Sydney, March 13, 2026, 11:00 AEDT
Telstra Group (TLS) last changed hands at A$5.12 on the ASX, slipping 0.2%. The telecoms giant, according to a March 12 filing, bought back another 1.95 million shares for A$9.99 million as part of its on-market buyback.
The buyback now sits at the heart of the Telstra stock narrative. Last month’s upbeat half-year numbers prompted the board to bump the program up to A$1.25 billion and push the interim dividend to 10.5 Australian cents a share. That’s 90.5% franked, so most investors pocket the attached tax credits.
Telstra wobbled, but still managed to hold its ground better than most. The S&P/ASX 200 ended the session off 1.31% at 8,629. TPG Telecom, a competitor, slipped 1.27% to A$3.89.
Chief Executive Vicki Brady said the buyback is expected to lift both earnings and dividend per share. Brady also emphasized to investors that Telstra is focused on delivering a “sustainable and growing dividend.” After the result, eToro market analyst Zavier Wong described the company as “one of the most defensive names on the ASX.” Telstra.com
Bendigo Bank notched a new commercial deal this week, announcing on March 12 a five-year telecommunications agreement with Telstra. The arrangement is set to back both its business operations and national retail footprint. Chief Technology Officer Kieran O’Meara said the partnership should help the bank run “more simply and efficiently.” Bendigo Bank
Regulation is putting a lid on some of that optimism. Telstra flagged this week that a draft rule from the Australian Communications and Media Authority would tag signals weaker than -115 dBm—used to measure how strong reception is—as “no coverage.” Yet, Telstra points out, 1.5 million of its customers rely on that level every month, with roughly 57,000 emergency calls placed from those low-signal zones each year. The company also used the same post to criticize TPG Telecom’s testing methods during the consultation process. Telstra.com
Spectrum—the airwaves behind mobile networks—remains a contentious issue. In a policy paper dated March 4, Telstra claimed the regulator’s preferred pricing for renewals would saddle the sector with an extra A$4.1 billion above what it sees as fair value, putting roughly A$1.6 billion of that on Telstra’s shoulders. On the February results call, Brady put the shortfall between Telstra’s fair market estimate for the renewing spectrum and the regulator’s current stance at around A$1.3 billion.
Right now, capital returns remain front and center for investors. Back in February, Telstra posted a 9.4% increase in first-half profit, trimmed its guidance for full-year earnings, and the company is set to hand out its interim dividend on March 27. The real test: will buybacks and dividends keep carrying the load if regulatory costs head higher?
