DT Achieved Targets in FY2023 and Expects Further Growth

Deutsche Telekom reached its targets in 2023, which had been raised several times over the year. Net revenue increased by 0.6 percent in organic terms to €112.0 billion. Service revenues grew 3.6 percent in organic terms to €92.9 billion.

Adjusted EBITDA AL increased by 4.0 percent in organic terms to €40.5 billion. Based on the exchange rates and the composition of the Group assumed in the guidance, adjusted EBITDA AL reached €41.1 billion. Core EBITDA AL adjusted for the effects of terminal equipment leasing in the United States increased by 6.9 percent in organic terms year-on-year to €40.2 billion. The Group’s free cash flow AL increased by 40.7 percent to €16.1 billion in 2023.

“In a world with many challenges, we again delivered with our usual reliability in 2023,” said Tim Höttges, CEO of Deutsche Telekom. “Thanks to our growing businesses on both sides of the Atlantic, we are confident we will up the ante yet again in 2024.”

At €17.8 billion, reported net profit was more than twice as high as in 2022. The main driver was the proceeds from the sale of the majority stake in the cell tower business in Germany and Austria. Taking the fourth quarter of 2023 on its own, there was a loss of €1.0 billion, driven primarily by purely interest rate-based impairment losses on the remaining shareholding in GD Towers. Adjusted net profit stood at €7.9 billion in 2023, 12.6 percent down against the prior-year level, negatively impacted by non-recurring effects in other financial income/expense.

The Board of Management had announced a proposed dividend of €0.77 per share back in November, based on recurring adjusted earnings per share of €1.60, compared with €1.51 per share in the prior year. In addition, shares worth up to €2 billion are to be bought back in 2024. These share buy-backs have already begun.

In the guidance for 2024, the Group expects adjusted EBITDA AL to increase by around 6 percent to around €42.9 billion. Free cash flow AL is expected to increase by around 16 percent to around €18.9 billion. For adjusted earnings per share, Deutsche Telekom expects an increase of around 10 percent to more than €1.75.