T-Mobile US, Inc. — Q3 2026 Earnings Summary

Financial Performance:

• Service revenues increased 6% year-over-year to $19.4 billion; postpaid service revenues grew 9% year-over-year to $16.3 billion.
• Net income grew 27% year-over-year to $3.5 billion.
• Diluted earnings per share (EPS) increased 34% year-over-year to $3.22.
• Core Adjusted EBITDA rose 11% year-over-year to $9.6 billion.
• Net cash provided by operating activities decreased 2% year-over-year to $7.3 billion.
• Adjusted Free Cash Flow increased 5% year-over-year to $5.1 billion.
• Cash purchases of property and equipment, including capitalized interest, decreased 14% year-over-year to $2.3 billion.
• Postpaid ARPA reached $155.73, up 4% year-over-year.
• Postpaid net account additions were 274 thousand, with total postpaid accounts ending at 35.0 million (up 3% year-over-year).
• Postpaid account churn was 1.09%.

Guidance and Future Outlook:

• Postpaid net account additions for the full year are now expected to be approximately 1.0 million (midpoint of previous guidance).
• Effective tax rate guidance lowered to between 24% and 25%, down from the prior range of 25% to 26%.
• Core Adjusted EBITDA guidance raised to between $37.35 billion and $37.45 billion, increasing the midpoint from the previous $37.1 billion to $37.5 billion range.
• Net cash provided by operating activities guidance increased to between $28.7 billion and $28.8 billion, raising the midpoint from the previous $28.4 billion to $28.8 billion range.
• Capital expenditures guidance remains at approximately $10.0 billion.
• Adjusted Free Cash Flow guidance increased to between $18.7 billion and $18.8 billion, raising the midpoint from the previous $18.4 billion to $18.8 billion range.
• Adjusted Free Cash Flow guidance does not assume any material net cash inflows from securitization.

Business Segments and Product Lines:

• The company reported strong growth in postpaid accounts and ARPA, driven by network differentiation and customer experience.
• T-Mobile maintains leadership in 5G Fixed Wireless Access (FWA) speeds, ranked fastest by Ookla for download and upload speeds in 1H 2026.
• The company operates flagship brands including T-Mobile, Metro by T-Mobile, and Mint Mobile.

Market and Competitive Landscape:

• PCMag awarded T-Mobile Best Mobile Network (Major Carrier), Fastest Mobile Network, Best Mobile Network Coverage, Best Mobile Network Pricing (Major Carrier), and Highest Mobile Network Customer Satisfaction (Major Carrier).
• Opensignal recognized T-Mobile as the 5G Global Winner for 5G Coverage and Time on 5G in large land-area markets.
• P3 awarded T-Mobile Mobile Network Test Champion for the second consecutive quarter in Q3 2026, sweeping all 13 award categories.

Risks and Challenges:

• The company notes it cannot forecast Net income on a forward-looking basis without unreasonable effort due to variability in Special Items, Income tax expense, and Interest expense.
• Forward-looking statements are subject to risks including competition, industry consolidation, cyberattacks, spectrum scarcity, regulatory changes, and geopolitical instability.
• Risks include potential inability to service debt obligations, changes in credit market conditions, and foreign ownership limitations by the FCC.

Management Commentary and Tone:

• Srini Gopalan, CEO, stated that Q3 marked another strong quarter proving the company's winning formula of best network, best value, and best experiences drives durable and profitable growth.
• Management highlighted that the value proposition is resonating with customers, with the network serving as a significant driver of differentiation.
• The CEO expressed confidence in a tremendous growth runway across core wireless, broadband, and smart adjacencies.

Other Key Points:

• Stockholder returns totaled $3.5 billion in Q3 2026, comprising $2.4 billion in common stock repurchases and $1.1 billion in cash dividends.
• The current stockholder return authorization allows for up to $18.2 billion through December 31, 2026.
• Cumulative stockholder returns since the program's inception (Q3 2022 through September 30, 2026) reached $58.1 billion, split between $46.7 billion in stock repurchases and $11.5 billion in cash dividends.
• Base adjustments to postpaid accounts occurred in Q1 and Q2 2026 (decreases of 18,000 and 16,000 respectively) and in Q3 2025 (increases of 1.448 million from UScellular acquisition and 633,000 from Metronet/acquisitions), with no impact on postpaid net account additions.
• Adjusted EBITDA and Core Adjusted EBITDA are non-GAAP measures used to monitor financial performance, excluding lease revenues and special items.
• The company announced an earnings call for Wednesday, October 28, 2026, at 4:30 p.m. (EDT).