T-Mobile grows customers in Q1 2012

T-Mobile grows customers in Q1 2012
T-Mobile has released its financial and performance report for the first quarter of the year, and while customers increased, the company reported mixed earnings with revenue sliding dow, but operating income growing.

T-Mobile subscribers grew by a net count of 187,000 in the first three months of 2012, mainly due to a surge in prepaid users that helped compensate for a loss of nearly 510,000 postpaid contract subscribers. That’s good news, when looking back at previous quarters when TMo lost customers.

Here are the financial highlights for T-Mobile first quarter:


T-Mobile is reassuring investors that its LTE network development is progressing as planned, and on track for 2013 launch. At the same time, the company is moving to 1900MHz HSPA+ 4G, that will allow it to support the iPhone. The carrier is also relying on handsets like the HTC One S and Nokia Lumia 710 to lure in even more customers in Q2 2012.

source: T-Mobile

T-Mobile USA Reports First Quarter 2012 Operating Results

Solid adjusted OIBDA and return to customer growth in Q1; T-Mobile USA charts path to LTE in 2013

BELLEVUE, Wash., May 10, 2012 (BUSINESS WIRE) -- --Strong adjusted OIBDA performance Adjusted OIBDA increased 7.2% year-on-year to $1.3 billion in the first quarter of 2012
--Adjusted OIBDA margin improved 3 percentage points year-on-year to 29% in the first quarter of 2012
--Branded contract churn of 2.50% in the first quarter of 2012; 50 bps decrease quarter-over-quarter and 10 bps decrease year-on-year; fourth quarter 2011 iPhone 4S launch impact stabilized
--Net customer additions of 187,000 in the first quarter of 2012 compared to 99,000 net customer losses in the first quarter of 2011 Branded contract net customer losses of 510,000 in the first quarter of 2012, a 28% improvement from 706,000 net branded contract customer losses in the fourth quarter of 2011 and an 11% improvement from 574,000 net branded contract customer losses in the first quarter of 2011
--Strong branded net prepaid additions of 249,000 in the first quarter of 2012 compared to 82,000 net customer losses in the first quarter of 2011; Branded net prepaid additions increased 13% from 220,000 in the fourth quarter of 2011
--Branded contract ARPU increased $2 year-on-year to $58 in the first quarter of 2012 Branded contract data ARPU increased $2.90 year-on-year or 18% to $18.80 in the first quarter of 2012
--Branded prepaid ARPU increased $1 year-on-year to $25 in the first quarter of 2012
--T-Mobile USA's reinvigorated Challenger Strategy features plans to strengthen America's Largest 4G Network(R) and launch LTE in 2013
T-Mobile USA, Inc. today reported first quarter 2012 results and provided an update on its 2011 annual assessment of indefinite-lived assets. In the first quarter of 2012, T-Mobile USA reported adjusted OIBDA of $1.27 billion, up 7.2% from $1.19 billion reported in the first quarter of 2011 and branded contract ARPU in the first quarter of 2012 of $58, up from $56 in the first quarter of 2011. Additionally, net customer additions were 187,000 in the first quarter of 2012, compared to 99,000 net customer losses in the first quarter of 2011.
"In the first quarter, T-Mobile USA delivered strong performance across several key metrics - adding customers, increasing branded ARPUs year-on-year and effectively managing costs to deliver a solid adjusted OIBDA margin. While branded contract churn remains a focus, in the first quarter of 2012 we achieved our lowest level in seven quarters," said Philipp Humm, CEO and President of T-Mobile USA. "In just a short time since the December breakup of the AT&T deal, T-Mobile USA has redefined and restarted our Challenger Strategy including phase one of a major brand re-launch to redefine T-Mobile in the marketplace."
"T-Mobile USA delivered an encouraging adjusted OIBDA year-on-year increase in the first quarter of 2012. Philipp Humm and his team managed the business with improved efficiency in a still difficult environment, laying the foundation for successful implementation of the Challenger Strategy," said Rene Obermann, CEO of Deutsche Telekom.
T-Mobile USA Challenger Highlights
T-Mobile USA has made considerable progress in executing against the reinvigorated Challenger Strategy, which was announced in February 2012. Most significant is progress against the newly announced $4 billion network modernization and 4G evolution effort, which will further improve existing voice and data coverage and pave the way for long term evolution ("LTE") service in 2013. Already this year, T-Mobile USA has entered into a spectrum exchange agreement with Leap Wireless International, Inc. and secured key AWS spectrum licenses from AT&T, which were agreed to as part of the breakup of the proposed merger between the two companies. More recently, T-Mobile USA signed agreements with Ericsson and Nokia Siemens Networks to deploy state-of-the-art LTE-capable equipment at 37,000 cell sites in 2012 and 2013.
Other investment areas core to T-Mobile USA's Challenger Strategy include continued retail expansion as well as an increased investment in the brand. So far this year, the Company has expanded its branded distribution, adding 115 new branded dealers and earned Wal-Mart's 2011 "Supplier of the Year" award in both the Wireless category and the overall Entertainment Division.
The company also unveiled phase-one of a brand re-launch program, introducing a new ad campaign that encourages customers to Test Drive T-Mobile USA's competitive 4G experience.
Additionally, the Company continued to expand its portfolio of compelling 4G smartphones in the first quarter. T-Mobile USA became the first U.S. carrier to offer a Nokia Windows(R) Phone, the affordable, 4G-capable Nokia Lumia 710, and launched the 42 Mbps-capable Samsung Galaxy S(R) Blaze(TM) 4G. In April 2012, T-Mobile USA launched the 42 Mbps-capable HTC One(TM) S.

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