Orange S.A.

Management described this as a record H1 and said it was raising 2026 guidance. The company increased EBITDAaL guidance to above 4% and organic cash flow guidance to circa EUR 4.3 billion, both now including MasOrange for 7 months. In Spain, management said service revenue trends were stabilizing in June and that MasOrange would remain cash accretive despite a noncash IFRS 3 EBITDAaL impact; in France, management said H1 was affected by a wholesale one-off, but underlying efficiency initiatives were delivering and should accelerate in H2. For the full year, management reiterated confidence in stable-plus EBITDAaL for France and low-single-digit EBITDAaL growth in H2 for MasOrange from the point of consolidation.

Christel Heydemann framed the quarter as proof of execution and said Orange was confident enough to raise guidance. Her tone was upbeat but measured, emphasizing that France, Europe, and Africa/Middle East were all contributing, while the company continues to push strategic projects such as the SFR/French consolidation and the data center platform. On deal timing, she said the French authority process and the cited 18-month review window were consistent with expectations and that closing in H2 next year remains the target.

Laurent Martinez highlighted that the company expects immediate EBITDAaL accretion from the MasOrange transaction and said it should be low CapEx intensity because Orange is not acquiring customer network assets. He also said the Scorefit transaction closed in July and adds EUR 1.3 billion of debt on IFRS, with the impact already reflected by rating agencies, and noted that the EBITDAaL effect was fully included in the Capital Markets Day trajectories. On the data center JV, he said value will come from dividends, Orange Business revenues and margins, higher efficiencies for Orange France, and scaling the asset toward roughly 10x current capacity, with 50% of the global value creation tied to the joint venture's intrinsic value.

Analysts focused on French consolidation timing, Spain's competitive recovery, satellite partnerships, and the economics of new asset JVs. Management said the French antitrust pre-notification started at the end of June, RFI exchanges should continue over the next months, and market testing is expected in September and October before formal notification later this year. On Spain, management said churn management has improved, Digi's client acquisition has slowed, and the business is gaining in B2B and new services; on satellite, Orange said it wants flexibility, is testing multiple partners, and is avoiding exclusive or simple MVNO structures because customer experience matters.