Deutsche Telekom (DTE) Q1 2025 earnings summary

Executive summary

• Achieved strong Q1 2025 results with group revenue up 6.5% and adjusted EBITDA AL up 7.9% year-over-year; free cash flow AL surged 52.4% due to EBITDA growth and working capital seasonality.

• Net profit jumped 43.5% year-over-year to €2.8 billion, with EPS at €0.58, up from €0.40.

• Raised full-year 2025 guidance for adjusted EBITDA AL and free cash flow AL, reflecting robust performance and new T-Mobile US outlook.

• Continued network leadership in Germany and US, with significant progress in fiber and 5G coverage, and accelerated AI-driven digital transformation.

• Stake in T-Mobile US increased to nearly 52% as of April 2025; buyback ongoing.

Financial highlights

• Q1 2025 revenue: €29.8 billion (+6.5% YoY); service revenue: €25.0 billion (+6.3% YoY); adjusted EBITDA AL: €11.3 billion (+7.9% YoY).

• Free cash flow AL: €5.6 billion (+52.4% YoY); cash capex: €4.3 billion (-6.8% YoY).

• Net profit: €2.8 billion (+43.5% YoY); adjusted EPS: €0.50 (+10.8% YoY); non-recurring adjusted EPS growth: 13.4%.

• Net debt excl. leases: €95.7 billion; leverage ratio (excl. leases): 2.18x; net debt incl. leases: €131.9 billion.

• Adjusted EBITDA AL margin improved to 38.0% (Q1 2024: 37.5%).

Outlook and guidance

• 2025 guidance for adjusted EBITDA AL raised to €45.0 billion and free cash flow AL to €20.0 billion, mainly due to stronger US segment performance.

• T-Mobile US 2025 guidance: US$33.2–33.7 billion core adjusted EBITDA, US$17.5–18.0 billion FCF.

• Group expects continued revenue and EBITDA growth in 2025 and 2026, with stable or slightly increasing capex.

• All other forecast statements remain unchanged; planning assumes a USD/EUR rate of 1.08.

• Committed to delivering 2025 and midterm targets; ongoing buyback and increasing T-Mobile stake.