Deutsche Telekom: forecasts confirmed, but share down

(CercleFinance.com) - Deutsche Telekom reported solid Q1 results on Thursday, driven by both Europe and its US subsidiary T-Mobile US, and confirmed its FY targets.


Europe's leading telecom operator's EBITDA rose 5.8% organically to E10.5bn in Q1.

The Bonn-based group - which says that it posted "record" profits in Europe in the quarter - announced sales that rose 1.6% on an organic basis to E27.9bn.

It also confirmed that it is targeting FY EBITDA of E42.9bn, i.e. up 6% from 2023.

However, analysts at Oddo BHF highlighted a "slow" start to FCF, which rose by just 3.6% in Q1.

Meanwhile, UBS expected the share price to be penalised by uncertainties surrounding a possible placement of shares by the German government, auctions for new frequencies in Germany, wage discussions and plans to redistribute capital to shareholders.

On the Frankfurt Stock Exchange, DT shares were down 0.5% in the wake of this publication.


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