The Bellevue telecom added 1.3 million customers during its second quarter, continuing its rapid growth as more consumers switch to its “Uncarrier” model.
T-Mobile US reported second-quarter results Wednesday that crushed Wall Street’s expectations.
The Bellevue-based telecom posted revenue of $10.1 billion, up 10 percent from the year-ago period. The company reported profit of $581 million, more than double the $225 million posted in its second quarter last year.
Analysts were expecting revenue of $9.8 billion and earnings per share of 37 cents, compared with the 62 cents T-Mobile reported Wednesday.
The company added 1.3 million customers during its second quarter, continuing its rapid growth as more consumers switch to the company’s “Uncarrier” model.
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CEO John Legere called the results “outstanding” on a video blog announcing the news. “Our performance broke records and probably the hopes and dreams of a few folks at Verizon and AT&T,” he said, continuing his routine of taking jabs at the other top U.S. carriers.
On an earnings conference call with analysts, Legere adopted a “never say never” approach when questioned about future merger and acquisition combinations. There has long been speculation that T-Mobile and Sprint will attempt another merger under a federal government that may be firendlier toward such deals.
Legere called out the “rumorville” circulating in the industry and media about what telecom and cable consolidations could come next.
“The noise to action ratio is zero,” he said, noting that T-Mobile took advantage of a yearlong period during a federal spectrum auction when bidders weren’t allowed to negotiate with each other — and emerged the biggest spectrum winner.
The inquiry about potential mergers was the second question on the conference call, prompting another T-Mobile executive to quip that whoever guessed it would be No. 2 had won the “office pool.”
T-Mobile bid nearly $8 billion for access to airwaves to expand and strengthen its mobile network. The company Wednesday announced plans to launch the first piece of its newly acquired network spectrum in August.
The company has no plans to slow its efforts to add new customers. In fact, it plans to move faster, saying it expects to gain between 3 million and 3.6 million postpaid customers this year, up from its previous projections of 2.8 million to 3.5 million.
T-Mobile’s results helped push its stock price up 3 percent in after-hours trading Wednesday to $63.87 a share.