2019 Was a Record Year for Deutsche Telekom

2019 Was a Record Year for Deutsche Telekom
Dražen Tomić - Tomich Productions

Record revenue, profit growth in all operating segments, and a further increase in investments are the highlights fo Deutsche Telekom's previous business year. It was the most successful year in the history of the company.

Revenue grew by 6.4 percent in 2019 compared with the prior year to 80.5 billion euros. Adjusted EBITDA AL increased by 7.2 percent to 24.7 billion euros. Free cash flow AL increased by 15.9 percent to 7.0 billion euros. Thus, Deutsche Telekom achieved its guidance for 2019, as raised in November.

“This is a historic day for Deutsche Telekom,“ said Tim Höttges, CEO of Deutsche Telekom. “We have confirmed our position as the clear number one in our industry in Europe with these record results.“

Cash capex before spectrum investment stood at 13.1 billion euros in 2019, 7.6 percent above the prior-year level. Net profit increased by 78.5 percent to 3.9 billion euros. Negative special factors like the settlement agreement in the toll arbitration proceedings and impairment losses in the prior year compared with a range of much smaller effects in 2019. Adjusted for special factors, net profit increased by 8.9 percent to 4.9 billion euros.

For the 2020 financial year, DT expects another increase in revenue. Adjusted EBITDA AL is expected to grow to around 25.5 billion euros, of which around 13.9 billion euros will come from business outside of the United States. As in 2019, growth is expected in all operating segments. The Group expects free cash flow of around 8.0 billion euros.