Deutsche Telekom’s revenue showed modest growth in H1 2025. Net revenue rose 2.3 percent year-on-year to €56.3 billion. Service revenue saw a stronger increase of 3.9 percent, reaching €47.6 billion, supported by growth across segments.
Revenue in Germany grew by 3.1 percent, driven by fixed and mobile service gains.
The United States segment posted a 1.3 percent increase, mainly from higher postpaid revenues.
Europe saw a 6.1 percent rise, largely due to high-margin mobile services.
Systems Solutions grew 3.6 percent thanks to demand in Cloud, Digital, and Road Charging areas.
“We are again seeing sustained strong growth on both sides of the Atlantic throughout the second quarter,” says Tim Hottges, CEO of Deutsche Telekom.
Adjusted EBITDA AL rose 6.5 percent to €21.3 billion, while unadjusted EBITDA AL declined by 35.5 percent due to one-time gains from the GD Towers sale in 2023. Net profit fell sharply to €4.1 billion from €16.9 billion in the prior year, again due to the absence of the GD Towers-related gain, while adjusted net profit improved 22.6 percent to €4.7 billion.
Subscribers
Deutsche Telekom added 13.3 million mobile customers year-on-year, bringing the total to 259.2 million as of June 30, 2024, reflecting a 5.4 percent increase. Compared to March 31, 2024, the mobile customer base grew by 1.3 percent.
Broadband customers rose by 2.3 percent year-on-year to 22.2 million, with modest quarterly growth of 0.4 percent. Fixed-network lines remained relatively stable at 25.3 million, showing no significant change over the year.
The subscriber growth was mainly driven by strong additions in the United States and Europe, supported by increased demand for mobile and broadband services.
ARPU
Deutsche Telekom reported stable to slightly rising ARPU trends across key markets. In Germany, mobile ARPU increased due to higher postpaid revenue and greater usage of value-added services. The U.S. segment saw steady postpaid phone ARPU, supported by a growing high-value customer base, while prepaid ARPU remained under pressure from competitive dynamics.
In Europe, ARPU grew modestly, reflecting increased contract customer share and upselling to higher-value plans. Overall, ARPU performance was positively influenced by service revenue growth, customer base quality improvements, and continued migration to higher-speed data and converged offerings.
Capex
Deutsche Telekom’s cash capex before spectrum investment declined by 9.1 percent year-on-year to €8.3 billion in H1 2024. The decrease was mainly due to lower spending in the United States, following prior years of heavy investment in 5G network expansion.
In contrast, capex in Germany increased slightly, driven by continued investment in fiber and network infrastructure. Including spectrum investments, total capex fell to €8.6 billion. The reduction in overall capex reflects a strategic shift from rapid 5G deployment toward optimizing existing infrastructure and improving capital efficiency.
Germany
Deutsche Telekom maintained its strong position in the German market during the second quarter of 2025, with mobile service revenues rising 1.9 percent year-on-year, reinforcing its market leadership. Branded mobile contract additions totaled 185,000, slightly lower than previous quarters due to the loss of a corporate customer to a competitor, though the launch of new Unlimited rate plans in April had a positive effect on the customer base. Fiber-to-the-home (FTTH) growth continued with 137,000 new customers, bringing total network reach to 11.1 million households. However, the broadband segment remained challenging, with low market growth and fierce competition resulting in a loss of 20,000 lines. Financially, adjusted EBITDA AL rose 2.0 percent to 2.6 billion euros, while total revenue declined by 1.3 percent to 6.3 billion euros, mainly due to weaker mobile device sales. Service revenues, which carry higher margins, increased by 1.1 percent on an organic basis.
T Mobile
T-Mobile US continued its strong momentum in the second quarter of 2025, leading the U.S. wireless market in both financial and customer growth. Adjusted EBITDA AL rose by 6.2 percent year-on-year to 8.3 billion U.S. dollars, while service revenues increased by 6.3 percent to 17.4 billion U.S. dollars. The company reported 1.7 million net additions in postpaid customers, including 830,000 postpaid phone users, and raised its full-year forecast to between 6.1 and 6.4 million postpaid customer additions, up by 500,000 at the midpoint from its previous estimate. Following the quarter, T-Mobile US completed the acquisitions of Metronet and UScellular, strengthening its position in both fiber and wireless services. As of July 18, 2025, Deutsche Telekom held a 52.1 percent stake in T-Mobile US.
Europe
Deutsche Telekom’s Europe segment achieved its 30th consecutive quarter of organic earnings growth, with adjusted EBITDA AL rising 6.3 percent to 1.2 billion euros and revenue increasing 2.1 percent to 3.1 billion euros. The company added 209,000 mobile contract customers between April and June, with Poland showing particularly strong performance. Broadband customer numbers grew by 65,000, while TV customers increased by 15,000 during the quarter.
Baburajan Kizhakedath
