Deutsche Telekom Halts Profit Decline on Subsidy Cuts, Euro

Deutsche Telekom AG, Germany’s largest phone company, reported second-quarter profit that beat analysts’ estimates as lower handset subsidies in the U.S. and a stronger dollar helped offset declining sales in Europe.

Earnings before interest, taxes, depreciation and amortization and some items climbed 0.2 percent to 4.7 billion euros ($5.8 billion), compared with the 4.58 billion-euro average of 10 analyst estimates compiled by Bloomberg. Profit on that basis at T-Mobile USA surged 19 percent in euro terms and margins in Germany also rose, the company said today.