Deutsche Telekom revenue grew by 6.4 percent in 2019 compared with the prior year to 80.5 billion euros whereas net profit increased by 78.5 percent to 3.9 billion euros.
Tim Hottges, CEO, Deutsche Telekom said, “We have confirmed our position as the clear number one in our industry in Europe with these record results.”
Cash capex before spectrum investment stood at 13.1 billion euros in 2019, 7.6 percent above the prior-year level. This increase was due to the accelerated 5G build-out in the United States.
The focus in Germany in the reporting year was on building out superfast internet connections, with some 28 million households and business locations now being able to use super vectoring with bandwidths of at least 250 Mbps. There were 14.4 million fiber-optic-based lines in the Telekom network at the end of 2019, 2.2 million more than a year earlier. More than 3.6 million customers use the internet-based MagentaTV service. 74,000 new customers signed up in the fourth quarter of 2019 alone.
Mobile service revenues increased by 1.4 percent in the quarter, clearly confirming Deutsche Telekom’s market leadership. In the Germany operating segment as a whole, revenue rose by 0.9 percent in 2019 to 21.9 billion euros. Adjusted EBITDA AL for the full year increased by 2.4 percent compared with 2018 to 8.7 billion euros.
T-Mobile US ended the year with 86 million customers, 6.4 million more than a year earlier. 2019 was the sixth year in succession with more than five million customer additions. The company recorded more than a million net additions to branded postpaid phone customers in the fourth quarter. T-Mobile US increased total revenue by 5.0 percent in 2019 to 45.2 billion US dollars.
In Europe the revenue and earnings growth has been gaining pace for two years now in the Europe operating segment. In organic terms, revenue increased by 1.4 percent year-on-year in 2019 to 12.2 billion euros. One of the success factors of the past year was fixed-mobile convergence products. Nearly 4.8 million customers now use such offers, 45.3 percent more than a year earlier.
T-Mobile Netherlands continues to grow. Revenue increased by 44.5 percent compared with 2018 to 1.9 billion euros. Adjusted EBITDA AL rose by 21.5 percent to 0.5 billion euros. The company’s outstanding market position was underlined by the addition of 83,000 new mobile customers and 18,000 broadband customers in the fourth quarter alone.