The Bellevue telecom posted profit of $479 million on revenue of $8.6 billion for its first quarter.
T-Mobile US added 2.2 million customers during its first quarter, a welcome boost as the Bellevue company continues its quest to take on industry leaders Verizon and AT&T.
T-Mobile, known for its bright magenta color and outspoken CEO John Legere, posted a $479 million profit for the quarter, a big increase from the $63 million loss it reported a year ago.
The company’s recent Un-carrier campaign uses a wide variety of promotions to persuade customers to leave their current carriers and join T-Mobile.
It now has more than 65.5 million customers, exceeding analysts’ expectations for the quarter. Wall Street analysts had expected T-Mobile to add 2 million customers.
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T-Mobile also posted a revenue bump to $8.6 billion, a 10.6 percent increase from the same period last year. Analysts were expecting revenue of $8.43 billion.
“I can’t think of a better way to start off 2016 than by capturing all of the industry’s postpaid phone growth — again!” Legere said in a statement. “Our model is working and the business momentum is accelerating across the board. Customers are joining the Un-carrier revolution and that is producing incredible financial results.”
Shares of T-Mobile were up more than 2.5 percent in premarket trading Tuesday, but closed the day down nearly 4.5 percent to $39.33. Analysts generally said they were happy with the quarter, but expected the company’s guidance for future customer additions to be higher.
T-Mobile increased its expectations, saying it expects to add between 3.2 million and 3.6 million postpaid customers this year.