Deutsche Telekom Extends Network Streak as Raised Guidance Collides With a Cool Reception on Payouts
Published on 11/07/2026 at 19:41 | Editorial boerse-global.de
Deutsche Telekom's mobile network has once again come out on top in Germany. The Bonn-based carrier said its infrastructure earned an overall grade of "very good (1.2)" in the Computer BILD network test — its 15th consecutive victory in the comparison. According to the company, it led the other operators on both speed and 5G coverage, and it also flagged an edge in latency, adding a third dimension beyond availability and raw throughput where its network outperformed rivals.
The accolade landed a day after the group's third-quarter 2026 results, which painted a picture of accelerating growth. Revenue for the period came in at EUR 31.1 billion, with organic growth of 5.5%. Adjusted EBITDA AL rose 8.0% to EUR 12.2 billion, while adjusted net profit reached EUR 3.0 billion — a gain of 12.7%. On the top-line figure, the numbers beat analyst expectations, according to Reuters.
Payout Package Falls Short of Expectations
Investors, however, focused on what the company plans to hand back. The stock slipped during Thursday's session after the distribution plans undershot market forecasts, Reuters reported. Management intends to propose a dividend of EUR 1.10 per share and has earmarked share buybacks of up to EUR 2 billion for 2027.
Should investors sell immediately? Or is it worth buying Deutsche Telekom?
The report also pointed to renewed concerns about a possible full merger with T-Mobile US, a topic that has weighed on sentiment before.
Guidance, by contrast, moved in the opposite direction. Deutsche Telekom lifted its full-year outlook to around EUR 47.6 billion in adjusted EBITDA AL and roughly EUR 20.1 billion in free cash flow AL. Results for the fourth quarter and the full 2026 financial year are scheduled for release on 25 February 2027.
T-Systems Builds Out Sovereign AI Capacity
Away from the quarterly numbers, the group's enterprise arm is deepening its push into artificial intelligence infrastructure. On Tuesday, at the digital summit, T-Systems and Dresden-based AI infrastructure specialist Sparxity signed a letter of intent to integrate and validate Sparxity's energy-efficient AI computing technology in Telekom data centers. The tie-up is intended to bolster Europe's sovereign AI infrastructure, with Sparxity serving as the cooperation partner.
Under the arrangement, the technology will first be integrated and put through testing, with the next chip generation slated for deployment in 2028. The partnership is not T-Systems' only AI move of late: on 28 October, it reached an agreement with Banco Sabadell to expand the use of agent-based AI within the Spanish banking group.
Ad
Deutsche Telekom Stock: New Analysis - 7 November
Fresh Deutsche Telekom information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
