T-Mobile US CEO Mike Sievert (pictured) delivered a typically positive overview of the operator’s performance in Q1, highlighting rapid progress integrating Sprint into its core business alongside network improvements across 5G and LTE.
During the company’s Q1 earnings call, Sievert said the company had realised synergies related to its megamerger with Sprint faster than expected, with business again raising its guidance on the sum it expects to save from the process in 2021.
In its Q4 2020 results earlier this year the operator said it expected to double its projected synergy savings in 2021 compared to the $1.3 billion achieved in 2020. Following its Q1 performance this figure has been bumped to between $2.8 billion and $3.1 billion.
Sievert noted the key to “unlocking synergies” was moving former Sprint customers over to its network. As of the end of Q1, the operator had transitioned 20 per cent of users, with half of traffic from Sprint customers now on the T-Mobile network.
Outside of the integration process, the operator used its earnings statement to illustrate confidence about its long-term 5G prospects and customer recruitment against core rivals AT&T and Verizon.
The executive claimed T-Mobile US was poised for “long-term success with sustained 5G leadership”.
He added alongside the continued development of its 5G network work on improving its LTE network had “quietly eliminated the legacy advantages that AT&T and Verizon previously enjoyed.”
“Our LTE coverage and performance are essentially the same as AT&T and Verizon now across the country,” Sievert added. “With that common foundation in mind, our demonstrable lead in 5G really becomes the differentiating factor in overall network performance.”
In terms of financials, T-Mobile US’ net income was down slightly to $933 million in Q1, compared to $951 million in Q1 2020. Revenue was $19.8 billion, up from $11.1 billion in the same quarter last year.
The company noted the relatively flat income was due to higher revenue being offset by increased expenses, including those related to integration of assets formally owned by Sprint.Subscribe to our daily newsletter Back