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See also: United Internet Valuation Model (Google Sheets) | Q2 2025 United Internet Earnings | Antenna sites rollout at 1&1 is still slow
| Metric | Q2 2025 | Y/Y | Q3 2025 Aron’s Expectation | YoY Growth | Q3 2025 actual Numbers | 2025 Aron’s Expectation | YoY Growth | 2025 Management Guidance |
|---|---|---|---|---|---|---|---|---|
| United Internet Revenue | EUR 1,606 M | +4.2% | EUR 1,579-1,590 M | +0.8% to +1.4% | EUR 1,537 M | EUR 6,504 M | +2.8% | EUR 6,050 M |
| United Internet EBITDA | EUR 334.3 M | +4.2% | EUR 315-325 M | -0.6% to +2.6% | EUR 321.5 M | EUR 1,320 M | +2.0% | EUR 1,300 M |
| United Internet EBIT | EUR 156.0 M | -3.1% | EUR 167-177 M | -8.5% to -2.9% | EUR 598 M | -6.4% | ||
| United Internet EPS | EUR 0.29 | -139.3% | EUR 0.25-0.29 | 9.2% to 26.9% | EUR 1.09 | |||
| 1&1 Revenue | EUR 987.9 M | -0.4% | EUR 994-999 M | -0.7% to -0.3% | EUR 1,009.8 M | EUR 4,045 | -0.5% | |
| 1&1 service revenue | EUR 3,303.1 M | |||||||
| 1&1 EBITDA | EUR 128 M | -11.3% | EUR 128-134 M | -6% to -1.6% | EUR 125.9 M | EUR 539 M | -8.8% | EUR 545 M |
| 1&1 EBIT | EUR 45 M | -42.4% | EUR 51.7-60.0 M | -43.4% to -34.4% | EUR 195 M | -37% | ||
| 1&1 access contract additions | -20k | +0 to +70k | - 10 K | +80K | +0 K | |||
| 1&1 mobile contract additions | +80k | +100k to +150k | +160K | |||||
| 1&1 broadband contract additions | -100k | -100k to -80k | -80K | |||||
| 1&1 EPS | EUR 0.27 | -42.8% | EUR 0.17-0.19 | -50.5% to -42.7% | EUR 0.21 M | EUR 0.63 | -48% | |
| IONOS revenue | EUR 448.7 M | +18.5% | EUR 408-411 M | +4.7% to +5.3% | EUR 324.2 M | EUR 1,739 M | +11.5% | |
| IONOS EBITDA | EUR 133.8 M | +26.1% | EUR 122.5-125.3 M | +8.5% to +10.3% | EUR 100.1 M | EUR 502 M | +16.7% |
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Assessment Aron:
United Internet shares were down 7% while IONOS shares were down 10% at one point after the earnings probably due to the skepticism surrounding the collapse in AdTech revenue (-65% y/y) and the decision by IONOS to discontinue it unexpectedly. Management had guided flat revenue growth in the AdTech business in the second half of 2025, after very strong development in first half but is now saying the EUR 400 million guidance for 2025 may not be achieved. There is also uncertainty on whether and when IONOS will find its buy, given last Q3's revenue and earnings development. In my opinion (theory), the huge underperformance of the AdTech business may explain why IONOS CFO is leaving.
The IONOS ARPU issue seems to be a short-term problem since it is caused by seasonal effects, targeted price reduction in some regions and growth in new customers (who have discounts). The company expects AI to boost ARPU over the next quarters.
Overall, excluding the impact from the AdTech business, United internet’s revenue and earnings developed well.
</aside>
Q3 2025 United Internet Earnings Bullish and Bearish arguments