Deutsche Telekom Raises 2019 View, Cuts Dividend After 3Q Profit Rise

   By Max Bernhard 
 

Deutsche Telekom AG (DTE.XE) on Thursday raised its outlook but cut its dividend for the year after reporting a rise in third-quarter revenue and earnings.

The German telecommunications company's net profit rose 23% to 1.37 billion euros ($1.52 billion) from EUR1.11 billion the same period last year.

Revenue rose 4.8% to EUR20.02 billion, it said.

Deutsche Telekom said it now expects to pay a dividend of 60 European cents a share, compared with 70 European cents last year, citing unexpectedly high-costs for the mobile spectrum auction in Germany, which it said was partly due to an "artificial spectrum shortage," as well as "greater clarity" on spectrum auctions in the U.S.

The company raised its 2019 outlook, now forecasting adjusted Ebitda AL of about EUR24.1 billion, compared with earlier expectations of EUR23.9 billion. It now sees cash capex of EUR12.9 billion, previously it had expected EUR12.7 billion.

Write to Max Bernhard at [e-mail]; @mxbernhard

(END) Dow Jones Newswires

November 07, 2019 01:31 ET (06:31 GMT)

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