Analysts expect T-Mobile to have another good quarter



T-Mobile threw an online parade and celebrated the fact that they were considered the fastest growing wireless carrier in the United States last quarter. They did so with over 2 million net additions on the back of their most bold and brilliant marketing campaign yet — Uncarrier. So will they be able to boast similar numbers for Q2?

That’s going to be tough to say without an official report, though some analysts believe T-Mobile will be able to post results that are just as pleasing. UBS analyst John Hodulik predicts that while T-Mobile won’t be able to match or exceed the 2 million net additions of last quarter, they will still add enough customers to maintain their “fastest growing” sash.

He predicts they’ll do so with roughly 7% of growth in Q2, which is still pretty good performance compared to what T-Mobile was able to pull before they started the Uncarrier movement. It’s important to set the stage early for the numbers: a decline from last quarter might indicate that last quarter was a spike. Coming down from a spike is still pretty good as long as the drop isn’t drastic.

We must also consider that T-Mobile didn’t make nearly as many huge Uncarrier moves this quarter (unlimited data for popular music apps and free iPhone trials) as they did in Q1 (which included them footing the bill to leave your wireless carrier, giving free international roaming and more). T-Mobile promises that even more is in store for Q3 so it’s possible they still have enough tricks in the bag to sustain growth this year.

We’re still waiting for T-Mobile to finish crunching the numbers and fully unveil their Q2 results, but we’ll be sure to bring you the full details as soon as they turn up. Let us know if you were one of the millions who have switched to T-Mobile recently by dropping a line below!

[Investors via TmoNews]

Quentyn Kennemer
The "Google Phone" sounded too awesome to pass up, so I bought a G1. The rest is history. And yes, I know my name isn't Wilson.

HTC One Remix said to launch this Friday July 24th on Verizon Wireless [RUMOR]

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  1. Sounds like good news. I still don’t understand why Tmo wants to sell. Though the CEO (correct me if I’m wrong) wanted to move out the USA market regardless.

    1. Likely the shareholders.

    2. Deutsche Telekom (T-Mobile’s parent company) wants out. It has nothing to do with the CEO, or the shareholders.

  2. Yes, but what sort of customers are they adding? That’s the real key. The whole Uncarrier thing is targeted at low margin customers. They may add more customers, but are they making much money off the new customers compared to other carriers? If they don’t find a way to monetize the new customers, all these additions could cause them to fall further behind from a profit standpoint

    1. The thing is your perception of what tmobiles profit margins are per customer is directly influenced by plan prices in the market now. For example people were shocked when tmobile offered free international roaming but when they put it in perspective that its something with a 90% profit margin relative to cost for at&t and Verizon then it’s suddenly not so shocking.. Also tmobile customers are using more data than any other carrier with at&t customers using the least.. All those customers will likely sign up for truly unlimited data of they haven’t already and its extremely unlikely their non unlimited data plan customers are UNprofitable. That would make no sense.. Also there’s huge cost savings to tmobile for not subsidizing phones.

    2. My thing is that the profit margins of Verizon and AT&T need a correction. They are bandits taking their customers for a ride. Companies don’t need to throw their customers to the wolves in order to placate greedy shareholders. There is value in being reasonable and setting modest expectations as the goal.

      Sears and Kmart took their customers for granted at one point in time, and then Wal-mart came gradually grew into the behemoth that it is today by offering low prices. Some people scoffed at Wal-mart during that time, but Wal-mart is king now. T-mobile’s business model can and will work if they stay the course and continue to upgrade their network. That will bring volume, which will be a steady source of volume-based profits.

    3. They are targetin anyome who wanta somethibg different or who tired of their service :)!!!

  3. I switched from Verizon to T-Mobile roughly 6 months ago and will never look back.

  4. Get ya coverage up and I’ll leave Verizon, T-Mobile.

    1. Cut back on your coverage and I’ll leave T-Mobile, Verizon.

  5. I left Verizon and unlimited data plan saving 60 bucks a month for T-Mobile unlimited data and I will never go back.

  6. I love you T-Mobile.

    PS Please don’t merge.

  7. Does any other carrier have volte or download booster in NYC? Nope

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