FRANKFURT (Dow Jones) — The mobile service provider Freenet exceeded analysts’ expectations in the first quarter of 2023. As reported by the company, which is listed on the MDAX and TecDAX, sales in the first quarter grew by 3.4 percent to EUR 637.8 million. The EBITDA increased by 8.5 percent to 128.1 million euros. On the other hand, analysts had given freenet an average of only 122 million euros in EBITDA with revenues of 626 million euros. According to Freenet, higher high-margin service revenues in the two operating segments Mobile Communications and TV and Media and an overall stable overhead base contributed to the increase in profits.
Free cash flow reached EUR 64.6 million after EUR 62.7 million a year earlier.
In the current year, Freenet continues to expect an increase in EBITDA to between EUR 480 and 500 million. A further EUR 250 to 270 million is forecast for free cash flow. Last year, Freenet had earned EUR 478.7 million on an EBITDA basis and generated free cash flow of EUR 249.2 million.
“With a successful start to the year, Freenet underscores its ambition to increase EBITDA by at least 4 percent on average over the 2020 financial year and to achieve at least EUR 520 million in EBITDA in the 2025 financial year,” it said.
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(END) Dow Jones Newswires
May 03, 2023 12:17 PM ET (16:17 GMT)
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