Forecast

The statements in this section reflect the current views of our management. Contrary to the forecasts published in the 2020 combined management report (2020 Annual Report, page 107 et seq.) and in the Interim Group Reports as of March 31, 2021 (pages 32 and 33) and as of June 30, 2021 (page 35), we now expect to post stronger-than-expected increases in the Group’s adjusted EBITDA AL and free cash flow AL (before dividend payments and spectrum investment). Adjusted EBITDA AL was originally expected to increase to over EUR 37.2 billion. We now expect adjusted EBITDA AL for the Group to come in at around EUR 38 billion in the 2021 financial year. This is largely attributable on the one hand to stronger-than-expected business performance in the United States operating segment, where we now anticipate adjusted EBITDA AL of around USD 26.5 billion, up from previously USD 26.1 billion. But for business outside of the United States, we also expect higher adjusted EBITDA AL of EUR 14.6 billion, up from the previous guidance of EUR 14.4 billion. Due to the increased guidance for adjusted EBITDA AL both in the United States and outside of the United States, we now expect to record free cash flow AL for the Group (before dividend payments and spectrum investment) of around EUR 8.5 billion, up from our original guidance of over EUR 8.0 billion. All other statements made remain valid. For additional information and recent changes in the economic situation, please refer to the section “The economic environment” in this interim Group management report. Readers are also referred to the DisclaimerDisclaimer at the end of this report.