Friday, August 10, 2012

T-Mobile USA Q2 2012 results




BELLEVUE, Wash.--(BUSINESS WIRE)--T-Mobile USA, Inc. today reported second quarter 2012 results. In the second quarter of 2012, T-Mobile USA reported adjusted OIBDA of $1.34 billion, up 4.8% from $1.28 billion reported in the second quarter of 2011. Net customer losses were 205,000 in the second quarter of 2012, compared to 50,000 net customer losses in the second quarter of 2011.

"In the second quarter T-Mobile USA started the implementation of key initiatives, such as network modernization, which will improve its competitiveness going forward"

"In the second quarter, T-Mobile USA continued to show considerable progress in a number of key areas delivering solid adjusted OIBDA growth. While we reported encouraging branded contract and branded prepaid churn improvements in the quarter, we remain focused on customer loyalty as we continue to execute against our strategy," said Jim Alling, Interim CEO and President of T-Mobile USA. "Looking ahead, T-Mobile USA will continue to invest in a number of key areas including the modernization of our network as we pave the way for LTE service in 2013, retail expansion, as well as an increased investment in promoting our brand."

"In the second quarter T-Mobile USA started the implementation of key initiatives, such as network modernization, which will improve its competitiveness going forward," said René Obermann, CEO of Deutsche Telekom

Summary:
  • Adjusted OIBDA increased 4.8% year-on-year to $1.3 billion in the second quarter of 2012
  • Adjusted OIBDA margin improved 3 percentage points year-on-year to 31% in the second quarter of 2012
  • Total service revenues of $4.4 billion in the second quarter of 2012 compared to $4.4 billion in the first quarter of 2012 and $4.6 billion in the second quarter of 2011, a decrease of 5.2% year-on-year
  • Branded contract churn of 2.10% in the second quarter of 2012; 40 bps decrease quarter-over-quarter and 50 bps decrease year-on-year
  • Net customer losses of 205,000 in the second quarter of 2012 compared to 50,000 net customer losses in the second quarter of 2011
  • Branded contract net customer losses of 557,000 in the second quarter of 2012, compared to 510,000 branded contract net customer losses in the first quarter of 2012 and 536,000 branded contract net customer losses in the second quarter of 2011
  • Strong branded prepaid net customer additions of 227,000 in the second quarter of 2012 compared to 71,000 branded prepaid net customer losses in the second quarter of 2011 and branded prepaid net customer additions of 249,000 in the first quarter of 2012
  • Branded contract ARPU increased slightly year-on-year to $57.35 in the second quarter of 2012
  • Branded contract data ARPU increased 14.6% year-on-year to $19.16 in the second quarter of 2012
  • Branded prepaid ARPU increased 13.6% year-on-year to $26.81 in the second quarter of 2012
  • 3G/4G smartphones sold increased 31% year-on-year to 2.1 million in the second quarter of 2012
  • Solid progress on key strategic initiatives, including plans to expand network coverage and rollout LTE service in 2013