Netherlands' KPN Q3 group service revenue rises;  reiterates 2026 outlook

By Reuters News


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


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(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.)

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