Netherlands' KPN Q3 group service revenue rises; reiterates 2026 outlook
Overview
Netherlands telecom firm's Q3 group service revenue rose 2.7% yr/yr, driven by all segments
Adjusted EBITDA AL was stable yr/yr; up 2.4% excluding prior-year IPR benefit
Company reached 6 mln fiber homes passed milestone
Outlook
KPN says it is on track to reach its full-year outlook
KPN reiterates its full-year 2026 outlook with service revenue growth of approximately 1.5%, adjusted EBITDA AL of approximately EUR 2,670mln, Capex of approximately EUR 1.25bln, and Free Cash Flow of more than EUR 950m
Result Drivers
MOBILE GROWTH - Consumer service revenue rose 1.8% yr/yr, mainly due to higher mobile revenue
BUSINESS SEGMENT - Business service revenues returned to growth, up 3.9% yr/yr, driven by SME and LCE
POSTPAID MOMENTUM - Solid momentum in Consumer and Business postpaid, with net additions of 66,000
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Adjusted Revenue | EUR 1.50 bln | ||
Q3 Net Income | EUR 249 mln | ||
Q3 Adjusted EBITDA | EUR 671 mln | ||
Q3 Capex | EUR 315 mln | ||
Q3 EBIT | EUR 356 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", 8 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the integrated telecommunications services peer group is "buy"
Wall Street's median 12-month price target for Koninklijke KPN NV is €4.78, about 17% above its October 27 closing price of €4.09
The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 16 three months ago
Reuters Recommended Reads
Oct 27 - Telecoms group Orange Q3 revenue rises 3.6%
Oct 28 - Norway's Telenor Q3 service revenue rises, maintains 2026 forecast
Oct 26 - Australia's Tuas plunges 40% after Singapore regulator issues notice to telecom unit
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)