Deutsche Telekom Sees Profits Fall On Big Charges

Deutsche Telekom sees profits fall on big charges

BERLIN, (Pakistan Point News - APP - 11th Augst,2016) - German telecoms heavyweight Deutsche Telekom on Thursday reported a slide in net profits in its second quarter, with one-off charges offsetting growth in the key US market. Net profits fell 12.8 percent compared with April to June last year to 621 million Euros ($693 million) after the group booked charges related to staffing cuts. But revenues grew 2.2 percent to 17.8 billion euros, the company said, producing an operating profit as measured by EBITDA of 4.

7 billion euros -- up 3.6 percent over the previous year. Growth was driven by the T-Mobile USA division, which signed up two million new subscribers over the three months. The US unit increased its revenue 10 percent to 8.2 billion euros -- almost half the group's overall revenue, and larger than the amount it made in Germany. In its home market, the former monopoly provider is battling falling business from landlines, with little room to win new mobile customers in an already-saturated market.