Abstract

Brazilian telecom operator TIM will report its quarterly results on February 10, 2026 Post Market; this preview consolidates recent financials, updated company guidance, and current market expectations to frame revenue, margins, earnings trajectory, and segment dynamics ahead of the print.

Market Forecast

Market consensus anticipates that TIM’s current quarter revenue will reach USD 1.29 billion, with adjusted EPS of USD 0.43 and EBIT of USD 0.32 billion; year over year, revenue is projected to grow by 11.34%, EBIT by 28.22%, and adjusted EPS by 7.83%. Gross margin and net profit margin guidance were not disclosed in forecasts; the central narrative is continued top-line growth anchored by mobile services with stable profitability metrics and improving operating leverage. The main business — mobile services — is projected to drive the quarter given steady subscriber mix upgrades and disciplined pricing. The segment with the strongest growth potential remains postpaid mobile and value-added mobile services, expected to outpace consolidated growth; if the company discloses segment revenue and growth during the call, we will update with exact figures.

Last Quarter Review

TIM’s last reported quarter delivered revenue of USD 1.23 billion, a gross profit margin of 54.91%, GAAP net profit attributable to the parent of USD 1.21 billion, a net profit margin of 18.00%, and adjusted EPS of USD 0.46, with year-over-year adjusted EPS growth of 59.38%. One notable highlight was EPS outperforming consensus by USD 0.05, reflecting robust operating efficiency and disciplined cost control. In the period, mobile services contributed USD 17.68 billion, fixed-line services USD 1.02 billion, and merchandise sales USD 0.69 billion, indicating mobile’s predominance within the revenue mix and underscoring its centrality to growth; year-over-year breakouts were not disclosed.

Current Quarter Outlook

Mobile Services

Mobile services remain at the heart of this quarter’s setup, with the company’s revenue trajectory underpinned by steady expansion in premium postpaid tiers and an improving mix. The forecast calls for consolidated revenue of USD 1.29 billion, and mobile is set to supply the bulk given its scale and recurring nature. Within this context, the key swing variables include churn management, ARPU progression as users migrate toward higher-value plans, and disciplined subsidy spending to protect margins. A focus on network quality and coverage also provides structural support for pricing, while ongoing digitalization of channels should help reduce acquisition and servicing costs, offering leverage to margins even if top-line growth moderates.

Most Promising Segment: Postpaid and Value-Added Mobile

The most promising growth pocket continues to be postpaid and value-added mobile, where higher ARPU and lower churn support both revenue and EBITDA expansion. As the company pushes data-centric plans and bundles, incremental revenue per user should expand faster than subscriber count, promoting operating leverage. This quarter’s EBIT forecast of USD 0.32 billion suggests a meaningful step-up versus the prior quarter’s actual USD 0.31 billion, aligning with a mix-shift to more profitable postpaid cohorts. The pace of upselling to enhanced data packages and adoption of digital services will be important indicators to watch on results day, given their outsized contribution to margin resilience.

Key Stock Price Drivers This Quarter

The stock’s reaction this quarter will likely be driven by revenue quality and profitability signals rather than headline revenue alone. Investors will scrutinize ARPU trends, net additions in postpaid, and any commentary on competitive intensity, as these metrics inform the sustainability of double-digit revenue growth. Margin trajectory is in focus too: while consensus lacks explicit gross or net margin targets for this quarter, the prior quarter’s 54.91% gross margin and 18.00% net profit margin set a reference point; any deviation tied to higher network spending or customer acquisition costs could reset expectations. Finally, the gap between forecast and print for EPS and EBIT will matter, as the previous quarter’s positive EPS surprise raises the hurdle for sentiment.

Analyst Opinions

Across recently compiled sell-side and market commentaries, the balance of opinion is more bullish than bearish, with a majority expecting revenue growth to continue and EBIT to accelerate in line with operating leverage. Positive views favor the visibility on postpaid monetization and disciplined cost structures that allowed the company to beat EPS expectations last quarter, setting up a supportive near-term narrative. Selected analysts cite the double-digit revenue growth forecast of 11.34% and the 28.22% year-over-year EBIT growth forecast as favorable signposts for the quarter, while the minority cautious camp points to potential pressure from acquisition costs and network investments. Given the predominance of optimistic views, the constructive case is that solid top-line expansion combined with margin discipline can sustain adjusted EPS near USD 0.43 this quarter, with upside possible if churn and ARPU metrics beat internal targets.