1&1 shares fall on FY EBITDA guidance miss for 2025

1&1 AG

26/03/2025 08:05

** Shares in 1&1 AG 1U1.DE fall 3.5% in early trade after the German telecoms company missed market expectations for its core profit outlook on Tuesday

** 1&1 expects its FY EBITDA to fall 3.4% to 571 million euros ($615.77 million) vs 590.8 million a year earlier, missing analysts' expectations of 708 million euros, according to LSEG data

** "The decline in EBITDA results from the expiration of the national roaming agreement with Telefónica, which provides for one-time payments every five years that are capitalised and amortised," the company said in a statement

** A local trader says 1&1's earnings forecast came in well below expectations

** "Really uninspiring outlook should weigh on shares," it adds

** The stock, which has gained 12% YTD, is one of the weakest performers in Germany's small-cap index .SDAXI on Wednesday

($1 = 0.9273 euros)

 (Reporting by Ozan Ergenay; Editing by Amanda Cooper)