings to fiscal 2030, while aiming to generate "a sustainable and growing dividend."

Telstra's performance during and since the depth of covid-19 shows the resilience of its earnings and the strength of its balance sheet, especially given the negative impact on high-margin roaming revenue was material during the pandemic. The AUD 2.7 billion cost-out program under T22 has been delivered and management is now focused on hitting the AUD 500 million cost reduction target under the T25 plan.

Reserve Bank of Australia modelling suggests US tariffs could wipe around one percentage point from Australian GDP growth over the next few years. While the chance of a recession is higher, its impact and duration may be mitigated by monetary and/or fiscal responses deployed.

Telstra's performance during and since the depth of covid-19 shows the resilience of its earnings and the strength of its balance sheet, especially given the negative impact on high-margin roaming revenue was material during the pandemic. The AUD 2.7 billion cost-out program under T22 has been delivered and management is now focused on hitting the AUD 500 million cost reduction target under the T25 plan.

Telstra's fiscal 2025 first-half underlying EBITDA grew by 6% to AUD 4.2 billion, driving a similar lift in underlying net profit to AUD 1.1 billion and earnings per share to AUD 8.9 cents. The 6% increase in interim fully franked DPS to AUD 9.5 cents is just one positive take-away from the result.

Telstra's T25 strategy is ending, with fiscal 2025 just around the corner. We will leave it to management to show how it achieved all the nebulous objectives, such as improving customer experience, network technology, and digital leadership. Instead, we present a wish list of priorities for Telstra's new strategic framework, likely to be called T28 as a wild guess.

Telstra's performance during and since the depth of covid-19 shows the resilience of its earnings and the strength of its balance sheet, especially given the negative impact on high-margin roaming revenue was material during the pandemic. The AUD 2.7 billion cost-out program under T22 has been delivered and management is now focused on hitting the AUD 500 million cost reduction target under the T25 plan.

Telstra's performance during and since the depth of covid-19 demonstrates the resilience of its earnings and the strength of its balance sheet, especially given the negative impact on high-margin roaming revenue was material during the pandemic. The AUD 2.7 billion cost-out program under T22 has been delivered and management is now focused on hitting the AUD 500 million cost reduction target under the T25 plan.

Telstra's performance during and since the depth of covid-19 demonstrates the resilience of its earnings and the strength of its balance sheet, especially given the negative impact on high-margin roaming revenue was material during the pandemic. The AUD 2.7 billion cost-out program under T22 has been delivered and management is now focused on hitting the AUD 500 million cost reduction target under the T25 plan.

The 4% rise in Telstra's fiscal 2024 underlying EBITDA to AUD 8.2 billion was well-telegraphed, meeting guidance reiterated just three months ago. The more encouraging news is the tightening of management's fiscal 2025 EBITDA projection to AUD 8.5 billion to AUD 8.7 billion from AUD 8.4 billion at the low end. We consider it a small but sentimentally positive upgrade so early in the new fiscal year.