T-Mobile USA reported 0.9 percent decrease
in revenue at $4.67 billion in Q3 2011 against $4.71 billion in Q3 2010.
Net income in the third quarter of 2011 was
$332 million, up 4 percent from $320 million in the third quarter of 2010.
Service revenues in Q3 2011 increased
compared to Q2 2011 mainly due to the growth in customer adoption of T-Mobile
USA’s unlimited monthly 4G plans. Additionally, the sequential increase in
service revenues was due in part to the introduction of reconnect fees for
certain delinquent customer accounts.
The mobile major posted adjusted OIBDA of
$1.45 billion in the third quarter of 2011, showing an increase of 9 percent
from $1.32 billion in the third quarter of 2010. The OIBDA growth was mainly
due to the launch of new unlimited Value plans and cost management programs.
Adjusted OIBDA margin of 31 percent in the
third quarter of 2011, was up from 28 percent in third quarter of 2010.
T-Mobile recorded net customer additions of
126,000 mainly due to Value plan and unlimited monthly 4G prepaid growth. The
net additions in the third quarter of 2010 was 137,000.
T-Mobile’s contract ARPU of $53 in the
third quarter of 2011, was up from $52 in the third quarter of 2010 and can be
attributed in part to data ARPU growth.
Data ARPU grew 13 percent to $14 in the
third quarter of 2011 from $12.40 in the third quarter of 2010.
As of the end of the third quarter of 2011,
10.1 million customers were using 3G/4G smartphones, up 40 percent compared to
7.2 million as of the end of the third quarter of 2010.
“Earnings improved as we continued to focus
on making smartphones affordable to all Americans through our unlimited Value
plans, improvements to our 4G network, and an expanding portfolio of 4G
devices,” said Philipp Humm, president and CEO of T-Mobile USA.
“Attractive prepaid offerings helped us add
customers in the third quarter of 2011 and data ARPU grew as smartphone
adoption continued to increase. Discipline on the cost side contributed to
year-on-year margin improvement, while postpay churn, in particular related to
the iPhone 4S launches by competitors, will continue to be an area of concern,”
Humm added.
HIGHLIGHTS OF T-MOBILE FINANCIAL
PERFORMANCE
T-Mobile USA served 33.7 million customers
at the end of third quarter of 2011.
Third quarter 2011 net customer additions
were 126,000.
Contract net customer losses, including
connected devices were 186,000.
Branded contract net customer losses,
excluding connected devices, were 389,000.
Connected device net customer additions
were 204,000.
ARPU of Connected device customers was less
than $2.
Prepaid net customer additions, including
MVNO customers were 312,000.
Branded prepaid net customer additions,
excluding MVNO customers, were 254,000.
MVNO customers increased slightly, totaling
3.5 million.
Blended churn increased to 3.5 percent in
Q3 2011 from 3.4 percent in Q3 2010.
Churn from branded customers was 3.2
percent.
Contract churn, including connected
devices, was 2.4 percent.
Prepaid churn, including MVNO, increased to
7.2 percent.
Data service revenues were $1.4 billion in
the third quarter of 2011, up 12% from the third quarter of 2010.
10.1 million customers were using
smartphones enabled for the T-Mobile USA 3G/4G network.
3G/4G smartphone customers account for 30
percent of total customers
Messaging revenue accounted for 32 percent
of total data revenues in the third quarter of 2011, compared to 36 percent in
the third quarter of 2010.
Cash capital expenditures were $741 million
in the third quarter of 2011, compared to $688 million in the second quarter of
2011 and $643 million in the third quarter of 2010.
By Telecomlead.com Team