Telecommunications: Telekom wants to buy back shares worth two billion euros

Dusseldorf. Deutsche Telekom wants to pass on the success of its US subsidiary T-Mobile to its shareholders. The dividend is expected to increase by ten percent to 1.10 euros per share. And when the quarterly figures were presented on Wednesday, the board announced a share buyback program of up to two billion euros.

Telekom shares still lost more than one percent of their value in early trading on Monday. Investors were apparently unimpressed by the announcements.

For the period from July to September, the company reported sales of 31.1 billion euros. Adjusted in particular for exchange rate fluctuations, this corresponded to an increase of 5.5 percent compared to the same period in the previous year. Adjusted consolidated net income rose by 12.7 percent to 3.0 billion euros. Free cash flow grew by 1.4 percent to 5.7 billion euros.

At the same time, however, the debt burden also increased. Telekom is already one of the most indebted companies in Germany. Despite strong business figures, the company increased its debt burden by 1.7 billion euros to 134.2 billion euros compared to the end of last year.