T-Mobile SIM

First branded net customer additions since 2009; 1.9-percent churn lowest since 2008

T-Mobile has just released its Q1 2013 financial results, and there are some seriously positive numbers to reflect on for the previous quarter. While this doesn't include the recently closed MetroPCS merger, it does cover the time leading up to T-Mobile's dramatic "UNcarrier" rebranding. Let's hit some of the high points:

  • Branded postpaid net loss of 199,000 customers, an improvement of 61-percent year-over-year
  • Branded prepaid net gains of 202,000 customers
  • 34 million total customers at the end of the quarter, up 576,000 quarter-over-quarter
  • Branded postpaid churn of 1.9-percent, the lowest since Q2 2008
  • EBITDA (explained below) of $1.2 billion, down 7.5-percent y-o-y but up 12.4-percent q-o-q
  • Capital expenditures of $1.1 billion, primarily due to network enhancements

Q1 marked a few milestones for T-Mobile, with the first net branded customer addition in 4 years, and the lowest customer churn in 5 years. As has been the case for several quarters now, T-Mobile's decrease in postpaid customers and increase in prepaid customers has resulted in a negative slide in revenues. EBITDA (earnings before interest, taxes, depreciation and amortization), which shows how a company is performing on an operations-basis, was down 7.5-percent, as were overall revenues by 7-percent. ARPU (Average Revenue Per User) for postpaid customers was down by 6.3-percent to $54.07, but prepaid ARPU continues to increase every quarter, this time by 11.3-percent to $28.25.

As we have seen for several recent quarters now, T-Mobile continues to post strong prepaid numbers but also prepaid revenues per user, which isn't a terrible situation to be in. The carrier says that 36-percent of its customers have now chosen to move to either Value or Simple Choice plans, up from 30-percent last quarter. As it regularly does, the carrier has also taken its earnings release to reiterate its plans for LTE, which still include the current statistic of 7 full LTE markets and goal of getting LTE coverage to 200 million pops by the end of 2013. Things definitely seem to be looking positive, and we'll be expecting equally interesting results in the next few quarters as well.

Source: T-Mobile 


Reader comments

T-Mobile Q1 2013 earnings: Decreasing revenues, positive customer numbers


This is truly awesome, and I'm extremely happy for them!!! They have a quality network in metro areas, not so much in rural America, but if you can get it, it's gonna be FAST!!!

I will be looking forward to the Q2 results. I'm a new Tmo customer, hopefully tge fruit phone helped them steal some customers from the big two.

I hope T-Mobile's new "Uncarrier" program turns things around for them. I would like to see VZW and AT&T get some real competition. I am tempted to get a cheap T-Mo phone from craigslist and a month of service just to see how it stacks up to VZW. I hate VZW but their network is unquestionably the best in my area.

That's what I did. I borrowed a MyTouch 4G from a friend, who now uses the Note 2, got prepaid service, then drove all over Connecticut and tested the networks ability to keep my location using Google Navigation, Tmobiles network is fine in Ct. Speed wise, I almost never exceed 15mbps, but the speed is good enough to watch HQ videos on YouTube w/o any buffering.

I'm now using the *Galaxy S4* on T-Mobile, since 4/30, I'm porting my number from Verizon on 5/20.

Yeah I was thinking about doing the same. Reliable service and 5 unlimited data plans are hard to give up, but if I can get decent service with T-Mo, I will jump ship. I am tired of VZW treating customers with such indignation. Their phone selection is getting stale yet they decide to launch the S4 a month behind everyone else, they drag their feet with software updates, and they are the most draconian carrier on the planet with their anti-AOSP and anti-development shenanigans. I cannot wait until I make my last VZW payment -- I think I'll write a check and use it to scoop my dog's poo before mailing it.

Just so you know, the MyTouch 4G has speed limitations as it doesn't support the full 42mbps that T-Mobile's network is capable of. In fact, 15 mbps is about as fast as it can go. I know because I used to own one. In contrast, the other day I got 28mpbs using my Nexus 4 here in the Seattle area.

Absolutely things are turning around for T-Mobile, they are in a FAR different position in practically everything as opposed to a year ago. Loving the new direction they're taking and how aggressive they're being and it's certainly going to show. As somebody who's been with Magenta since the Voicestream days(2000), I've stuck with them through all their lows and it's nice to finally see them begin to flourish. Considering post merger they're really not that far behind Sprint(50million vs 43Million subscribers) and since their Network is far more capable and stronger, they could possibly overtake Sprint in the coming months. Case in point Sprint's >1Mbps speeds and its Snails pace LTE rollout that T-Mobile is most definitely going to surpass by the end of the year. Just a little food for thought.

If you hate T-Mobile so much, why even comment on the article, or post replies?

We get it: you're one of the "Sprint faithful."

I swear, I'm trying not to be mean; but, you Sprint fanboys are almost as horrible as the Crackberry trolls.

For some odd reason, you're seriously offended when we don't choose your phone or carrier of choice.

Why is that?

I actually experience the opposite. A lot of Tmobile fan boys bashing Sprint, not so much on Androidcentral but on Tmonews and other tech sites.

Actually it's completely Accurate, look it up. It's Alarming how sensitive Sprint fanboys are and how delusional they are about the True capability of Sprint's network. ha

Your precious Sprint forced me to leave them because I was "data roaming" too much. It's nice that they waived the ETF but it sucks that I had to move to a more expensive carrier (Verizon) just to get sum damn service at my job. Unlimited data is useless if I don't have a signal. I couldn't even stay connected to TuneIn Radio. Now I'm stuck with a data cap but thank goodness only 'til the end of this summer or early fall (still too long).

I left T-Mo Feb 2010, wouldn't replace my sony phone with a year warranty in the 11th month from software glitch, bill padding, and tried to stick me with an ETF when I paid to Break My Contract to switch to the 'month to month' new service at the time. Not to mention they modified my contract before it was up and took away my free 50 text messages.
Screw T-Mo.

I also posted this on another site but its fitting here also. Well T Mobile, I can't wait to become your customer. I am a current Verizon customer and May 31 I will be a Tmo customer. My T999 Galaxy S3's are on their way and May 30 my last contract is up with VZW. I have three smartphones with VZW and I'll save $80-$100 a month after the switch. I was already upgrading phones at full price to keep my unlimited data. And thanks that, it allowed me to get my lines all out of contract at the same time. Verizon had me locked because all three lines expired at different times which always kept me with at least 2 lines under contract, so switching was never really an option. I am proof that the new Tmo model its working.

Hopefully you have coverage in your area... the map shows "4G" coverage everywhere in my area but consistently had awful awful service and signal with both a Nexus 4 and an iPhone 4S.

I'm crossing my fingers. The map does show I should get excellent reception. But, at least without a contract, I feel like, if things aren't as good as I hope, I'm free to go elsewhere. I'm not expecting Verizon like coverage or anything and for the price, I'm willing to accept it. Verizon is loosing at least one good customer here. I've always paid my $230+ bill on time and I've been with them since 2003 and a smartphone plan since the OG Droid. Their greed is starting to show and I'm getting out.

I just ported my number to tmobile from Verizon here in Houston. I was not happy, yes the speed was fast when in certain spots. 10 days later I ported to Att, the speed is even faster than tmobile and Verizon almost everywhere. Verizon network is slow in Houston, I guess cause so many people is on it. My friend just got the s4 on sprint, very slow speeds around 3kbps at best. He gets 3g in spots that I am getting 4g. So then he moved to Att and it's very satisfied

do they still offer the $30 plan at all? my friend has an older tmobile smartphone and he will let me borrow it so i can test out tmobile coverage in my area.

all i keep getting is the $50 individual plan online

The iPhone is going to single handedly bring them back as much ad we don't like to admit it. This numbers are without the iPhone.