Financial Performance - T-Mobile reported quarterly earnings of $2.84 per share, exceeding the analyst consensus estimate of $2.68 [1] - Quarterly revenue reached $21.13 billion, surpassing the Street estimate of $20.98 billion and increasing from $19.77 billion in the same period last year [1] Customer Growth - T-Mobile achieved postpaid net customer additions of 1.7 million and postpaid phone net customer additions of 830,000 [5] - The company reported postpaid net account additions of 318,000, representing a 6% year-over-year increase, the best in the industry [5] - 5G broadband net customer additions were 454,000, up 12% year-over-year [5] Service Revenue - Service revenues totaled $17.4 billion, growing 6% year-over-year [5] - Postpaid service revenues amounted to $14.1 billion, reflecting a 9% year-over-year increase [5] Future Outlook - T-Mobile revised its fiscal 2025 postpaid net customer additions guidance to between 6.1 million and 6.4 million, up from the previous estimate of 5.5 million to 6 million [4] - The updated guidance includes 2.95 million to 3.1 million postpaid phone net customer additions and approximately 100,000 fiber net customer additions [4] Market Reaction - Following the earnings report, T-Mobile's stock rose by 5.16% to $246 in extended trading [4]

Customer Metrics - Total postpaid customers reached 107284 thousand in Q2 2025[23] - Postpaid net customer additions were 1732 thousand in Q2 2025[23] - Postpaid phone net customer additions were 830 thousand in Q2 2025[23] - Postpaid other net customer additions were 902 thousand in Q2 2025[23] - Prepaid customers reached 25494 thousand in Q2 2025[34] - Prepaid net customer additions were 39 thousand in Q2 2025[34] - Postpaid phone churn decreased slightly to 090% in Q2 2025[29] - Total 5G broadband customers reached 7308 thousand in Q2 2025[37] Financial Metrics - Service revenues increased 6% year-over-year to $17438 million in Q2 2025[41,42] - Postpaid service revenues increased 9% year-over-year to $14078 million in Q2 2025[43,44] - Equipment revenues increased 11% year-over-year to $3439 million in Q2 2025[47,49] - Net income was $3222 million in Q2 2025[68] - Diluted earnings per share was $284 in Q2 2025[70] - Core Adjusted EBITDA increased 6% year-over-year to $8541 million in Q2 2025[74,76] - Net cash provided by operating activities increased 27% year-over-year to $6992 million in Q2 2025[77,78] - Adjusted Free Cash Flow increased 4% year-over-year to $4596 million in Q2 2025[87,89] Capital Allocation - During Q2 2025, 101 million shares were repurchased for approximately $25 billion[97] - During Q2 2025, the company paid a cash dividend of $088 per share of common stock, or approximately $996 million[97] Guidance - The company revised its 2025 guidance for postpaid net customer additions to 61 to 64 million, an increase of 500 thousand at the midpoint[99] - The company revised its 2025 guidance for Core Adjusted EBITDA to $333 to $337 billion, an increase of $50 million at the midpoint[99] - The company revised its 2025 guidance for Net cash provided by operating activities to $271 to $275 billion, an increase of $50 million at the midpoint[99] - The company revised its 2025 guidance for Adjusted Free Cash Flow to $176 to $180 billion, an increase of $50 million at the midpoint[99]

Group 1 - The company reported a continued growth in Group service revenue of 3.7% year-on-year, driven by all segments [2] - Consumer service revenues increased by 1.3% year-on-year, with solid commercial momentum in Consumer broadband (13,000 new subscribers) and postpaid (37,000 new subscribers) [2] - Business service revenue growth remains high at 5.7% year-on-year, supported by all divisions [2] Group 2 - Adjusted EBITDA AL increased by 6.4% year-on-year in Q2 2025, with contributions of 1.4% from IPR benefits and 1.0% from Althio [2] - The first half of Free Cash Flow reached €309 million, progressing according to plan [2] - The company leads the Dutch fiber market, now covering two-thirds of the Netherlands [2] Group 3 - The full-year 2025 outlook has been raised to over €2,630 million in adjusted EBITDA AL and over €940 million in Free Cash Flow, reflecting both IPR benefits and solid underlying progress [2]

Core Insights - T-Mobile, US, Inc. reported strong first-quarter 2025 results, with both net income and revenues exceeding Zacks Consensus Estimates, driven by significant postpaid customer growth [1][2]. Financial Performance - Net income for Q1 2025 was $2.95 billion, or $2.58 per share, reflecting a 24.4% year-over-year increase from $2.37 billion or $2 per share [2]. - Total revenues reached $20.88 billion, up from $19.59 billion in the same quarter last year, surpassing the consensus estimate of $20.57 billion [2]. Segment Results - Total service revenues were $16.92 billion, a 5.2% increase from $16.09 billion year-over-year, primarily driven by demand for postpaid services [3]. - Postpaid services generated $13.59 billion in revenues, marking a 7.6% year-over-year growth [3]. - Prepaid services revenues increased to $2.64 billion from $2.4 billion in the previous year [5]. - Equipment revenues rose to $3.7 billion, up from $3.25 billion, attributed to a higher average revenue per device sold [6]. Customer Growth - T-Mobile added 1.3 million postpaid net customers and 205,000 postpaid net accounts, both leading the industry [4]. - The postpaid phone churn rate was recorded at 0.91%, with postpaid average revenues per account increasing to $146.22 from $140.88 year-over-year [4]. Operating Metrics - Total operating expenses increased to $16.08 billion from $15.59 billion, while operating income rose to $4.8 billion from $3.99 billion [7]. - Core adjusted EBITDA was $8.3 billion, up from $7.65 billion year-over-year [7]. Cash Flow and Liquidity - Cash generated from operating activities was $6.84 billion, compared to $5.08 billion in the prior year [8]. - Adjusted free cash flow increased to $4.39 billion from $3.34 billion year-over-year [8]. - As of March 31, 2025, T-Mobile had $12 billion in cash and cash equivalents and $76 billion in long-term debt [8]. Outlook - For 2025, T-Mobile anticipates postpaid net customer additions between 5.5 million and 6 million, with core adjusted EBITDA estimated at $33.2-$33.7 billion [9]. - Expected cash from operating activities is projected to be within $27-$27.5 billion, with adjusted free cash flow anticipated in the range of $17.5-$18 billion [9].