Deutsche Telekom raises FY24 guidance on back of recent quarterly performance

2 min read | August 08, 2024 03:31 AM PDT | By Team Kalkine Media

Google News:

Deutsche Telekom raises FY24 guidance on back of recent quarterly performance — Image source: Shutterstock

Recent News

Cigna Adjusts Coverage Decisions Across Its Health Operations

Steel Dynamics Draws Attention With Record Shipments

Southern Company Serves A Data Center Hotspot

Vistra Sits In The Path Of Rising Electricity Demand

Make Kalkine Media
My Trusted Source

Deutsche Telekom AG has announced a substantial rise in net profit for the second quarter of 2024, driven by strong performance across its core markets and revenue that exceeded market expectations. The telecommunications giant reported a net profit of €2.09 billion ($2.28 billion) for the three months ending June 30, up from €1.54 billion in the same period last year.

The company’s adjusted earnings before interest, taxes, depreciation, and amortization after leases (EBITDA AL), a key profitability metric, rose to €10.82 billion, surpassing the company’s own forecast of €10.77 billion. This represents an increase from €10.04 billion a year earlier, underscoring Deutsche Telekom’s strong operational performance.

Revenue for the quarter increased by 4.3% on an organic basis to €28.39 billion, exceeding the consensus estimate of €27.94 billion. Group service revenue saw a notable 4.9% rise, reaching €24.09 billion. This growth was fueled by robust performance across Deutsche Telekom’s geographic segments.

In Germany, the company achieved a 3.6% increase in revenue, totaling €6.37 billion, driven by significant customer growth. The U.S. market, a major contributor, saw revenue rise by 4.1% to €18.28 billion, with the region celebrating a milestone of over 100 million postpaid customers. In Europe, revenue grew by 6% to €3.07 billion, with record levels of profit growth.

Encouraged by these results, Deutsche Telekom has raised its full-year guidance for free cash flow after leases to €19.0 billion, up from the previous target of around €18.9 billion. The company has maintained its outlook for adjusted EBITDA AL for 2024, expecting it to be around €42.9 billion. Adjusted earnings per share are projected to exceed €1.75.

Disclaimer

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media LLC (Kalkine Media, we or us) and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures/music displayed/used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it, as necessary.