T-Mobile US added 8.2 million subscribers in 2016, as it revealed strong growth in net income and revenue for the full year and fourth quarter.
The operator revealed it added 3.3 million postpaid and 2.5 million prepaid subscribers through 2016, hailing the growth as its third consecutive year of dominating the (more lucrative) US postpay sector. In Q4 total net additions stood at 2.1 million, which T-Mobile said took its total user base to 71.5 million by the year-end. It has added more than one million customers in each of the last 15 quarters.
In an earnings statement, the company credited the growth to its so-called ‘un-carrier’ strategy, which covers initiatives including the end of service contracts, ending overages, offering free international data roaming, and unlimited streaming of music and video content.
T-Mobile’s outspoken president and CEO John Legere said the company’s growth curve is “proof that doing right by customers is also good for shareholders”.
“Not only are customers flocking to T-Mobile, but we’re also producing rock-solid financial results” Legere added, referring to year-on-year growth in T-Mobile’s net income and revenue during 2016.
Full year net income grew from $733 million in 2015 to $1.4 billion in 2016, service revenue grew 12 per cent year-on-year to $27.8 billion, and total revenues increased 16 per cent to $37.2 billion
In Q4, the company generated a net income of $390 million, a 31 per cent increase on the same period of 2015. Service revenues grew from $6.5 billion in Q4 2015 to $7.24 billion in the recent period, and total revenue was up 23 per cent year-on-year at $10.2 billion.
“The competition just doesn’t get that customers want to come first,” Legere exclaimed, adding: “The Un-carrier revolution continues in 2017”.