TIMB TIM S.A.

• −Growth in the core mobile business slowed to approximately 4.7%, and customer-generated revenue growth was only 3.1% year over year according to an analyst question, coinciding with a contraction in the mobile base, declining market share, and weak net additions during the first half of fiscal 2026.
• −The mobile market became more promotional and competitive due to the expansion of competitors' offers whose pricing was not widely disclosed, forcing TIM to respond through TIM Fit and PicPay; management also acknowledged that price increases in fiscal Q1 and Q2 2026 put pressure on customer churn.
• −TIM Fit carries the risk of replacing some higher-value Control plans, and management explicitly acknowledged this risk, although it is seeking to limit it through eligibility requirements and sales network incentive arrangements.
• −The I-Systems acquisition increased net debt, and the company had to announce a capital increase for I-Systems to address this debt; despite management's assurance that liquidity is sufficient for distributions and capital expenditure, expanding fiber while maintaining shareholder returns increases capital allocation sensitivity.
• −Bad debt expenses increased during fiscal Q1 and Q2 2026 due to a nonrecurring case involving a B2B customer and the expansion of the postpaid base; management expects gradual stabilization, but continued economic pressure could delay this improvement.
• −Some new revenue streams, such as platforms, advertising, and Internet of Things deals, depend on deal-closing timing and may fluctuate quarterly; the sales cycles for complex B2B projects are also long, which could make revenue growth less consistent despite the positive annual trend.
• −Insider activity recorded net sales of 151,200 shares during the three months ending with the latest transaction on June 23, 2026, through a single sale and no purchases; this is a weak trading signal on its own because insider sales may be prearranged, and the available information contains no evidence to the contrary.

TIM launched the TIM Ultra Combo offering across its entire coverage footprint, combining fiber, mobile, and content, and said on July 28, 2026 that initial results were positive ahead of a broad advertising campaign. TIM Play is a paid content aggregation product aimed at increasing average revenue per user and improving customer retention. TIM Fit uses credit card payments to facilitate the migration of prepaid customers to Control plans while reducing credit risk, but it also carries the possibility of replacing some higher-value plans.