Telecom & Wireless

How T-Mobile Measures Up to Verizon, AT&T, Sprint

T_Mobile_logo
Source: courtesy of T-Mobile US Inc.
T-Mobile reported its second-quarter financial results Thursday before the markets opened. The telecom giant had $0.43 in earnings per share (EPS) on $8.2 billion in revenue compared to Thomson Reuters consensus estimates of $0.18 in EPS on $7.94 billion in revenue. The same period from last year had $0.48 in EPS on $7.18 billion in revenue.

The company gave guidance for the 2015 full year; it expects an increase in postpaid net additions of 3.4 to 3.9 million, up from 3.0 to 3.5 million due to the recent “Un-carrier” plans. There are consensus estimates for $0.74 in EPS on $32.51 billion in revenue for the full year.

During the quarter, T-Mobile delivered strong customer growth with 58.9 million total customers. In the second quarter of 2015, T-Mobile added 2.1 million net new customers, including branded postpaid net customer additions of 1.0 million, comprised of phone net customer additions of 760,000 – expected to be the highest in the U.S. wireless industry once again – and mobile broadband net customer additions of 248,000.

John Legere, President and CEO of T-Mobile, said:

While the carriers continue to use gimmicks to confuse consumers, T-Mobile continues to listen to customers and respond with moves that blow them away. On top of adding 2.1 million new customers in the second quarter, we delivered 14% year-over-year revenue growth and 25% year-over-year Adjusted EBITDA growth. Overall, I think our results speak for themselves.

Shares of T-Mobile were up 2.9% at $38.12 on Thursday morning. The stock has a consensus analyst price target of $40.42 and a 52-week trading range of $24.26 to $40.77.

AT&T, Inc. (NYSE: T) reported its second quarter financial results last Thursday. The telecom giant had $0.69 in earnings per share (EPS) on $33.02 billion in revenue compared to Thomson Reuters consensus Verizonestimates of $0.63 in EPS on $33.04 billion in revenue. The same period from the previous year had $0.62 in EPS on $32.58 billion in revenue. Shares of AT&T were relatively flat at $34.70 on a 52-week trading range of $32.07 to $36.45.

Verizon Communications Inc. (NYSE: VZ) reported second-quarter 2015 results before markets opened Tuesday. The telecom giant reported quarterly earnings per share (EPS) of $1.04 on revenues of $32.22 billion. In the same period a year ago, Verizon reported EPS of $0.91 on revenues of $31.48 billion. Second-quarter results also compare to the consensus estimates for EPS of $1.01 on revenues of $31.48 billion. Shares of Verizon were relatively flat at $46.56 on a 52-week trading range of $45.09 to $51.73.

Sprint Corp. (NYSE: S) has yet to report its earnings but it has consensus estimates that call for $8.69 million in revenues. Shares of Sprint were up 1% at $3.52 on Thursday morning.