Debt evolution
(1) Total FCF (from continuing and discontinued operations) including spectrum payments.
(2) Including the sale of T. Uruguay and T. Ecuador (both closed in October), T. Colombia (just the deconsolidation of T. Colombian net debt as of Sep-25) and the acquisition of 50% of Fibrasil.
Net financial debt and commitments
Unaudited figures (Euros in millions)
| December 2024 | September 2025 | |
|---|---|---|
| Non-current financial liabilities | 33,192 | 30,743 |
| Current financial liabilities | 5,590 | 4,461 |
| Gross Financial Debt | 38,782 | 35,204 |
| Cash and cash equivalents | (8,062) | (4,392) |
| Current financial assets | (1,789) | (1,948) |
| Non-current financial assets | (3,698) | (3,451) |
| Mark-to-market derivatives adjustment (1) | 383 | 713 |
| Other current assets and liabilities | (262) | (185) |
| Other non-current assets and liabilities | 1,807 | 2,292 |
| Net Financial Debt | 27,161 | 28,233 |
| Lease Liabilities | 8,275 | 7,910 |
| Net Financial Debt including Lease liabilities | 35,436 | 36,143 |
Notes:
(1) Includes the market value of cash flow hedges related to debt instruments and the market value of economic hedges associated with gross employee benefit commitments.
Financing activity
In 9M 25, Telefónica Group raised long term financing by €7,762m and VMO2 raised €4,869m equivalent.
Financing activities in Q3 25 included:
- In July, Telefónica issued a senior bond in the Swiss franc market for an amount of CHF130m with a 7-year maturity and an annual coupon of 1.3275%
After Telefónica financing activity has allowed to maintain a solid liquidity position of €16,378m (€10,038m of undrawn committed credit lines; €9,769m maturing over 12M). As of Sep-25, the Group has covered debt maturities over the next three years and the average debt life stood at 10.5 years.
Telefónica and its holding companies continued their issuance activity under the Promissory Notes and Commercial Paper Programmes (Domestic and European), maintaining an outstanding notional balance of €1,281m as of Sep-25.
Financial debt
Total Financial Liabilities Breakdown
Unaudited figures (Euros in millions)
| September 2025 | |||
|---|---|---|---|
| Bonds and commercial paper | Debt with financial institutions | Other financial debt (including governments) and net derivatives | |
| Total financial liabilities (1) | 81% | 7% | 11% |
(1) Includes positive value of derivatives and other financial debt
Net financial debt plus Lease Liabilities structure by currency
Unaudited figures (Euros in millions)
| September 2025 | ||||
|---|---|---|---|---|
| EUR | BRL | HISPAM | OTHER | |
| Net financial debt plus Lease Liabilities structure by currency | 80% | 10% | 8% | 1% |
Financial expenses
Interest payments decreased -8.2% y-o-y to €808m in 9M, positively affected by interest incomes. The effective cost of debt related interest payments (L12M) decreased to 3.44% as of Sep-25 (Sep-24: 3.57%).
Note: For further information, please access the January – September 2025 Results Report.