+++ Group: Operationally and financially in line with expectations +++ Switzerland: Fourth consecutive win of the connect mobile hotline test +++ Italy: Integration of Vodafone Italia on track with strong synergy delivery +++ Changes to the Executive Committee Swisscom Switzerland +++ 2026 guidance confirmed +++

"The Swisscom Group's financial results and operational performance are in line with our expectations. We are on track and confirm the outlook for 2026," comments Christoph Aeschlimann, Swisscom Group CEO, on Swisscom's successful performance in the first half of 2026.

Swisscom Group: Net income increased

Group revenue decreased by 3.0% year-on-year in the first half of 2026 to CHF 7,221 million. EBITDA after lease expense (EBITDAaL) rose by 3.3 % to CHF 2,557 million. On an adjusted basis and at constant exchange rates, revenue declined by 2.0% and EBITDAaL increased by 3.7%. Operating free cash flow of CHF 1,202 million increased by 21.6% on an adjusted basis. Net income increased year-on-year by 6.9% to CHF 668 million.

Switzerland: Fourth consecutive win of the connect mobile hotline test

The Switzerland segment performed as expected. In the first half of 2026, revenue fell year-on-year by CHF 27 million to CHF 3,870 million (-0.7 %). Revenue from telecommunications services decreased by 2.1% to CHF 2,529 million. Revenue from IT services for business customers fell by 2.0% in the first six months to CHF 598 million. Thanks to strong cost-saving contributions, more than half of the impact of the decline in telecommunications services revenue was offset at EBITDAaL level. The EBITDAaL of CHF 1,700 million increased on an adjusted basis slightly by 0.6%. This was driven by cost-efficiency measures and a higher contribution from the IT business. The operating free cash flow increased on an adjusted basis by 9.3% to CHF 938 million thanks to stronger EBITDAaL contribution and lower capital expenditure mainly impacted by seasonal effects.

Swisscom continued to set the benchmark for customer experience. Winning the connect mobile hotline test for the fourth consecutive year, the company once again demonstrates its unwavering commitment to outstanding service quality. At the same time, blue Sport confirmed its position as Switzerland's 'Home of Football' by securing the exclusive UEFA Champions League broadcasting rights until 2031.

Swisscom continues to consistently modernise its fixed-network and mobile communications infrastructure across all municipalities in Switzerland. As at the end of June 2026, Swisscom covered around 58% of households and businesses with FTTH and 90% of the population with 5G+.

New site in Lisbon for Swisscom Switzerland

As part of its efforts to strengthen long-term competitiveness, Swisscom Switzerland will open a new site in Lisbon alongside its existing locations in Riga and Rotterdam. The site will deliver selected technology and business services, including IT, software development and finance. Swisscom intends to start operations in 2027 with around 40 employees and gradually expand the workforce to around 200 employees over the medium term.

Italy: Integration of Vodafone Italia and synergy realisation on track 

In the first six months of 2026, revenue in the Italy segment decreased by 3.3% to EUR 3,474 million. Revenue from telecommunications services decreased by 3.6% to EUR 2,394 million and revenue from IT services for business customers fell by 1.6% to EUR 394 million. Telco services revenue decline continued to slow down, reflecting the positive impact of the value strategy, and it was partly offset by a revenue increase in wholesale and the energy business. On an adjusted basis, EBITDAaL rose by 11.8% to EUR 926 million, mainly reflecting lower costs from synergies. Operating free cash flow, on an adjusted basis, more than doubled to EUR 329 million.

The integration process continues to progress as planned with synergies totalling EUR 166 million in the first half of 2026. Fastweb + Vodafone is fully on track to achieve the synergy target for 2026 of more than EUR 300 million.

With the launch of 'ROSS', a sovereign AI-powered personal assistant developed and operated in Italy, Fastweb + Vodafone reinforces its leading role in Italy's digital transformation. 'FastwebAI Suite', the generative AI platform for businesses and the public sector, has continued to expand its services. Fastweb + Vodafone also broadened its portfolio of digital home services with 'Fastweb Power Control', a new AI-enabled solution that helps customers better understand and manage their household energy consumption.

As at the end of June 2026, Fastweb + Vodafone covered 61% of households and businesses in Italy with optical fibre. The mobile network reached 90% of the population with 5G.

Changes to the Executive Committee Swisscom Switzerland

Swisscom is completing the organisational set-up introduced in 2025 following the acquisition of Vodafone Italia. In line with the governance already in place for the Italian business, Swisscom has appointed a dedicated CEO and CFO for the Swiss business, with Dirk Wierzbitzki and Rolf Stettler taking up these roles on 1 January 2027.

As Group CEO, Christoph Aeschlimann will continue to provide strategic leadership across Swisscom's two core markets, Switzerland and Italy. He will be able to focus even more strongly on strategy, transformation, innovation, key stakeholder relationships and the long-term development of Swisscom as a whole.

Dirk Wierzbitzki, the designated CEO of Swisscom Switzerland, joined Swisscom in 2010. Since 2016, he has headed the Residential Customers division and has been a member of the Executive Committee of Swisscom Switzerland. A dual German-Swiss national, he previously worked in various management positions at Vodafone. Michel Siegenthaler, currently Head of Shops & Retail, will succeed Dirk Wierzbitzki as Head of Residential Customers.

The Finance organisation is being adjusted accordingly: as Group CFO, Eugen Stermetz will hold overall financial responsibility for the Group, Switzerland and Italy, while Rolf Stettler, currently Head of Finance Switzerland, will take on full operational responsibility for the financial leadership of Swisscom Switzerland as CFO. In their new roles, both Michel Siegenthaler and Rolf Stettler will become members of the Executive Committee Swisscom Switzerland.

After almost a decade at the helm of the Business Customers division, Urs Lehner and Swisscom have jointly concluded that the time is right for a leadership transition. Effective 1 September, Thomas Wettstein, Head of Business & IT Solutions and currently Deputy Head of B2B, will assume interim leadership of Swisscom B2B and join the Executive Committee Swisscom Switzerland. The permanent appointment of the Head of B2B will be announced in due course.

Christoph Aeschlimann, CEO Swisscom Group: "I am delighted that Dirk Wierzbitzki will take on the role of CEO of Swisscom Switzerland. With his extensive leadership experience and deep understanding of our customers, the market and our company, I am convinced that he is the right person to lead the Swiss business. At the same time, I would like to thank Urs Lehner for his outstanding contribution to Swisscom. Over the past 15 years, he has played a pivotal role in driving our B2B business forward through major growth, innovation and transformation initiatives, including beem and the Swiss AI Platform. I wish him all the very best for the future."

Michael Rechsteiner, Chairman of the Board of Directors of Swisscom: "With this step, we are strengthening our Swiss home market. Dirk Wierzbitzki, Michel Siegenthaler and Rolf Stettler are strong and experienced Swisscom leaders ensuring stability and continuity in the Swiss market. At the same time, this allows us as a Group to drive our strategic priorities forward with the necessary focus and consistency."

Guidance for 2026 confirmed

For the financial year 2026, Swisscom expects revenue of CHF 14.7-14.9 billion, EBITDAaL of CHF 5.0-5.1 billion and capital expenditure of CHF 3.0-3.1 billion, an operating free cash flow of around CHF 2.0 billion and leverage (net debt including lease liabilities/EBITDA) of around 2,3x¹ as of the end of 2026. If targets are achieved, Swisscom plans to propose an increase of the dividend from CHF 26 to CHF 27 per share, payable in 2027 for the 2026 financial year.