Australia's Telstra posts 3.2% rise in annual profit, unveils further $706 million buyback

Australia's Telstra posts 3.2% rise in annual profit, unveils further $706 million buyback Aug 13 : Australia's Telstra Group announced an additional share buyback of up to A$1 billion ($705.90 million) on Thursday and reported a 3.2 per cent rise in annual profit, driven by growth in its mobile business and higher customer spending. The telecom firm posted attributable profit of A$2.24 billion for the year ended June 30, up from A$2.17 billion a year earlier but below a Visible Alpha consensus estimate of A$2.30 billion. Telstra announced the further share buyback after completing an A$1.25 billion repurchase programme in June, citing earnings growth and balance-sheet strength. Revenue at Telstra's mobile segment, its largest accounting for about 44 per cent of group income, grew 3.2 per cent to A$11.37 billion in 2026, helped by higher average revenue per user (ARPU) and mobile service revenue growth. The company said ARPU rose across all categories, brands and segments during the year. The country's top telecom firm also implemented a series of tariff increases that drove earnings growth in this core division. Telstra declared a higher final dividend of 10.5 Australian cents per share, from 9.5 Australian cents apiece last year. It forecast its 2027 earnings before interest, taxes, depreciation and amortisation after leases (EBITDAaL) of A$8.5 billion to A$8.8 billion and cash EBIT between A$4.75 billion and A$4.95 billion. ($1 = 1.4166 Australian dollars)