Deutsche Telekom reports core profit growth in Q3 results
Deutsche Telekom has reported core profit growth above market estimates in its latest financial results.
The company now expects a significantly higher financial target for the 2021 financial year having been boosted by its US unit T-Mobile and the growth in its European business.
The reported earnings before interest, tax, depreciation and amortisation after leases was €9.66 billion which was significantly above estimates of €9.35 billion published by the company earlier this year.
CEO Tim Höttges said: "Our businesses are performing even better than expected. Following strong figures in the first nine months, we are setting the bar for 2021 a little higher.”
The dividend is set to rise based on the strong performance subject to relevant approvals. The Board of Management is planning to pay out a dividend of €0.64 per share, up from €0.60 in 2020.
Worldwide, Deutsche Telekom invested CEO €4.4 billion before expenses in mobile spectrum. That is 2.9% less than the firm spent in Q3 2020. The company reported free cash flow of €2.9 billion in the reporting quarter which is almost 8-% more than the prior year ahead.
Deutsche Telekom’s latest results come fresh off of the news that it has inked a €1 billion deal with the IFM Global Infrastructure Fund (IFM GIF).