📚 Earnings – Q3 2026
- 🟢 Revenue: 90,906 M€ in the first nine months of 2026 (9M/26), representing growth of 4.1% year-over-year (4.0% organic), driven by high-speed fixed and mobile connectivity.
- 🟢 Adjusted EBITDA: €35,552 million in 9M/26, a +6.4% on a reported basis (+7.6% organic), reflecting strict cost discipline and operational efficiencies.
- 🟢 Adjusted Free Cash Flow (FCF): €16,417 million in 9M/26, demonstrating strong and consistent operating cash flow generation across the entire group.
- 🟢 United States (T-Mobile US): Service revenue growth of 7.9% (in euros) and adjusted AL EBITDA of 13.1% for the quarter, surpassing 35 million high-value postpaid accounts.
- 🟢 Germany (Domestic Market): 40th consecutive quarter of AL EBITDA growth. All-time high with 190,000 net FTTH additions in the quarter, reaching 14.4 million households and businesses connected.
- 🟡 Net Debt: 134,208 M€ (including IFRS 16 leases), with a leverage ratio (Net Debt / Adjusted EBITDA) kept within 2.55x, supported by the improvement in rating to A- by S&P and Fitch.
📌 Key Points
- 🟢 T-Mobile US continues to serve as the group’s main growth engine for the group, offsetting higher workforce transformation costs and delivering decisive economies of scale.
- 🟢 The competitive moat (moat) in the domestic market is widening: 5G coverage is nearing 90% of the German population, and fiber deployment is proceeding at full speed, shielding Deutsche Telekom from local competitors.
- 🟢 Expanding European diversification: The European segment has posted 35 consecutive quarters of organic EBITDA growth (+6.2% in 9M/26), underpinned by strategic operations in Poland (agreements with Fiberhost and Inea) and brand modernization in Greece (Telekom).
- 🟢 T-Systems (Systems Solutions) continues its recovery, posting a 4.8% increase in revenue driven by corporate digitalization and the expansion of the Industrial AI Cloud.
- 🟡 Aggressive capital allocation: The company combines growing shareholder returns with share buybacks (€1.8 billion executed through September and an additional €2.0 billion planned through 2027), which requires close monitoring of short-term gross debt trends.
- 🟡 Strategic vigilance against new operators: Although the stock has been occasionally affected by global macroeconomic fears and the future emergence of competing satellite services, the company is already exploring European partnerships for mobile satellite connectivity (Mobile Satellite Services).
📊 Outlook for 2026
- 🟢 Adjusted EBITDA: Forecast raised again to approximately 47,600 M€, marking the second upward revision so far this year.
- 🟢 Adjusted Free Cash Flow (FCF AL): Forecast revised upward to around 20,100 M€.
- 🟢 Shareholder Returns: Proposed dividend of €1.10 per share for fiscal year 2026, representing an attractive increase of +10% compared to the previous year.
💬 Management Comment
Deutsche Telekom’s management has reaffirmed the strength of its transatlantic business model, highlighting that the combination of undisputed leadership in 5G and fiber optics in Europe, coupled with the operational dynamism of T-Mobile US, enables the company to more than meet its financial targets for the fiscal year. The strategy remains focused on network excellence, cost discipline, and sustained shareholder value through a balanced combination of growing dividends and share repurchase programs.