Deutsche Telekom MagentaTV subscribers up 58,000 in 2Q 2019

Following a strong first half of 2019, Deutsche Telekom is keeping its sights set firmly on its targets for the full year. In the first six months of 2019, net revenue grew by 3.2 percent year-on-year in organic terms to 39.2 billion euros, adjusted EBITDA AL by 3.7 percent to 12.2 billion euros, and free cash flow AL by 9.0 percent to 3.1 billion euros.

Germany

Due to the persistently challenging development in the fixed-network market, primarily owing to aggressive pricing offers of competitors, we are pursuing new paths in marketing. Our focus is on convergent offerings and their further development – for instance, MagentaTV with exclusive access to a wide range of additional content – as well as TV lines and fiber-optic lines. We continue to see growth in our broadband lines. In the first six months of 2019 the number of TV customers increased by 124 thousand. In the traditional fixed network, the number of lines decreased by 397 thousand.

Europe

In the first half, our TV and entertainment services saw moderate customer growth of 1.6 percent, partly as a result of new business in Croatia and partly from the stronger customer growth in Hungary and the Czech Republic. Declining customer numbers in Romania were offset by additions in virtually all of our national companies. With both telecommunication providers and OTT players offering TV services, the TV market is already saturated in many countries of our segment.

TV Customers (‘000)

                                                          2018          2019           Δ
                                    --------------------------  ------------  ----------
                                       Q1     Q2     Q3     Q4     Q1     Q2  QoQ  YoY %
                                    -----  -----  -----  -----  -----  -----  ---  -----
Germany (IPTV, SAT)                 3,193  3,240  3,291  3,353  3,419  3,477   58   7.3%
                
 Greece (IPTV, SAT, Cable)            526    523    531    540    539    542    3   3.6%
 Romania (IPTV, SAT, Cable)         1,464  1,463  1,454  1,443  1,409  1,380  -29  -5.7%
 Hungary (IPTV, SAT, Cable)         1,038  1,045  1,065  1,087  1,106  1,122   16   7.4%
 Czech Republic (IPTV, SAT, Cable)     47     57     68     86    101    113   12  98.2%
 Croatia (IPTV, SAT, Cable)           415    415    413    418    488    490    2  18.1%
 Slovakia (IPTV, SAT, Cable)          600    605    607    617    621    623    2   3.0%
 Austria (IPTV, SAT, Cable)             -      -    456    451    447    442   -5      -
                
Europe (IPTV, SAT, Cable)           4,271  4,293  4,782  4,835  4,904  4,910    6  14.4%