Deutsche Telekom Quarterly Profit Declines on T-Mobile USA

Deutsche Telekom AG, Europe’s largest phone company, reported a 6.5 percent decline in second-quarter profit before some items as it ceded mobile-phone customers in the U.S. and recorded costs for early retirements in Germany.

Adjusted earnings before interest taxes, depreciation and amortization slid to 4.69 billion euros ($6.7 billion), compared with the 4.76 billion-euro average estimate by analysts compiled by Bloomberg. T-Mobile USA had a net loss of 281,000 contract clients in the quarter, bringing losses to almost 1 million over 12 months, Bonn-based Deutsche Telekom said today. Analysts had projected a termination of 200,000 accounts.