Deutsche Telekom drew on mobile growth from its T-Mobile US subsidiary, as the company reported a strong set of Q3 results despite a largely flat performance in Germany and across Europe.
The company was significantly buoyed by its performance in the States, which contributed to a group revenue increase of 9.3 per cent to €17.1 billion, up from €15.6 billion year on year.
Net profit was also up by almost 60 per cent, hitting €809 million, from €506 million.
T-Mobile US, which released a separate Q3 earnings statement last week, largely drove its parent company’s overall growth, with total revenue from the US rising by 27 per cent to €7.1 billion, up from €5.6 billion the year prior, due to positive exchange rates effects on the dollar, as well as strong customer additions, which saw it reach 61.2 million subscribers in the quarter.
However, Deutsche Telekom’s performance in its home market was less impressive. It edged to a 0.1 per cent increase in sales to €5.6 billion, despite mobile revenue slipping 0.4 per cent, as CEO Tim Hottges talked up convergence. He said the company was “resolutely forging ahead” with its strategy.
“High investments in broadband rollout and connectivity remain the basis for growth,” he added.
Mobile customers hit 157.4 million for the quarter, an increase from 5.6 per cent last year, while fixed line network connections dropped 2.7 per cent to 29.2 million.
Across Europe, the company was hit by a 3.6 per cent decrease in revenue to €3.2 billion, down from €3.3 billion last year, as it saw revenue slip across its markets in Austria, Greece, the Netherlands and Romania.
Its performance in the Czech Republic, Croatia and Slovakia did however show signs of growth.