Deutsche Telekom shares climbed 5.9% to €28.95 on Thursday after the company posted stronger second-quarter results and expanded its share buyback plan. The stock now sits well above its 52-week low of €23.55, signaling renewed investor confidence in the German telecom giant.
The company reported Q2 revenue of €29.9 billion, a 4.4% increase year over year. More importantly, adjusted EBITDA AL hit €11.8 billion, beating market estimates and climbing 7.5% from the prior year. Adjusted net profit jumped 11.1% to €2.8 billion, while adjusted earnings per share rose 12.7% to €0.58, outpacing the consensus forecast of €0.56.
Management sweetened the deal for shareholders by raising its 2026 buyback program to as much as €5 billion, adding €3 billion to the existing plan with purchases continuing through year-end 2026. The move signals that executives believe they can return more cash to investors while keeping their financial targets intact. Buyback programs like this one typically support EPS by reducing the number of outstanding shares.
T-Mobile US, Deutsche Telekom's American subsidiary, remained a growth engine for the group. The unit's steady customer gains and earnings progress helped shore up the parent company's performance during the quarter, offsetting any weakness in Europe.
For the first half of 2026, revenue rose 2.4% to €59.8 billion. The company maintained its full-year adjusted EBITDA AL target at €47.5 billion and adjusted EPS guidance at €2.20. It also raised free cash flow AL guidance from €19.8 billion to roughly €20 billion, giving investors another reason to stick with the stock.
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