Great Earnings from T-Mobile


Great Earnings from T-Mobile

There are many great things coming from T-Mobile (NASDAQ:TMUS) this quarter. The third quarter report has T-Mobile proudly and accurately proclaiming some major things.

Investor Response

T-Mobile (NASDAQ:TMUS) has definitely increased since the news has been broken. On monday TMUS is at $50.09 up by +$3.34(+7.04%) since the news broke. Overall the stock is up 20% since the start of the year.

Revenue and Earnings

This third quarter T-Mobile(NASDAQ:TMUS) had revenue of $9.24 billion which matches the Q2 earnings of $9.22 billion. In addition when compared against the same 9 month period last year as of September 30th they made revenue of $27.06 billion in 2016 as opposed to 2015’s $23.80 billion. This is a phenomenal revenue growth of over 13%.

The Net Income for Q3 was $366 million up 62% from the second quarter’s earnings of $225 million. When comparing the cumulative earnings as of September 30th 2016 to the same period in 2015 we see figures of $1.07 billion and $0.43 billion; a two fold plus increase.

Earnings Per Share

When looking at Earnings per share investors will see a similar story. Earnings per share for Q3 is $0.43 up from $0.26 last quarter a 65% increase.

When comparing the cumulative change as of September 30th 2016 to the same period last year we see a cumulative earnings per share of $1.24 to $0.48 which is 150% increase in earnings payout.

Other Important Report Figures.

In addition T-Mobile has reported information that is bound to make their investors very elated. They have added 2.0 million subscribers for the 14th consecutive quarter of over 1 million additions. This is inclusive of 851,000 branded postpaid phone net adds; also 684,000 branded prepaid phone net adds. They are the industry leader in net adds for the 11th consecutive quarter in postpaid as well as having the second best quarterly net adds for prepaid in the company’s history.

The Result is that T-Mobile (NASDAQ:TMUS) is without a doubt as they have stated in their reports “THE FASTEST GROWING WIRELESS COMPANY IN AMERICA”

Beating Expectations

Strong customer growth is what has been driving their revenue and this is set to continue into the near future.

The company said it now expects to add 3.7 million subscribers up from 3.4 million. It seems that T-Mobile’s marketing strategy along with heavy discounting seems to have had an impact on the consumers and is providing excellent returns.

T-Mobile has beaten analyst expectations completely and this is great news for investors.