Telekom Austria's Q3 revenue rises on CEE market strength, lifts FY outlook

Overview

• Austria telecom operator's Q3 revenue rose 4.6% yr/yr

• Q3 EBITDA excluding restructuring grew 1.9% yr/yr

• Company raised full-year revenue growth outlook to around 4%

Outlook

• Company raises full-year total revenue growth outlook to around 4% from 2-3%

• Company now expects full-year CAPEX excluding spectrum and M&A of around EUR 850 mln

• Company cites positive momentum across markets as reason for raising full-year outlook

Result Drivers

• CEE MARKETS - Co said strong growth in Central and Eastern Europe drove revenue and service revenue increases

• NETWORK INVESTMENT - Co attributed performance to investments in next-generation networks and digital infrastructure

• CUSTOMER GROWTH - Co said increases in mobile and fixed-line customers contributed to revenue growth

Company press release: Full Story

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 4 "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 Telekom Austria AG is €11.40, about 33.8% above its October 19 closing price of €8.52

• The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 10 three months ago

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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.)