T-Mobile US (TMUS 66.96, +1.03) is higher by 1.6% after reporting first quarter results that may not be comparable to estimates.
The wireless carrier reported first quarter earnings of $0.80 per share on an 11.0% year-over-year increase in revenue to $9.61 billion, which was just below market expectations. T-Mobile expects that its revenue growth rate led the industry for the 15th consecutive quarter.
The company added 1.1 million customers to continue a streak of four years of quarterly additions of at least one million. T-Mobile had 914,000 total branded postpaid net additions, expecting to be the industry leader for the fifth consecutive quarter. Postpaid phone churn declined 15 basis points to year-over-year to 1.18%, which was a record.
The company expanded its bandwidth during the first quarter, acquiring 31 MHz of spectrum for $8 billion to quadruple its low-band holdings. Furthermore, the company won 45.0% of 600 MHz spectrum sold at an auction.
The solid start to the year puts T-Mobile on track to add between 2.8 million and 3.5 million customers, which is up from previous guidance for additions between 2.4 million and 3.4 million.
T-Mobile expects that its capital expenditures will be between $4.80 billion and $5.10 billion in 2017.