- Net revenue up 6.5 percent in the first quarter 2025 to 29.8 billion euros, service revenues up 6.3 percent
- Adjusted EBITDA AL up 7.9 percent year-on-year to 11.3 billion euros
- Free cash flow AL up by more than 50 percent to 5.6 billion euros
- Net profit up 43.5 percent to 2.8 billion euros
- Guidance raised for full-year 2025: adjusted EBITDA AL of around 45.0 billion euros, free cash flow AL of around 20.0 billion euros
- Germany: mobile service revenues growing
- United States: industry-leading growth
- Europe: further growth in financial performance indicators
- Systems Solutions: substantial increase in order entry
Deutsche Telekom remains on course for success and kicks off the year with strong figures. The Group is raising its targets for the full year. In the first quarter of 2025, total revenue increased by 6.5 percent against the prior-year period to 29.8 billion euros. Service revenues grew by 6.3 percent to 25.0 billion euros. Adjusted EBITDA AL grew 7.9 percent to 11.3 billion euros, while free cash flow AL grew by 52.4 percent to 5.6 billion euros. In organic terms, i.e., excluding the effects of changes in exchange rates and the composition of the Group, the growth rates were lower: revenue up 3.8 percent, service revenues up 3.5 percent, and adjusted EBITDA AL up 5.3 percent. This is due to the fact that the reported figures are affected in particular by the stronger average U.S. dollar over the quarter compared with the prior-year period.
“Our figures speak a clear language: We remain on the right course,” says Tim Höttges, CEO of Deutsche Telekom. “We are yet again proving our resilience in the face of a challenging environment.”
Reported net profit increased by 43.5 percent year-on-year to 2.8 billion euros in the first quarter. Adjusted for special factors, net profit increased by 9.1 percent to 2.4 billion euros. Adjusted earnings per share amounted to 0.50 euros.
Deutsche Telekom is raising its guidance for the full year 2025. Adjusted EBITDA AL is now expected to total around 45.0 billion euros, up from the previous guidance of around 44.9 billion euros. Free cash flow AL is now expected to be around 20.0 billion euros, up from around 19.9 billion euros previously. The comparatives for the 2024 financial year are 43.0 billion euros for adjusted EBITDA AL and 19.2 billion euros for free cash flow AL. The guidance figures for 2025 assume constant exchange rates year-on-year.
Germany: mobile service revenues growing
With mobile service revenues up by 3.0 percent in the first quarter, Deutsche Telekom underpinned its leading position in terms of this key metric. Branded mobile contract customer additions amounted to 274,000 in the same period.
The number of fixed-network customers with a pure fiber-optic line (FTTH) grew by 128,000 to 1.6 million. Strong competition on the slower growing broadband market led to a net loss of 7,000 customers for Deutsche Telekom.
Adjusted EBITDA AL grew by 2.3 percent, marking 34 successive quarters of growth in this earnings metric. Total revenue declined in the first quarter by 1.3 percent year-on-year, primarily due to lower revenues in low-margin terminal equipment business. By contrast, service revenues in the Germany segment grew by 1.4 percent.
United States: industry-leading growth
T-Mobile US maintains its position as the leader in terms of growth on the U.S. wireless market. The company recorded 1.3 million new postpaid customers between January and March, including 495,000 particularly lucrative phone customers. With 424,000 new High Speed Internet customers, the number of subscribers to this fixed-network substitute product rose to 6.9 million as of March 31. T-Mobile US’ aggregate customer base was 130.9 million as of the end of the first quarter, an increase of over 10 million year-on-year.
Adjusted EBITDA AL increased in the first quarter by 6.6 percent year-on-year to 8.0 billion U.S. dollars. Revenue was also up 6.6 percent amounting to 20.8 billion U.S. dollars.
Europe: further growth in financial performance indicators
The national companies in the Europe operating segment were able to build on their successes from previous years. Key financial performance indicators continued to develop favorably. Adjusted EBITDA AL increased in organic terms in the first quarter of 2025 by 7.2 percent year-on-year to 1.1 billion euros. Total revenue for the same period increased by 3.7 percent in organic terms to 3.1 billion euros. Service revenues grew particularly strong in organic terms, increasing by 5.0 percent.
Mobile contract customer additions of 123,000 increased the total customer base to 26.9 million. The number of broadband customers grew by 68,000. The total number of TV customers decreased by 1,000 in the first quarter, due to the scheduled phase out of the satellite TV offering in Hungary.
Systems Solutions: substantial increase in order entry
At the same time, revenue increased by 1.7 percent to 1.0 billion euros. Adjusted EBITDA AL rose by 4.4 percent year-on-year to 81 million euros.
The Deutsche Telekom Group at a glance
Comments on the table
a) Cash outflows for investments in property, plant, and equipment, and intangible assets (excluding goodwill).
b) At reporting date.
Operating segments: development of operations
Operating segments: development of customer numbers in the first quarter of 2025
Comments on the table
a) Sum of all FTTx access lines (e.g., FTTC/VDSL, vectoring, and FTTH/B).
b) In Poland, a hybrid prepaid-postpaid rate plan portfolio for contract customers was reclassified as of January 1, 2025. Since then, around 1 million customers that were previously reported as contract customers have been classified as prepaid customers. Comparatives have been adjusted retrospectively.
Operating segments: development of customer numbers in year-on-year comparison
Comments on the table
a) Sum of all FTTx access lines (e.g., FTTC/VDSL, vectoring, and FTTH/B)
b) In Poland, a hybrid prepaid-postpaid rate plan portfolio for contract customers was reclassified as of January 1, 2025. Since then, around 1 million customers that were previously reported as contract customers have been classified as prepaid customers. Comparatives have been adjusted retrospectively.
This media information contains forward-looking statements that reflect the current views of Deutsche Telekom management with respect to future events. They are generally identified by the words “expect,” “anticipate,” “believe,” “intend,” “estimate,” “aim,” “goal,” “plan,” “will,” “seek,” “outlook,” or similar expressions and include generally any information that relates to expectations or targets for revenue, adjusted EBITDA AL, or other performance measures. Forward-looking statements are based on current plans, estimates, and projections, and should therefore be considered with caution. Such statements are subject to risks and uncertainties, most of which are difficult to predict and are generally beyond Deutsche Telekom’s control. They include, for instance, the progress of Deutsche Telekom’s staff-related restructuring measures and the impact of other significant strategic or business initiatives, including acquisitions, dispositions, and business combinations. In addition, movements in exchange rates and interest rates, regulatory rulings, stronger than expected competition, technological change, litigation and regulatory developments, among other factors, may have a material adverse effect on costs and revenue development. If these or other risks and uncertainties materialize, or if the assumptions underlying any of these statements prove incorrect, Deutsche Telekom’s actual results may be materially different from those expressed or implied by such statements. Deutsche Telekom can offer no assurance that its expectations or targets will be achieved. Without prejudice to existing obligations under capital market law, Deutsche Telekom does not assume any obligation to update forward-looking statements to account for new information or future events or anything else. In addition to figures prepared in accordance with IFRS, Deutsche Telekom presents alternative performance measures, e.g., EBITDA, EBITDA AL, adjusted EBITDA, adjusted EBITDA AL, adjusted EBITDA margin AL, core EBITDA, adjusted EBIT, EBIT margin, adjusted net profit/loss, adjusted earnings per share, free cash flow, free cash flow AL, gross debt, and net debt. These measures should be considered in addition to, but not as a substitute for, the information prepared in accordance with IFRS. Alternative performance measures are not subject to IFRS or any other generally accepted accounting principles. Other companies may define these terms in different ways.
About Deutsche Telekom: Deutsche Telekom at a glance
