T-Mobile US's profit and revenue grew in the latest quarter boosted by growth in its postpaid business.
The cell carrier also maintained its forecasts for profit and postpaid net account additions for the full year.
T-Mobile's second-quarter profit came in at $3.24 billion, or $2.99 a share, compared with $3.22 billion, or $2.84 a share, a year earlier. The recent quarter's figure includes merger-related costs from T-Mobile's acquisition of USCellular, including accelerated depreciation, net of tax, of $146 million.
Analysts polled by FactSet had expected earnings of $2.59 a share.
Revenue rose 7.9% to $22.79 billion, compared with FactSet analyst estimates of $22.95 billion.
The growth was fueled by higher postpaid service revenue, up 13% year over year to $15.85 billion as T-Mobile added more postpaid accounts and earned more revenue from them.
The Bellevue, Wash., company said it had 277,000 postpaid net account additions in the quarter, including in phone and broadband. The metric was down 13% year over year, but topped Wall Street's estimate for 272,300 added postpaid net accounts. The company's postpaid phone service is its most lucrative phone offering, where service is paid for each month on a contract.
Average monthly postpaid service revenue earned per account rose 2% year-over-year to $152.91.
T-Mobile's value proposition is resonating with customers, said Chief Executive Srini Gopalan, adding that the company sees further growth ahead in both wireless and broadband as it continues to invest in its network and technology.
For the full year, T-Mobile continues to guide for 950,000 to 1.05 million postpaid net account additions. The company also backed its projection for core adjusted earnings before interest, taxes, depreciation and amortization of $37.1 billion to $37.5 billion.
Write to Kelly Cloonan at kelly.cloonan@wsj.com
(END) Dow Jones Newswires
July 23, 2026 06:28 ET (10:28 GMT)
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