SHERIDAN, WYOMING – Feb. 26, 2025 – Deutsche Telekom has announced a record-breaking financial year for 2024, accompanied by optimistic projections for continued earnings growth in 2025. The company’s robust performance is highlighted by significant increases across key financial indicators, cementing its position as a leading telecommunications provider.
Financial Highlights of 2024
Deutsche Telekom reported a 3.4 percent increase in net revenue, reaching 115.8 billion euros. Service revenues also saw a healthy rise of 3.9 percent, totaling 96.5 billion euros. Adjusted EBITDA AL surged by 6.2 percent to 43.0 billion euros, while free cash flow AL experienced an impressive 18.7 percent growth, amounting to 19.2 billion euros. The company’s adjusted net profit climbed by 18.3 percent to 9.4 billion euros.
“Another record year for Deutsche Telekom,” says CEO Tim Höttges. “We are growing across all business areas. Our flywheel, at the center of our strategy, is spinning and generating the momentum we need to keep building on the successes of 2024 in 2025.”
Dividend and Share Buy-Backs
In recognition of its strong financial performance, Deutsche Telekom plans to distribute a record dividend of 0.90 euros per share, subject to approval. Additionally, the company intends to execute up to 2 billion euros in share buy-backs in 2025.
2025 Financial Outlook
Looking ahead, Deutsche Telekom has set ambitious financial targets for 2025. The group expects adjusted EBITDA AL to reach approximately 44.9 billion euros, representing a 4.5 percent increase. Free cash flow AL is projected to grow by 4.0 percent to around 19.9 billion euros, and adjusted earnings per share are expected to increase by 9.0 percent to approximately 2.00 euros.
Segment Performance
- Germany: The German segment reported strong growth in fiber use, with over 10 million households now able to subscribe to Deutsche Telekom’s fiber rate plans. The gigabit network’s customer base grew by 61 percent compared to 2023, adding 472,000 new customers. Adjusted EBITDA AL in Germany increased by 2.7 percent to 10.5 billion euros, and revenue grew by 2.1 percent to 25.7 billion euros.
- United States: T-Mobile US continued its industry-leading growth, with service revenues reaching 66.1 billion U.S. dollars, a 4.5 percent increase. Adjusted EBITDA AL rose by 8.1 percent to 30.9 billion U.S. dollars. The company added 6.1 million new postpaid mobile customers and expects further strong growth in 2025.
- Europe: The European segment achieved its seventh consecutive year of earnings growth, with adjusted EBITDA AL increasing by 8.1 percent to 4.4 billion euros. Revenue grew by 5.2 percent to 12.3 billion euros.
- Systems Solutions: T-Systems reported strong growth, achieving all its financial targets. Order entry increased by 10.8 percent to 4.0 billion euros, and adjusted EBITDA AL rose by 14.8 percent to 369 million euros.
Key Customer Growth
Deutsche Telekom reported significant customer growth across its various segments:
- Germany saw a 1.2 million increase in mobile contract customers.
- T-Mobile US added 6.1 million new postpaid mobile customers.
- The European segment increased its mobile contract customer base by 729,000.
Forward-Looking Statements
It is important to note that this press release contains forward-looking statements that are subject to risks and uncertainties. Deutsche Telekom cautions that actual results may differ materially from those projected.
Financial Tables
The press release includes detailed financial tables outlining the company’s performance in the fourth quarter and full year of 2024, as well as customer number development across its operating segments.
Conclusion
Deutsche Telekom’s impressive 2024 results and optimistic 2025 projections reflect the company’s strong strategic direction and operational excellence. With continued growth across its key segments and a focus on innovation, Deutsche Telekom is well-positioned for sustained success in the telecommunications industry.
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