Figures for the first quarter:Telecommunications provider O2 Telefónica accelerates profitable growth at the start of the 2023 financial year

Read page

  • O2 Telefónica records sustained high demand for telecommunication services and hardware in the first quarter of the 2023 financial year and increases revenues by 8 percent due to growth in all areas
  • Strongest growth drivers are a strong increase in mobile service revenues of 4.2 percent and a record quarter in hardware revenues (+23.6 percent)
  • 97 percent of smartphones sold in the first quarter can use the latest 5G mobile standard
  • Number of mobile postpaid lines (excluding M2M) climbs by 368,000 customers
  • 5G coverage reaches more than 82 percent of the population by the end of the first quarter
  • OIBDA up 1.7 percent compared to same period last year
  • O2 Telefónica continues to see positive business development in the full year 2023 and confirms outlook

O2 Telefónica CEO Markus Haas looks back on a strong start to the year for the mobile provider: “We have once again accelerated our growth at the start of the financial year. Demand for our products and services remains high, even in these economically uncertain times for many people. This underlines how digital services are now part of basic utility services in Germany. The increasing coverage of 5G and the availability of 5G-capable devices is likely to accelerate this trend even further. The telecommunications industry is a sustainable growth driver of the German economy. The combination of very good mobile coverage, an attractive price-performance ratio and our very good service convinces people - this is shown by our growth in the first quarter.” Telecommunications provider O2 Telefónica again saw strong demand for telecommunications services and products in the first quarter of 2023, increasing its revenue strongly by 8 percent to 2.101 billion euros. The strongest growth drivers were mobile service revenue, up 4.2 per cent to 1.408 billion euros, and a record quarter for hardware revenue. Compared to the previous year, this was around 24 per cent higher at 485 million euros. The fixed network business increased by 2.9 per cent to 203 million euros.

368,000 new mobile postpaid customers

Operatively, the company seamlessly continued its strong performance from the previous quarters, driven by its strong core brand O2. 368,000 new postpaid contract customers (without M2M) chose the O2 network. With more than 44 million mobile connections, the company continues to connect the most people in Germany with mobile communications. The monthly churn rate of the core brand O2 was a low 1.0 percent. This means that only one percent of O2 customers switched to another provider per month. In addition to a strong network and attractive tariffs, this is also driven by a further improvement in service quality: In the first quarter, O2 achieved an overall rating of “very good” in the hotline test of the trade magazine connect and improved to “outstanding” in the important category “accessibility”, among others. No other provider was able to improve as much as O2. The hotline of the partner brand ALDI TALK, operated by Telefónica, was the test winner among the alternative providers.

5G drives digitisation in Germany

O2 Telefónica is pushing ahead with the expansion of its 5G network and added more than 1,000 5G transmitters during the first quarter. This means that the network now supplies more than 82 percent of German households with the super-fast new mobile communications standard. Of all mobile phones sold in the first quarter, 97 percent were 5G-capable. At the same time, the consumer trend towards high-end smartphones continues. The data volume transmitted in the O2 network in the first quarter was again above the 1 million terabyte mark – a peak value for the industry.

Further earnings growth

OIBDA adjusted for exceptional effects increased as planned in the reporting period and was 1.7 percent higher at 612 million euros. Profit for the period increased to 30 million euros from 27 million euros in the same period last year.

Corporate Responsibility Report 2022 shows progress in ESG

O2 Telefónica stands for responsible digitalisation. In its record economic year 2022, the company consistently advanced the topic of sustainability within the company. The Corporate Responsibility Report 2022 published at the end of April confirms this. For example, O2 Telefónica has reduced its CO2 emissions in Scope 1 and 2 - its own emissions caused directly (Scope 1) and indirectly through electricity purchases (Scope 2), including emissions from its travel activities - by 97 percent compared to the base year 2015. The company is also working to strengthen the circular economy. Through the mobile phone recycling programme with the nature conservation organisation NABU, O2 Telefónica collected around 187,000 used mobile phones in 2022. With social programmes “Digital mobil im Alter” for seniors and the anti-cyberbullying initiative #wakeupjetzt for young people, the company reached almost one million people last year.

Outlook confirmed:Further growth expected in the 2023 financial year

In the 2023 financial year, O2 Telefónica will build on the good momentum of the past financial years and the successful completion of the three-year “Investment for Growth” programme and continue on its growth path. For the financial year 2023, O2 Telefónica expects low single-digit year-on-year growth in revenues and OIBDA adjusted for special effects. Further details on the business development and the outlook for the year 2023 at Financial publications.


O2 Telefónica is a leading full-service provider of telecommunications services for consumers and business customers. The portfolio of the core brand O2 and various secondary and partner brands includes not only traditional telephony and Internet connections but also innovative digital services in the area of the Internet of Things and data analysis. In mobile communications, O2 Telefónica serves more than 44 million mobile lines (incl. M2M - as of March 31, 2022). No other network operator connects more people in this country. The company's high-performance, award-winning mobile network reaches over 99 percent of the population. In the fixed network, O2 Telefónica offers its customers the greatest technological diversity and geographical availability of any provider in Germany. Telefónica Deutschland Holding AG is listed on the TecDAX and MDax and has been part of the Eurostoxx 600 since June 2022. In fiscal year 2022, the company generated revenues of EUR 8.2 billion with around 7,500 employees. The company is majority-owned by the Madrid-based Spanish telecommunications group Telefónica S.A., one of the largest telecommunications groups in the world.