Summary
T-Mobile US, Inc. (TMUS) has provided a positive interim update for the fourth quarter of 2015, indicating strong momentum driven by successful promotional periods like Black Friday and Cyber Monday. The company reaffirmed its full-year 2015 financial guidance, including Adjusted EBITDA, branded postpaid net additions, and capital expenditures, suggesting confidence in its performance trajectory. Key takeaways for investors include a significant increase in customer acquisition during the critical holiday shopping weekend compared to the previous year. Furthermore, T-Mobile expects branded postpaid phone churn to remain stable sequentially and improve year-over-year, signaling enhanced customer retention. These preliminary results, while subject to final review, point towards continued execution of T-Mobile's "Un-carrier" strategy and a strengthening competitive position in the market.
Key Highlights
- 1Reaffirmed full-year 2015 guidance for Adjusted EBITDA ($6.8 to $7.2 billion), branded postpaid net additions (3.8 to 4.2 million), and cash capital expenditures ($4.4 to $4.7 billion).
- 2Experienced doubled branded postpaid net additions during the Black Friday/Cyber Monday weekend compared to 2014.
- 3Nearly tripled branded postpaid phone net additions during the Black Friday/Cyber Monday weekend compared to 2014.
- 4Expects branded postpaid phone churn for Q4 2015 to be stable compared to Q3 2015.
- 5Anticipates branded postpaid phone churn for Q4 2015 to be well below Q4 2014 levels, driven by improvements in October and November.
- 6Preliminary results exclude the financial impact of JUMP! On Demand and Data Stash programs.
- 7The reported customer numbers are preliminary and subject to completion of quarter-end closing procedures.