Deutsche Telekom dismissed Iliad’s bid for its T-Mobile US subsidiary as undervaluing the asset, as it revealed positive Q2 figures.

Chairman Tim Höttges said the French company’s unsolicited €11 billion offer, announced last week, “doesn’t provide value”.

He added: “At the moment we don’t have any [other] offers on the table.”

Sales in the US rose 9.2 percent year-on-year in the second quarter and the subsidiary is now worth almost as much as DT’s core German market.

Revenues in Germany were down 1.8 percent to €5.5 billion just ahead of the US which now brings in €5.3 billion.

T-Mobile US broke through the 50-million customer mark as subscriber numbers rose three percent, or 1.5 million during the quarter.

DT said it had recorded the strongest growth in service revenues of the four major mobile providers in the US.

In Germany, DT talked up “strong demand” for its fibre products as 227,000 new customers signed up during the quarter. It now has 1.5 million fibre subscribers and 2.3 million TV customers.

Group revenues were flat at €15.1 billion. EBITDA rose 9.5 percent to €4.4 billion and net profit increased by over a third to €711 million thanks to the positive effects on earnings from the spectrum swap with Verizon in the US.

In the rest of Europe sales fell 7.9 percent as DT continued to be hit by regulatory effects.

However, DT said its transformation to IP is “progressing apace and right on schedule”.

[Read more: Deutsche Telekom aims for all IP pan-European network]

Sales in DT’s enterprise arm T-Systems were flat at €2.2 billion as it refused less profitable contracts as part of a deliberate strategy to transform its business.

Revenues from cloud-based solutions increased by more than 40 percent in the first half of 2014, however.

Group capex rose 79.5 percent to €3.9 billion

"Our strategy so far has been to make bold and prudent investments, focus first on lifting customer numbers, and then on upping revenues and results. And we are now starting to reap the rewards," said Höttges.

"We are also gaining more customers thanks to our outstanding networks, and this success is being reflected more and more in our financial figures."

More News

Proximus unveils Swipebox photo sharing solution Proximus unveils Swipebox photo sharing solution Proximus has launched a box that enables customers to transfer photos, videos and music from the mobile devices to their TV set. More detail
Telenor sees triple-digit growth in data roaming across EU Telenor sees triple-digit growth in data roaming across EU Telenor has reported a triple-digit increase in data roaming across all its European markets. More detail
Telefónica strengthens partnership with ZTE Telefónica strengthens partnership with ZTE Telefónica and ZTE have strengthened an existing global cooperation agreement covering a range of network solutions. More detail
Bouygues Telecom ups earnings outlook as it makes loss in H1 Bouygues Telecom ups earnings outlook as it makes loss in H1 Bouygues Telecom has improved its earnings outlook for 2015 as it announced a loss for the first six months of the year. More detail
Ericsson renews contract with UK broadcaster ITV Ericsson renews contract with UK broadcaster ITV Ericsson has announced that it has renewed its contract with UK commercial television network ITV. More detail



This website uses cookies to improve your experience. Using our website, you agree to our use of cookies

Learn more

I understand

About cookies

This website uses cookies. By using this website and agreeing to this policy, you consent to SJP Business Media's use of cookies in accordance with the terms of this policy.

Cookies are files sent by web servers to web browsers, and stored by the web browsers.

The information is then sent back to the server each time the browser requests a page from the server. This enables a web server to identify and track web browsers.

There are two main kinds of cookies: session cookies and persistent cookies. Session cookies are deleted from your computer when you close your browser, whereas persistent cookies remain stored on your computer until deleted, or until they reach their expiry date.

Refusing cookies

Most browsers allow you to refuse to accept cookies.

In Internet Explorer, you can refuse all cookies by clicking “Tools”, “Internet Options”, “Privacy”, and selecting “Block all cookies” using the sliding selector.

In Firefox, you can adjust your cookies settings by clicking “Tools”, “Options” and “Privacy”.

Blocking cookies will have a negative impact upon the usability of some websites.


This document was created using a Contractology template available at