Mergers and Acquisitions - As of March 31, 2025, net cash payments for Sprint Merger-related costs were $61 million, compared to $293 million for the same period in 2024[187]. - T-Mobile invested $926 million to acquire a 50% equity interest in the Lumos joint venture, with an expected additional capital contribution of approximately $500 million in 2027 or 2028[190]. - The acquisition of Metronet is expected to close in mid-2025, with T-Mobile planning to invest approximately $4.9 billion for a 50% equity interest[191]. - T-Mobile completed the acquisition of Ka'ena Corporation for a total payment fair value of $956 million, including $420 million in cash and stock[193]. - The UScellular acquisition is valued at approximately $4.4 billion, with expected annual run rate cost synergies of $1.0 billion upon integration[198]. - T-Mobile acquired Vistar Media Inc. for $621 million, enhancing its technology solutions for digital-out-of-home advertisements[200]. - The acquisition of Blis Holdco Limited was completed for $180 million, expanding T-Mobile's advertising solutions capabilities[202]. - The company completed the acquisition of Vistar Media Inc. for $621 million and Blis Holdco Limited for $180 million in early 2025[277][278]. - The company entered into a securities purchase agreement to acquire UScellular's wireless operations for approximately $4.4 billion, expected to close in mid-2025[273]. Financial Performance - Total revenues increased by $1.3 billion, or 7%, from $19.6 billion in Q1 2024 to $20.9 billion in Q1 2025[205]. - Postpaid revenues rose by $963 million, or 8%, while prepaid revenues increased by $240 million, or 10%[206]. - Total operating expenses increased by $490 million, or 3%, with cost of services decreasing by $86 million, or 3%[207]. - Operating income grew by $802 million, or 20%, reaching $4.8 billion in Q1 2025[209]. - Net income for Q1 2025 was $2.95 billion, a 24% increase from $2.37 billion in Q1 2024[215]. - Adjusted EBITDA rose by $607 million, or 8%, reaching $8.26 billion in Q1 2025[215]. - Net cash provided by operating activities increased by $1.76 billion, or 35%, totaling $6.85 billion[215]. - Equipment revenues increased by $453 million, or 14%, totaling $3.7 billion in Q1 2025[205]. - Income tax expense increased by $121 million, or 16%, with an effective tax rate of 23.0% for Q1 2025[215]. - Adjusted EBITDA increased by $607 million, or 8%, to $8,259 million for the three months ended March 31, 2025[244]. - Core Adjusted EBITDA rose by $641 million, or 8%, to $8,258 million, reflecting improved operational performance[246]. - Net income for the period increased by $579 million, or 24%, to $2,953 million[244]. Customer Metrics - The number of postpaid accounts increased by 1,084 thousand, or 4%, from 30,015 thousand in Q1 2024 to 31,099 thousand in Q1 2025[227]. - Total postpaid customers increased by 6,183, or 6%, reaching 105,455, while prepaid customers rose by 3,855, or 18%, totaling 25,455 as of March 31, 2025[230]. - Total net customer additions increased by 210,000, or 18%, driven by higher net additions from postpaid other customers and prepaid customers[231]. - Postpaid net account additions decreased by 13,000, or 6%, for the three months ended March 31, 2025, primarily due to higher account deactivations[228]. - Postpaid phone churn increased by 5 basis points to 0.91%, while prepaid churn decreased by 7 basis points to 2.68%[233]. - Postpaid Average Revenue per Account (ARPA) increased by $5.34, or 4%, to $146.22, reflecting higher revenue realization[237]. - Postpaid phone Average Revenue per User (ARPU) rose by $0.59, or 1%, to $49.38, while prepaid ARPU decreased by $2.51, or 7%, to $34.67[238]. Cash Flow and Liquidity - Net cash provided by operating activities increased by $1.8 billion, or 35%, to $6.847 billion for the three months ended March 31, 2025, compared to $5.084 billion in 2024[251]. - Net cash used in investing activities rose by $1.6 billion, or 91%, totaling $(3.409) billion, primarily due to $2.5 billion in purchases of property and equipment for the 5G network build-out[251][253]. - Adjusted Free Cash Flow increased by $1.0 billion, or 31%, reaching $4.396 billion, with an Adjusted Free Cash Flow margin of 26%, up from 21%[255]. - As of March 31, 2025, total cash and cash equivalents were $12.0 billion, significantly up from $5.4 billion at December 31, 2024[252]. - The company’s liquidity sources include cash and cash equivalents, cash generated from operations, and proceeds from debt issuance[249]. - A revolving credit facility of $7.5 billion was maintained with no outstanding balance as of March 31, 2025[258]. - The company expects to enter into up to $1.2 billion in financing lease commitments during the year ending December 31, 2025, with $10.2 billion already executed as of March 31, 2025[284]. Debt and Capital Expenditures - Total debt and financing lease liabilities amounted to $88.0 billion, with $77.5 billion classified as long-term debt[262]. - The company remains in compliance with all restrictive debt covenants as of March 31, 2025[283]. - The company plans to maintain its capital expenditures in 2025 at levels comparable to 2024, primarily driven by the deployment of acquired spectrum licenses[285]. Stockholder Returns - The 2025 Stockholder Return Program is authorized for up to $14.0 billion, which includes share repurchases and cash dividends through December 31, 2025[287]. - During the three months ended March 31, 2025, the company paid $1.0 billion in cash dividends and repurchased 10,091,227 shares for a total of $2.5 billion[290][291]. - As of March 31, 2025, the company had $10.5 billion remaining under the 2025 Stockholder Return Program for share repurchases and dividends[291]. - The company has approximately $50.0 billion allocated for share repurchases and cash dividends, with an additional $19.0 billion for discretionary activities[296]. Risks and Challenges - The company faces risks related to competition, market conditions, and regulatory approvals that could affect future performance[184]. - T-Mobile's substantial level of indebtedness may impact its ability to service debt obligations[184]. - The company incurred substantial expenses related to the Sprint Merger, with cash expenditures extending beyond 2024[282]. - As of March 31, 2025, the company derecognized net receivables of $1.6 billion from off-balance sheet arrangements[280].

EXHIBIT 99.2 | 3 | Highlights | | --- | --- | | 4 | Customer Metrics | | 7 | Financial Metrics | | 13 | Capital Structure | | 14 | Guidance | | 15 | Contacts | | 16 | Financial and Operational Tables | 3 2 (in thousands) Year-Over-Year Postpaid ARPA increased 4% primarily due to: Postpaid phone ARPU increased 1% due to: (1) AT&T Inc. historically does not disclose postpaid net account additions. Comcast and Charter do not disclose postpaid phone net customer additions. Industry leading claims are based on c ...

Wall Street analysts forecast that T-Mobile (TMUS) will report quarterly earnings of $2.45 per share in its upcoming release, pointing to a year-over-year increase of 22.5%. It is anticipated that revenues will amount to $20.59 billion, exhibiting an increase of 5.1% compared to the year-ago quarter.The current level reflects a downward revision of 0.3% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised the ...

Group 1: T-Mobile US, Inc. (TMUS) - T-Mobile's shares have outperformed the Zacks Wireless National industry over the past year, with a growth of +62.2% compared to +45.5% for the industry [4] - The company achieved a significant increase in service revenues, driven by the addition of 6.1 million postpaid net customers in 2024, marking the best performance in the industry [4][5] - Solid growth in free cash flow indicates efficient capital management, positioning the company well for growth initiatives, debt repayment, and dividends [5] Group 2: Salesforce, Inc. (CRM) - Salesforce shares have underperformed the Zacks Computer - Software industry over the past year, declining by -12.8% compared to -6% for the industry [7] - The company is experiencing strong demand due to customers undergoing digital transformation, which is positively impacting revenue [8] - Continued international deal wins and the acquisition of Slack enhance its competitive position, with projected revenue growth at a CAGR of 8.9% through fiscal 2025-2028 [9] Group 3: Alibaba Group Holding Ltd. (BABA) - Alibaba's shares have outperformed the Zacks Internet - Commerce industry over the past year, increasing by +49.3% compared to +4.8% for the industry [10] - The company's growth is supported by the monetization of Taobao and Tmall, as well as strong performance in its international commerce retail business [10][11] - Despite strong performance, non-GAAP earnings of $2.93 per ADS fell short of estimates, indicating a complex growth narrative [11] Group 4: Old Point Financial Corp. (OPOF) - Old Point Financial shares have significantly outperformed the Zacks Banks - Southeast industry, with a growth of +158.2% compared to +5.1% for the industry [12] - The company has recorded earnings of $2.02 for 2024 and projected 2025 EPS, supporting a valuation upside at 12.5X forward P/E [12][13] - Efficiency improvements are evident with a 2% drop in noninterest expenses and an improved efficiency ratio, contributing to a ROAE of 9.96% and ROAA of 0.77% [13]

Core Viewpoint - T-Mobile has received an upgrade to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, indicating a positive earnings outlook that could lead to increased stock price [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system emphasizes the importance of changing earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - Rising earnings estimates for T-Mobile suggest an improvement in the company's underlying business, which may drive investor interest and push the stock price higher [5][10]. Recent Earnings Estimate Revisions - For the fiscal year ending December 2025, T-Mobile is expected to earn $10.41 per share, reflecting a 7.8% increase from the previous year [8]. - Over the past three months, the Zacks Consensus Estimate for T-Mobile has increased by 2.6%, indicating a positive trend in earnings expectations [8]. Zacks Rank System Overview - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with only the top 20% of stocks receiving a 'Strong Buy' or 'Buy' rating [9][10]. - T-Mobile's upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [10].

Core Insights - T-Mobile US, Inc. (TMUS) shares increased by 3.5% to close at $254.90, following a notable trading volume, contrasting with a 4% loss over the past four weeks [1] Group 1: Company Performance - T-Mobile is experiencing industry-leading postpaid customer growth with a record-low churn rate [2] - The company has completed acquisitions of Blis and Vistar Media, enhancing its advertising capabilities and diversifying its business operations [2] - T-Mobile is exploring new use cases for its 5G network, including collaboration with Disney Studios for movie production [2] Group 2: Financial Expectations - T-Mobile is expected to report quarterly earnings of $2.47 per share, reflecting a year-over-year increase of 23.5%, with revenues projected at $20.61 billion, up 5.2% from the previous year [3] - The consensus EPS estimate has been revised marginally higher over the last 30 days, indicating a positive trend that may lead to further price appreciation [4] Group 3: Industry Context - T-Mobile is part of the Zacks Wireless National industry, where competitors like Cogent Communications (CCOI) have also shown stock movements, with CCOI closing 6.3% higher recently [4] - Cogent's EPS estimate has changed by +6% over the past month, indicating a year-over-year change of +31.8% [5]

Group 1: Core Developments - T-Mobile US, Inc. has partnered with Disney Studios StudioLAB to enhance movie production using its 5G technology, addressing challenges of traditional video production methods [1] - The standalone 5G network from T-Mobile effectively resolves issues related to high costs, limited flexibility, and extensive physical infrastructure in video production [2] - T-Mobile's 5G capabilities were pivotal during the production of Disney's "Lilo & Stitch," enabling real-time transmission of high-quality footage and seamless collaboration among remote teams [3] Group 2: Market Context - The U.S. wireless market is highly competitive, with T-Mobile facing pressure from competitors that have greater resources, which may impact its ability to attract and retain customers [4] - T-Mobile is diversifying its business by exploring new use cases for its 5G offerings, particularly in the media and entertainment industry, which is increasingly adopting 5G for real-time content transfer and remote collaboration [5] Group 3: Stock Performance - T-Mobile's shares have increased by 54.6% over the past year, outperforming the industry growth of 34.1% [6]

Core Viewpoint - The article discusses potential investment opportunities in companies that are likely to perform well amid the uncertainty created by recent U.S. tariffs, particularly focusing on companies with limited international exposure and those providing consumer staples. Group 1: T-Mobile - T-Mobile is a major U.S. wireless carrier that has been gaining market share and is insulated from tariff impacts due to its focused business model [4][5] - The company reported free cash flow of $17 billion in 2024, up from $13.6 billion in 2023, with management forecasting $17.3 billion to $18 billion for the current year [5] - T-Mobile's strategy includes returning capital to shareholders through share repurchases and a modest dividend growth plan, providing it with flexibility compared to competitors like AT&T and Verizon [7][8] Group 2: CarMax - CarMax, the largest used-vehicle dealer in the U.S., is expected to benefit from increased demand for used cars due to a 25% tariff on auto imports, which could raise new car prices by $3,500 to $16,000 [9][10] - The company maintains a gross profit of around $2,300 per vehicle, allowing it to grow earnings if demand shifts to used vehicles [11] - CarMax's stock is currently priced at less than 20 times forward earnings, presenting a potential bargain if tariffs drive higher unit sales [13] Group 3: General Mills - General Mills is positioned to benefit from price increases on grocery items due to tariffs, as it has strong brands that are less affected by inflationary pressures [14][15] - The company has maintained a gross margin of around 35%, significantly higher than competitors, and is focused on cost savings and new product investments [16][17] - Despite a projected 2% drop in earnings per share for fiscal 2026, General Mills is seen as a stable investment option, trading at less than 15 times expected earnings [17]

Core Viewpoint - T-Mobile (TMUS) is positioned well to continue its trend of beating earnings estimates, with a strong history of performance in recent quarters [1][2]. Earnings Performance - In the last reported quarter, T-Mobile achieved earnings of $2.57 per share, exceeding the Zacks Consensus Estimate of $2.17 per share, resulting in a surprise of 18.43% [2]. - For the previous quarter, T-Mobile's earnings were $2.61 per share against an expected $2.37 per share, delivering a surprise of 10.13% [2]. Earnings Estimates - Recent estimates for T-Mobile have been trending upward, with a positive Earnings ESP (Expected Surprise Prediction) indicating potential for another earnings beat [4][7]. - The current Earnings ESP for T-Mobile is +0.05%, suggesting analysts have become more optimistic about the company's earnings prospects [7]. Zacks Rank and Predictive Power - T-Mobile holds a Zacks Rank of 3 (Hold), which, when combined with a positive Earnings ESP, indicates a high likelihood of beating consensus estimates [5][7]. - Stocks with a positive Earnings ESP and a Zacks Rank of 3 or better have historically produced positive surprises nearly 70% of the time [5]. Upcoming Earnings Report - T-Mobile's next earnings report is expected to be released on April 24, 2025 [7].

Core Insights - T-Mobile has successfully acquired Lumos, enhancing its fiber-to-the-home Internet access capabilities and expanding its customer base to 475,000 homes in the Mid-Atlantic region [1][4]. Strategic Importance of the Acquisition - T-Mobile aims to offer 5G Home Internet plans to 70 million homes by the end of 2024, currently serving 6.4 million customers and having 1 million customers on the waitlist, indicating strong demand for its services [2]. - The acquisition of Lumos aligns with T-Mobile's strategy to reach 12-15 million households by 2030, complementing its existing 5G Home Internet offerings [3]. Investment and Growth Plans - T-Mobile has invested $950 million in the joint venture with EQT and plans an additional $500 million investment between 2027 and 2028 to drive Lumos' fiber expansion, targeting a customer base of 3.5 million by the end of 2028 [4]. Customer-Focused Approach - Lumos customers will benefit from T-Mobile's connectivity and features, including a customer-first service model and exclusive benefits under the Magenta status, which includes discounts and unlimited data [5]. Market Expansion and Competitive Positioning - The acquisition allows T-Mobile to serve underserved regions, enhancing its economies of scale and competitive pricing, which is expected to drive long-term growth [6]. - T-Mobile's acquisition strategy has strengthened its position in the wireless industry, notably through the acquisition of Sprint in 2020, which significantly increased its network capacity [7]. Recent Acquisitions and Agreements - T-Mobile has also entered into an agreement to acquire wireless operations from United States Cellular Corporation, which will further enhance its broadband offerings and fixed wireless products [8]. Stock Performance - T-Mobile's shares have increased by 61.8% over the past year, outperforming the industry growth of 40.8% [10].