T-Mobile Defies Analyst Expectations with 26% Increase in Adjusted Earnings, Despite Missing Revenue Projections

T-Mobile US (TMUS) reported its first-quarter earnings, which exceeded analysts’ expectations despite missing revenue projections. The company reported a 26% increase in adjusted earnings to $2 per share for the quarter ending March 31. However, revenue declined by 0.2% to $19.59 billion. Analysts had expected adjusted earnings of $1.87 per share on revenue of $19.81 billion.

T-Mobile also saw a substantial increase in wireless subscriber additions, welcoming 532,000 postpaid phone subscribers in the first quarter compared to analyst estimates of 477,000. The company also reported an 8% increase in EBITDA to $7.6 billion, exceeding estimates of $7.56 billion. As a result of this positive news, T-Mobile stock saw a slight increase of 0.7% in extended trading, reaching $165.20.

In terms of customer growth, T-Mobile added 405,000 5G broadband customers in the first quarter, down from 523,000 in the same period of the previous year. Despite this decline in broadband customers, T-Mobile’s stock trades approximately 4% below an entry point of 168.64 and holds a Relative Strength Rating of 65 out of a best-possible 99 according to IBD Stock Checkup.

Prior to the earnings report, T-Mobile stock had experienced a modest gain in value throughout the year with a return on investment (ROI) of around -3%. For more information on artificial intelligence and cybersecurity trends you can follow Reinhardt Krause on Twitter @reinhardtk_tech.

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Overall it is clear that despite missing revenue projections and declining broadband customer numbers T-Mobile still experienced significant growth and positive results that led to an increase in their stock price even if only slightly