T-Mobile US Raises Outlook For 2019 Postpaid Net Customer Additions

(RTTNews) - T-Mobile US, Inc. (TMUS) announced the company expects to once again lead the industry in branded postpaid phone customer net additions and capture approximately 88% of industry growth as its first-quarter marked the 24th straight quarter in which T-Mobile generated more than 1 million total net customer additions.

For 2019, T-Mobile US now expects postpaid net customer additions between 3.1 and 3.7 million, up from prior guidance of 2.6 to 3.6 million. Adjusted EBITDA is expected to be between $12.7 and $13.2 billion in 2019, unchanged from prior guidance.

For the first-quarter, branded postpaid net customer additions were 1.0 million. Total net additions were 1.7 million, up 15% from prior year. Branded postpaid phone net customer additions were 656,000, up 39,000. Branded postpaid phone churn was a record low of 0.88%, down 19 basis points year-over-year.

First-quarter adjusted EBITDA increased 11% to a record $3.3 billion, primarily due to higher Service revenues and effective cost control. Earnings per share was $1.06 compared to $0.78. On average, 20 analysts polled by Thomson Reuters expected the company to report profit per share of $0.91 for the quarter. Analysts' estimates typically exclude special items.

First-quarter total revenues increased 6% to $11.1 billion driven by growth in both Service revenues and Equipment revenues. Analysts expected revenue of $11 billion for the quarter. Total service revenues increased 6% to a record-high of $8.3 billion. Branded postpaid revenues increased 8% year-over-year.

On 5G update, T-Mobile US said the company plans to launch its 5G network on 600 MHz as soon as it has compatible smartphones in the second half of the current year. The company expects to have the first nationwide 5G network in 2020.