T-Mobile Q1 Results Show Profit Rise Amid Subscriber Challenges

BELLEVUE, Wash. — T-Mobile US, Inc. reported strong financial growth in the first quarter of 2025 despite facing increased competition in the U.S. telecom market. The company logged a profit of $2.95 billion, up from $2.37 billion a year earlier, with earnings of $2.58 per share surpassing analyst expectations of $2.47, according to FactSet.

Revenue also rose 7% to $20.89 billion, compared to $19.59 billion from the same quarter last year, exceeding analysts’ expectations of $20.63 billion. However, T-Mobile added 495,000 postpaid phone subscribers during this period, falling short of the anticipated 506,400 but outperforming competitor AT&T, which added 324,000 subscribers. Verizon, on the other hand, reported a loss of 289,000 postpaid connections.

Despite these challenges, T-Mobile has maintained its guidance for adding 5.5 million to 6 million additional postpaid net customers in 2025. The company has also raised its forecast for adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) to a range of $33.2 billion to $33.7 billion, up from its previous projection of $33.1 billion to $33.6 billion.

As competition intensifies, T-Mobile has introduced new prepaid plans offering up to five years of price guarantees and monthly costs starting at $25 per line. Additionally, the company plans to launch a satellite-to-cell service in July, powered by SpaceX‘s Starlink, with a newly announced pricing at $10 per month.

Overall, while T-Mobile’s profits and revenues increased, the subscriber growth figures indicate a challenging landscape as rivals ramp up promotional efforts, impacting the company’s market share. The full impact of these strategies and market developments will be monitored as the year progresses.