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Deutsche Telekom maintains outlook after solid Q1

2015-05-13 08:34:00| Telecompaper Headlines

(Telecompaper) Deutsche Telekom reported first-quarter net revenue up 13.1 percent year-on-year to EUR 16.8 billion, while adjusted EBITDA increased 11.0 percent to EUR 4.6 billion. Excluding exchange rate effects, particularly the stronger US dollar, and changes in scope, revenues rose 4.7 percent and EBITDA was up 5.6 percent, driven by the improved performance at T-Mobile US. Revenues rose 1.9 percent in Germany and 36.1 percent in the US, but fell 0.6 percent in the rest of Europe and were down 2.5 percent at the Systems Solutions unit. Net profit fell to EUR 787 million from EUR 1.817 billion a year ago when the company realised a profit of EUR 1.7 billion on the sale of its stake in Scout. Capital expenditure, excluding spectrum licences, rose 22.5 percent compared to a year ago to EUR 2.5 billion, driven by a sharp increase in Germany to EUR 950 million. As a result, free cash flow fell 12 percent to EUR 0.9 billion. Based on the solid Q1 results and constant exchange rates, DT confirmed its guidance for the full year for adjusted EBITDA around EUR 18.3 billion and free cash flow at EUR 4.3 billion. 

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