Bezeq Reports Strong Growth in Q2 2026 Financial Results
Bezeq published its Q2 2026 results: core revenues rose by 4% to 2.03 billion shekels, and net profit jumped by 38% to 315 million shekels. The company announced a 515 million shekel distribution.
Bezeq, the largest telecommunications company in Israel, published its results for the second quarter of 2026. The figures paint a picture of growth that is not only continuing but strengthening compared to the beginning of the year.
The group's core revenues rose by about 4% and totaled about 2.03 billion shekels. Comparative EBITDA — an operating profitability metric closely followed by investors — climbed by about 6.2% to 978 million shekels, and comparative net profit jumped by about 38% to 315 million shekels. For comparison, in the first quarter, profit growth stood at only 4.2%.
Alongside the reports, the board of directors announced a total distribution of about 515 million shekels: a dividend of about 415 million shekels (about 0.15 shekels per share) and a new share buyback program of 100 million shekels. This buyback is the first installment of a framework plan of up to 800 million shekels until the end of 2029. Additionally, Bezeq reported that it fully completed the previous buyback program of 150 million shekels.
Bezeq's fiber optic network deployment crossed the 3 million household threshold for the first time (3.03 million), and the number of connected subscribers jumped to about 1.06 million — an increase of about 17% within a year. The take-up rate stands at 35%. The average monthly revenue per internet subscriber (ARPU) climbed to 142 shekels, an increase of 4.4%.
Pelephone's revenues rose to 511 million shekels (an increase of 3%), and comparative net profit grew to 34 million shekels. More than 1.47 million subscribers are already connected to the 5G network. Pelephone's free cash flow was negative, at about 49 million shekels, mainly due to payments to employees following a new collective agreement.
Yes recorded revenues of 348 million shekels — the highest in about eight years. Comparative EBITDA jumped by 27%, and the company ended the quarter with a net profit of 12 million shekels, compared to a loss of 22 million in the corresponding quarter.
The group's free cash flow in the quarter decreased by about 33% to 155 million shekels due to changes in working capital. Net financial debt climbed to about 5.22 billion shekels, and the debt-to-EBITDA ratio rose to 1.6.
Since the beginning of the year, the stock has risen by about 4% and in the last year by about 21%, with the company trading at a value of about 19.9 billion shekels.
