Telstra FY profit rises slightly, announces $706 mln buyback

Telstra Group reported a slight increase in annual profit to A$2.24 billion for the year ending June 30, marking a 3.2% growth compared to the previous year. The company's mobile segment, accounting for about 44% of the group's income, saw a 3.2% rise in revenue to A$11.37 billion in 2026. This growth was attributed to increased average revenue per user and gains in mobile service revenue.

Telstra announced a A$1 billion share buyback, citing strength in its earnings and balance sheet. The company had already completed a A$1.25 billion buyback program in June. For 2027, Telstra projected earnings before interest, taxes, depreciation and amortisation after leases to be between A$8.5 billion and A$8.8 billion, with a cash EBIT forecast of A$4.75 billion to A$4.95 billion.

The company's shares dropped nearly 4% on Thursday. Telstra also declared a final dividend of 10.5 Australian cents per share, an increase from the previous year's 9.5 Australian cents.