Christian Illek’s Post

Last week, we had our annual One Finance Meeting in Budapest with around 130 colleagues from the international finance leadership team of Deutsche Telekom. It feels great to have the entire team coming together to strengthen the community and to exchange on various topics. The theme of this year’s event was “Future of Finance: Embrace, change, harvest tomorrow”. In the last years, we had to manage some challenging tasks: Covid, Ukraine war, inflation, … (the list is long) – and I would say we did and are doing quite a good job at dealing with those challenges. Therefore, I feel re-affirmed that we as DT Finance have not only a highly experienced but also a highly competent team which is able to cope with unforeseen events and crisis. So as Finance team, we are constantly embracing change and are well prepared to harvest tomorrow. Personally, I spoke about our development from our last Capital Markets Day 2021 until today and where DT is heading. Details about our strategy and future development will be released at our #CMD2024 on October 10-11, 2024. Thanks a lot to all our speakers Tibor Rékasi, Judit Zolnay Dr. MBA, Gabor Balazs, Anita Simon, Ingo Speich, Dr. Carsten Dahremöller, CFA, Udo Taddigs, Tamás Trunk Dablty and Nina Schmarander for joining the event and giving us impulses for the “Future of Finance”. A big thanks also to Daria Dodonova and her team for the great organization of the event. I am looking forward to seeing the entire team at next year’s OFM! #OFM2024 #FutureofFinance #CMD2024 #proudtobeT

The first half of 2024 is over and Deutsche Telekom continues to deliver consistent and reliable #growth. We are well on track to achieve our targets for 2024, our guidance for this year and also our long-term ambitions from our Capital Markets Day 2021. Looking at our Q2 financials: We increased Service Revenues organically by 4.0% to 24.1 billion EUR. Adjusted EBITDA AL reached 10.8 billion EUR, an impressive organic increase of 6.6% – driven by both, our US and European businesses. And at 5.2 billion EUR, our Free Cash Flow AL was 48.5% higher than last year reflecting our EBITDA AL growth as well as lower CAPEX post-merger in the US. In short: a strong set of results across the board. The foundation of our financial performance is our commercial momentum: we are growing strongly in our entire footprint. T-Mobile US already reported 1.3 million postpaid net adds last week. With this result, we are not only leading the US industry once again but also have a total of more than 100 million postpaid customers for the first time. In Germany, we have 311k branded contract net adds in mobile and 41k net adds in broadband. Due to the end of the “Nebenkostenprivileg” and the European Championship, we also had a very successful quarter for our TV business with 114k net adds. Same picture in our segment Europe: for example, with 183k mobile contract net adds and 53k broadband net adds. These numbers show that our strategy is working and that we are executing well: We are turning customers globally into fans by investing into #bestnetworks and #bestservice! As a result, we do not only manage to secure our #leading position, we are even strengthening it. For more details on our strategy and our ambitions going forward, I invite you to join our Capital Markets Day 2024 on 10th/11th of October. Only two months to go: I am already looking forward to it. #wewontstop #proudtobeT

The first quarter of 2024 is behind us – and once again, we got off to a good start to the year at Deutsche Telekom. We achieved all our targets and stay on track for DT’s #growth story. Looking at our Q1 financials: We increased Service Revenues organically by 4.1% to 23.5 billion EUR. Adjusted EBITDA AL reached 10.5 billion EUR, an impressive organic increase of 5.8% – driven by both, our US and European business. And at 3.7 billion EUR, our Free Cash Flow AL was 3.6% higher than last year. In short: DT delivered again! We show consistent #reliable growth and confirm all our ambitions for 2024. The foundation for our financial growth is our strong commercial performance: DT once more showed growth across all customer categories and our entire footprint. T-Mobile US reported 1.2 million postpaid net adds. With this result, we are leading the US industry once again. In Germany, we have 281k branded contract net adds in mobile and 39k net adds in broadband. Same picture in our segment Europe: for example, with 184k mobile contract net adds. These numbers show that, despite strong competition, #wewontstop with what we are best at: Connecting people by offering #bestnetworks and #bestservice! This is what differentiates us from our competitors and drives our success. For more details on our strategy and our ambitions going forward, I invite you to join our Capital Markets Day 2024 in October. #wewontstop #proudtobeT

Today, we present the full year results 2023 for Deutsche Telekom and conclude the next #successful year in our DT #growth story. Looking at our year-on-year performance, Service Revenues increased organically by 3.6% to 92.9 billion Euros while our adjusted EBITDA AL even increased organically by 4.0% to 40.5 billion Euros. Most impressive: Our reported Free Cash Flow AL grew by 40.7% to 16.1 billion Euros. With these numbers, we achieve our guidance for 2023 which we have raised a total of three times in the course of the year. However, #wewontstop: Our guidance for 2024 anticipates further growth. We are well on track to meet the ambitions we have set at our Capital Markets Day 2021. For adjusted EBITDA AL we expect around 42.9 billion Euros and for Free Cash Flow AL around 18.9 billion Euros. Our adjusted earnings per share is expected to grow by around 10%, from 1.60 Euros/share to more than 1.75 Euros/share. This is great news for all shareholders since we directly link our dividend to the adjusted earnings per share. We have also performed well commercially: In 2023, DT once more showed consistent growth across all customer categories and across our entire footprint – in the US and in Europe. T-Mobile US reported 3.1 million postpaid phone net adds and 2.1 million High Speed Internet net adds. With these results, we are leading the industry once again. In Germany, numbers are also impressive: for example, in mobile with 1232k branded contract net adds and in Broadband with 304k net adds. Same picture in our segment Europe: for example, with 746k mobile contract net adds and 697k FMC net adds. As you can see, our flywheel is working. I can assure you: we will continue to invest in our superior networks. We will continue to show superior customer growth as customers value #bestnetworks & #bestservice. Together with continuous efficiency increases, this will further lead to superior financial growth allowing us further investments. For more details on the implementation and our ambitions going forward, I invite you to join our Capital Markets Day 2024 in October. #wewontstop #proudtobeT

Title defended! After being named "Investors' Darling" last year, we won the title again in 2023 – the third title for Deutsche Telekom in the last four years. This award from manager magazin and HHL Leipzig Graduate School of Management recognizes the best financial communication among Dax, MDax and SDax companies. For us, the most important criteria in our communication are transparency, reliability and comprehensibility. This means giving our investors detailed information about past performance and also a detailed qualitative & quantitative outlook. It is a well-deserved award for the outstanding performance of the entire Finance team at Deutsche Telekom. Thank you team for a great job! #wewontstop #proudtobet #investorsdarling

We continue a tradition: this week, we had our annual One Finance Meeting in Vienna with around 120 colleagues from the international finance leadership team of Deutsche Telekom. It feels great to have the entire team coming together to strengthen the community and to exchange on various topics. The theme of this year’s event was “climbing next mountains”, inspired by our host country Austria which is not only famous for the alps but also for its mountaineering tradition. When it comes to our business, we also have to master challenging slopes: inflation remains high and the Telco sector has been hit by various events in the last months. Therefore, it is more important than ever to be consistent in our strategy and reliable in delivering our promises. In Austria we have discussed what the current situation means for us as DT Finance community, and especially for our strategy and priorities going forward. I can assure you: As Finance team, we are well prepared to tackle the challenges ahead. Thanks a lot to our external speakers Marc Spieker, Akhil Dattani, Gerlinde Kaltenbrunner and KC McClure for joining the event and giving impulses on climbing next mountains. A big thanks also to Babak Ghasemi and his team from Magenta Telekom for the great organization of the event. I am looking forward to seeing the entire team at next year’s #OFM! #OFM2023 #proudtobeT

The first half of the year is over and today we present the results for #DeutscheTelekom. After a good start into 2023, we continue our #growth story in Q2 – despite a challenging market environment. Looking at our organic numbers, Service Revenues increased by 3.2% year-on-year to 23.0 billion Euros in the second quarter of 2023. Adjusted EBITDA AL grew by 3.8% to 10.0 billion Euros while adjusted Core EBITDA AL even grew by 7.1%. Due to a successful second quarter, our American colleagues already raised their full-year guidance two weeks ago. As earnings on our side of the Atlantic also continued to develop well, we raise the Group guidance 2023 for adjusted EBITDA AL once again: From around 40.9 billion euros (Q1) to around 41.0 billion euros. Also our commercial performance remains strong: in the US, where customer additions remain high and churn is historically low, and in Europe. In Germany, we see significant customer growth in all areas: in mobile with 319.000 branded contract net adds as well as in Broadband with 72.000 net adds, and strategically of high importance 64.000 new FTTH customers. And also in our segment Europe, we are again looking back on a good quarter – for example with 173.000 mobile contract net adds or 152.000 FMC net adds. Competition in our industry remains tough, on both sides of the Atlantic. Still, we manage to deliver these excellent customer numbers due to our focus on best networks and best service. This allows us to remain on track for our strategic goals. #wewontstop #proudtobeT

The first quarter of 2023 is in the books and we are off to a good start to the year at Deutsche Telekom. Looking at our key financials, we have achieved our targets and we add a new chapter to DT’s #growth story. This holds true for all segments – both in terms of commercial and financial performance. If we look at our organic numbers, this translates into a year-on-year growth of 2.6% for our Services Revenues (22.8 billion Euros) and 1.0% for our adjusted EBITDA AL (10.0 billion Euros), while our adjusted Core EBITDA AL even grew by 4.4%.   The sale of 51 percent of our tower business in Germany and Austria played a major role in the first three months of this year. This transaction almost quadrupled reported net profit (15.4 billion Euros) which illustrates the created #value for Deutsche Telekom. The proceeds from this transaction enable us to significantly reduce the Group's financial debt and move us closer to our intended debt corridor.   Another key element of our strategy is our business in the US: We have passed the 50 percent shareholding mark in T-Mobile US at the end of the first quarter. With that, we have reached the majority stake in our highly #profitable US subsidiary much earlier than initially expected.   Following these results, we increase our guidance for the adjusted EBITDA AL from ~40.8 billion Euros to ~40.9 billion Euros and confirm the guidance for the Free Cash Flow AL with >16 billion Euros. This is based on an increased outlook from T-Mobile US and the fact that we confirm the previous guidance for our ex US business.   To conclude, despite some headwinds, we are on track to achieve our medium-term targets from the 2021 Capital Markets Day.   #proudtobeT #wewontstop

Today, as we publish our full year results, we look back on the year 2022. We see our world is still upside down. The war in Ukraine and the energy crisis have dominated our perception of the last twelve months. And also, most recently, the earthquakes in Turkey and Syria are events that move us deeply. Especially in times like these, it is important for companies to take #responsibility. And we are helping in various ways: For example, with donations and free phone calls. Looking at our financial results, for Deutsche Telekom being #reliable translates into strategy execution and keeping our promises. And we have delivered: 2022 was another strong year of #growth on both sides of the Atlantic, with 6.1% growth in reported revenues and 7.7% growth in reported adjusted EBITDA AL. If we look at organic numbers, our adjusted Core EBITDA AL grew by 6.8%. In short: We have surpassed our targets for 2022, and we are well on track to reach our CMD promises given in 2021. In 2023, we continue to invest in our #bestnetworks and to focus on #sustainable growth. This is also reflected in our guidance for 2023: We again expect 4% growth in our reported adjusted EBITDA AL and a Free Cash Flow after leases of over 16 billion euros. For all details and documents, check out our investor relations website. You find the link to our results in the comments below. #wewontstop #proudtobeT