Deutsche Telekom

Interim Group Report

9M 2025

January 1 to September 30

In the interest of clarity, we have tended to avoid using a combination of pronouns such as "he/she/they," etc. with regard to gender. All references to individuals refer equally to all genders.

Deutsche Telekom at a glance

millions of €
	Q1-Q3	Q1-Q3	Change			Change
	2025	2024	%	Q3 2025	Q3 2024	%	FY 2024
Revenue and earnings
Net revenue	87,361	84,838	3.0	28,935	28,501	1.5	115,769
Of which: domestic a	% 22.1	23.0		22.4	23.0		22.7
Of which: international a	% 77.9	77.0		77.6	77.0		77.3
Service revenue	74,011	71,700	3.2	24,670	24,127	2.2	96,537
EBITDA	37,129	35,703	4.0	11,945	11,968	(0.2)	50,304
EBITDA (adjusted for special factors)	38,097	37,158	2.5	12,675	12,689	(0.1)	49,423
EBITDA AL	32,384	30,858	4.9	10,369	10,348	0.2	43,815
EBITDA AL (adjusted for special factors)	33,411	32,389	3.2	11,115	11,096	0.2	43,021
EBITDA AL margin (adjusted for special factors)	% 38.2	38.2		38.4	38.9		37.2
Profit (loss) from operations (EBIT)	19,435	17,803	9.2	6,027	6,137	(1.8)	26,277
Net profit (loss)	7,886	7,027	12.2	2,427	2,957	(17.9)	11,209
Net profit (loss) (adjusted for special factors)	7,617	7,051	8.0	2,670	2,335	14.3	9,397
Earnings per share (basic and diluted)	€ 1.62	1.42	13.8	0.50	0.60	(16.9)	2.27
Adjusted earnings per share (basic and diluted)	€ 1.56	1.43	9.5	0.55	0.47	15.8	1.90
Statement of financial position
Total assets	287,205	288,608	(0.5)				304,934
Shareholders' equity	91,642	92,393	(0.8)				98,640
Equity ratio	% 31.9	32.0					32.3
b Net debt	132,779	128,723	3.2				137,327
Cash flows
Net cash from operating activities	31,666	30,703	3.1	10,728	10,810	(0.8)	39,874
Cash capex	(14,586)	(14,370)	(1.5)	(5,381)	(5,793)	7.1	(19,171)
Cash capex (before spectrum investment) c	(12,213)	(11,946)	(2.2)	(4,000)	(3,601)	(11.1)	(15,962)
Free cash flow (before dividend payments and spectrum investment) c, d	19,648	18,852	4.2	6,793	7,242	(6.2)	24,102
Free cash flow AL (before dividend payments and spectrum investment) c, d	16,149	15,126	6.8	5,622	6,189	(9.2)	19,156
Net cash (used in) from investing activities	(19,173)	(14,281)	(34.3)	(10,349)	(5,756)	(79.8)	(18,900)
Net cash (used in) from financing activities	(14,027)	(11,329)	(23.8)	(5,123)	(1,076)	n.a.	(20,282)

a The calculation of the domestic and international revenue shares was adjusted effective September 30, 2025. Prior-year comparatives have been adjusted retrospectively.

d Excluding proceeds from the disposal of spectrum due to the sale of spectrum licenses by T‑Mobile US.

millions
	Sept. 30, 2025	June 30, 2025	Change Sept. 30, 2025/ June 30, 2025 %	Dec. 31, 2024	Change Sept. 30, 2025/ Dec. 31, 2024 %	Sept. 30, 2024	Change Sept. 30, 2025/ Sept. 30, 2024 %
Fixed-network and mobile customers
a Mobile customers	272.5	263.3	3.5	261.4	4.3	258.8	5.3
Fixed-network lines	24.9	25.0	(0.4)	25.2	(1.3)	25.3	(1.4)
b Broadband customers	22.4	22.4	0.1	22.3	0.4	22.2	0.8

a Including T‑Mobile US wholesale customers.

The figures shown in this report were rounded in accordance with standard business rounding principles. However, changes were calculated on the basis of non-rounded values. As a result, the total indicated may not be equal to the precise sum of the individual figures.

For information on the development of business in our operating segments, please refer to the section "Development of business in the operating segments" in the interim Group management report and in the IR backup on our Investor Relations website.

For information on our performance indicators and alternative performance measures, please refer to the section "Management of the Group" in the 2024 combined management report (2024 Annual Report) and to our Investor Relations website.

b Including, where it exists, net debt reported under assets and liabilities directly associated with non-current assets and disposal groups held for sale.

c Excluding cash outflows for investments made by T‑Mobile US to acquire customer bases.

b Excluding wholesale.

To our shareholders

Development of selected financial data

Net revenue, service revenue

Net revenue increased by 3.0 % to EUR 87.4 billion. In organic terms, net revenue increased by 3.7 %. Service revenue was up 3.2 % to EUR 74.0 billion. In organic terms, the increase was 3.7 %.
Revenue in the Germany segment decreased by 1.5 % on account of lower mobile terminal equipment sales. Service revenue grew by 0.9 %.
Revenue in the United States segment increased by 4.7 %. In organic terms, revenue increased by 5.8 % due to the positive development of service and terminal equipment revenues.
Revenue in our Europe segment increased by 2.3 %. In organic terms, the increase was 2.7 %, on account of higher service revenue.
Revenue in the Systems Solutions segment was up 2.4 %, on the back of growth in the Digital and Road Charging areas.

EBITDA AL (adjusted for special factors)

Adjusted EBITDA AL grew by 3.2 % to EUR 33.4 billion. In organic terms, it increased by 4.4 %.
Adjusted EBITDA AL in the Germany segment increased by 1.4 %, driven by service revenue growth and enhanced cost efficiency.
Adjusted EBITDA AL in the United States segment increased by 3.3 %. In organic terms, the increase was 5.2 %, on account of higher service and terminal equipment revenues.
Adjusted EBITDA AL in the Europe segment increased by 5.6 %. In organic terms, the increase was 5.9 %, driven by the sound revenue trend and a positive net margin.
In the Systems Solutions segment, adjusted EBITDA AL grew by 13.7 % on the back of the revenue growth as well as margin increases and cost optimizations in the Cloud area.
The adjusted EBITDA AL margin remained stable at 38.2 %. The adjusted EBITDA AL margin was 42.3 % in the Germany segment, 38.7 % in the United States segment, and 37.9 % in the Europe segment.

Profit/loss from operations (EBIT)

EBIT increased substantially by 9.2 % to EUR 19.4 billion.
Special factors were down by EUR 0.5 billion, and had an impact of EUR ‑1.0 billion on EBITDA AL. Expenses incurred in connection with deconsolidations, disposals, and acquisitions decreased by EUR 0.4 billion and in the reporting year related mainly to integration costs in connection with the acquisition of UScellular. Expenses incurred in connection with staff restructuring measures decreased by EUR 0.2 billion.
EBITDA AL grew by 4.9 % to EUR 32.4 billion.
At EUR 17.7 billion, depreciation, amortization and impairment losses were EUR 0.2 billion lower than in the prior-year period.

Net profit

Net profit increased substantially by 12.2 % to EUR 7.9 billion.
Loss from financial activities increased by EUR 0.5 billion, mainly due to the declining share of profit of associates and joint ventures included in the consolidated financial statements using the equity method. This was primarily attributable to reversals of impairment losses recognized in the reporting period of EUR 0.5 billion and EUR 0.2 billion, respectively, on the carrying amounts of the investments in GD Towers and GlasfaserPlus, compared with EUR 1.0 billion and EUR 0.3 billion, respectively, in the prior-year period.
Tax expense increased by EUR 0.1 billion to EUR 3.7 billion.
Profit attributable to non-controlling interests increased by EUR 0.2 billion to EUR 4.2 billion; this increase was primarily attributable to the United States segment.
Adjusted earnings per share rose from EUR 1.43 to EUR 1.56.

Equity ratio

The equity ratio decreased by 0.4 percentage points to 31.9 %. Shareholders' equity decreased by EUR 7.0 billion to EUR 91.6 billion, while total assets/total liabilities decreased by EUR 17.7 billion to EUR 287.2 billion.
Shareholders' equity was reduced in particular by other comprehensive income (EUR 6.4 billion), which was impacted by currency translation effects. Dividend payments – including to non-controlling interests – (EUR 6.0 billion) as well as transactions with owners (EUR 5.9 billion), mainly as a result of T‑Mobile US' share buy-backs, likewise had a reducing effect. Deutsche Telekom AG's share buy-backs (EUR 1.5 billion) also reduced shareholders' equity.
Profit in particular had an increasing effect on shareholders' equity (EUR 12.1 billion).

% 0 10 20 40 30 32.3 31.9 Dec. 31, 2024 Sept. 30, 2025

Net debt a

Net debt decreased by EUR 4.5 billion to EUR 132.8 billion.
The main factors reducing net debt were free cash flow (before dividend payments and spectrum investment) of EUR 19.6 billion and exchange rate effects (EUR 11.5 billion).
The main factors increasing net debt were corporate transactions in the United States segment (EUR 10.5 billion), T‑Mobile US' share buy-backs (EUR 6.7 billion), dividend payments – including to non-controlling interests – (EUR 6.0 billion), and additions of lease liabilities and right-of-use assets (EUR 3.4 billion).

Cash capex (before spectrum investment) ^b

Cash capex (before spectrum investment) increased by EUR 0.3 billion to EUR 12.2 billion.
In the United States segment, cash capex increased by EUR 0.6 billion, in particular due to higher investments in the continued network build-out. Cash capex in the Germany segment decreased by EUR 0.3 billion, mainly on account of the intra-year allocation of investments in the fiber build-out.
Cash capex (including spectrum investment) increased by EUR 0.2 billion to EUR 14.6 billion. Cash outflows of EUR 1.3 billion were recorded in the reporting period for the acquisition of customer bases by T‑Mobile US. A further EUR 1.1 billion in total was invested in mobile spectrum licenses, mainly in the United States and Europe operating segments. In the prioryear period, EUR 2.4 billion was paid for mobile spectrum licenses, mainly in the United States.

Free cash flow AL (before dividend payments and spectrum investment) b, ^c

Free cash flow AL was up by EUR 1.0 billion to EUR 16.1 billion.
Free cash flow AL was positively affected by the strong development of the operating business, lower cash outflows in connection with the integration of Sprint in the United States, and a decrease in cash outflows for the repayment of lease liabilities.
Currency translation effects, higher cash capex (before spectrum investment), and marginally higher tax payments and net interest payments had a decreasing effect.

For a reconciliation for the organic development of key figures for the prior-year period, please refer to the section "Additional information."

For further information, please refer to the sections "Development of business in the Group" and "Development of business in the operating segments" in the interim Group management report, and to the IR backup on our Investor Relations website.

For further information on our performance indicators and alternative performance measures, please refer to the section "Management of the Group" in the 2024 combined management report (2024 Annual Report) and to our Investor Relations website.

Including, where it exists, net debt reported under assets and liabilities directly associated with non-current assets and disposal groups held for sale. ^a

Excluding cash outflows for investments made by T‑Mobile US to acquire customer bases. ^b

Excluding proceeds from the disposal of spectrum due to the sale of spectrum licenses by T‑Mobile US. ^c

Highlights

For further media information releases, please refer to our website.

For comprehensive information on the T-Share, please visit our Investor Relations website.

Developments at senior management level

At its meeting on May 22, 2025, the Supervisory Board of Deutsche Telekom AG resolved to prematurely terminate Claudia Nemat's position as the Board member responsible for the Technology and Innovation department effective September 30, 2025. In the same meeting, the Supervisory Board appointed Dr. Abdu Mudesir as Claudia Nemat's successor for the period from October 1, 2025 to September 30, 2028.

Guidance raised again for the 2025 financial year

We are raising our guidance for adjusted EBITDA AL and free cash flow AL of the Group again for the 2025 financial year. Instead of over EUR 45.0 billion, we now expect to post adjusted EBITDA AL of around EUR 45.3 billion. While free cash flow AL previously amounted to more than EUR 20.0 billion, we now expect it to stand at around EUR 20.1 billion.

Shareholder remuneration

On the basis of the results expected for the 2025 financial year as well as the finance strategy communicated at the 2024 Capital Markets Day, the Board of Management of Deutsche Telekom AG plans to propose to the 2026 Shareholders' Meeting the distribution of a dividend of EUR 1.00 per share for the 2025 financial year, and to buy back shares for EUR 2 billion in the 2026 financial year.

Transactions

Deutsche Telekom AG's share buy-back program. Since January 3, 2025, Deutsche Telekom AG has been buying back shares as part of a buy-back program. As of September 30, 2025, Deutsche Telekom AG had bought back around 47 million shares with a total volume of EUR 1.5 billion. The approximately 81 million shares bought back under the 2024 program were canceled on August 19, 2025.

For further information on the 2025 share buy-back program, please refer to our Investor Relations website.

Sale of T‑Mobile US shares by Deutsche Telekom. Between June 12 and September 10, 2025, Deutsche Telekom sold portions of its T‑Mobile US share portfolio on the market, without jeopardizing its own majority ownership position. On September 11, 2025, a further sales plan commenced with terms ending in the fourth quarter of 2025. As of September 30, 2025, Deutsche Telekom had sold a total of 5.2 million T‑Mobile US shares with a volume of EUR 1.1 billion.

T‑Mobile US' 2025 shareholder return program. On December 13, 2024, T‑Mobile US had announced a shareholder return program comprising share buy-backs and dividends to be paid out. As of September 30, 2025, T‑Mobile US had bought back around 30 million shares with a total volume of USD 7.4 billion (EUR 6.6 billion) and paid out cash dividends of USD 3.0 billion (EUR 2.8 billion). On September 18, 2025, T‑Mobile US announced that the Board of Directors had declared a cash dividend of USD 1.02 per share; a quarter-on-quarter increase of USD 0.14.

Acquisition of Metronet in the United States. On July 24, 2025, T‑Mobile US consummated the acquisition of the fiber-to-the-home platform Metronet and certain of its affiliates as part of a joint venture. All necessary regulatory approvals had been duly granted and all other closing conditions met.

Acquisition of UScellular in the United States. On August 1, 2025, T‑Mobile US consummated the acquisition of UScellular's wireless operations and specific spectrum licenses. All necessary regulatory approvals had been duly granted and all other closing conditions met.

Sale of Telekom Romania Mobile Communications. On October 1, 2025, Hellenic Telecommunications Organization (OTE) consummated the sale of Telekom Romania Mobile Communications (TKRM). All necessary regulatory approvals had been duly granted and all other closing conditions met.

For further information on these transactions, please refer to the sections "Development of business in the Group" and "Group organization, strategy, and management" in the interim Group management report, and the sections "Changes in the composition of the Group and other transactions" and "Other transactions that had no effect on the composition of the Group" in the interim consolidated financial statements.

Network build-out

Germany. As of September 30, 2025, our 5G network was available to 98.8 % of the German population, and a total of 11.8 million households and companies can subscribe to a fiber-optic line with us.

Europe. As of September 30, 2025, our national companies covered on average 89.3 % of the population in our European footprint with 5G, and a total of 10.9 million households can access our fiber-optic network offering gigabit speeds.

Events

30 years of Deutsche Telekom AG. On July 11 and 12, 2025, we celebrated our 30th anniversary as a stock corporation. Attended by around 500 guests, the celebrations opened with a look back over Deutsche Telekom's history and its transformation into the most valuable telecommunications brand globally. Since 1995, our customer base has grown from around 37 million to around 300 million and our revenue from around EUR 34 billion to around EUR 116 billion in 2024. The ceremony climaxed with a musical world-first: two pianists playing a piano four hands from different locations, as well as the official unveiling of the sculpture entitled "Gran elefant dret." The festivities continued across Bonn with a lineup of spectacular events, including a drone show and concerts by famous artists.

For further information, please refer to our topic special (German only).

Digitalization initiative: Digital X 2025. On September 10, 2025, we presented an AI focus edition of Digital X in Cologne. The updated format, with around 100 master classes and outstanding speakers, offered over five thousand guests ample opportunity for dialog on artificial intelligence and digital transformation. Together with market-leading partners and experts, the digitalization initiative aims to create tangible impetus for Europe's digital agenda and take action together – for sustainable digitalization and strengthened competitiveness.

For further information, please refer to our topic special (German only).

Rating

On September 26, 2025, the rating agency Moody's raised our rating, which stood at A3 with a stable outlook as of September 30, 2025.

Cooperations, partnerships, and major deals

Cooperations for the fiber-optic build-out. The city of Karlsruhe's municipal utilities company Stadtwerke Karlsruhe signed a cooperation agreement with Telekom Deutschland in July 2025. This was followed in subsequent months by further cooperation agreements with Stadtwerke München in Munich and its telecommunications subsidiary M-net, as well as with Stadtwerke Hilden. The goal is to roll out fiber-to-the-building across the respective regions and to leverage synergies from the partnerships. Our fiber cooperations are proving successful. In Baden-Württemberg, for example, we have been working with the state government to build out gigabit-ready networks in the region, and at the end of July 2025 reached the major landmark of over 1 million households passed by our fiber-optic lines.

Partnership with Nvidia on 5G+ gaming. At Gamescom in mid-August 2025, we announced a collaboration with Nvidia to bring a brand-new 5G+ gaming offering to the market. The product combines Nvidia's GeForce NOW cloud platform with our 5G+ network and enables cloud gaming with optimized response times directly on smartphones. Innovative technologies such as L4S and network slicing deliver the highly stable connections. Deutsche Telekom is Europe's first network operator to enable latency-optimized mobile

For further information, please refer to our media report.

gaming with GeForce NOW based on 5G standalone technology.

Sports collaborations. Our support for sports continues: In August 2025, we revealed that we had extended our longstanding partnership with FC Bayern Munich through 2032. The focus of our collaboration is on technology, the digital fan experience, and social responsibility. We have also extended our successful media partnership with the German Hockey Federation through 2028. Up to 132 international matches of the German men's and women's hockey teams will be broadcast live on MagentaTV. In September 2025, we announced our involvement in a major sporting event in the United States: T‑Mobile US will be the official telecommunications service provider for the 2028 Olympic and Paralympic Games in Los Angeles. Our U.S. subsidiary will provide 5G infrastructure, deliver connectivity for all competition venues and staff, broadcast the events, and much more.

Products, rate plans, and services

Launch of our AI-phone. The T Phone 3, our AI-assisted smartphone, has been available in Germany and nine more countries in Europe since August 14, 2025. Instead of apps on the home screen, users control the smartphone via the integrated AI assistant, Magenta AI, which is based on the AI-powered Perplexity app. The T Phone 3 Pro, with better hardware and extended functions, has been available since October 14, 2025. We are additionally bringing the T Tablet 2 AI-based tablet to the market. Our goal with these three devices is to make AI accessible to everyone.

For further information, please refer to our media report.

Launch of our T Cloud. We added a new element to our cloud portfolio in September 2025 with T Cloud, a cloud service platform that enables companies to tailor their cloud solutions according to their needs. At the heart of the T Cloud offerings are sovereign cloud services that are provided to customers at different levels of security in line with European standards, integrating a multi-cloud approach and partner ecosystems. In addition to hyperscaler solutions and consulting services, the platform also offers Deutsche Telekom's own cloud infrastructure. T Cloud is our answer to the call from European companies for digital independence from non-European technologies. At the same time, we are rolling out maximum-security offerings such as the new T Mission portfolio.

For further information, please refer to our media report.

Launch of the Revvl 8 smartphone at T‑Mobile US. T‑Mobile US introduced the new Revvl 8 smartphone on August 14, 2025, exclusively available at T‑Mobile US and Metro by T‑Mobile. The powerful Revvl 8 has an enhanced main camera, a long-lasting battery, and built-in Gemini AI. Customers also receive a limited lifetime warranty and five years of security updates.

Launch of the T-Satellite service by T‑Mobile US. On July 23, 2025, T‑Mobile US launched T-Satellite, the U.S.' first automatic satelliteto-mobile network built to deliver network coverage in places carrier towers cannot reach. The service works with standard smartphones and since October 2025 also offers connectivity for popular data-based services. T‑Mobile US customers on the Experience Beyond plan can use T-Satellite at no extra cost. For everyone else, the service is available for USD 10/month.

Awards

Networks. In the third quarter of 2025, our subsidiaries in Austria (German only), Poland (Polish only), and Greece once again win the Ookla® Speedtests for the fastest fixed-network internet or mobile network. Magenta Telekom in Austria also takes the top spot in the Connect and Imtest fixed-network tests. In Greece, Umlaut certifies OTE's mobile network as Best in Test for speed and quality for the eleventh year running. While in Germany, for the fifth consecutive time, we are crowned winner of the Connect fixed-network test (German only) with an overall score of "very good."

Service. In Germany, our service hotline for MagentaTV receives a verdict of "outstanding" in the Connect test of IPTV and streaming hotlines (German only), winning all five categories and scoring maximum points for Availability, Interactive Voice Response, and Friendliness. Our MeinMagenta service app, with its improved security and AI-powered chatbot, is awarded a score of "outstanding" in the Connect test of network operators' service apps (German only).

Brand. In July 2025 and for the third consecutive time, the Brand Finance Europe 500 study confirms Deutsche Telekom's position as Europe's most valuable brand with a brand value of EUR 76.5 billion.

Investor relations. Deutsche Telekom is once again the Investors' Darling (German only): HHL Leipzig Graduate School of Management, in cooperation with Manager Magazin and Berenberg, votes us best for investor relations communication with the #1 spot in its overall MDAX and SDAX ranking of 2025. In the DAX 40 ranking, we take this accolade for the fourth time running. Our IR team is additionally crowned best in the category Large Cap – Technology, Media & Telecommunications by the Extel Developed Europe Executive Team 2025 investor survey.

For information on our awards for responsible corporate governance, please refer to our website.

Interim Group management report

Group organization, strategy, and management

With regard to our Group organization, strategy, and management, please refer to the explanations in the 2024 combined management report (2024 Annual Report). From the Group's point of view, the following significant events in the first nine months of 2025 resulted in changes and/or additions.

Group organization

Acquisition of Vistar Media in the United States. On December 20, 2024, T‑Mobile US had entered into an agreement on the acquisition of 100 % of the outstanding capital stock of Vistar Media, a provider of technology solutions for digital out-of-home advertisements. The transaction was consummated on February 3, 2025. All necessary regulatory approvals had been duly granted and all other closing conditions met. Upon closing, T‑Mobile US transferred a cash payment of USD 0.6 billion (EUR 0.6 billion). Vistar Media has been included in the consolidated financial statements since February 3, 2025.

Acquisition of Blis in the United States. On February 18, 2025, T‑Mobile US had entered into an agreement on the acquisition of 100 % of the outstanding capital stock of Blis, a provider of advertising solutions. The transaction was consummated on March 3, 2025. All necessary regulatory approvals had been duly granted and all other closing conditions met. Upon closing, T‑Mobile US transferred a cash payment of USD 0.2 billion (EUR 0.2 billion). Blis has been included in the consolidated financial statements since March 3, 2025.

Acquisition of Lumos in the United States. On April 24, 2024, T‑Mobile US had entered into an agreement with the investment fund EQT to establish a joint venture to acquire the fiber-to-the-home platform Lumos. The transaction was consummated on April 1, 2025. All necessary regulatory approvals had been duly granted and all other closing conditions met. The shareholding has been included in Deutsche Telekom's consolidated financial statements using the equity method since April 1, 2025. Upon closing, T‑Mobile US invested approximately USD 0.9 billion (EUR 0.8 billion) in the company to acquire a 50 % equity interest and 97 thousand fiber customers. Lumos will continue to provide fiber services for the acquired fiber customers under a wholesale agreement between T‑Mobile US and Lumos. The revenues generated from the acquired fiber customers are recognized at T‑Mobile US under postpaid service revenues. The related costs paid for the provision and use of the fiber network are recognized under cost of services. The funds invested by T‑Mobile US are to be used for future fiber builds. In addition, pursuant to the definitive agreement, T‑Mobile US expects to make an additional capital contribution of approximately USD 0.5 billion (EUR 0.4 billion) between 2027 and 2028.

Acquisition of UScellular in the United States. On May 24, 2024, T‑Mobile US had entered into an agreement on the acquisition of UScellular's wireless operations and specific spectrum licenses. Furthermore, on July 22, 2025, T‑Mobile US had entered into purchase agreements for the acquisition of the wireless operations of Farmers Cellular Telephone Company and two Iowa RSA companies ("Iowa Entities") in which UScellular had held a minority interest. The transactions were consummated on August 1, 2025. All necessary regulatory approvals had been duly granted and all other closing conditions met. Upon closing, T‑Mobile US transferred a cash payment of USD 2.8 billion (EUR 2.5 billion) and assumed debt of USD 1.7 billion (EUR 1.4 billion). The acquired activities, assets, and liabilities have been included in Deutsche Telekom's consolidated financial statements since August 1, 2025. Following the acquisition, UScellular and the Iowa Entities continue to own their cell towers. T‑Mobile US has entered into a master license agreement to lease new space on towers being retained by UScellular and extend the tenancy term on further towers where it is already leasing space from UScellular. As a result of entering into the master license agreement, right-of use assets and lease liabilities were recorded at the acquisition date of USD 1.0 billion each (EUR 0.9 billion).

Acquisition of Metronet in the United States. On July 18, 2024, T‑Mobile US had entered into an agreement with KKR to establish a joint venture to acquire the fiber-to-the-home platform Metronet and certain of its affiliates. The transaction was consummated on July 24, 2025. All necessary regulatory approvals had been duly granted and all other closing conditions met. The shareholding has been included in Deutsche Telekom's consolidated financial statements using the equity method since July 24, 2025. Upon closing, T‑Mobile US invested USD 4.6 billion (EUR 3.9 billion) to acquire a 50 % equity interest in the joint venture and 713 thousand residential fiber customers. Metronet will continue to provide fiber services for the acquired residential fiber customers under a wholesale agreement between T‑Mobile US and Metronet. The revenues generated from the acquired residential fiber customers are recognized at T‑Mobile US under postpaid service revenues. The related costs paid for the provision and use of the fiber network are recognized under cost of services.

Sale of Telekom Romania Mobile Communications. On September 19, 2025, Hellenic Telecommunications Organization (OTE) had entered into an agreement on the sale of Telekom Romania Mobile Communications (TKRM), which was assigned to the Europe operating segment. TKRM's assets and liabilities were reported as held for sale as of September 30, 2025. The transaction was consummated on October 1, 2025. All necessary regulatory approvals had been duly granted. The two-step transaction encompasses the sale of certain TKRM assets to Digi Romania, including the prepaid customer business, certain spectrum rights, and part of the tower portfolio, as well as the sale of the TKRM shares held by OTE, excluding the aforementioned assets, to Vodafone Romania. The preliminary sale price amounts to around EUR 0.1 billion and is subject to customary adjustments at closing.

Group strategy

Shareholder remuneration. On the basis of the results expected for the 2025 financial year as well as the finance strategy communicated at the 2024 Capital Markets Day, the Board of Management of Deutsche Telekom AG plans to propose to the 2026 Shareholders' Meeting to increase the dividend from EUR 0.90 per share for the 2024 financial year to EUR 1.00 per share for the 2025 financial year. The Board of Management will submit to the Supervisory Board the final proposal to the Shareholders' Meeting on the appropriation of net profit together with the definitive financial results for the 2025 financial year. We are additionally planning to buy back Deutsche Telekom AG shares over several tranches up to a total purchase price of up to EUR 2 billion in the 2026 financial year as part of a new share buy-back program.

Governance

On January 27, 2025, the Supervisory Board resolved to cancel the current appointment of Tim Höttges. He was reappointed to the Board of Management prematurely for the period from February 1, 2025 until midnight on December 31, 2028, and was reassigned the department of the Chair of the Board of Management.

The Supervisory Board additionally resolved on January 27, 2025 to terminate Srini Gopalan's position as the Board member responsible for the Germany Board department and to approve his termination agreement effective midnight on February 28, 2025. Srini Gopalan initially assumed the function of Chief Operating Officer at T‑Mobile US effective March 1, 2025, before becoming Chief Executive Officer effective November 1, 2025.

In the same meeting, the Supervisory Board resolved on the appointment of Rodrigo Diehl to the Board of Management for the period from March 1, 2025 to midnight on February 29, 2028. He was assigned the Germany Board department.

Claudia Nemat, Board member responsible for the Technology and Innovation Board department, notified the Supervisory Board of Deutsche Telekom AG that she does not intend to extend her service contract beyond its current expiration date and will leave the Group prematurely as of midnight on September 30, 2025. At its meeting on May 22, 2025, the Supervisory Board of Deutsche Telekom AG resolved to prematurely terminate Claudia Nemat's position on the Board of Management.

On May 22, 2025, the Supervisory Board appointed Dr. Abdu Mudesir to the Board of Management for the period from October 1, 2025 to midnight on September 30, 2028. He was assigned the Technology and Innovation Board department.

In accordance with the published agenda, on April 9, 2025, the Shareholders' Meeting of Deutsche Telekom AG passed resolutions on, among other matters, the approval of the actions of the Board of Management and the Supervisory Board, the selection of the external auditor for the 2025 financial year, the amount of the dividend (EUR 0.90 per dividend-bearing no par value share; total dividend payout EUR 4.4 billion), the change to § 14 of the Articles of Incorporation (possibility of a virtual Shareholders' Meeting), and a new Board of Management remuneration system from the 2025 financial year onward. The dividend was paid out in April 2025.

For further information on the 2025 Shareholders' Meeting, please refer to our Investor Relations website.

Further information on the Board of Management remuneration system is available on our remuneration website.

The economic environment

This section provides important additional information and explains recent changes in the economic environment compared to those described in the 2024 combined management report (2024 Annual Report), focusing on macroeconomic developments, the overall economic outlook including the currently prevailing economic risks, and the regulatory environment in the first nine months of 2025.

Macroeconomic development

The inflation rate in the United States was at 3.0 % in September 2025, and 2.2 % in the eurozone. While the European Central Bank cut the key interest rate four times in the first half of 2025, it held the rate steady in the third quarter of 2025. The U.S. Federal Reserve (Fed) cut its benchmark interest rate by 25 basis points in September 2025 and again in October 2025.

In Germany, the business climate in the digital economy developed unevenly in the third quarter of 2025. The Bitkom-ifo-Digitalindex trended upwards in July and August, before dipping again in September.

Overall economic outlook

The U.S. administration's realigned tariff policy has led to a palpable shift in the global macroeconomic conditions. Spurred by higher trade tariffs and growing political uncertainty, the global growth forecasts have been revised. In October 2025, the International Monetary Fund (IMF) reduced its outlook for global economic growth slightly from 3.3 % at the start of 2025 to 3.2 %. The growth forecast for the United States was downgraded from 2.7 % to 2.0 % for 2025, and for Germany from 0.3 % to 0.2 %. Despite a small upward revision compared to the April and July 2025 growth forecasts, downside risks from potential tariff increases, sustained uncertainty, and geopolitical tensions continue to weigh on the situation. Global inflation is expected to fall, while U.S. inflation is predicted to remain above the Fed's 2 % target.

The telecommunications industry is not directly affected by trade tariffs and, so far, has proven to be relatively resilient in the face of economic fluctuations.

Regulation

Review of the approval under merger control law for the joint venture Glasfaser NordWest. Following the Düsseldorf Higher Regional Court's decision to annul the approval issued by the Bundeskartellamt, the Federal Court of Justice overturned this decision on February 25, 2025 and referred the matter back to the Düsseldorf Higher Regional Court. The Düsseldorf Higher Regional Court will now reach a new decision in consideration of the Federal Court of Justice's legal position. Until a final substantive decision is reached on the legality of the Bundeskartellamt's approval, these proceedings have no direct implications for the existence of the joint venture Glasfaser NordWest or for the local fiber build-out.

Telecommunications Act reform in Germany. In July 2025, the paramount public interest in building out public telecommunications infrastructure was enshrined in the German Telecommunications Act (Telekommunikationsgesetz – TKG). The new legal status for infrastructure aims to remove barriers to planning and approval and speed up build-out. The Federal Government is additionally planning a further TKG reform to further improve the conditions surrounding network build-out. Key points were published in July 2025 and the draft bill is expected at the end of this year. Furthermore, the Federal Ministry for Digital Transformation and Government Modernisation has begun a consultation process on its proposals for accelerating the migration from copper to fiber.

Awarding of spectrum

In Poland, the auction of frequencies in the 700 MHz and 800 MHz bands ended on March 25, 2025. T‑Mobile Polska secured one spectrum block in each band for a total of around EUR 185 million (PLN 781 million). In Slovakia, the auction for the bands expiring in 2025, 2026, and 2028 ended on July 10, 2025. Slovak Telekom secured 2x 10 MHz in each of the 800 and 900 MHz bands, 1x 20 MHz in the 1,500 MHz band, 2x 20 MHz in each of the 2,100 and 2,600 MHz bands, as well as 1x 40 MHz in the 2,600 MHz Time Division Duplex (TDD) band, for a total of approximately EUR 165 million.

In Germany, the Bundesnetzagentur extended the usage rights for the 800, 1,800, and 2,600 MHz spectrum bands on June 13, 2025. The extension is for five years. The extension fee for Telekom Deutschland is EUR 200 million for the extension period. In addition, usage right holders are required to fulfill extensive build-out obligations, which include providing coverage for 99.5 % of Germany's surface area. The requirement to negotiate with service providers and MVNOs was also specified in more detail.

The award rules of the 2019 auction were declared unlawful by the Cologne Administrative Court on August 26, 2024. This ruling initially has no direct impact on our spectrum usage rights in the 2.1 GHz and 3.6 GHz bands awarded in those proceedings, and the spectrum allocations will remain in effect until further notice. The ruling of the Cologne Administrative Court requires the Bundesnetzagentur to reach a new decision regarding the motions submitted by Freenet and EWE Tel in 2018 with respect to the imposition of a service provider obligation (instead of a negotiation obligation). On January 9, 2025, the Bundesnetzagentur filed a complaint against the non-allowance of appeal. If the ruling becomes final and legally binding, the Bundesnetzagentur will have to reach a new decision on the award and auction rules (Decisions III and IV).

In the United States, the Federal Communications Commission (FCC) began the procedure to re-auction portions of the AWS-3 bands. Designated as Auction 113, it will offer around 200 licenses and must take place by June 2026 at the latest. No definitive auction date has yet been set. Proceedings to re-award spectrum in the 2,600 MHz band expiring at the end of 2026 and spectrum in the 2,300 MHz band are starting in Austria. In Poland, the procedure to extend the 900 MHz licenses is now underway. If necessary, the procedure to award the 26 GHz band could also begin. In the Czech Republic, the national regulator began the consultation process on the 26 GHz band; no award is expected in the near future. In Hungary, the consultation process for the 2,100 MHz licenses expiring in mid-2027 began on September 25, 2025. Hungary's national regulator is planning an auction that will also include further spectrum bands (1,500 MHz and 26 GHz).

The following table provides an overview of the main ongoing and planned spectrum awards and auctions as well as license extensions. It also indicates spectrum to be awarded in the near future in various countries.

	Expected start of award
	procedure	Frequency ranges	Planned award procedures
Austria	Started	2,300 MHz/2,600 MHz	Details tbd
Poland	Started	900 MHz	Extension, details tbd
Poland	tbd	26 GHz	Details tbd
Czech Republic	tbd	26 GHz	Details tbd
Hungary	Started	1,500 MHz/2,100 MHz	Auction, details tbd
Hungary	tbd	26 GHz	Auction, details tbd
United States	tbd	1,695–1,710 MHz/1,755–1,780 MHz/2,155–2,180 MHz	Auction, details tbd

Agreements on spectrum licenses

On September 10, 2024, T‑Mobile US and N77 License (N77) had entered into an agreement on the sale of spectrum licenses, pursuant to which N77 had the option to purchase all or a portion of T‑Mobile US' remaining 3.45 GHz licenses for a range of cash consideration. The number of licenses to be sold was determined based upon the amount of committed financing. On April 30, 2025, T‑Mobile US sold a portion of the licenses to N77 for USD 2.0 billion (EUR 1.8 billion) following regulatory approvals by the FCC.

On August 8, 2022, T‑Mobile US had entered into agreements with Channel 51 License and LB License (Channel 51) for the acquisition of spectrum licenses in the 600 MHz band in exchange for total cash consideration of USD 3.5 billion (EUR 3.2 billion). On March 30, 2023, the contractual parties had further agreed that the transaction be divided into two separate tranches. The first tranche of licenses, along with certain additional licenses from the second tranche, was transferred in the 2024 financial year. The transaction for the remaining licenses from the second tranche was closed on June 2, 2025 with the purchase price payment of USD 0.6 billion (EUR 0.5 billion), following regulatory approvals by the FCC.

On May 30, 2025, T‑Mobile US entered into an agreement on the sale of 800 MHz spectrum licenses to Grain Management (Grain) in exchange for cash consideration of USD 2.9 billion (EUR 2.5 billion) and the receipt of Grain's 600 MHz spectrum licenses. It has been further agreed that T‑Mobile US may additionally receive a share of future proceeds from transactions entered into by Grain that monetize the 800 MHz spectrum licenses, subject to certain terms and conditions. Since June 30, 2025, the licenses concerned have been reported as held for sale with a carrying amount of EUR 3.1 billion. The transaction is subject to FCC approvals and certain other customary closing conditions. It is currently expected to close in the fourth quarter of 2025 or the first quarter of 2026.

On September 12, 2023, T‑Mobile US agreed with U.S. cable network operator Comcast to acquire spectrum in the 600 MHz band in exchange for total cash consideration of between USD 1.2 billion and USD 3.3 billion (EUR 1.0 billion and EUR 2.8 billion). The final purchase price will be determined at the time the parties make the required transfer filings with the FCC. At the same time, T‑Mobile US and Comcast have concluded exclusive leasing arrangements. On January 13, 2025, T‑Mobile US and Comcast entered into an amendment to the license purchase agreement pursuant to which T‑Mobile US will acquire additional spectrum. As a consequence of the amendment, the total cash consideration amounts to between USD 1.2 billion and USD 3.4 billion (EUR 1.0 billion and EUR 2.9 billion). A partial acquisition of spectrum licenses with a value of approximately USD 45 million (EUR 38 million) is expected in the first half of 2026. The acquisition of the remaining licenses is then expected to close in the first half of 2028.

Development of business in the Group

This section provides important additional information and explains recent changes in the significant events and their effects on the development of business in the Group compared to those described in the 2024 combined management report (2024 Annual Report).

Deutsche Telekom AG's share buy-back program. In October 2024, we had announced plans to buy back shares in Deutsche Telekom AG in 2025 up to a total purchase price of EUR 2 billion under a further share buy-back program. The buy-back commenced on January 3, 2025 and will be carried out in several tranches through December 31, 2025. As of September 30, 2025, Deutsche Telekom AG had bought back around 47 million shares with a total volume of EUR 1.5 billion.

The approximately 81 million shares bought back under the 2024 program were canceled on August 19, 2025, reducing Deutsche Telekom AG's share capital by around EUR 208 million.

Sale of T‑Mobile US shares by Deutsche Telekom. On March 14, 2025, Deutsche Telekom announced it would be selling a portion of its T‑Mobile US share portfolio on the market in the period from June to September 2025, without jeopardizing its own majority ownership position in T‑Mobile US. The sales plan began on June 12, 2025 and ended on September 10, 2025. During this period, Deutsche Telekom sold around 4.3 million T‑Mobile US shares with a total volume of EUR 0.9 billion. On September 11, 2025, a further sales plan commenced with terms ending in the fourth quarter of 2025. This plan provides Deutsche Telekom with the flexibility to sell up to 5 million additional T‑Mobile US shares. As of September 30, 2025, Deutsche Telekom has sold a total of 5.2 million T‑Mobile US shares with a total volume of EUR 1.1 billion.

T‑Mobile US' 2025 shareholder return program. On December 13, 2024, T‑Mobile US had announced a further shareholder return program of up to USD 14 billion until December 31, 2025. The program comprises share buy-backs and dividends to be paid out. The amount available for share buy-backs is reduced by the amount of any dividends approved by the Board of Directors of T‑Mobile US.

As of September 30, 2025, T‑Mobile US had bought back around 30 million shares with a total volume of USD 7.4 billion (EUR 6.6 billion) under this program, and paid out cash dividends of USD 3.0 billion (EUR 2.8 billion). EUR 1.5 billion of the cash dividends was attributable to Deutsche Telekom's stake and EUR 1.3 billion to non-controlling interests in T‑Mobile US.

On September 18, 2025, T‑Mobile US announced that the Board of Directors had declared a cash dividend of USD 1.02 per share. This represents a quarter-on-quarter increase of USD 0.14 per share, or 16 %. The dividend is to be paid out on December 11, 2025 to the shareholders registered as of close of business on November 26, 2025.

Results of operations of the Group

millions of €
	Q1-Q3 2025	Q1-Q3 2024	Change %	Q1 2025	Q2 2025	Q3 2025	Q3 2024	Change %	FY 2024
Net revenue	87,361	84,838	3.0	29,755	28,671	28,935	28,501	1.5	115,769
Service revenue	74,011	71,700	3.2	24,957	24,384	24,670	24,127	2.2	96,537
EBITDA AL (adjusted for special factors)	33,411	32,389	3.2	11,297	10,999	11,115	11,096	0.2	43,021
EBITDA AL	32,384	30,858	4.9	11,173	10,841	10,369	10,348	0.2	43,815
Depreciation, amortization and impairment losses	(17,694)	(17,900)	1.1	(6,013)	(5,764)	(5,918)	(5,830)	(1.5)	(24,027)
Profit (loss) from operations (EBIT)	19,435	17,803	9.2	6,766	6,642	6,027	6,137	(1.8)	26,277
Profit (loss) from financial activities	(3,636)	(3,147)	(15.5)	(917)	(1,278)	(1,441)	(446)	n.a.	(3,319)
Profit (loss) before income taxes	15,799	14,656	7.8	5,849	5,364	4,586	5,691	(19.4)	22,958
Income taxes	(3,692)	(3,571)	(3.4)	(1,519)	(1,269)	(904)	(1,273)	29.0	(5,301)
Net profit (loss)	7,886	7,027	12.2	2,845	2,615	2,427	2,957	(17.9)	11,209
Net profit (loss) (adjusted for special factors)	7,617	7,051	8.0	2,442	2,504	2,670	2,335	14.3	9,397
Earnings per share (basic and diluted) €	1.62	1.42	13.8	0.58	0.54	0.50	0.60	(16.9)	2.27
Adjusted earnings per share (basic and diluted) €	1.56	1.43	9.5	0.50	0.51	0.55	0.47	15.8	1.90

In order to increase the informative value of the prior-year comparatives based on changes to the Company's structure or exchange rate effects, we also describe the change in selected figures in organic terms, by adjusting the figures for the prior-year period for changes in the composition of the Group, exchange rate effects, and other effects. Positive effects of changes in the composition of the Group mainly related to the corporate transactions concluded in the United States operating segment. Negative exchange rate effects were primarily attributable to the translation of U.S. dollars to euros.

For further information on corporate transactions, please refer to the section "Group organization, strategy, and management."

Revenue, service revenue

In the first three quarters of 2025, we generated net revenue of EUR 87.4 billion, which was up 3.0 % or EUR 2.5 billion year-on-year. In organic terms, revenue increased by 3.7 % against the prior-year level, with changes in the composition of the Group having an increasing effect of EUR 0.9 billion and exchange rate effects having a net reducing effect of EUR 1.5 billion. Service revenue in the Group increased by EUR 2.3 billion or 3.2 % year-on-year to EUR 74.0 billion. In organic terms, service revenue increased by 3.7 %.

Contribution of the segments to net revenue

millions of €
	Q1-Q3 2025	Q1-Q3 2024	Change %	Q1 2025	Q2 2025	Q3 2025	Q3 2024	Change %	FY 2024
Germany	18,852	19,132	(1.5)	6,219	6,286	6,347	6,465	(1.8)	25,711
United States	57,160	54,584	4.7	19,800	18,597	18,763	18,293	2.6	75,046
Europe	9,349	9,142	2.3	3,053	3,116	3,179	3,110	2.2	12,347
Systems Solutions	3,037	2,966	2.4	1,009	1,013	1,014	991	2.3	4,004
Group Development	6	6	(6.1)	2	2	2	0	n.a.	10
Group Headquarters & Group Services	1,637	1,659	(1.4)	549	551	537	552	(2.8)	2,226
Intersegment revenue	(2,680)	(2,651)	(1.1)	(877)	(894)	(909)	(911)	0.2	(3,575)
Net revenue	87,361	84,838	3.0	29,755	28,671	28,935	28,501	1.5	115,769

In our domestic market of Germany, revenue declined by 1.5 % year-on-year, mainly due to lower mobile terminal equipment revenues. By contrast, service revenues increased year-on-year. In our United States operating segment, revenue was up 4.7 % against the prioryear level. In organic terms, it increased by 5.8 %, due to both higher service revenues and higher terminal equipment revenues. In our Europe operating segment, revenue increased by 2.3 % year-on-year. In organic terms, it increased by 2.7 %, primarily due to the increase in service revenues in the mobile and fixed-network business. Revenue in our Systems Solutions operating segment was up 2.4 % year-on-year, mainly due to growth in the Digital and Road Charging areas.

For further information, please refer to the section "Development of business in the operating segments."

a For further information on net revenue, please refer to the section "Segment reporting" in the interim consolidated financial statements.

Our United States operating segment made by far the largest contribution to net revenue, with 65.4 % (Q1-Q3 2024: 64.3 %). The proportion of net revenue generated internationally increased to 77.9 % (Q1-Q3 2024: 77.0 %) ^c .

Adjusted EBITDA AL, EBITDA AL

In the first three quarters of 2025, we generated adjusted EBITDA AL of EUR 33.4 billion, which was up 3.2 % or EUR 1.0 billion year-onyear. In organic terms, adjusted EBITDA AL increased by 4.4 %, with the changes in the composition of the Group having an increasing effect of EUR 0.2 billion and exchange rate effects having a net decreasing effect of EUR 0.6 billion.

Contribution of the segments to adjusted Group EBITDA AL

millions of €
	Q1-Q3 2025	Q1-Q3 2024	Change %	Q1 2025	Q2 2025	Q3 2025	Q3 2024	Change %	FY 2024
Germany	7,972	7,859	1.4	2,634	2,605	2,733	2,731	0.1	10,516
United States	22,117	21,414	3.3	7,623	7,299	7,195	7,245	(0.7)	28,545
Europe	3,545	3,356	5.6	1,141	1,170	1,235	1,180	4.6	4,431
Systems Solutions	303	267	13.7	81	96	127	102	23.7	369
Group Development	(27)	(23)	(17.4)	(8)	(10)	(9)	(12)	25.6	(32)
Group Headquarters & Group Services	(482)	(480)	(0.4)	(166)	(157)	(159)	(154)	(3.3)	(801)
Reconciliation	(17)	(4)	n.a.	(7)	(2)	(8)	4	n.a.	(6)
EBITDA AL (adjusted for special factors)	33,411	32,389	3.2	11,297	10,999	11,115	11,096	0.2	43,021

b Following the sale of the GD Towers business entity in the 2023 financial year, the Group Development operating segment no longer provides a significant contribution to net revenue.

^c The calculation of the international share was adjusted effective September 30, 2025. Prior-year comparatives have been adjusted retrospectively.

Our Germany operating segment contributed to the increase thanks to high-value service revenue growth and improved cost efficiency with 1.4 % higher adjusted EBITDA AL. Adjusted EBITDA AL in our United States operating segment increased by 3.3 %, or 5.2 % in organic terms. This rise is primarily attributable to higher service and terminal equipment revenues, offset by increases in some costs. In our Europe operating segment, adjusted EBITDA AL increased by 5.6 % on the back of the sound revenue trend and a positive net margin, or 5.9 % in organic terms. In our Systems Solutions operating segment, adjusted EBITDA AL increased by 13.7 %, mainly due to revenue growth in the Digital and Road Charging areas and to increased margins and cost optimizations in the Cloud area.

Our EBITDA AL increased by EUR 1.5 billion year-on-year to EUR 32.4 billion. Expenses from special factors affecting EBITDA AL decreased by EUR 0.5 billion to EUR ‑1.0 billion, with expenses incurred in connection with staff restructuring measures decreasing by EUR 0.2 billion year-on-year. In the prior-year period, net expenses of EUR 0.6 billion were recorded as special factors under effects of deconsolidations, disposals, and acquisitions. This included the expenses from the forgone contingent consideration receivable from IFM Global Infrastructure Fund in the Germany operating segment. In the reporting period, the expenses totaled EUR 0.3 billion and mainly related to integration costs arising from the acquisition of UScellular in the United States operating segment. Other special factors affecting EBITDA AL remained on a par with the prior-year period at EUR 0.1 billion. They included the write-off of not-inservice capitalized software development costs related to a billing system in the United States operating segment. By contrast, in addition to the income from the sale of spectrum licenses to N77, legal-related insurance recoveries were recognized in relation to the cyberattack on T‑Mobile US in August 2021.

For further information, please refer to the section "Development of business in the operating segments."