Deutsche Telekom

(DT) - Get Report

was again profitable in its second quarter and said its T-Mobile wireless unit continues to pile on stateside subscribers.

Deutsche Telekom earned $289 million in the latest quarter on revenue of $15.37 billion, compared with a loss of $2.37 billion on revenue of $14.69 billion last year.

The quarterly profit is Deutsche's second straight, and follows a loss of around $25 billion in 2002.

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During the second quarter, T-Mobile added 606,000 net subscribers in the U.S. compared with 652,000 a year ago, while seeing churn of 2.3%. Churn is the rate of subscriber defections. T-Mobile's U.S. unit had a contract customer base of more than 10 million at the end of the quarter.

The U.S. operations of T-Mobile had operating income before depreciation and amortization of $501 million in the second quarter ended June 30, 2003, representing a 63% increase from the first quarter.

DT said it will reinstate the dividend it canceled in 2002 next year.

Adjusted earnings before interest, taxes, depreciation and amortization were $10.2 billion in the latest quarter, up 17% from last year, while net debt stood at $59.9 billion at the end of the quarter, down about $9.2 billion from the end of 2002.

The company's American depositary receipts were up 14 cents, or 1%, to $15.42 on the Instinet premarket session.