T-Mobile Adds Record Number of Subscribers

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By Trey Thoelcke Published
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T-Mobile US Inc. (NYSE: TMUS) reported first-quarter 2014 results before markets opened Thursday. The last of the four big U.S. carriers to shares its results posted an adjusted diluted earnings per share (EPS) loss of $0.19 on revenues of $6.88 billion. In the same period a year ago, the company reported adjusted EPS of $0.22 on revenues of $1.29 billion. First-quarter results also compare to the Thomson Reuters consensus estimates for a net loss of $0.10 and $6.92 billion in revenues.

The company said it added 2.4 million new subscribers, the first quarter ever with more than 2 million net additions, as well as the fourth consecutive quarter with more than 1 million total net additions. T-Mobile considers itself now the fastest growing wireless company.

The company’s CEO said:

A year ago I promised that we would bring change to what I called this arrogant US wireless industry. We are delivering on that promise and our results reflect the growing customer revolution that we’ve ignited. We are now approaching 50 million customers.

Rival Sprint Corp. (NYSE: S) earlier this week posted a narrower net loss but said it saw significant subscriber loss in the first quarter. But on Wednesday it reportedly was preparing a bid for T-Mobile.

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T-Mobile said it expects to add 2.8 million to 3.3 million new subscribers in 2014. The consensus forecast of analysts calls for EPS of $0.11 on revenues of $6.98 billion for the current quarter. For the full year, analysts estimate EPS at $0.33 on $28.50 billion in revenue.

T-Mobile shares closed up fractionally Wednesday to $29.29, but then jumped 7.5% in afterhours trading to $31.50 on news of the Sprint takeover bid. The stock was still up 7.5% in premarket trading Thursday. The 52-week range is $16.01 to $34.10. The consensus target price for the shares was around $32.58 before the earnings report.

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About the Author Trey Thoelcke →

Trey has been an editor and author at 24/7 Wall St. for more than a decade, where he has published thousands of articles analyzing corporate earnings, dividend stocks, short interest, insider buying, private equity, and market trends. His comprehensive coverage spans the full spectrum of financial markets, from blue-chip stalwarts to emerging growth companies.

Beyond 24/7 Wall St., Trey has created and edited financial content for Benzinga and AOL's BloggingStocks, contributing additional hundreds of articles to the investment community. He previously oversaw the 24/7 Climate Insights site, managing editorial operations and content strategy, and currently oversees and creates content for My Investing News.

Trey's editorial expertise extends across multiple publishing environments. He served as production editor at Dearborn Financial Publishing and development editor at Kaplan, where he helped shape financial education materials. Earlier in his career, he worked as a writer-producer at SVE. His freelance editing portfolio includes work for prestigious clients such as Sage Publications, Rand McNally, the Institute for Supply Management, the American Library Association, Eggplant Literary Productions, and Spiegel.

Outside of financial journalism, Trey writes fiction and has been an active member of the writing community for years, overseeing a long-running critique group and moderating workshop sessions at regional conventions. He lives with his family in an old house in the Midwest.

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