1&1 (1U1) Q3 2026 earnings summary

Executive summary

• 9M 2026 revenue rose 1.2% to €3,401.8m; service revenue fell 1.2% to €2,712.2m. Comparable operating EBITDA increased 11.4% to €593.3m.

• EBITDA including €60.0m of non-recurring Versatel restructuring costs was €533.3m.

• Customer contracts declined 220,000 to 16.10m, including 240,000 fewer mobile contracts and 20,000 more broadband connections.

• Open RAN household coverage reached 36% in Q3, with a ~40% year-end estimate.

• FY 2026 comparable operating EBITDA guidance remained ~€800m; 2027–2028 annual operating EBITDA growth is expected at ~€100m.

Financial highlights

• Comparable 9M revenue was €3,401.8m, up 1.2%; service revenue declined 1.2% to €2,712.2m and other revenue rose 12.2% to €689.6m, mainly on smartphone revenue.

• Comparable operating EBITDA rose 11.4% to €593.3m; EBITDA after €60.0m of non-recurring restructuring costs was €533.3m.

• Comparable operating EBIT increased to €179.3m from €102.6m; EBIT including restructuring costs was €119.3m.

• Gross profit declined 2.5% to €719.4m; consolidated profit increased 9.4% to €11.7m.

• Operating cash inflow rose 44.9% to €626.9m; free cash flow increased 31.2% to €267.6m.

Outlook and guidance

• FY 2026 service revenue is expected at the 2025 level of €3,661.8m, including Versatel.

• FY 2026 comparable operating EBITDA guidance remains ~€800m; EBITDA including non-recurring restructuring costs is expected at ~€740m.

• FY 2026 cash CapEx is forecast at €500m–€550m, with a similar annual level expected in 2027 and 2028.

• Operating EBITDA is expected to increase by ~€100m annually in 2027 and 2028.

• Customer contracts are expected to decrease slightly in FY 2026; mobile losses are expected to continue in Q4 but improve versus Q3.