Deutsche Telekom Sales Top Estimates Amid U.S. Writedown
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Deutsche Telekom AG reported operating profit and sales that topped analysts’ estimates, while a 7.4 billion-euro ($9.4 billion) writedown on its T-Mobile USA unit sank the German former phone monopoly into its biggest quarterly net loss in a decade.
Adjusted earnings before interest, taxes, depreciation and amortization slipped 2.6 percent to 4.78 billion euros, beating the 4.69 billion-euro average estimate compiled by Bloomberg, as the Bonn-based company slowed a decline in revenue in European markets such as Germany and Hungary. While T-Mobile USA continued to lose contract customers, prepaid cards helped the business exceed profit estimates.