For Q2 2023, Deutsche Telekom Group service revenue was up 1.4 percent to 23.0 billion euros (up 3.2 percent in organic terms), while net revenue was down 2.4 percent to 27.2 billion euros. The drop in net revenue was primarily due to the planned withdrawal from the terminal equipment business in the United States. Reported net profit were up 5.4 percent to 1.5 billion euros.
“We continued our successful course in the second quarter,” said CEO Tim Höttges. “Our businesses are developing well, despite complex market environments. This is underscored by our organic growth rates for service revenues, earnings, and free cash flow.”
Some highlights
Germany
- customer growth continued unabated in all areas, with Telekom remaining the strongest provider in the market.
- 67,000 broadband net additions were recorded between April and June of this year.
- 43 percent of consumers have now subscribed to a rate plan offering bandwidths of up to 100 Mbit/s or higher.
- At 36,000, Magenta TV net additions also exceeded the prior-year quarter.
- At the end of the first six months of the year, 833,000 customers used an FTTH line, which corresponds to a year-on-year increase of more than 38 percent.
United States
- With 1.6 million postpaid net additions in the second quarter, T-Mobile US recorded more than its two nationwide competitors, Verizon and AT&T, combined.
- The number of postpaid phone customers increased by 760,000, marking the strongest second-quarter growth in eight years.
- At the same time, T-Mobile US is losing fewer and fewer customers, as can be seen in the record-low churn rate of just 0.77 percent. For the first time, that is the best rate in the industry.
- There is also strong growth in high-speed internet, i.e., internet access at home through mobile communications. 3.7 million customers are already using this product, with 509,000 net additions in the second quarter alone.
Europe
- Revenue increased by 6.2 percent to 2.9 billion euros. Earnings increased by 3.9 percent year-on-year. This marked 22 consecutive quarters of adjusted EBITDA AL growth, more than offsetting the negative effect of higher energy prices.
- The number of broadband lines increased by 72,000 in the second quarter, the number of customers using fixed-mobile convergence products by 152,000, and the number of TV customers by 34,000.
- Mobile contract net additions totaled 173,000.
