Deutsche Telekom AG

DTE

Equity

ISIN DE0005557508 / Valor 1026592

Xetra (2025-11-20)

EUR 27.08-0.29%

Deutsche Telekom AG
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About company

Deutsche Telekom AG, through its subsidiary T-Systems, is a key player in driving the digital transformation of companies across various industries and the public sector. T-Systems offers integrated solutions for business customers, including secure operation of legacy systems, cloud-based services, and digitization projects for future business fields like data analytics, IoT, and AI. Additionally, the company promotes media literacy through various projects and initiatives. With a global footprint in over 20 countries and a workforce of around 26,000 employees, T-Systems is a leading provider of information technology and digitalization solutions, offering fixed-network/broadband, mobile communications, Internet, and IPTV products and services for consumers, as well as ICT solutions for business and corporate customers.

Summarized from source with an LLMView SourceSector: Telecommunications

Revenue Growth

Net revenue increased by 3.7% to €58.4 billion in H1 2025, with service revenue rising by the same percentage to €49.3 billion. The United States segment led the growth with a 5.8% increase in revenue, while the Europe segment saw a 2.3% rise. The adjusted EBITDAAL also grew by 4.7% to €22.3 billion, supported by higher service and terminal equipment revenues.

Profitability Improvement

Net profit surged by 34.1% to €5.5 billion in H1 2025, up from €4.1 billion in H1 2024. Adjusted earnings per share increased to €1.01 from €0.95, reflecting enhanced profitability. The profit from operations (EBIT) saw a substantial rise of 14.9% to €13.4 billion, driven by cost efficiencies and increased revenue across key segments.

Debt Reduction

Deutsche Telekom successfully reduced its net debt by €10.8 billion, bringing it down to €126.5 billion. This decrease was primarily achieved through strong free cash flow of €12.9 billion and favorable exchange rate effects. The company’s focus on deleveraging underscores its commitment to maintaining a healthy balance sheet.

Operational Efficiency

The adjusted EBITDAAL margin improved by 0.4 percentage points to 38.2%, reflecting better cost management and operational efficiencies across all segments. Depreciation, amortization, and impairment losses were reduced by €0.3 billion, contributing to the overall enhancement in financial performance.

Strategic Investments

Cash capex before spectrum investment remained steady, decreasing slightly by €0.1 billion to €8.2 billion. Investments continued to support Deutsche Telekom’s strategic initiatives in digital transformation and infrastructure enhancement, particularly in the Cloud and Road Charging areas within the Systems Solutions segment.

Summarized from source with an LLMView Source

Key figures

-5.97%1Y

40.1%3Y

82.2%5Y

Performance

22.8%1Y

18.1%3Y

19.2%5Y

Volatility