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T-Mobile (TMUS) Tops Q4 EPS Expectations; Revenue Rose 1.1%

February 17, 2016 6:06 AM

T-Mobile (NASDAQ: TMUS) reported Q4 EPS of $0.34, $0.19 better than the analyst estimate of $0.15. T-Mobile’s total revenues for the fourth quarter of 2015 grew by 1.1% year-over-year to $8.25 billion, compared with consensus expectations calling for revenue of $8.20 billion.

Industry-Leading Customer Growth in 2015

In the fourth quarter of 2015, T-Mobile added 2.1 million net customers, bringing its total customer count to more than 63 million at year-end 2015. This was the eleventh consecutive quarter that the Company has generated more than 1 million net customer additions and the third consecutive quarter with more than 2 million net customer additions. Full-year 2015 also marked the second consecutive year that the Company added more than 8 million net customers, which once again outperformed the wireless industry.

T-Mobile also saw ongoing strength in branded postpaid customers with net additions of 1.3 million in the fourth quarter of 2015. This was the sixth consecutive quarter in which the Company has reported more than 1 million branded postpaid net customer additions. Branded postpaid phone net customer additions were 917,000 in the fourth quarter of 2015, bringing the total branded postpaid phone net customer additions to approximately 10 million since the launch of the Un-carrier. For full-year 2015, the Company added 4.5 million branded postpaid net customer additions, well above the revised guidance for branded postpaid net customer additions of 3.8 to 4.2 million provided in connection with the third quarter of 2015 earnings.

Branded prepaid net customer additions in the fourth quarter of 2015 were 469,000. For full-year 2015, the Company added 1.3 million branded prepaid net customer additions.

Wholesale net customer additions were 301,000 in the fourth quarter of 2015 and 2.4 million for full-year 2015.

Branded postpaid phone churn was 1.46% in the fourth quarter of 2015, down 27 basis points from the fourth quarter of 2014, marking the best year-over-year churn improvement in 2015. Sequentially, churn was stable instead of the typical seasonal increase. Branded prepaid churn was 4.20% in the fourth quarter of 2015, compared to 5.39% in the fourth quarter of 2014.

Total devices sold or leased were 10.8 million units in the fourth quarter of 2015, including 10.0 million smartphones.

For earnings history and earnings-related data on T-Mobile (TMUS) click here.

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