T-Mobile US | 8-K: FY2026 Q1 Revenue Beats Estimate at USD 23.11 B

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Revenue: As of FY2026 Q1, the actual value is USD 23.11 B, beating the estimate of USD 23.02 B.

EPS: As of FY2026 Q1, the actual value is USD 2.27, beating the estimate of USD 1.9692.

EBIT: As of FY2026 Q1, the actual value is USD 5.528 B.

Operational Metrics

Total postpaid accounts for T-Mobile US, Inc. were 34,439 thousand at the end of the period, an increase from 31,099 thousand in Q1 2025, driven by higher gross account additions including fiber account additions, partially offset by higher account deactivations . Postpaid net account additions were 217 thousand, representing a 6% increase year-over-year . The postpaid average revenue per account (ARPA) was $151.93, a 3.9% increase year-over-year . Postpaid account churn increased by 10 basis points year-over-year to 1.04% in Q1 2026 from 0.94% in Q1 2025, primarily due to higher industry switching and more broadband-only accounts .

Revenue

Total Service Revenues for T-Mobile US, Inc. reached $18.8 billion, an 11% increase year-over-year . Postpaid Service Revenues were $15.6 billion, up 15% year-over-year . Total Revenues amounted to $23,107 million, reflecting a 10.6% increase year-over-year . Equipment Revenues increased 8% year-over-year to $3,996 million in Q1 2026 from $3,704 million in Q1 2025 .

Profitability

Net Income for T-Mobile US, Inc. was $2.5 billion, a 15% decrease year-over-year, which included $476 million in UScellular merger-related costs, net of tax . Core Adjusted EBITDA increased 12% year-over-year to $9.2 billion . Operating Income was $4,497 million . Cost of Equipment Sales (exclusive of D&A) increased 14% year-over-year to $5,488 million in Q1 2026 . Cost of Services (exclusive of D&A) increased 28% year-over-year to $3,339 million in Q1 2026 . Selling, General and Administrative (SG&A) Expense increased 9% year-over-year to $5,966 million in Q1 2026 .

Cash Flow

Net Cash Provided by Operating Activities for T-Mobile US, Inc. was $7.2 billion, an increase of 5% year-over-year, with a margin of 38.4% . Adjusted Free Cash Flow was $4.6 billion, also up 5% year-over-year, with a margin of 24.4% . Cash Purchases of Property and Equipment, including Capitalized Interest, were - $2.6 billion, a 7% increase year-over-year .

Other Financial Metrics

Interest Expense, Net was $1,031 million, and Income Tax Expense was $830 million . Depreciation and Amortization totaled $3,817 million . T-Mobile US, Inc. reported $406 million in UScellular Merger-Related Costs and $76 million in Network Restructuring Initiative Costs . Stockholder returns in Q1 2026 totaled $6.0 billion, comprising $4.9 billion in common stock repurchases and $1.1 billion in cash dividends . The company’s Board of Directors increased the 2026 stockholder return authorization to up to $18.2 billion . Total Debt (excluding tower obligations) stood at $88.2 billion, and Net Debt (excluding tower obligations) was $84.7 billion at the end of Q1 2026 .

Outlook / Guidance (2026)

T-Mobile US, Inc. raised its 2026 guidance for several key metrics . Postpaid net account additions are now expected to range between 950 thousand and 1.05 million . Core Adjusted EBITDA is projected to be between $37.1 billion and $37.5 billion, and Net cash provided by operating activities is forecast to be between $28.1 billion and $28.7 billion, both reflecting increases at the midpoint .

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