Telekom's profits boosted by US business
August 6, 2015
German telecommunications giant Telekom announced Thursday a 15.3 percent jump in sales year-on-year to 17.43 billion euros ($19billion) in the second quarter, spurred on by flourishing sales in its US subsidiary T-Mobile.
The figures surpassed analysts’ expectations slightly. The Telekom’s adjusted net profits year-on-year leapt 70 percent to 1.1.billion euros ($1.2 billion) in the same period.
T-Mobile, of which Telekom owns two-thirds, has overtaken its main rival Sprint to become the third biggest telecommunications provider in the US, thanks to a weaker euro, and increased investment. It expanded its customer base in the US by 2.1 million to 58.9 million users.
The Telekom’s US overall sales, totaled 7.44 billion euros, thereby outstripping revenue in its home market of Germany, where the company raked in 5.58 billion euros.
Telekom also confirmed its earnings forecast for 2015, saying it expected adjusted pre-tax earnings to reach around 18.3 billion euros.
jd/hg (Reuters, dpa)