T-Mobile US Q2 Net Additions Up 11% YoY; Raises Guidance - Quick Facts

(RTTNews) - T-Mobile US, Inc. (TMUS) reported all-time record-low branded postpaid phone churn and record financial results including record-high service revenue, record net income, and record adjusted EBITDA for the second-quarter. The company said it is on track to launch the first nationwide 5G network available next year.

For the second-quarter, total net customer additions were 1.8 million, bringing the company's total customer count to 83.1 million. Branded postpaid net customer additions were 1.1 million, up 91,000 from prior year. Branded postpaid phone churn was a record-low of 0.78%, down 17 basis points year-over-year. Branded prepaid churn was 3.49%, down 32 basis points year-over-year.

For the second-quarter, adjusted EBITDA increased 7% to a record $3.5 billion. EPS increased 18% to $1.09. The impact from merger-related costs on EPS was $0.20. On average, 19 analysts polled by Thomson Reuters expected the company to report profit per share of $0.97, for the quarter. Analysts' estimates typically exclude special items.

Second-quarter total revenues increased 4% to $11.0 billion driven by growth in service revenues, partially offset by a decrease in equipment revenues. Analysts expected revenue of $11.13 billion for the quarter. Total service revenues increased 6% to a record-high of $8.4 billion.

For 2019, branded postpaid net additions are projected in the range of 3.5 to 4.0 million, up from prior guidance of 3.1 to 3.7 million. Adjusted EBITDA target is $12.9 to $13.3 billion, up from prior guidance of $12.7 to $13.2 billion.