Revenue growth remains steady at 5.4% year-over-year, though gross margins have normalized to 40.6% in 2026Q1 following the volatility observed in early 2024.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 |
|---|
| Revenue | 60.61B | 58.42B | 55.85B | 52.1B | 48.04B | 44.03B | 43.13B | 44.27B | 43.46B | 43.21B | 42.51B | 40.29B | 35B | 34.72B | 33.92B | 29.12B | 15.8B | 15.81B | 15.98B | 14.73B | 14.61B | 14.39B | 13.31B | 11.8B | 10.09B | 9.05B | 7.51B | 5.59B | 4.52B |
| Revenue Growth % | 6.92% | 4.62% | 7.19% | 8.45% | 9.1% | 2.1% | -2.58% | 1.85% | 0.59% | 1.64% | 5.51% | 15.11% | 0.8% | 2.37% | 16.5% | 84.3% | -0.05% | -1.08% | 8.51% | 0.81% | 1.54% | 8.1% | 12.74% | 17.02% | 11.49% | 20.41% | 34.55% | 23.56% | - |
| Cost of Revenue | 34.69B | 34.8B | 31.35B | 29.42B | 27.43B | 24.78B | 22.69B | 22.16B | 21.03B | 20.27B | 20.82B | 20.35B | 17.22B | 17.54B | 16.56B | 15.04B | 8.84B | 9.09B | 8.73B | 8.02B | 7.76B | 5.32B | 7.5B | 6.71B | 5.77B | 5.76B | 2.15B | 1.6B | 1.25B |
| Gross Profit | 25.92B | 23.62B | 24.49B | 22.68B | 20.61B | 19.25B | 20.43B | 22.11B | 22.44B | 22.93B | 21.69B | 19.94B | 17.78B | 17.18B | 17.36B | 14.08B | 6.95B | 6.71B | 7.25B | 6.7B | 6.85B | 9.07B | 5.81B | 5.09B | 4.32B | 3.29B | 5.37B | 3.99B | 3.27B |
| Gross Margin % | 42.77% | 40.43% | 43.86% | 43.54% | 42.9% | 43.72% | 47.38% | 49.94% | 51.62% | 53.08% | 51.01% | 49.5% | 50.79% | 49.48% | 51.19% | 48.36% | 44.01% | 42.48% | 45.39% | 45.53% | 46.87% | 63.04% | 43.68% | 43.12% | 42.81% | 36.38% | 71.41% | 71.36% | 72.42% |
| Gross Profit Growth % | - | -3.57% | 7.97% | 10.07% | 7.06% | -5.79% | -7.58% | -1.46% | -2.17% | 5.76% | 8.74% | 12.18% | 3.48% | -1.05% | 23.3% | 102.51% | 3.56% | -7.42% | 8.18% | -2.07% | -24.51% | 56.02% | 14.19% | 17.88% | 31.19% | -38.65% | 34.64% | 21.76% | - |
| Operating Expenses | 16.2B | 14.72B | 15.82B | 14.77B | 14.01B | 12.17B | 13.85B | 14.89B | 12.98B | 16.3B | 15.32B | 14.7B | 12.67B | 12.25B | 10.15B | 8.29B | 6.95B | 6.71B | 7.25B | 6.7B | 6.85B | 9.07B | 5.81B | 5.09B | 4.32B | 3.29B | 5.37B | 3.99B | 3.27B |
| Other Operating Expenses | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| EBITDA | 24.82B | 23.55B | 22.88B | 21.31B | 19.26B | 19.12B | 17.81B | 18.13B | 17.82B | 14.49B | 14.02B | 12.05B | 10.4B | 10.58B | 12.7B | 10.38B | 5.18B | 5.93B | 6.21B | 5.91B | 6.56B | 8.48B | 5.95B | 5.21B | 5.14B | 4.66B | 4.02B | 2.9B | 2.35B |
| EBITDA Margin % | 40.95% | 40.3% | 40.96% | 40.9% | 40.09% | 43.43% | 41.3% | 40.97% | 41.01% | 33.53% | 32.99% | 29.92% | 29.73% | 30.46% | 37.45% | 35.65% | 32.77% | 37.5% | 38.89% | 40.12% | 44.91% | 58.97% | 44.71% | 44.13% | 50.99% | 51.49% | 53.49% | 51.98% | 52.08% |
| EBITDA Growth % | 6.54% | 2.93% | 7.36% | 10.64% | 0.7% | 7.39% | -1.79% | 1.74% | 23.05% | 3.31% | 16.32% | 15.86% | -1.62% | -16.75% | 22.37% | 100.49% | -12.66% | -4.62% | 5.2% | -9.96% | -22.66% | 42.56% | 14.23% | 1.27% | 10.4% | 15.91% | 38.45% | 23.34% | - |
| Depreciation & Amortization | 15.1B | 14.65B | 14.2B | 13.39B | 12.66B | 12.04B | 11.23B | 10.92B | 8.37B | 7.85B | 7.65B | 6.81B | 5.3B | 5.64B | 5.49B | 4.58B | 1.91B | 2.51B | 2.78B | 2.7B | 2.67B | 2.71B | 2.77B | 2.85B | 2.84B | 3.32B | 2.95B | 2.38B | 1.52B |
| D&A / Revenue % | 24.91% | 25.08% | 25.43% | 25.7% | 26.35% | 27.34% | 26.03% | 24.67% | 19.25% | 18.18% | 18.01% | 16.92% | 15.13% | 16.25% | 16.19% | 15.75% | 12.11% | 15.85% | 17.37% | 18.33% | 18.28% | 18.87% | 20.8% | 24.17% | 28.17% | 36.74% | 39.24% | 42.61% | 33.57% |
| Operating Income (EBIT) | 9.72B | 8.9B | 8.67B | 7.92B | 6.6B | 7.09B | 6.58B | 7.21B | 9.46B | 6.63B | 6.37B | 5.24B | 5.11B | 4.93B | 7.21B | 5.8B | 3.26B | 3.42B | 3.44B | 3.21B | 3.89B | 5.77B | 3.18B | 2.36B | 2.3B | 1.33B | 1.07B | 523.55M | 836.56M |
| Operating Margin % | 16.04% | 15.23% | 15.53% | 15.2% | 13.73% | 16.09% | 15.26% | 16.3% | 21.76% | 15.35% | 14.98% | 13.01% | 14.6% | 14.21% | 21.26% | 19.91% | 20.66% | 21.65% | 21.52% | 21.79% | 26.64% | 40.09% | 23.9% | 19.96% | 22.82% | 14.75% | 14.25% | 9.37% | 18.51% |
| Operating Income Growth % | - | 2.56% | 9.54% | 20% | -6.89% | 7.66% | -8.77% | -23.7% | 42.58% | 4.15% | 21.54% | 2.56% | 3.58% | -31.6% | 24.41% | 77.57% | -4.62% | -0.48% | 7.18% | -17.54% | -32.54% | 81.31% | 35.04% | 2.35% | 72.45% | 24.66% | 104.51% | -37.42% | - |
| Interest Expense | 4M | 2.46B | 577.23M | 451.69M | 2.2B | 924M | 777.85M | 247.28M | 510.4M | 1.07B | 361.4M | 380.3M | 1.08B | 1.01B | 889.8M | 484.66M | 120.7M | 442.87M | 290.82M | 0 | 0 | 512.91M | 387.3M | 500.26M | 475.09M | 0 | 0 | 0 | 0 |
| Interest Coverage | - | 3.90x | 12.72x | 13.58x | 2.36x | 6.66x | 7.89x | 26.44x | 22.46x | 5.49x | 14.98x | 12.12x | 4.59x | 4.84x | 8.55x | 12.67x | 31.49x | 8.20x | 13.48x | - | - | 11.25x | 8.50x | 4.73x | 3.79x | - | - | - | - |
| Interest / Revenue % | 0.01% | 4.21% | 1.03% | 0.87% | 4.57% | 2.1% | 1.8% | 0.56% | 1.17% | 2.47% | 0.85% | 0.94% | 3.07% | 2.91% | 2.62% | 1.66% | 0.76% | 2.8% | 1.82% | 0% | 0% | 3.57% | 2.91% | 4.24% | 4.71% | 0% | 0% | 0% | 0% |
| Non-Operating Income | -4M | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | 1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | 1000K | -1000K | 1000K | 1000K | 1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K |
| Pretax Income | 7.46B | 7.13B | 6.76B | 5.57B | 4.83B | 5.96B | 6.01B | 6.39B | 11.28B | 5.73B | 5.13B | 4.39B | 4.75B | 4.66B | 6.92B | 5.66B | 3.44B | 3.21B | 3.5B | 3.34B | 3.91B | 3.41B | 2.91B | 1.87B | 1.32B | 867.77M | 979.95M | 160.79M | 743.04M |
| Pretax Margin % | 12.31% | 12.2% | 12.11% | 10.7% | 10.06% | 13.53% | 13.93% | 14.44% | 25.95% | 13.26% | 12.08% | 10.91% | 13.58% | 13.43% | 20.4% | 19.42% | 21.8% | 20.3% | 21.91% | 22.68% | 26.8% | 23.71% | 21.83% | 15.82% | 13.12% | 9.59% | 13.04% | 2.88% | 16.44% |
| Income Tax | 1.08B | 1.07B | 1.21B | 533.94M | 773.69M | -269.83M | 1.24B | 1.39B | 2.35B | 1.12B | 1.05B | 973.21M | -182.69M | 946.42M | 2.47B | 1.29B | 1.05B | 1.01B | 1.08B | 977.4M | 1.11B | 870.8M | 724.07M | 279.46M | 247.66M | -63.06M | 51.49M | -327.67M | 192.83M |
| Effective Tax Rate % | 14.45% | 15.04% | 17.84% | 9.58% | 16.01% | -4.53% | 20.6% | 21.79% | 20.83% | 19.58% | 20.44% | 22.15% | -3.84% | 20.3% | 35.66% | 22.86% | 30.36% | 31.32% | 30.89% | 29.26% | 28.24% | 25.53% | 24.92% | 14.96% | 18.71% | -7.27% | 5.25% | -203.79% | 25.95% |
| Net Income | 6.38B | 6.05B | 5.55B | 5.03B | 4.09B | 6.24B | 4.77B | 5B | 8.93B | 4.61B | 4.09B | 3.33B | 4.94B | 3.72B | 4.45B | 4.36B | 2.4B | 2.17B | 2.42B | 2.36B | 2.81B | 2.54B | 2.18B | 1.58B | 456.52M | 930.83M | 928.46M | 488.46M | 550.21M |
| Net Margin % | 10.52% | 10.35% | 9.93% | 9.65% | 8.5% | 14.17% | 11.06% | 11.3% | 20.54% | 10.67% | 9.61% | 8.27% | 14.1% | 10.7% | 13.13% | 14.96% | 15.18% | 13.75% | 15.15% | 16.04% | 19.23% | 17.67% | 16.39% | 13.4% | 4.53% | 10.29% | 12.36% | 8.75% | 12.17% |
| Net Income Growth % | 11.64% | 8.99% | 10.31% | 23.12% | -34.53% | 30.79% | -4.61% | -43.99% | 93.72% | 12.82% | 22.63% | -32.52% | 32.85% | -16.54% | 2.22% | 81.56% | 10.39% | -10.21% | 2.43% | -15.9% | 10.52% | 16.51% | 37.95% | 246.45% | -50.96% | 0.26% | 90.08% | -11.22% | - |
| EPS (Diluted) | 3.99 | 3.78 | 3.38 | 3.03 | 2.44 | 3.71 | 2.83 | 2.96 | 5.29 | 2.56 | 2.27 | 2.15 | 4.12 | 3.10 | 3.72 | 4.40 | 4.45 | 4.08 | 4.78 | 4.67 | 5.56 | 5.17 | 4.42 | 3.22 | 2.18 | 1.89 | 2.12 | 1.01 | 1.64 |
| EPS Growth % | 14.33% | 11.83% | 11.55% | 24.18% | -34.23% | 31.1% | -4.39% | -44.05% | 106.64% | 12.78% | 5.58% | -47.82% | 32.9% | -16.67% | -15.45% | -1.12% | 9.07% | -14.64% | 2.36% | -16.01% | 7.54% | 16.97% | 37.27% | 47.71% | 15.34% | -10.85% | 109.9% | -38.41% | - |
| EPS (Basic) | - | 3.78 | 3.38 | 3.03 | 2.44 | 3.71 | 2.83 | 2.96 | 5.29 | 2.56 | 2.27 | 2.15 | 4.12 | 3.10 | 3.72 | 4.40 | 4.45 | 4.08 | 4.78 | 4.67 | 5.56 | 5.17 | 4.42 | 3.22 | 2.18 | 1.89 | 2.12 | 1.01 | 1.64 |
| Diluted Shares Outstanding | 1.6B | 1.61B | 1.64B | 1.66B | 1.67B | 1.68B | 1.69B | 1.69B | 1.69B | 1.69B | 1.69B | 1.49B | 1.12B | 1.12B | 1.12B | 928M | 505.84M | 505.84M | 505.84M | 505.84M | 506.2M | 493.59M | 493.59M | 493.59M | 493.65M | 493.67M | 490.41M | 489.49M | 334.85M |
Regulatory and concession uncertainty
As reported in recent financial statements, VIV maintained a consistent revenue growth trajectory, with the most recent quarter showing a 5.4% year-over-year increase to $15.2B, reflecting the company's ongoing efforts to pivot from legacy fixed-line services toward high-growth fiber and mobile data segments.
The revenue expansion appears supported by the successful integration of acquired mobile assets and the steady migration of the subscriber base to higher-ARPU fiber plans. However, the deceleration from the 8.7% growth observed in 2025Q4 suggests that the company may be reaching a saturation point in its core metropolitan markets, warranting further investigation into the sustainability of organic growth.
Based on the provided income statement data, VIV's gross margin has exhibited significant fluctuations, notably dropping from a peak of 81.3% in 2024Q1 to 40.6% in 2026Q1, indicating that the earlier period likely contained non-recurring accounting adjustments rather than a permanent shift in cost efficiency.
The current gross margin level of approximately 40% appears consistent with the capital-intensive nature of maintaining nationwide telecommunications infrastructure. Investors should monitor whether the company can achieve structural margin expansion through the decommissioning of legacy copper networks, which would theoretically reduce ongoing maintenance costs.
According to the company's reported figures, operating income reached $2.2B in 2026Q1, demonstrating that VIV maintains a disciplined approach to managing its SG&A expenses, which have remained relatively stable even as the company continues to invest in its digital services and 5G network expansion.
The ability to keep SG&A costs contained while scaling revenue suggests a degree of operational leverage inherent in the business model. However, the sensitivity of operating margins to competitive pricing cycles implies that management's expense discipline may be tested if market competition intensifies further.
As indicated by the quarterly data, VIV's net income has shown notable volatility, with net margins ranging from 7.4% to 12.6% over the last ten quarters, a trend that often reflects the impact of non-recurring tax credits and other non-operating items on the bottom line.
The lack of stock-based compensation expense suggests a clean earnings profile, yet the reliance on tax-related adjustments warrants caution when assessing the underlying operational profitability. Analysts should focus on normalized net income figures to better gauge the company's true earnings power and dividend sustainability.
While VIV demonstrates a resilient financial profile, the potential for margin compression remains a significant risk, as evidenced by the recent decline in operating margins from 18.5% in 2025Q3 to 14.8% in 2026Q1, which may signal intensifying competitive pressures in the Brazilian telecom sector.
Short-term investors should be wary of the company's exposure to regulatory changes regarding fixed-line concessions, which could necessitate unexpected capital expenditures. Furthermore, the aggressive pursuit of digital services diversification may introduce new operational risks that could dilute the company's core focus on connectivity.
Quick answers to the most common questions about buying VIV stock.
For fiscal year 2025, Telefônica Brasil S.A. (VIV) reported total revenue of $58.42B. This represents a 1192.5% increase compared to $4.52B in 1998.
Telefônica Brasil S.A. (VIV) is profitable, generating $6.05B in net income for the fiscal year ending 2025 with a net profit margin of 10.3%.
Telefônica Brasil S.A. (VIV) reported an operating income of $8.90B, resulting in an operating profit margin of 15.2%. This margin reflects the operational efficiency of the business before interest and taxes.
Telefônica Brasil S.A. (VIV) generated $23.62B in gross profit for the year, representing a gross profit margin of 40.4%. This demonstrates the company's core pricing power and production efficiency.