United Internet AG (UDIRF.PK), a German telecom firm, on Friday registered a decline in adjusted earnings for the first-nine month period of 2023, mainly due to higher depreciation. However, the company posted a rise in sales. <\/p>\n
For the full year, the company has revised up its EBITDA outlook, while reiterating sales guidance.<\/p>\n
For the nine-month period, operating income per share declined to 1.23 euros from 1.59 euros in 2022, due to a lower result from associated companies, as well as the impact of increased interest rates on the financial result. <\/p>\n
Adjusted EBIT was 599.5 million euros, lesser than 625.2 million euros last year. This was mainly due to depreciation of 48.8 million euros, especially on investments in the expansion of 1&1 Versatel’s fiber-optic network and 1&1’s mobile network. <\/p>\n
Adjusted EBITDA stood at 995.9 million euros as against last year’s 986.5 million euros. <\/p>\n
United Internet posted sales of 4.588 billion euros, 4.7 percent higher than 4.384 billion euros in the prior-year period.<\/p>\n
Capital expenditures, excluding M&A, rose to 461.5 million euros from 348.6 million euros, due to the high level of investment, especially in the expansion of the fiber-optic network and the mobile network.<\/p>\n
Looking ahead, for the full year, the company now expects a slight year-on-year increase in EBITDA against its previous outlook of “on a par with the previous year”. <\/p>\n
For the full-year 2022, the company had recorded EBITDA of 1.272 billion euros. <\/p>\n
This updated guidance continues to include start-up costs of around 120 million euros against last year’s 52 million euros for the rollout of 1&1’s mobile network. <\/p>\n
United Internet still projects consolidated sales of around 6.2 billion euros. For 2022, the telecom firm had posted consolidated sales of 5.915 billion euros. <\/p>\n
The company said that it continues to anticipate capital expenditures, excluding M&A transactions, of approximately 800 million euros. For 2022, the company’s capital expenditures stood at 681 million euros. <\/p>\n