Financials Telefônica Brasil S.A.

Equities

VIVT3

BRVIVTACNOR0

Integrated Telecommunications Services

Delayed Sao Paulo Other stock markets 15:50:15 09/05/2024 BST			5-day change	1st Jan Change
45.42 ^BRL	-6.55%		-8.58%	-15.04%

05-08	Telefônica Brasil S.A. Reports Earnings Results for the First Quarter Ended March 31, 2024	CI
05-08	Brazil's Telefonica quarterly profit rises 7%, but misses forecasts	RE

Valuation

Fiscal Period: December	2019	2020	2021	2022	2023	2024	2025	2026
Capitalization ¹	92,820	78,524	80,926	63,942	87,940	77,572	-	-
Enterprise Value (EV) ¹	103,252	86,001	91,382	80,970	102,319	89,519	88,311	85,569
P/E ratio	-	16.5 x	13.1 x	15.7 x	17.6 x	13.6 x	11.3 x	9.89 x
Yield	-	4.24%	7.23%	-	3.11%	8.24%	9.21%	10.5%
Capitalization / Revenue	2.1 x	1.82 x	1.84 x	1.33 x	1.69 x	1.41 x	1.34 x	1.29 x
EV / Revenue	2.33 x	1.99 x	2.08 x	1.69 x	1.96 x	1.63 x	1.53 x	1.42 x
EV / EBITDA	6.44 x	4.85 x	4.81 x	4.2 x	4.8 x	3.98 x	3.72 x	3.43 x
EV / FCF	11.6 x	7.78 x	10.4 x	8.95 x	10.3 x	9.56 x	7.55 x	6.36 x
FCF Yield	8.6%	12.9%	9.6%	11.2%	9.75%	10.5%	13.2%	15.7%
Price to Book	-	1.13 x	1.16 x	0.94 x	1.27 x	1.13 x	1.13 x	1.13 x
Nbr of stocks (in thousands)	1,688,694	1,688,695	1,679,316	1,667,333	1,645,588	1,652,584	-	-
Reference price ²	49.04	46.50	48.19	38.35	53.44	46.94	46.94	46.94
Announcement Date	19/02/20	23/02/21	22/02/22	15/02/23	20/02/24	-	-	-

¹BRL in Million²BRL

Estimates

Income Statement Evolution (Annual data)

Fiscal Period: December	2019	2020	2021	2022	2023	2024	2025	2026
Net sales ¹	44,268	43,126	44,033	48,041	52,100	54,834	57,682	60,365
EBITDA ¹	16,040	17,733	19,007	19,282	21,318	22,475	23,760	24,980
EBIT ¹	7,214	6,581	6,969	6,622	7,929	9,238	10,495	11,758
Operating Margin	16.3%	15.26%	15.83%	13.78%	15.22%	16.85%	18.2%	19.48%
Earnings before Tax (EBT) ¹	6,394	6,009	5,959	4,832	5,574	7,079	8,347	9,782
Net income ¹	5,001	4,771	6,229	4,058	5,029	5,754	6,773	7,913
Net margin	11.3%	11.06%	14.15%	8.45%	9.65%	10.49%	11.74%	13.11%
EPS ²	-	2.821	3.684	2.440	3.030	3.459	4.164	4.746
Free Cash Flow ¹	8,883	11,052	8,777	9,048	9,975	9,362	11,691	13,464
FCF margin	20.07%	25.63%	19.93%	18.83%	19.15%	17.07%	20.27%	22.3%
FCF Conversion (EBITDA)	55.38%	62.33%	46.18%	46.92%	46.79%	41.65%	49.2%	53.9%
FCF Conversion (Net income)	177.62%	231.66%	140.91%	222.96%	198.34%	162.7%	172.61%	170.16%
Dividend per Share ²	-	1.973	3.487	-	1.660	3.869	4.325	4.942
Announcement Date	19/02/20	23/02/21	22/02/22	15/02/23	20/02/24	-	-	-

¹BRL in Million²BRL

Estimates

Income Statement Evolution (Quarterly data)

Fiscal Period: December	2021 Q4	2022 Q1	2022 Q2	2022 Q3	2022 Q4	2023 Q1	2023 Q2	2023 Q3	2023 Q4	2024 Q1	2024 Q2	2024 Q3	2024 Q4	2025 Q1	2025 Q2
Net sales ¹	11,501	11,352	11,831	12,199	12,659	12,721	12,733	13,112	13,535	13,546	13,515	13,893	14,320	14,142	14,348
EBITDA ¹	4,933	4,511	4,578	4,957	5,234	4,942	5,085	5,539	5,752	5,277	5,445	5,732	6,008	5,538	5,743
EBIT ¹	1,867	1,437	1,481	1,732	1,971	1,682	1,878	2,121	2,248	1,911	2,120	2,403	2,673	2,095	2,330
Operating Margin	16.23%	12.66%	12.52%	14.2%	15.57%	13.22%	14.75%	16.18%	16.61%	14.11%	15.69%	17.3%	18.66%	14.81%	16.24%
Earnings before Tax (EBT) ¹	1,460	909	876	1,689	1,357	1,018	1,387	1,549	1,621	1,224	1,624	1,833	2,140	-	-
Net income ¹	2,628	750	746	1,440	1,126	835	1,123	1,472	1,601	896	1,099	1,274	2,015	-	-
Net margin	22.85%	6.61%	6.31%	11.8%	8.89%	6.56%	8.82%	11.23%	11.83%	6.61%	8.13%	9.17%	14.07%	-	-
EPS ²	1.553	0.4472	0.4559	0.8600	0.6800	0.5000	0.6800	0.8900	0.9700	0.5400	0.7098	0.8549	1.172	0.8454	0.9503
Dividend per Share ²	2.512	0.1070	-	-	-	-	-	-	0.4372	-	1.220	0.7540	1.432	0.5857	2.497
Announcement Date	22/02/22	10/05/22	26/07/22	25/10/22	15/02/23	09/05/23	25/07/23	31/10/23	20/02/24	07/05/24	-	-	-	-	-

¹BRL in Million²BRL

Estimates

Balance Sheet Analysis

Fiscal Period: December	2019	2020	2021	2022	2023	2024	2025	2026
Net Debt ¹	10,432	7,477	10,455	17,028	14,379	11,947	10,739	7,997
Net Cash position ¹	-	-	-	-	-	-	-	-
Leverage (Debt/EBITDA)	0.6504 x	0.4216 x	0.5501 x	0.8831 x	0.6745 x	0.5315 x	0.452 x	0.3201 x
Free Cash Flow ¹	8,883	11,052	8,777	9,048	9,975	9,362	11,691	13,464
ROE (net income / shareholders' equity)	7.04%	6.82%	8.93%	5.91%	7.29%	8.33%	9.95%	11.5%
ROA (Net income/ Total Assets)	4.74%	4.4%	5.55%	3.48%	4.19%	4.79%	5.48%	5.8%
Assets ¹	105,426	108,514	112,202	116,616	119,921	120,238	123,563	136,425
Book Value Per Share ²	-	41.10	41.70	40.80	42.10	41.70	41.60	41.50
Cash Flow per Share ²	-	11.40	10.70	11.30	11.30	11.40	12.40	12.80
Capex ¹	8,839	8,289	9,295	9,894	8,811	9,084	9,264	9,612
Capex / Sales	19.97%	19.22%	21.11%	20.6%	16.91%	16.57%	16.06%	15.92%
Announcement Date	19/02/20	23/02/21	22/02/22	15/02/23	20/02/24	-	-	-

¹BRL in Million²BRL

Estimates

EPS & Dividend

Year-on-year evolution of the PER

Year-on-year evolution of the Yield

Change in Enterprise Value/EBITDA

Ratings for Telefônica Brasil S.A.

Trading Rating

Investor Rating

ESG Refinitiv

A-

More Ratings

Analysts' Consensus

Sell

Buy

Mean consensus

OUTPERFORM

Number of Analysts

Last Close Price

46.94 BRL

Average target price

56.92 BRL

Spread / Average Target

+21.27%

Consensus

EPS Revisions

Estimates Revisions

Quarterly earnings - Rate of surprise

Company calendar

Sector Other Integrated Telecommunications Services

	1st Jan change	Capi.
TELEFÔNICA BRASIL S.A.	-15.04%	15.26B
CHINA MOBILE LIMITED	+8.95%	197B
VERIZON COMMUNICATIONS	+5.07%	166B
DEUTSCHE TELEKOM AG	+0.74%	115B
NIPPON TELEGRAPH AND TELEPHONE CORPORATION	-2.55%	90.85B
CHINA TELECOM CORPORATION LIMITED	+15.51%	71.71B
AMÉRICA MÓVIL, S.A.B. DE C.V.	+5.84%	60.95B
SAUDI TELECOM COMPANY	-4.83%	50.74B
EMIRATES TELECOMMUNICATIONS GROUP COMPANY	-14.56%	39.97B
CHARTER COMMUNICATIONS, INC.	-29.75%	39.29B

Other Integrated Telecommunications Services