Deutsche Telekom had T-Mobile US and its home market to thank for strong Q2 revenue growth, but even so net profit remained flat.
At various times, the German parent has considered selling its US unit, but right now its performance is lifting the whole group.
“We have emphatically confirmed the strong figures from the first quarter.” said Tim Hoettges (pictured), CEO of Deutsche Telekom, in bullish mood. “The transformation of the Group is continuing at full speed in all areas. We are heading in the right direction.”
He also added on a call with investors that Deutsche Telekom does not plan to reduce its stake in T-Mobile US right now. And no big acquisitions are on the cards for Europe.
Q2 group revenue rose by 15.3 per cent to € 17.4 billion. Organic revenue growth (excluding currency fluctuations and changes to the composition of the group) showed a less dramatic increase of 5.7 per cent.
T-Mobile US announced its own Q2 2015 figures last week, including a 14 per cent increase in revenue to $8.2 billion.
Domestically, Deutsche Telekom saw mobile revenue rise by 8.8 per cent to €2.05 billion in the second quarter, driven by device sales. Mobile service revenue was essentially flat, although management pointed to signs of an underlying uplift thanks to converged offerings.
Total German revenue increased by 2.1 per cent to €5.58 billion.
On a group level, profit remained flat at €712 million, against €711 million a year earlier.