Deutsche Telekom reports strong growth in Q2 2022
Deutsche Telekom has reported net revenues of €28.2 billion in the second quarter of 2022, up 5.9% compared to the same quarter in 2021.
Adjusted earnings before interest, taxes, depreciation and amortisation, after leases (EBITDA AL) for the period totalled €9.9 billion, up 5%. Adjusted net profit for the period was up 15.7%, reaching €2.4 billion. While free cash flow AL of €2.8 billion.
According to its reporting, the strong financial performance for the quarter is driven by 'the positive development of business at T-Mobile US and to the strong performance outside the United States'
“We continue to grow, despite the difficult economic environment,” said Tim Höttges, chairman of the board of management at Deutsche Telekom. “We are well on track this year to meet our ambitious targets announced at the 2021 Capital Markets Day. Our investments are paying off.”
Geographically, its Germany business unit saw revenues grow by 2.7% year-on-year (YoY) to €6.1 billion.
Its US business unit increase its mobile postpaid subscribers to 1.7 million, touted as 'the best-ever customer growth in a second quarter, more than the competitors AT&T and Verizon in this quarter combined'. Revenues however were slightly down, decreasing by 1.1% to US$19.8 billion.
Across Europe, organic growth of 4.2% was reported, although revenues of €2.7 billion was 2.7% lower than the same quarter in 2021.
Looking ahead, guidance for the 2022 financial year has seen adjusted EBITDA AL raised to a predicted €37 billion and a free cash flow AL of more than €10 billion.