T-Mobile adds 7 million net customers in 2019
T-Mobile delivered better-than-expected fourth quarter and fiscal year financial results on Thursday as it continues to work through its $26.5 billion merger with Sprint.
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T-Mobile said Q4 earnings were $751 million, or 87 cents per share, on revenue of $11.9 billion, up 4% from a year ago. Wall Street was looking for fourth-quarter earnings of 83 cents a share on revenue of $11.83 billion.
The carrier added 1.9 million net additions in the second quarter, along with 1.3 million postpaid. T-Mobile's postpaid churn came in at 1.01%, a slight increase for the company.
For the year, T-Mobile said non-GAAP earnings came to $4.02 per share on revenue of $45 billion. Both metrics topped analyst estimates.
By the numbers:
- The company ended the quarter and fiscal year with 86 million customers.
- For full-year 2019, total net customer additions were 7.0 million.
- T-Mobile added 1 million branded postpaid phone net additions.
- Branded prepaid additions were 77,000.
- Service revenue in the fourth quarter was $8.7 billion, up 6%.
- T-Mobile said it covers 248 million people with 4G LTE on 600 MHz.
- For 2020, T-Mobile said it plans to add 2.6 million to 3.6 million branded postpaid net customers. Adjusted EBITDA will be between $13.7 billion and $14 billion.
As for its proposed combination with Sprint, T-Mobile CEO John Legere noted in his prepared remarks that the company has delivered "a compelling and fact-based argument in court to support our pending merger."
"Our results continue to show that the Un-carrier strategy works, and it delivers for both customers and shareholders," he added.
Shares of T-Mobile were up just slightly after hours.