T-Mobile forecasts upbeat annual subscriber growth on higher premium bundle demand
Jan 29 (Reuters) - T-Mobile TMUS.O forecast annual wireless subscriber growth above Wall Street estimates on Wednesday, after holiday-quarter promotions and deals boosted demand for its affordable premium 5G plans with streaming bundles.
The company expects postpaid net customer additions to be between 5.5 million and 6 million in full-year 2025, compared with Wall Street's expectation of 2.7 million, according to FactSet.
T-Mobile's Go5G Next and Go5G Plus have resonated with customers as they bundle high-speed internet with popular services such as Netflix and Apple TV+.
This led to industry-leading postpaid phone net additions of 903,000 in the fourth quarter, beating a FactSet estimate of 858,500 additions.
Black Friday deals and the launch of the AI-powered iPhone series further boosted demand for American wireless carriers, driving increased customer activity in the last three months of 2024.
The company has expanded its customer base by improving coverage and targeting smaller markets and rural areas. T-Mobile is offering fixed wireless access as an alternative internet solution in regions where fiber optic infrastructure is either sparse or unavailable.
T-Mobile's total revenue for the three months to December stood at $21.87 billion, above analysts' estimate of $21.31 billion, according to data compiled by LSEG.
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