In the third quarter of 2016, T-Mobile US added 2.0 million total net customers while delivering 13% year-over-year growth in service revenue, $366 million in net income, and $2.6 billion in Adjusted EBITDA.
“That’s 14 quarters in a row that T-Mobile has won share from the competition,” said John Legere, President and CEO of T-Mobile. “The Un-carrier is delivering. We took share and grew our customer base while producing both financial growth and shareholder value. Most importantly, we are delivering results for both customers and shareholders alike.”
Some highlights:
- Service revenues for the third quarter of 2016 grew by 13% year-over-year, primarily due to continued growth in T-Mobile’s customer base.
- T-Mobile US total customer base now stands at more than 69 million.
- This was the fourteenth consecutive quarter in which the vompany has generated more than 1 million net customer additions.
- Branded prepaid net customer additions were 684,000, which was the second best quarterly performance in company history.
- Wholesale net customer additions were 317,000 in the third quarter of 2016.
- Branded postpaid phone churn was 1.32% in the third quarter of 2016, up 5 basis points compared to 1.27% in the second quarter of 2016 and down 14 basis points compared to 1.46% in the third quarter of 2015.
- Branded prepaid churn was 3.82% in the third quarter of 2016, compared to 3.91% in the second quarter of 2016 and 4.09% in the third quarter of 2015.
- Branded postpaid phone Average Revenue per User (ARPU) of $48.15 in the third quarter of 2016 was up 2.2% sequentially and generally stable year-over-year.
- T-Mobile noted that it is continuing to build out Extended Range LTE, which operates on the company’s low-band 700 MHz A-Block spectrum, to enhance coverage and in-building performance.
- Extended Range LTE currently covers more than 225 million people in 366 market areas. In the third quarter of 2016, T-Mobile closed on several previously announced transactions that increased its total low-band spectrum holdings to 260 million POPs. The company expects to close on additional previously announced transactions in the fourth quarter of 2016, bringing its total low-band spectrum holdings to 272 million POPs upon closing.
- Q3 capital expenditures were $1.2 billion, down from $1.3 billion in the second quarter of 2016 and up from $1.1 billion in the third quarter of 2015. Cash capital expenditures for the full-year 2016 are expected to be in the range of $4.5 to $4.7 billion, narrowing the previous guidance range of $4.5 to $4.8 billion.
