Earnings Alerts

Deutsche Telekom (DTE) Earnings Report: FY Adjusted EBITDA Surpasses Estimates with Strong Q3 Performance

By November 14, 2024 No Comments
  • FY Adjusted EBITDA Forecast: Deutsche Telekom raised its full-year adjusted EBITDA after leases forecast to approximately €43 billion, slightly higher than previous estimates.
  • Third Quarter Adjusted EBITDA:
    • Total adjusted EBITDA after leases was €11.10 billion, reflecting a 5.8% year-over-year growth.
    • Germany reported €2.73 billion, a 3.5% increase, slightly above estimates.
    • Europe achieved €1.18 billion, up 7.8%, surpassing forecasts.
    • The US recorded €7.25 billion, marking a 6.7% increase, aligning closely with expectations.
    • Systems Solutions reported €102 million, jumping 19% year-over-year and exceeding projections.
  • Adjusted Net Income: The company reported an adjusted net income of €2.34 billion, a 3% rise year-over-year, though slightly below estimates of €2.41 billion.
  • Revenue Insights:
    • Total revenue reached €28.50 billion, growing by 3.4% year-over-year.
    • Germany’s revenue was €6.47 billion, a 2.5% increase, marginally above forecasts.
    • Europe’s revenue hit €3.11 billion, representing a 3.8% increase, in line with predictions.
    • The US saw revenue of €18.29 billion, a 3.7% rise, slightly exceeding expectations.
    • Systems Solutions’ revenue was €991 million, reflecting a 3.2% increase and surpassing estimates.
  • Free Cash Flow: Free cash flow after leases soared to €6.19 billion, a significant 32% increase compared to the previous year, outperforming the estimate of €5.66 billion.

A look at Deutsche Telekom Smart Scores

FactorScoreMagnitude
Value3
Dividend3
Growth3
Resilience2
Momentum5
OVERALL SMART SCORE3.2

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Deutsche Telekom AG, a telecommunications services provider, receives mixed feedback across various aspects according to the Smartkarma Smart Scores assessment. With an overall outlook influenced by factors such as Value, Dividend, and Growth scoring 3, the company is seen to have a stable foundation without significant strengths or weaknesses in these areas. However, it is noted to excel in Momentum, scoring a high 5, indicating strong positive market momentum and performance.

While Deutsche Telekom shows stability and consistent performance in key areas, its Resilience score of 2 suggests some vulnerability to market fluctuations. Despite this, the company’s strong Momentum score may indicate potential for growth and positive movement in the market. Investors looking for a company with a solid track record and positive momentum might find Deutsche Telekom an attractive long-term investment option.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
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