Telekom's Polish Fibre Splash Meets a Fresh Dose of Analyst Caution
Article excerpt
The week's narrative for Deutsche Telekom is one of competing currents. A roughly €1 billion acquisition in Poland underscores the group's appetite for expansion, while a downgrade from Kepler Cheuvreux and a VoLTE configuration fault have given investors reason to pause. The result is a stock that has drifted lower over the past seven days even as its longer-term trajectory remains positive. The Bonn-based operator has agreed to acquire fibre providers Fiberhost and Inea from Macquarie Asset Management, a move first reported by Reuters on Monday. The transaction, valued at around €1 billion, is expected to close by the end of 2026, subject to approval from Polish competition authorities. The deal brings more than 300,000 Inea customers into the T-Mobile Polska fold, along with a Fiberhost network passing over 1.4 million households. It is the latest in a string of infrastructure investments aimed at strengthening the group's footprint beyond Germany. Just last month, the company reported a record 273,000 new homes passed in its own fibre rollout - a monthly high for the group. The financial firepower for such acquisitions comes from a robust cash flow position. Following first-half results, the company lifted its free cash flow guidance and expanded its share buyback programme by up to €3 billion for the current year. That improved cash generation gives management room to...
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Adjusted net income climbed 11.1 percent to €2.8 billion.
