DT reports Q2 and 1H 2011 results

4 Aug 2011

Deutsche Telekom (DT) Group has reported a decline in year-on-year revenues for the second quarter and first half of 2011. Net revenues for the second quarter stood at EUR14.48 billion (USD163.2 billion), down 6.8% from the same period a year earlier, while revenue for the six months to 30 June 2011 are EUR29.07 billion, down 7.2% in comparison to 1H 2010. However, revenues excluding T-Mobile USA, which is now reported as a discontinued operation, fell by a lower 3.3% compared to the same quarter twelve months earlier to EUR10.97 billion. Adjusted EBITDA for the quarter was EUR4.69 billion, while adjusted EBITDA for continuing operations amounted to EUR3.79 billion. Net profit for the second quarter 2011 dropped by 26.7% year-on year to EUR348 million.

During the second quarter the company saw a decline in fixed line customers and slight increases in mobile and retail broadband subscribers. The number of fixed lines in service dropped from 35.5 million as of 31 March 2011 to 35 million as of 30 June, due in the main to decreases in Greece and Hungary. Meanwhile wireless subscriber numbers stood at 128 million at the end of June, up 0.1% from 127.9 million as of 31 March. Broadband lines increased 0.6% on the previous quarter, and 5% year-on-year to end the second quarter at a total of 16.7 million. In addition IPTV business grew considerably by around 12% compared with end-2010, driven primarily by Hungary and Croatia.

The Group’s European operating segment recorded total revenue of EUR7.5 billion in the first half of this year, down 15% compared to the same period a year previously, mainly attributable to the deconsolidation of T-Mobile UK as of 1 April 2010. After adjustments, segment revenue was down 6.7% overall, caused primarily by the difficult economic situation, with Greece and Romania hit particularly hard.

Deutsche Telekom (DT)