Deutsche Telekom has revealed that its investments – cash capex excluding spectrum investments – rose 27.7 percent to 4.3 billion euros during the first quarter of 2021.
Deutsche Telekom is making huge investment in 5G business. But the teleocm operator is yet to reveal its number of 5G subcribers.
Deutsche Telekom’s revenue increased 32.3 percent in the first quarter of 2021 to 26.4 billion euros. Adjusted EBITDA AL rose 41.3 percent to 9.2 billion euros, driven mainly by the acquisition of Sprint in the United States.
Net profit increased 2.2 percent in the first quarter to 936 million euros. Adjusted net profit was down 6.5 percent to 1.2 billion euros.
Deutsche Telekom has raised its full-year guidance for 2021. Outside of the United States, Deutsche Telekom now expects adjusted EBITDA AL of around 14.4 billion euros, up from the previous guidance of around 14.3 billion euros, and free cash flow AL of around 3.6 billion euros, up from 3.5 billion euros.
Deutsche Telekom’s broadband business recorded 93,000 broadband additions, i.e., 10,000 more than in the same period last year. The fiber build-out is the basis for this success. The number of fiber-based lines (FTTH, FTTC/vectoring) totaled 16.3 million – that is 1.5 million more than one year ago. Additions stood at 368,000.
Deutsche Telekom won 167,000 new branded mobile contract customers in the first quarter of 2021 compared with 140,000 one year earlier. Mobile service revenues declined year-on-year by 0.8 percent.
Telekom Deutschland revenue grew 1.9 percent to 5.9 billion euros.
The integration of Sprint following the business combination effective April 1, 2020, is making further progress. T-Mobile US now expects synergies from the transaction to reach 2.8 to 3.1 billion U.S. dollars in 2021. That is 0.1 billion dollars more than the most recent forecast.
On the back of the acquisition, the company’s financial metrics rose sharply in the first quarter of 2021 compared with the prior year. Total revenue grew by 77.4 percent to 19.9 billion U.S. dollars. With an increase of 97.4 percent, adjusted EBITDA AL virtually doubled to 6.9 billion U.S. dollars.
T-Mobile US’ customer base totaled 103.4 million as of March 31 of this year, up 1.4 million against the year-end. Of these customer additions, 773,000 were postpaid phone customers – again a record figure in the U.S. wireless market.
Adjusted EBITDA AL rose 4.1 percent to 0.9 billion euros. Total revenue grew by 0.8 percent to 2.7 billion euros.
Deutsche Telekom added 151,000 new mobile contract customers in the first quarter, 58,000 new broadband customers, and 191,000 new users of fixed-mobile convergence products in Europe.