Deutsche Telekom has reported a big fall in its profits as a result of restructuring costs and poor results from its Greek businesses.
Net profit for the three months to the end of June were €348 million, 26.7 per cent down on the same period last year. Restructuring costs came from putting T-Mobile UK into a joint venture with France Telecom’s Orange.
“Although these figures are not a cause for celebration, they still give us reason to be confident that we will achieve our targets in a persistently difficult environment,” said Deutsche Telekom chief executive Rene Obermann.
Despite falling profits in the first half of the year, the company has maintained its forecasts for the full year.
Meanwhile, Deutsche Telekom’s IPTV service Entertain reported just 44,000 new subscribers in Q2 2011, compared to an increase of 101,000 customers in Q1.
In total, Entertain now has 1.3 million connected subscribers. By the end of 2012, Deutsche Telekom aims to increase this figure to at least 2.5 million. To accelerate growth, Deutsche Telekom will launch a collaboration with satellite operator SES Astra in early September 2011.