Telefonica SA (TEF) released its first-quarter financial results for 2026 on May 14. The report indicates that the company recorded a net loss for the quarter, primarily due to asset disposals related to the divestment of its Latin American operations, although its core operating metrics were largely in line with market expectations. According to the financial data, from January to March of this year, Telefonica's revenue reached €8.13 billion (approximately $9.52 billion) on a constant currency basis, representing a year-on-year increase of 0.8%. Service revenue grew by 1.1%, offsetting a 2.4% decline in mobile handset sales. During the same period, the company's adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) increased by 1.8% year-on-year to €2.84 billion. The adjusted EBITDA margin improved slightly by 0.3 percentage points to 34.9%. Regarding profitability, affected by the sale of its business units in Chile, Colombia, and Mexico, Telefonica posted a net loss of €411 million for the first quarter. This marks a significant narrowing compared to the net loss of €1.3 billion recorded in the same period last year. Excluding the impact of the Latin American divestment, the adjusted net profit from continuing operations was €482 million.