United Internet (UTDI) Q3 2025 earnings summary

Executive summary

• Fee-based customer contracts increased by 480,000 to 29.50 million in the first nine months of 2025, driven by growth in Consumer and Business Applications, while Consumer Access contracts declined.

• Revenue rose 1.4% year-over-year to EUR 4.5 billion, with EBITDA up 1.9% to EUR 966.4 million, despite higher network rollout and start-up costs.

• EPS improved to EUR 0.75 per share, supported by better performance from associates and lower tax expenses.

• Major milestones include the completion of the 1&1 customer migration to its own network and the disposal of the energy business.

• AdTech (Sedo) business is now classified as a discontinued operation, impacting segment reporting.

Financial highlights

• Revenue for the first nine months of 2025 was EUR 4.502 billion, up 1.4% year-over-year.

• Group EBITDA increased by 1.9% to EUR 966.4 million; EBIT declined 11.3% to EUR 443.2 million due to higher depreciation and amortization from network investments.

• EPS rose to EUR 0.75 per share, up EUR 0.03 year-over-year.

• CapEx reached EUR 488 million, up from EUR 441.9 million, reflecting ongoing network and fiber investments.

• Free cash flow after leasing was EUR 146.1 million, down from EUR 441.9 million in 9M 2024.

Outlook and guidance

• Full-year 2025 revenue guidance confirmed at approximately EUR 6.05 billion.

• EBITDA forecasted at approximately EUR 1.3 billion, including a EUR -20 million impact from a change in national roaming provider.

• Cash capex guidance updated to approximately EUR 750 million, down from previous EUR 800 million, with 2025 anticipated as the CapEx peak.

• Management remains confident in achieving guidance, citing a stable subscription-based business model.

• No plans for IONOS spinoff due to tax implications; no intention to increase 1&1 stake beyond 86.5%.