Partner Posts 6% Revenue Growth in Q3 2026 and Announces 500M NIS Dividend
Partner Communications posted a strong third quarter in 2026 with a 6% revenue rise to 829 million NIS and a 12% net profit increase to 101 million NIS. The company announced a 500 million NIS dividend tied to a new bond offering.
Partner Communications reported its financial results for the third quarter of 2026 on Monday, posting growth in revenue and profitability alongside an increase in mobile subscribers, particularly 5G users. Simultaneously, the company announced a 500 million NIS dividend distribution to shareholders, pending the completion of a new bond offering.
Revenues for the quarter totaled 829 million NIS, marking an increase of approximately 6% compared to 784 million NIS in the same quarter last year. Net profit rose by about 12%, growing from 90 million NIS to 101 million NIS. Operating profit climbed from 132 million NIS to 148 million NIS, representing a 12% increase.
Adjusted EBITDA reached 350 million NIS, compared to 331 million NIS in the corresponding quarter, a growth of about 6%. The profitability margin stood at 42%, remaining stable compared to the same period last year.
Strong Performance Metrics
In its press release accompanying the financial statements, Partner highlighted several key performance achievements:
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Reached a 14-year high in profitability metrics.
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Added 18,000 subscribers to its new television service since its launch about a year ago.
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Grew by 14,000 mobile subscribers during the quarter and 72,000 annually, driven primarily by the 5G network.
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Approved a cash dividend distribution of 500 million NIS to shareholders, funded outside of current company profits.
Avi Gabbay, CEO of Partner Group, commented on the results: "In every decision we make at Partner, we ask what is good for our customers, what is good for our employees, and what is good for our shareholders. This is our tripartite philosophy, and the strong quarterly results prove that it works."
5G Growth and ARPU Rise
One of the notable figures in the report is the increase in Average Revenue Per User (ARPU), which reached 46 NIS, up from 44 NIS in the parallel quarter and 43 NIS in the second quarter of this year. This represents an annual increase of about 4.5% and a 7% jump within a single quarter.
Concurrently, Partner's mobile subscriber base reached 2.739 million, adding 72,000 subscribers over the year. The number of paying 5G subscribers surged by roughly 55%, moving from 766,000 to 1.185 million. This means that approximately 43% of the company's mobile subscribers now pay for 5G services, compared to about 29% a year ago.
The churn rate rose to 5.6%, compared to 4.9% in the corresponding quarter, which the company attributed mainly to the departure of data subscribers from a public sector client.
Financial Standing and Dividend
Alongside the improved profitability, adjusted free cash flow dropped significantly to 43 million NIS, down 66% from 125 million NIS in the same quarter last year. Net financial debt stood at 327 million NIS at the end of September, compared to 160 million NIS a year prior.
Against this backdrop, Partner's board approved the 500 million NIS dividend distribution, subject to court approval and the successful completion of a new bond series issuance rated ilAA- of up to 750 million NIS.
