Key Highlights

  • Consensus EPS of 2.89 compares with second-quarter diluted EPS of 2.99, against 2.84 a year earlier.
  • Consensus revenue of USD 23.15 billion compares with second-quarter revenues of USD 22,791 million, against USD 21,132 million.
  • Operating income was USD 5,490 million against USD 5,213 million, and net income was USD 3,239 million.
  • Postpaid net account additions were 277 thousand against 318 thousand, a decrease of 41 thousand, or 13%.

T-Mobile US (NASDAQ:TMUS) reports third-quarter results on Wednesday, Oct. 28, after the market closes. Consensus stands at EPS of 2.89 on revenue of USD 23.15 billion, and the company has a market capitalization of USD 157.61 billion.

T-Mobile US reports wireless results that include the UScellular Acquisition. Second-quarter revenues were USD 22,791 million against USD 21,132 million, and net income was USD 3,239 million against USD 3,222 million.

Estimates Against the Last Reported Quarter

The EPS estimate of 2.89 is below the second-quarter diluted EPS of 2.99, which compared with 2.84 a year earlier. The estimates table does not state its EPS basis. The revenue estimate of USD 23.15 billion is above the USD 22,791 million reported, which compared with USD 21,132 million.

Basic EPS was 2.99 against 2.84. The dividend declared was 1.02 per share against 0.88.

What the Filing Gives and What the Sources Leave Open

The sources supplied include no earnings call transcript or published guidance, so there are no management ranges to set against the estimates. The filing carries no third-quarter figures.

The filing states that Metronet agreed to repurchase certain customer accounts in the second quarter, resulting in a base adjustment that decreased postpaid accounts by 16,000. It states that net cash payments for UScellular merger-related costs, including payments related to its restructuring plan, are included in net cash provided by operating activities.

Postpaid Accounts and Income Lines

Postpaid net account additions were 277 thousand against 318 thousand for the second quarter, and 494 thousand against 523 thousand for six months. The filing attributes the decrease to higher account deactivations from a growing account base, including following the UScellular Acquisition, partially offset by higher gross account additions.

Operating income was USD 5,490 million against USD 5,213 million, and income before income taxes was USD 4,328 million against USD 4,280 million. Net income was USD 3,239 million against USD 3,222 million.

Debt, Tower Obligations and Dividend

Long-term debt was USD 78,504 million against USD 79,649 million at year end, and long-term debt to affiliates was zero against USD 1,498 million. Tower obligations were USD 3,461 million against USD 3,532 million.

Total current liabilities were USD 23,554 million against USD 24,500 million, and operating lease liabilities were USD 25,438 million. Revenues were USD 22,791 million against USD 21,132 million, and income before income taxes was USD 4,328 million against USD 4,280 million. Diluted EPS was 2.99 against 2.84. The dividend declared was 1.02 per share. The estimates table lists a market capitalization of USD 157.61 billion.

Items to Track in the Report

Reported EPS against 2.89 and revenues against USD 23.15 billion are the headline comparisons. Other markers are postpaid net account additions, operating income and the UScellular integration.