Deutsche Telekom Reports Strong 2024 Results, Plans Record Dividend

Deutsche Telekom reported a strong financial performance for 2024, marked by significant growth across key metrics. The company's total revenue increased by 3.4% year-over-year to €115.8 billion, while service revenues grew by 3.9% to €96.5 billion. Adjusted EBITDA AL, a measure of operational profitability, saw a 6.2% rise, reaching €43.0 billion.

The telecommunications giant also experienced substantial growth in its free cash flow AL, which advanced by 18.7% to €19.2 billion. The adjusted net profit climbed by 18.3% to €9.4 billion. CEO Tim Höttges described 2024 as "another record year" for Deutsche Telekom, highlighting the company's strategy of generating momentum across all business segments.

Deutsche Telekom's operations in Germany showed strong fiber uptake, with a significant increase in customer additions for gigabit network access. In the United States, T-Mobile US continued its expansion, adding millions of postpaid mobile customers and expanding its fixed-network substitute product. The company's European segment also contributed to the overall growth, achieving its seventh consecutive year of earnings growth.

Looking ahead, Deutsche Telekom forecasts its adjusted EBITDA AL to reach approximately €44.9 billion in 2025, with free cash flow AL projected at around €19.9 billion. In recognition of its financial success, the company plans to propose a dividend of €0.90 per share for 2024, subject to shareholder approval. Additionally, Deutsche Telekom intends to conduct a share buy-back program of up to €2 billion in 2025.