Reconciliation of alternative performance measures Special factors The following table presents a reconciliation of EBITDA, EBIT, and net profit/loss to the respective figures adjusted for special factors. Reconciliations are presented for the reporting period, the prior-year period, and the full 2017 financial year: (XLS:) Download millions of € EBITDA H1 2018 EBIT H1 2018 EBITDA H1 2017 EBIT H1 2017 EBITDA FY 2017 EBIT FY 2017 EBITDA/EBIT 10,825 4,523 11,949 5,601 23,969 9,383 GERMANY (352) (352) (154) (154) (308) (308) Staff-related measures (340) (340) (91) (91) (221) (221) Non-staff-related restructuring (14) (14) (10) (10) (26) (26) Effects of deconsolidations, disposals and acquisitions – – – – – – Impairment losses – – – – – – Other 2 2 (53) (53) (61) (61) United States (4) (4) – – 1,633 1,633 Staff-related measures (4) (4) – – (7) (7) Non-staff-related restructuring – – – – – – Effects of deconsolidations, disposals and acquisitions 1 1 – – (11) (11) Impairment losses – – – – 1,651 1,651 Other – – – – – – EUROPE (52) (52) (45) (45) (130) (995) Staff-related measures (48) (48) (24) (24) (92) (92) Non-staff-related restructuring – – – – (3) (3) Effects of deconsolidations, disposals and acquisitions (1) (1) – – 18 18 Impairment losses – – – – – (866) Other (3) (3) (21) (21) (53) (52) SYSTEMS SOLUTIONS (89) (89) (74) (76) (229) (1,477) Staff-related measures (52) (52) (32) (32) (132) (132) Non-staff-related restructuring (1) (1) (1) (1) (2) (2) Effects of deconsolidations, disposals and acquisitions – – – – – – Impairment losses – – – (2) – (1,242) Other (37) (37) (41) (41) (94) (100) GROUP DEVELOPMENT (9) (9) 742 742 893 893 Staff-related measures (3) (3) 5 5 1 1 Non-staff-related restructuring – – (3) (3) (5) (5) Effects of deconsolidations, disposals and acquisitions (5) (5) 741 741 708 708 Impairment losses – – – – – – Other (1) (1) – – 189 189 GROUP HEADQUARTERS & GROUP SERVICES (146) (146) (15) (15) (119) (119) Staff-related measures (182) (182) (44) (44) (107) (107) Non-staff-related restructuring (40) (40) (8) (8) (49) (49) Effects of deconsolidations, disposals and acquisitions (4) (4) 44 44 63 63 Impairment losses – – – – – – Other 80 80 (7) (7) (26) (26) GROUP (652) (652) 454 452 1,740 (374) Staff-related measures (630) (630) (187) (187) (559) (559) Non-staff-related restructuring (55) (55) (22) (22) (85) (85) Effects of deconsolidations, disposals and acquisitions (9) (9) 785 785 778 778 Impairment losses – – – (2) 1,651 (463) Other 42 42 (122) (122) (45) (45) EBITDA/EBIT (ADJUSTED FOR SPECIAL FACTORS) 11,477 5,175 11,495 5,150 22,230 9,757 Profit (loss) from financial activities (adjusted for special factors) (893) (1,870) (2,895) PROFIT (LOSS) BEFORE INCOME TAXES (ADJUSTED FOR SPECIAL FACTORS) 4,282 3,279 6,863 Income taxes (adjusted for special factors) (1,230) (753) 949 PROFIT (LOSS) (ADJUSTED FOR SPECIAL FACTORS) 3,053 2,527 7,812 PROFIT (LOSS) (ADJUSTED FOR SPECIAL FACTORS)ATTRIBUTABLE TO Owners of the parent (net profit (loss))(adjusted for special factors) 2,428 2,138 6,039 Non-controlling interests (adjusted for special factors) 625 389 1,773 Gross and net debt Deutsche Telekom considers net debt to be an important performance indicator for investors, analysts, and rating agencies. (XLS:) Download millions of € June 30, 2018 Dec. 31, 2017 Change Change % June 30, 2017 Financial liabilities (current) 6,708 8,358 (1,650) (19.7) 10,351 Financial liabilities (non-current) 54,554 49,171 5,383 10.9 50,638 FINANCIAL LIABILITIES 61,262 57,529 3,733 6.5 60,989 Accrued interest (678) (692) 14 2.0 (655) Other (570) (781) 211 27.0 (886) GROSS DEBT 60,014 56,056 3,958 7.1 59,448 Cash and cash equivalents 2,943 3,312 (369) (11.1) 2,441 Available-for-sale financial assets/financial assets held for trading – 7 (7) n. a. 7 Derivative financial assets 1,172 1,317 (145) (11.0) 1,515 Other financial assets 1,127 629 498 79.2 236 NET DEBT 54,772 50,791 3,981 7.8 55,249 Reconciliation for the change in disclosure of key figures for the comparative period in the first half of 2018 (XLS:) Download millions of € Comparative period Dec. 31, 2017 Totalrevenue Profit (loss)fromoperations(EBIT) EBITDA AdjustedEBITDA Depreciation andamortization Impairment losses Segmentassets Segmentliabilities H1 2017/ JUNE 30, 2017PRESENTATION AS OF JUNE 30, 2017 – AS REPORTED Germany 10,768 2,129 4,016 4,170 (1,882) (6) 33,667 26,566 United States 18,218 2,331 5,025 5,025 (2,690) (5) 64,931 42,003 Europe 5,641 681 1,791 1,836 (1,109) (1) 25,746 10,206 Systems Solutions 3,392 (37) 158 232 (195) 0 6,408 5,061 Group Development 1,157 1,074 1,217 475 (143) 0 9,997 5,549 Group Headquarters & Group Services 1,525 (574) (233) (218) (319) (22) 46,956 55,867 TOTAL 40,701 5,604 11,974 11,520 (6,338) (34) 187,705 145,252 Reconciliation (3,164) (3) (25) (25) 22 3 (46,371) (46,388) GROUP 37,537 5,601 11,949 11,495 (6,316) (31) 141,334 98,864 H1 2017/ JUNE 30, 2017+/– CHANGE IN DISCLOSURE: VIVENTO CUSTOMER SERVICES Germany – (30) (29) (29) – – 71 76 United States – – – – – – – – Europe – – – – – – – – Systems Solutions – – – – – – – – Group Development – – – – – – – – Group Headquarters & Group Services (3) 30 29 29 – – – (4) TOTAL (3) – – – – – 71 72 Reconciliation 3 – – – – – (71) (72) GROUP – – – – – – – – H1 2017/ JUNE 30, 2017= PRESENTATION AS OF JUNE 30, 2018 Germany 10,768 2,099 3,987 4,141 (1,882) (5) 33,739 26,641 United States 18,218 2,331 5,025 5,025 (2,691) (4) 64,931 42,003 Europe 5,641 681 1,791 1,836 (1,108) (1) 25,746 10,206 Systems Solutions 3,392 (37) 158 232 (195) – 6,408 5,061 Group Development 1,157 1,074 1,217 475 (143) – 9,997 5,549 Group Headquarters & Group Services 1,521 (544) (204) (189) (320) (21) 46,957 55,863 TOTAL 40,697 5,603 11,974 11,520 (6,339) (31) 187,778 145,323 Reconciliation (3,161) (2) (25) (25) 23 (1) (46,444) (46,459) GROUP 37,537 5,601 11,949 11,495 (6,316) (32) 141,334 98,864
