German telecoms operator Deutsche Telekom said on Friday it had defied the coronavirus pandemic to post record revenues last year thanks to its acquisition of US rival Sprint.
The Bonn-based company said revenue jumped 25.4 per cent to €101 billion in 2020, surpassing the €100bn mark for the first time in the company’s history.
“We made history in 2020,” said CEO Tim Hoettges in a statement, adding that Deutsche Telekom had “closed a groundbreaking deal in the United States” and “improved our market position in Europe”.
The $26-billion merger between Deutsche Telekom’s US unit T-Mobile and Sprint was completed in April.
Adjusted operating profit (EBITDA) soared 41.6 per cent to €35 billion in 2020, with the group expecting a further rise to €37bn this year.
Meanwhile, adjusted net profit increased 15.5 per cent to €5.7 billion.
Boosted by the acquisition of Sprint, Telekom’s US arm T-Mobile was the driving force behind the strong performance, with a 93 per cent increase in adjusted operating profit to $24 billion.
Boosted by the acquisition of Sprint, Telekom’s US arm T-Mobile was the driving force behind the strong performance
Yet the group was hit by the coronavirus pandemic in Europe, where it said “business was impeded by shop closures and travel restrictions”.