Deutsche Telekom raises guidance again, plans record dividend for 2025
Deutsche Telekom has again raised its financial outlook for 2025 and announced plans for a record dividend. The company reported third-quarter growth in revenue and adjusted EBITDA AL.
German telecommunications provider Deutsche Telekom has once more increased its financial guidance for the 2025 fiscal year, alongside announcing plans for a record dividend payout. The company now forecasts adjusted EBITDA AL to reach approximately 45.3 billion euros, surpassing its previous expectation of over 45 billion euros.
In the third quarter, Deutsche Telekom's revenue saw an organic increase of 3.3 percent, totaling 28.9 billion euros. Service revenues grew organically by 3.6 percent. The adjusted EBITDA AL also increased by 2.9 percent to 11.1 billion euros. While reported growth figures were impacted by a weaker U.S. dollar, the company highlighted the strength of its organic performance.
The company projects free cash flow AL to be around 20.1 billion euros for 2025, also an upward revision. Deutsche Telekom intends to raise its dividend for the 2025 fiscal year from 90 cents to 1.00 euro per share. Additionally, plans are in place for share buy-backs valued at up to 2 billion euros in 2026.
Performance in the United States, particularly with the consolidation of UScellular, was strong. T-Mobile US achieved record customer additions, leading the company to raise its full-year customer forecast for the U.S. In Germany, the rollout of fiber-to-the-home (FTTH) accelerated, with the company recording its best quarter for new fiber optic connections.