T-Mobile US Surprisingly Gains Many New Mobile Customers in First Quarter. The number of new customers increased by 532,000, significantly exceeding analysts' expectations. This led to share price losses for T-Mobile US stock on NASDAQ, while shares of the parent company in Frankfurt saw slight gains.
With this new customer gain, T-Mobile continues to distance itself from the competition. In comparison, AT&T was able to conclude approximately 349,000 new mobile contracts in the first quarter, while Verizon recorded a decline of 68,000 connections during the same period.
The total number of customer connections reached a record value of 120.9 million. The planned acquisition of the fiber-optic provider Lumos is expected to promote further customer growth, with CEO Mike Sievert intending to invest around 950 million dollars for half of the shares.
For the current quarter, T-Mobile plans "price promotions," which usually mean price increases. However, this could lead to slight headwinds in contract customer development. Nevertheless, the company remains confident and has slightly adjusted its targets for 2024, with a planned increase in new contract customers and operating profit.
The German Telekom, which holds about half of the shares in T-Mobile US, is also expected to adjust its targets. The first quarter was mixed for T-Mobile US, with stagnant total revenue but an increase in adjusted EBITDA. Telekom is currently valued at around 90 billion Euros, with T-Mobile US accounting for about 80 percent of the market value.
