MetroPCS outgunned rival Leap Wireless in the increasingly fierce US prepaid market in the first quarter, according to the pair’s latest quarterly results. While MetroPCS saw robust subscriber growth, Leap posted a decline in net customer additions due to increasing competition, reports Reuters. “MetroPCS is growing little bit faster than Leap but I think both companies are taking market share from post-paid carriers such as AT&T and Verizon,” said Auriga analyst Chandan Sarkar. “It’s fair to say MetroPCS gained the most prepaid market share in the quarter,” added Wells Fargo Securities analyst Jennifer Fritzsche. On a conference call with analysts, Leap said it expects churn to remain high for the next few quarters until unemployment improves and its service enhancement plans in the competitive prepaid market begin to take further effect. Churn at Leap rose to 4.5 percent from 3.3 percent.

Net income at MetroPCS fell to US$22.7 million, or 6 cents a share, from US$44 million, or 12 cents a share, a year earlier, while revenue rose 22 percent to US$970.5 million. Analysts had expected earnings of 6 cents a share, excluding exceptional items, on revenue of US$942 million, according to Thomson Reuters. Meanwhile, Leap posted a first-quarter net loss US $65.4 million, or 90 cents a share, compared with US$47.4 million, or 74 cents a share, a year earlier. Revenue rose 11.4 percent to US$654 million. Analysts had expected a loss of 66 cents a share on revenue of US$655 million. Shares in MetroPCS were up 13 percent on the NYSE in trading yesterday, while Leap was down 5.3 percent.