T-Mobile US crossed the 100 million customer milestone, surpassing AT&T to become the No.2 largest mobile operator in the U.S. The milestone comes 7 months after its acquisition of Sprint.
Highlights for the quarter:
- Net customer additions were 2,035,000 in Q3 2020, a record-high and the 23rd consecutive quarter of industry-leading performance in this category. The total customer count increased to a record-high of 100.4 million.
- Postpaid net customer additions were 1,979,000 in Q3 2020, a record-high and the 11th consecutive quarter of industry-leading performance in this category.
- Postpaid phone net customer additions were 689,000 in Q3 2020, leading the industry and marking the 27th consecutive quarter of leading the national carriers. Postpaid phone churn was 0.90%.
- Postpaid other net customer additions were 1,290,000 in Q3 2020, leading the industry and nearly double Verizon and AT&T combined as T-Mobile for Business continued to connect educational institutions during COVID-19.
- Prepaid net customer additions were 56,000 in Q3 2020 and prepaid churn was 2.86%.
- Total service revenues increased year-over-year to $14.1 billion in Q3 2020, driven by the Sprint merger and continued customer growth.
- Total revenues increased year-over-year to $19.3 billion in Q3 2020, driven by the Sprint merger and continued customer growth.
- Net income increased year-over-year to $1.3 billion in Q3 2020, as revenue growth outpaced expense increases. Merger-related costs were $288 million pre-tax and $208 million, net of tax, in Q3 2020.
- EPS was relatively flat year-over-year at $1.00 in Q3 2020, as growth in net income was offset by a higher number of outstanding shares as a result of the Sprint merger.