- Adjusted EBITDA AL rose 7.9% to $12.2B; net profit climbed 43.5% to $3.0B
- Group raises full-year guidance following strong US and European performance
What happened: Strong start to 2025 boosts full-year outlook
Deutsche Telekom started 2025 with a strong set of results, prompting the group to raise its full-year financial guidance. In the first quarter, total revenue rose 6.5% year-on-year to $32.1B, with service revenues up 6.3% to $26.9B. Adjusted EBITDA AL climbed 7.9% to $12.2B, while free cash flow AL jumped over 50% to $6.1B. Net profit grew 43.5% to $3.0B, or 9.1% on an adjusted basis.
As a result, the company now expects adjusted EBITDA AL of $48.6B and free cash flow AL of $21.6B for the full year, both slightly above earlier projections. The growth was supported by robust performance in its U.S. and European segments, along with steady gains in mobile services in Germany.
Also read: Deutsche Telekom merges wholesale operations into ‘T Wholesale’
Also read: Google Cloud enhances Deutsche Telekom’s network with AI
Why it’s important
T-Mobile US remains the group’s main growth driver, adding 1.3 million postpaid customers and 424,000 High Speed Internet users in Q1. The U.S. business saw both revenue and EBITDA AL rise 6.6% to $22.4B and $8.6B respectively, reinforcing Deutsche Telekom’s strength in the North American market.
In Europe, adjusted EBITDA AL rose 7.2% in organic terms to $1.2B, with service revenues up 5%. In Germany, mobile service revenues grew 3.0%, and fibre-optic customers increased by 128,000. Despite a small drop in total German revenue due to weaker device sales, the group continues to show resilience and stable long-term growth across its core markets.
