By Adria Calatayud


Telefonica on Thursday raised its guidance for 2023 in light of what it called a positive performance since the beginning of the year, and reported a jump in second-quarter net profit helped by continued organic revenue growth.

The Spanish telecommunications group now expects organic revenue growth for the full year to be around 4%, while operating income before depreciation and amortization--a closely watched profitability metric--is forecast to rise around 3% organically. Telefonica said the new targets are at the top end of its prior guidance, which called for growth in a range of low single percentage digits for both metrics.

For the second quarter, Telefonica made a net profit of 462 million euros ($512.2 million), up 44% on year.

Revenue rose 0.9% to EUR10.13 billion, while Oibda was broadly flat at EUR3.14 billion, it said. On an organic basis, the company's revenue and Oibda grew 3.3% and 3.5%, respectively, in the quarter.

Analysts had forecast a net profit of EUR274 million, Oibda of EUR3.12 billion and revenue of EUR10.08 billion, according to consensus estimates provided by the company.

"Telefonica is advancing toward a new vision for the company with its 2023-2026 plan," Chairman and Chief Executive Jose Maria Alvarez-Pallete said. The company has scheduled an investor day for Nov. 8, where it intends to outline its strategic plan.


Write to Adria Calatayud at


(END) Dow Jones Newswires

July 27, 2023 01:42 ET (05:42 GMT)

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