DT posts 7% rise in Q2 revenue as US ‘customer boom’ continues

8 Aug 2019

Germany’s Deutsche Telekom (DT) has reported net revenue of EUR19.66 billion (USD22.0 billion) for the three months ended 30 June 2019, an increase of 7.1% from EUR18.37 billion in the year-ago quarter. Group EBITDA totalled EUR6.70 billion in Q2 2019, up 20.6% from EUR5.56 billion twelve months previously, while adjusted EBITDA grew 22.5% to EUR7.26 billion. The Bonn-based telco said that reported net profit (including special factors) jumped 90.7% year-on-year to EUR944 million, attributed to a negative special factor in 2Q18 from the settlement in the ‘Toll Collect’ arbitration proceedings; adjusted for special factors, net profit rose 7.4% to EUR1.33 billion in Q2 2019.

In its domestic market, DT generated total revenue of EUR5.39 billion in the second quarter of 2019, up by 1.2% from the year-ago period, while adjusted EBITDA grew 1.6% to EUR2.16 billion. The firm’s German mobile subscriber base reached 44.83 million at 30 June 2019 (an increase of 4.2% y-o-y), of which 24.97 million were post-paid customers. Domestic fixed broadband lines grew 1.5% to 13.64 million (of which 7.91 million were fibre-based – VDSL, vectoring and FTTH – lines, up by 20.6%) and pay-TV accesses rose 7.3% to 3.48 million, while fixed network lines continued to slide, falling from 18.99 million at mid-2018 to 18.23 million twelve months later.

T-Mobile US continued to see rapid customer growth, recording more than one million net customer additions for the 25th consecutive quarter. The US cellco ended Q2 2019 with 83.05 million mobile subscribers, an increase of 9.8% from 75.62 million a year earlier, as the number of branded post-paid customers rose 11.4% y-o-y to 44.65 million. Revenue grew 11.4% to EUR9.83 billion and adjusted EBITDA jumped 38.4% to EUR3.53 billion. Mobile customers across DT’s European operations fell by 6.8% to 46.47 million, although broadband lines and TV customers grew by 15.3% to 6.54 million and 14.4% to 4.91 million, respectively. Revenue in the Europe segment grew by 2.8% to EUR2.98 billion in 2Q19 and adjusted EBITDA rose 15.3% to EUR1.09 billion.

Germany, Deutsche Telekom (DT), T-Mobile US, Telekom Deutschland