Telekom Austria (TKA) Q2 2025 earnings summary

Executive summary

• Revenues grew 4.1% in Q2 and 3.9% in H1 2025, driven by service and equipment revenues, with strong CEE performance offsetting declines in Austria.

• EBITDA increased 3.4% in Q2 and 4.2% in H1 2025, supported by service revenue growth and operational efficiency.

• Free cash flow for H1 2025 surged over 90% year-over-year to €333 million, driven by operational improvements and lower CAPEX.

• Austria faced macroeconomic headwinds, including recession and high inflation, impacting EBITDA and requiring strategic investments.

• Dividend of €0.40/share (€266mn total) paid in June 2025; S&P confirmed 'A-' credit rating in May 2025.

Financial highlights

• Q2 2025 revenues: €1,370 million (+4.1% YoY); H1 2025: €2,685 million (+3.9% YoY).

• Q2 2025 EBITDA: €521 million (+3.4% YoY); H1 2025: €999 million (+4.2% YoY).

• Net result: €151 million in Q2 (+3.4% YoY), €277 million in H1 (+5.1% YoY).

• Service revenues in H1 2025 reached €2,253 million (+2.6% YoY).

• CAPEX: €387 million in H1 (–19.3% YoY), reflecting savings and lower spectrum investments.

Outlook and guidance

• 2025 revenue growth guidance confirmed at 2–3% year-over-year.

• CAPEX (excluding spectrum and M&A) expected at around €800 million for 2025.