1&1 AG approves transformation and restructuring program for 1&1 Versatel and adjusts its 2026 EBITDA forecast

1&1 AG approves transformation and restructuring programme for 1&1 Versatel and adjusts its 2026 EBITDA forecast
 

Montabaur, September 10, 2026.The Executive Board of 1&1 AG (ISIN DE 0005545503), with the approval of the Supervisory Board, today approved a transformation and restructuring programme for the Group’s business enterprise subsidiary, 1&1 Versatel GmbH (“1&1 Versatel”). A comprehensive overhaul of the organisation, processes and IT structures is planned to drive productivity and lay the way for continued future investment. The objective is to position the Group’s enterprise customer subsidiary for the next phase of development

A key component of the transformation is the streamlining of organisational and workforce structures. 1&1 Versatel’s targeted organisation structure will see a consolidation of management structures, a reduction in hierarchical levels as well as a reduction of the workforce from the current levels of around 1,350 to about 1,000 full-time employees.

The adjustments are to be implemented in a socially responsible manner and through a cooperative dialogue with employee representatives. In addition to existing partial retirement schemes, the company will begin discussions on the details of a voluntary scheme

In connection with the transformation and restructuring programme, 1&1 AG expects to incur one-off expenses of around €60 million in the 2026 financial year, resulting in particular from the planned staff measures and further project costs associated with.

Due to these one-time expenses, 1&1 AG is adjusting its EBITDA forecast for fiscal year 2026 to approximately €740 million. The remainder of the forecast for the 2026 financial year remains unchanged. EBITDA adjusted for the effects of the transformation and restructuring programme (adjusted EBITDA) is expected to be around €800 million, which is in line with the previous EBITDA forecast before factoring in one-off expenses. Following full implementation of the programme, the company expects an annual contribution to earnings of around €25 million from the 2028 financial year onwards, which is intended to strengthen the financial basis for investments in the company’s further development.
 

Montabaur, 10 September 2026

1&1 AG

The Management Board

About 1&1 AG

1&1 AG, headquartered in Montabaur, is a publicly listed telecommunications provider and part of the United Internet Group. With ca. 4,600 employees and over 30 years of market experience, 1&1 stands for innovation, competition, and digital sovereignty within the German telecommunications landscape.

1&1 is the first network operator in Europe to operate a fully virtualised, cloud-based 5G mobile network based on the new Open RAN technology – independent, technology-agnostic and ready for real-time applications of the future.

In fixed-line infrastructure, 1&1 operates approximately 70,000 kilometres of fibre-optic routes, making it one of Germany’s largest and most powerful networks, available in more than 350 cities.

The 1&1 brand addresses value and premium segments with mobile services, fiber optics, DSL and IPTV, while the group’s discount brands appeal to price‑conscious target audiences. Furthermore, the fibre-optic specialist 1&1 Versatel is one of the leading providers of data and voice services for businesses, public authorities and institutions.

Note:

Fiscal performance indicators such as EBITDA, EBITDA margin, EBIT, EBIT margin or free cash flow are used in addition to the disclosures required by the International Fiscal Reporting Standards (IFRS) in the annual and interim fiscal statements of 1&1 AG and in ad hoc reports pursuant to Art. 17 MAR to ensure a clear and transparent presentation of 1&1 AG business development. Information about the use, definition and calculation of these performance indicators is provided on pages 61-62 of the Annual Report 2025 of 1&1 AG.