Results Q1 2013

Group

• Important steps taken in EUR 4bn equity equivalent capital raise
• Revenues down 8.8% y-on-y due to sale Getronics Int’l (3.9%) and competitive mobile markets
• EBITDA EUR 137m lower y-on-y, partly due to higher commercial investments in Germany of EUR 63m
• Capex EUR 75m higher y-on-y related to customer equipment and Dutch 4G mobile network
• Free cash flow in Q1 reflects intrayear phasing, though increased y-on-y to EUR 85m
• On track to realize outlook, dividend outlook adjusted

The Netherlands

• Successful 4G first mover launch
• Revenue growth in Consumer Residential
• TV market share increased to 24%, leading to No.2 position in Dutch TV market
• Promising initial uptake quad play propositions
• Good progress FTE reduction program with ~1,100 reductions in Q1

Mobile International

• Record postpaid net adds of 265k in Germany driven by commercial investments
• Upgraded data network supporting data growth in Germany
• Competitive mobile market in Belgium, new propositions launched

Message from the CEO, Eelco Blok
“KPN’s performance in the first quarter was on track with the updated strategic agenda we presented in February. We continued to invest in our market positions in The Netherlands and made good progress to expand in postpaid and data in Germany. We see the success of our strategy in The Netherlands in the continuing momentum in TV and broadband, and the launch of 4G services as first mover. Next to this, we have made meaningful progress with our restructuring program, and quality improvements are driving customer satisfaction upwards in the consumer markets.
In the last months, we have taken important steps to strengthen our financial position. Our EUR 2bn hybrid bond program has successfully been completed and on 10 April the AGM approved our announced EUR 3bn rights issue. We expect to launch the rights issue shortly.”

Press Release for download here: kpn.com/results