Early Access

10-QPeriod: Q1 FY2025

T-Mobile US, Inc. Quarterly Report for Q1 Ended Mar 31, 2025

Filed April 24, 2025For Securities:TMUSTMUSZTMUSITMUSL

Summary

T-Mobile US, Inc. (TMUS) reported strong financial performance for the first quarter of 2025, with total revenues increasing by 7% year-over-year to $20.9 billion. This growth was primarily driven by an 8% increase in postpaid revenues and a 14% surge in equipment revenues. Net income saw a significant jump of 24% to $2.95 billion, with diluted EPS rising to $2.58. The company also demonstrated robust operational cash flow, generating $6.85 billion in net cash from operating activities, a 35% increase, and its Adjusted Free Cash Flow grew by 31% to $4.4 billion. This strong financial performance is underpinned by consistent customer growth, with total customers increasing by 8% year-over-year to over 130 million, driven by gains in both postpaid and prepaid segments. The company also highlighted its commitment to shareholder returns, announcing a $14 billion stockholder return program for 2025, which includes significant share repurchases and dividends. Strategic acquisitions, including Vistar Media Inc. and Blis Holdco Limited, were completed early in 2025, further diversifying T-Mobile's business lines. Financially, T-Mobile continues to manage its substantial debt load effectively, issuing $7.8 billion in new long-term debt while also repaying $479 million in existing debt during the quarter. Cash and cash equivalents increased significantly to $12.0 billion, providing ample liquidity. The company is also actively expanding its network capabilities and fiber offerings through significant investments and joint ventures, such as the completed Lumos acquisition and the pending Metronet acquisition. While facing competitive pressures and the ongoing integration of acquired businesses, T-Mobile's strategic initiatives and solid operational execution position it favorably for continued growth and shareholder value creation.

Financial Statements
Beta
Revenue$20.89B
SG&A Expenses$5.49B
Operating Expenses$16.09B
Operating Income$4.80B
Net Income$2.95B
EPS (Basic)$2.59
EPS (Diluted)$2.58
Shares Outstanding (Basic)1.14B
Shares Outstanding (Diluted)1.14B

Key Highlights

  • 1Total revenues grew 7% to $20.9 billion, driven by strong postpaid and equipment revenue growth.
  • 2Net income increased 24% to $2.95 billion, with diluted EPS of $2.58.
  • 3Net cash provided by operating activities surged 35% to $6.85 billion.
  • 4Total customers grew 8% year-over-year to 130.9 million, with notable gains in both postpaid and prepaid segments.
  • 5The company announced a $14 billion stockholder return program for 2025, including significant share repurchases.
  • 6T-Mobile completed the acquisitions of Vistar Media Inc. and Blis Holdco Limited in early 2025.
  • 7Cash and cash equivalents increased substantially to $12.0 billion, bolstering liquidity.

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