Deutsche Telekom AG posted its first quarter earnings that surpassed analysts' expectations. Revenue, too, beat expectations.
The German telecommunications company’s earnings came in at €0.45 a share, well above the €0.2911 a share expected by analysts polled by Investing.com.
Revenue rose +6.2% from the year-ago quarter to €28.02 billion, also exceeding analysts’ expectations of €27.97 billion.
In organic terms, revenue rose by +1.7% and service revenue climbed +4.7%.
The United States revenue growth was +9.5% on a reported basis and 1.5% organically due to higher service revenues.
The business in Germany registered a revenue increase of +0.9%, while Europe segment revenue fell -0.9% on a reported basis but increased +4.2% in organic terms.
For fiscal full-year 2022, Deutsche Telekom now expects adjusted EBITDA AL of more than 36.6 billion euros – an upward revision to its prior guidance of around 36.5 billion euros. This boost to guidance reflects the sound business performance in the United States operating segment.
The company now expects more than 10 billion euros in free cash flow, vs. previous outlook of around 10 billion euros.