Telstra stock outlines AI infrastructure push after FY26 gains

Published on 11/13/2026 at 20:42 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Telstra stock highlighted stronger earnings, dividends and buybacks at a November 12 investor conference. Management also outlined a larger AI infrastructure push.

Growth, Returns and Infrastructure

Telstra reported a fifth consecutive year of underlying earnings growth for FY 2026, with underlying EBITDA up 4% to AUD 8.3 billion.
Management linked future growth to mobile services, AI-enabled customer tools, the Aura Network, subsea cables and satellite connectivity.
FY 2027 guidance includes business-as-usual capital expenditure of AUD 3.35 billion to AUD 3.65 billion and strategic investment of AUD 200 million to AUD 300 million.

Telstra, AU000000TLS2, Illustration mit AI erstellt.

Telstra outlined stronger earnings, shareholder returns and a broader digital infrastructure strategy at the Deutsche Bank Virtual Investor Conference on Thursday, November 12, 2026. In a report published by Investing.com, management said FY 2026 marked the fifth consecutive year of underlying earnings growth.

Underlying EBITDA rose 4% to AUD 8.3 billion, while cash earnings per share increased 14% to AUD 0.255. Telstra also highlighted a total FY 2026 dividend of AUD 0.21 per share, up 10.5% from the prior year, after completing a AUD 1.25 billion buyback and announcing a further program of up to AUD 1 billion.

AI Demand Supports Network Investment

Mobile remained the main earnings driver. Mobile EBITDA increased 3% to AUD 5.4 billion, mobile service revenue rose 4.8% and the company added more than 270,000 mobile users. Telstra said its AI-powered digital assistant and search tools are now part of a broader digital platform for consumer customers.

Management is also expanding beyond core mobile services. The Aura Network is around two-thirds complete, with more than 9,000 kilometres of fiber in the ground across six routes. Telstra said Google, AWS, Firmus and Microsoft have signed long-term contracts across its infrastructure assets. Strategic investment in the Aura Network and Viasat is expected to total about AUD 1.8 billion from FY 2023 through FY 2028, with a targeted mid-teens internal rate of return for Aura and a cash payback period of about nine years.

Higher Spending Ahead

For FY 2027, Telstra expects continued growth in underlying EBITDA and cash EBIT. Business-as-usual capital expenditure is guided to AUD 3.35 billion to AUD 3.65 billion, while strategic investment is expected at AUD 200 million to AUD 300 million for the Aura Network and Viasat rollout.

Telstra stock traded at 3.15 euros on Lang & Schwarz at 20:38 CET on Friday, November 13, 2026.