KPN delivers accelerating Group service revenue growth

Group service revenue growth (+3.8% y-on-y) in Q3 2023, driven by all segments
Continued Business service revenue growth (+4.2% y-on-y), fueled by ongoing strong SME performance
Consumer service revenues sustainably inflected (+2.7% y-on-y); Fixed back to growth at +1.8% y-on-y
Ongoing positive net adds development in Consumer broadband (+17k) and postpaid (+33k)
Expanded fiber footprint with +221k HP in Q3 2023 (including Glaspoort+ 261k HP)
Adjusted EBITDA AL grew 1.8% y-on-y in Q3 2023. Free Cash Flow YTD -18% y-on-y, impacted by intra-year phasing
On-track to reach full year 2023 outlook for adjusted EBITDA AL and Free Cash Flow

Message from the CEO, Joost Farwerck
“We continue to deliver positive results with our current ‘Accelerate to Grow’ strategy with all segments contributing to sustainable service revenue
growth. Our focus on customer centricity and commitment to delivering the best connectivity remains part of our DNA, as evidenced by the recent
introduction of our 4 Gbps broadband offering. This is reflected in our strong brand positioning and further recognition as the best internet and
mobile provider in the Netherlands, this time, by Tweakers. We remain on track with our fiber roll out and make good progress decommissioning
the copper network in fiber areas.
In the third quarter, Consumer fixed service revenues inflected and mobile service revenues continued to grow, supported by another quarter of
solid base inflow in both broadband and mobile and July’s broadband price increase implementation. Business service revenues have durably and
sustainably inflected, with SME making a strong contribution again. In the quarter, Consumer NPS declined mainly due to consumer sentiment
around inflation-driven price increases. Within B2B, the LCE turnaround remains a priority and its slight decline in the quarter was mainly due to
reduced roaming traffic.
We remain active on our ambitious ESG agenda. During this quarter, KPN achieved Aspirant status on the Social Entrepreneurship Performance
Ladder (PSO) certification, recognizing KPN as being a more inclusive employer. Furthermore, we launched our innovative mobility policy, which
rewards employees for choosing sustainable commuting.
We are on track to deliver on our full year outlook. The sustainable service revenue growth run rate, continued robust performance and the
measures we have put in place have contributed to mitigate the increasing cost levels from wage indexation and higher energy prices.
With a strong foundation built over the past years, we are ready to share an update of our Group strategy for the coming years at our upcoming
Capital Markets Day on November 7th.” see & read more on
https://ir.kpn.com/files/doc_financials/2023/q3/KPN-Q3-2023-Press-release.pdf