Deutsche Telekom beat its projected gains in 2015, posting adjusted EBITDA of €19.9 billion, a leap of 13.3 percent.

Growth came via a bonanza showing in the US, a steady performance at home that nevertheless outran the market, and a slowing in its other European subsidiaries.

Its double-digit growth was adjusted upwards from EBITDA of €18.4 billion as a result of an increase in the US dollar exchange rate and certain other one-time effects, the company said.

Revenue was €69.2 billion for the year, an increase of 10.5 percent.

It said revenue improved by three percentage points in organic terms, adjusted for exchange rate and business restructuring.

Investment in infrastructure increased in 2015 with capex, including in new mobile spectrum, up 23 percent to €14.6 billion.

At the same time, net profit and adjusted net profit reached €3.3 billion and €4.1 billion respectively, up by 11.3 and almost 70 percentage points. 

Tim Höttges, CEO of Deutsche Telekom, said: “Deutsche Telekom was extremely successful on both sides of the Atlantic in 2015. We are continuing on our path to becoming the leading European telecommunications provider with further strong investments in the future this year.”

In Germany, Deutsche Telekom saw revenue rise 0.7 percent to €22.4 billion, with adjusted EBITDA falling 0.2 percent to €8.79 billion.

Its market share increased by 0.2 percent in the full year, with performance buoyed by its strongest quarterly growth to date in terms of fibre lines, which increased by 532,000 to 4.4 million in the final quarter.

The operator said its high-speed fibre network was a boon to acquisitions, with 40 percent of new customers taking its Entertain internet television service.

It claimed 2.7 million Entertain customers and two million MagentaOne quad-play customers at the close of the year.

It put its 0.4 percent slump in mobile revenue in the fourth quarter in Germany partly down to the success of MagentaOne, although it maintained its slwodown nonetheless improved on the national average, with market revenues in general falling one percent.

Meanwhile, in the US, Deutsche Telekom’s mobile operation posted considerable jumps in both revenue and profitability, outperforming the market in the period and taking the number three spot as a result.

Revenue topped out at €28.9 billion in the US, up 29.1 percent on 2014, with a good chunk of it as take-home: the business recorded EBITDA of €6.23 billion, up 46.8 percent, and adjusted further upwards to €6.65 billion, up 54.9 percent.

It added 8.26 million mobile customers in the US in 2015, of which 4.5 million joined on a T-Mobile contract and 1.3 million took prepay SIMs.

Its total base stood 63.28 million, with 31.69 million on T-Mobile-branded subscriptions.

 Elsewhere in Europe, Deutsche Telekom saw revenue fall two percent to €12.97 billion, and adjusted EBITDA fall 3.2 percent to €4.28 billion.

Its mobile base shed 3.8 million customers, with the biggest loss coming from its prepaid base in Europe. Its fixed base fell by 333,000 and 3.7 percent.

It put this performance down to “network build-out and integrated offers”, and put focus on LTE rollout hitting 71 percent of its European customers outside Germany, up from 47 percent a year ago.

It also revealed 3.7 million European households now have access to fibre bandwidth of more than 100Mbps, up from 2.9 million at the end of 2014.

Meanwhile, the company said revenue at T-Systems was up 2.6 percent to €7.1 billion, with adjusted profit up €40 million and 24.4 points.

T-Systems recorded a clear increase in the growth area of cloud, generating revenue of almost €1 billion in 2015, up 24 percent on the previous year.

Orders were down 19.5 percent, it said, as customers take services on a usage basis, rather than a flat rate.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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