Deutsche Telekom Q3 Net Income Up 7 Pct

MATT MOORE

BERLIN (AP) — Deutsche Telekom AG reported third-quarter net income rose 7 percent as it remained focused on controlling costs and developing key markets in the U.S., Britain and Poland.

Telekom, based in Bonn, on Thursday reported net income of €959 million ($1.4 billion) in the July-September period compared with €895 million a year earlier. This quarter's figure includes results for Greece's Hellenic Telecommunications Organization SA.

Revenue rose 5 percent to nearly €16.3 billion in the quarter compared with nearly €15.5 billion.

"We have continued the positive trend of the second quarter and have picked up the pace," Chief Executive Rene Obermann said. "We responded quickly and took effective steps in those markets we were concentrating on in the first quarter — the United Kingdom, the United States, and Poland."

Investors agreed, pushing Deutsche Telekom shares nearly 2.2 percent higher to €9.48 in Frankfurt morning trading.

Telekom said its business in Britain, T-Mobile UK, had stabilized and, in September, it began talks with France Telecom about setting up a joint venture between it and Orange. In the U.S., where T-Mobile USA operates, the sale of handsets on 3G networks and Internet access by subscribers both rose.