TMUS - Earnings call transcript Q4 2024

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Operator

Good morning. [Operator Instructions] I would now like to turn the conference over to Cathy Yao, Senior Vice President of Investor Relations for T-Mobile US. Please go ahead.

Quan Yao

Good morning. Welcome to T-Mobile's Fourth Quarter and Full Year 2024 Earnings Call.

leadership call Peter Mike well Osvaldik, members the our and our as on of and CEO; our senior me today Sievert, are President other Joining team. CFO; as

make in During this uncertainties may our the encourage SEC actual cause risk statements, We involve to materially. to risks filings. that differ forward-looking results you call, and which factors will we review set forth

and as website. non-GAAP our documents release, discussed related and to reconciliations investor between as results, Investor earnings call GAAP Our this other well results on on can back our found book be Relations

With it me that, let now over to turn Mike.

G. Sievert

XXXX Good Cathy. T-Mobile. York Thanks, are ready coming senior you morning, Okay. fantastic team today, and books I for everybody. My the to New from close to a on

first worked start, to that Californians to everyone wildfires. I'd are with devastating to who by want connected. And I we members thoughts tirelessly like affected team our the California keep our express thank Before

well Starlink via the basis, restored even in to cellular self-optimizing Our of from customers network to we days, during texts hundreds network on receive of an emergence and capabilities within areas. thousands to held send T-Mobile to activated a technologies. alerts addition, advanced And allowing thanks few satellite very emergency emergency up affected XX% satellite

what we our can help. we do and to on people continue the remain we'll ground, As to speak, support engaging in community

Okay.

decided let's the all of additions. to start about. delivered and eager highest-ever join XXXX, Let's shift the hear you're opportunity a have to the those ever we customers the postpaid than In aperture growth. We widen little to know results, fantastic a gross before, more I year, year, to XXXX with Once our Un-carrier. the phone which bit, at end

We also phone postpaid best-ever churn. saw our

of year million In phone than straight X XXXX marked our postpaid net third additions. more fact,

greatest I our might growth whether be sometimes years Now in asked our get past.

ever growth across net was year-over-year markets finished growing we phone rural share. the multiple the history, once with in clear. households strong. postpaid XXX,XXX, smaller leading our So areas, storied we and industry metrics In top while industry share switching our year postpaid be greatest I of in want additions both the in our across growth QX, and XXXX In XXX to led again

and same to deepen customers postpaid continued new self-select the we meet ARPA At rate be. are customers want In our relationship at taking where to plans X see the premium with us of XX% time, they up grew and over card. over our our we selecting we the Many the continued to highest QX, opportunity rate them years. to our in

delivering our a T digital is know, it. engagement We to centers also of XX year, of digital are the great consumer we but example you it experiences, this the just we And incredible said results some and from area. trajectory loving numbers. already business. in than in Life. And into see our we'd tapping XX one doing more As on and end with million million Customers are industry-leading we're growth We're by in mobile. seeing efforts saw customer growth transform downloads part our platform, big flagship

every quarter and ever positive quarter additions group. T-Mobile quarter we trends business consecutive in part our phone best-ever net saw the tenth and our our QX, phone our in delivered of driving lowest In postpaid additions, best-ever net port churn, across total

more public the York. complex New York there's with share this a to with than example I'm services higher no momentum, city us safety needs the contract, which standards for New City city's includes excited that in Look, network. An of country of significant the awarded or

to our I at first Capital that unveiled to Markets T deliver ability Day. capabilities, groundbreaking our Given you service including our differentiated network priority

keep their to of City the wonder no It's team York T-Mobile connected. network New the chose

again third network, all lot. categories. continue our X country by In Ookla, to parties network across overall winner a once the outperformed the named how experience our And in affirm of OpenSignal Speaking recognized January, us network leadership. others

not extend the would long we T-Mobile's doing. but defend, that leadership you that what would for network further just XG we haul, exactly is promised I we're and

broadband Let's growth on turning to our some This time, hit more. XG offering.

We a highest-ever we captured XXX,XXX with And additions. once QX, share industry our row, the led for quarter broadband XXth net growth in year. in industry of again this net the in

to plans. price up us while self-select most to also customers to our compete more rate for certain feature-packed opportunities to pricing updated We construct, simultaneously allowing creating the the card

it broadband highest ARPU in year-over-year did QX, winning a is delivered great fact, formula. customer superior value. we growth. simultaneously That And we while In our with hearts

Our consistent. it's story and is simple

us have sustainable run. of best long-term of unique to network, and best continue we advantages, have to and best allowing combination lots to experience the structural offer We room value

growth's chasing Let for clear, growth me be are sake. we not

revenue growth service In peers. postpaid we're over In rate growth to in than that thoughtful, financial double fact, a focused our and on translated of QX, delivering more industry-leading smart and X%, grew XXXX. that profitable

flow X% by of revenues We quarter And year, billion, saw XX%. wide generating in service highest-ever for XX% a EBITDA and of our continuing margin. share, paired $XX with from of to our the free full diluted cash for full conversion industry-leading per our core we the lead growth delivered earnings year, cash the adjusted flow highest-ever the industry

XXXX. we a well This to generation program in stellar cash strong $XX.X return The through up QX we year since allowed exiting just just total 'XX. shareholders with us sets our has to in launched along cumulative the momentum billion our year-end extremely delivered, for returns outsized us

our but should network setting we're is growth we ago. addition, transformation our fact, 'XX for investments an be that expectation for And expectations prior 'XX clear going a year starting additions. postpaid investments. our for to and increasing 'XX important with the share guide the growth net XXXX it's while guide and shared versus that In detailed of minute, exciting with in outperform in XXXX will also table few a what expected highest-ever year months service revenue just we're beginning Peter

Also, as us I our the will we here do say COO. the that be Gopalan next am table this, new pleased with to time at Srini

seen have our this Monday appointment starting about may March his X. You on news

get deeper return exciting arguably having is operating left-to-right Challenger our And longer-term focus in history, to to so chapter decided of therefore, we and the more the our time time have into Champion COO now opportunities my at most strategy. a As a I to can our on plan, I T-Mobile, partner. even

right I guy, can't one this all well to the reasons the table. wait is he here for to of is at Srini rock impact. see stars known that is and the his

up actually incredible powerful these results. sets who full a is our who ambition. team wrap by those Let deliver out in to things pride over produced on And hard This me even we ambitions. is expressing often, of and team do

running results future XXXX themselves. have momentum and for But us the beyond. this eyed should we to but speak and 'XX 'XX, what strategy strongly allow the clear for 'XX year, Our I'm deliver better us not the even for that excited more about into position is only

excited the This provide is right, long you team I over and All laser-focused value term been for and to never execution have term, creation, Peter, to on guidance. what's more ahead. about short on an update our the and consistent both

Peter Osvaldik

Mike. lot, a Thanks right. All

that industry-leading results on we Mike carrying already is and in mentioned, through XXXX, As delivered momentum XXXX.

with So starting customers.

guide. million, customer of million and year additions our highest X.X total of deliver postpaid We net beginning ever the expect X to between

of We postpaid beginning to expect additions of be approximately half representing the also outlook. that our net toll phone year highest-ever

Markets for full we've X% strength underpins Day. revenue the growth our service indicated in The Capital service now year deliver seen revenue the our we from approximately in growth X% expectation our to during up

of relationships growth find is deepening rate to and year our continue to full that of opportunities structure. X% optimize part revenue As customer our expectation as postpaid for for service growth around plan of the see continued we ARPA

told be set billion adjusted billion year, highest between XXXX what We will multiyear to across of the in on momentum digital deliver and midpoint. full leverage our customer the the only $XX.X September, $XX.X total capabilities, both network at beginning expectation investments continuing line our we and guide. additions fund top also against our postpaid up up not bolster strength net with In line core our and to X% but to EBITDA year, to ever intentionally the expect we for in you

Turning cash CapEx. to

at extend our but We expect $X.X as outlined you billion for maintain Day, we leadership. approximately Markets Capital fueling only to our be cash network CapEx not to investments the

resulting we flow, by expect free now including conversion. of in billion service expansion Finally, cash capital flow to industry-leading $XX range the revenue in and cash adjusted payments to merger-related $XX.X efficiency, both margin costs for free driven billion

to continue and to $XXX pending interest mid-XXXX and contemplates adjusted of close. to target be announced want that policy approximately on expectation early clear of includes M&A. our this add remain we'll between on transactions the on X.Xx EBITDA. and of a prudent this, based after track payments income more To cash our growing outstanding additional We cash as to million provide for core And none they and tax $X.X billion our we XXXX information some impact close payments approximately I current tax on color of increased leverage maintain an this

And now Cathy industry-leading to the XXXX our I begin execution, runway growth highlight back, turn we the that excited so ahead. deliver year again. delivering And looking was to have strong years consistent to Cathy? profitable in growth So for are back the to milestone our we that, will Q&A. further continued another long call once the with

Quan Yao

to phone. get question, question let's will the [Operator start please. We with your Operator, Okay, a first on questions. Instructions]

Operator

comes The John UBS. first question today Hodulik with from

John Hodulik

us up in think the guide, of of type I'd bit, postpaid we're sort teased of maybe parts sequentially, of faster better -- X% on terms you is And 'XX? on seeing the color you first this the about on service on talk But the the side? or say changes more sort going on in that less there. guidance, of your adds assuming Can goes guidance potentially Maybe slowdown to -- in dynamic then which growth against put driven the out confidence as sub surprised piece postpaid wholesale against numbers? into Because what's that wholesale I a And these sort we And the churn of growth by slowing gross narrative or the the it you subscribers. obviously revenue look but growth. on of little are quarter. it out a a Peter, sort Mike, service little

G. Sievert

Peter revenue compared ago few start see I'll who saw Well, to to start what the subscribers and postpaid the months maybe with on then jump guide, especially wants a we I'll in. and let else

Peter Osvaldik

Perfect. Thanks, John.

wholesale. question your yes, So around

see as they as build the what's X. tapering planned of Day both of those us. offload has to for would with, their is at XXXX thereafter. and foreshadowed long for as Because track wholesale network wholesale what's network would that happened and growth those us there's in base be happening come X going off things DISH in remember, foreshadowed Capital ultimately wholesale point particularly anticipated, own So well that Markets what we And and as been our X and underlying plan off, we for with to revenue low we growth the phone the

So exit XXXX. to very being I'd see rate probably similar we'll throughout expect the what

growth that growth ARPA it And in so about those the customers postpaid growth. opportunities there. in growth single sector that same deepening making, as talked expect just business to well that have. And 'XX over well successful you're as every point of that's on is look X% really we postpaid very 'XX relationship ARPA across the customers and drives function of Mike that fueled to all that phone just total customers by as We both as delivered of a a

G. Sievert

picking is just remarks, you slowing. which component, that's area is an the as look ARPA growth decline our Look, third wholesale you asked subscribers outlook, up there's guide across and on So subscriber about. not the share doing prior a a felt gaining would expectations. talked the markets, XXX in lot prepared just I in other top anything my we people of outperforming place defend. about where than we're that

ever of that quarters services We priority like rapidly network offer more slicing including areas, of positive having ways. and -- all fueled than to gaining to allow gains country. things, XG kinds our in area that share demonstrate rural an represents groundbreaking XX% rapidly and the us highly by other gaining unlock CLV capabilities markets tea in market that related and are experiencing smaller Business, they share advanced starting in T-Mobile for are best We're share now

board, right so this when And network, -- and the just there's experiences, best best across best it look we doesn't now. a have of weak formula value, spot

And the so it that at we said, tune time enter as year. we looked and guidance up it's to

Operator

Stanley. The comes Swinburne with next Morgan Ben from question

Benjamin Swinburne

touched between just and of of of on ARPU ask kind a account growth. you more bit it, kind but mix You sort growth I to wanted the about

fewer think the more this fixed in and sort You adds growth, wireless stand-alone, of deck the net base, is into more driving morning growth. called of customer a out evolving how of at which ARPU selling a your function wireless? maybe and the I in sort or of strong sales just that kind marketing such Is bundled point of this sort strategy fixed markets

And about check tell a T-Mobile, ads Capital Why and advertising is hope sort digital us interesting? I talked huge it's business then interesting know Day. it not I ambitions about space? in this And I'm just does wondering of acquisition of -- Markets one. out-of-home kind an but the if your key you Vistar was back at the your for What

G. Sievert

Great.

turn growth. to ARPU the with start Let's Peter. I'll

Peter Osvaldik

bit postpaid we high-speed Internet-only year. growth QX question of an relative continued then other little account accounts like are ebbs of quarter, sell devices existing the a question or growth, to in that it? mean, as we And Internet quarter-to-quarter. phone and those I I those relative think and to happened high-speed of last into around strong very that And we customers flows your taking account into Internet T-Mobile yes, can this of see entry what specific QX. high-speed saw and Yes. to terms connected changes mix Every in And are

just to demand come In it. from that high-speed still customers QX, product of lots had existing broadband we customers saw drives but strong our for in, new T-Mobile

at change what highest-ever drive growth. will ARPU same fixed the we quarter-to-quarter. time, Remember, the broadband that was so did And year-over-year

a And underpins so a of a all by rate all guide constructs. vectors. ARPUs have in our see what's from see sales. that's seen other we and to see in we've it's continuing the result up we it's growth momentum XXXX. continue well. plan as across as driven phone as and broadband. plan introduction the self-select And consumers about fabulous great growth that overarchingly confidence the postpaid talked that, bit great those significantly us what both across there. of momentum ARPA been our done And We rate We products And perspective to little given in high-speed of really to on

G. Sievert

you is a I Yes, Everything account things with forecasted we to and that's outlined. couple have and as of add. growth happened high-speed for Internet

prior this into in level settling had we HSI on So were when slightly higher earlier about smaller. talked pattern the year of growth a pattern we a versus at much

last year, a growth disclosures others. something And the see feeding from in of selling kind on account just in And the last so you're seeing reported highest the industry. the of trend we're in XXXs in XXXs growth. now though, per account the the quarters this that has growth base underscore, by want to this small is on into that a And decline the couple account is significantly. far I of you and year-over-year quarter, effect their versus overall that pretty about

the of That's much leader by reported and far, important switching share. really account port-ins, mobile overall in we're in So that's trend. growth, because share share-taking we're higher a

Peter clear to tailwinds sort relates opportunity it I other address be base. an the year. there's we didn't to to began last -- about, in As this of year I we talked ARPA, might legacy do addition And on rate want opportunity that complete that a the have across it plans we out and we program mean, ongoing that at more prices to do And the We lowest proposition this. rate given we focus Look, a that honors of means that brand. context that the in majors brand will be that there really in that outdated very will in best this that space, legacy and way can value, that our do are plans value and still are we scale. this And address there that industry. the anything

And year. very so and went we this this program it It last year. began continue successfully, we'll

outdated those as us tailwind so another we potential And for that's address plans.

You this to Katz really I'll start This exciting. asked up. is about Mike Maybe ask Vistar.

Michael Katz

ma'am, excited about Yes. this really we Thanks. Yes, acquisition. are

that impressive is out leadership incredible join platform. excited has and have technology First And T-Mobile and really to an a team it because a and industry-leading we're foremost, built company. great have

itself. opportunity excited the about about company excited is industry. to So But the transform we're really an what

it's can understand ads, that hasn't lot Vistar they change to has who's really has If into an lot really industry can there customer a about this a transform had that a T-Mobile difficult before. understand advertising has advertisers these the advertising, technology outdoor this intelligence one seen And customer the be forever. of advertisers in you the impact tell And that and difficult industry, this exciting it's of very country, out-of-home for ads. for can think and them platform to think going to industry advertisers. if bring the advertising outdoor been to of I and things think about exciting really I other the think features built, think is And afterwards. the is you you, do new in it's And what platform and maybe measurability T-Mobile with -- us about seen and we how combined take we hasn't if bring like that because the biggest

I guys. started with So get more these to not be excited this could

G. Sievert

It's because shared we transform is to have of at like place-based And make things, we a think big a it about billion for we will just your based it's is it's vinyl industry, into industry, close nondigital. them. and that what to depots, the of one digital of lives be want put media the opt-in to their we a the how from screen media on And big lives time our look, they able ever. media share bus, we rapidly take can we marketers with the grow even it what it to advertising give more can ambition think transform hope or retail piece digital in to first And but can outdoor shown and on saw to media capability there addressable is networks, here dream the a it their big our a make customers to and opportunity brand we place-based Markets the explicit relevant digital like overstate $XX think the even been insights Capital flashing change And has for you We permission it, don't who that I this piece big quarters out TAM. did. Day. all best. And present. we and performed, can do who's about

So it's larger it's a -- marketers transformational by leading great it's this opportunity. think focus a of advertising and is on support becoming a part service. We for marketers,

Operator

from question next Jim comes Goldman The Sachs. Schneider with

James Schneider

your set you of into to this going the And overall year this the forward, aperture broadband segment perspective. different to from net add price especially about of ability include market product take tiers a As your sort with environment kind open Internet, the you either year fiber relative or wireless business to of cable to your high-speed competitors. and also price we're potentially are across broadband high-speed fiber on thinking and how

you're of secondly, capital be bit little to first XXXX? the opportunistic that keep are the have year? half, you the the or close you needs to execute ratable in you potentially in the acquisitions maybe of of more pace buybacks are of thinking you about then light front, sort a going going mentioned some the In on potential cash throughout And how to allocation

G. Sievert

to second come let's growth. back start question fiber we'll the Peter, with Well, then and Great.

Peter Osvaldik

Absolutely.

right. you're yes, So

as all partnerships. as we exciting acquisitions is have We that from have -- the XXXX JV well announced

So U.S. Cellular, Metro NetLemos.

the up did contemplated with in in $XX those that communicated billion were the XXXX. to terms the of of up came and authorization as Board All we

there. So contemplated all of within that is

be In saw expect and I'd the think in things during approach anticipate buyback we I'd 'XX and the and we year ratable terms adjusted about 'XX, it after of share course how some we shareholder probably XXXX. approach more from -- it things as a pacing, of the some learn to returns. marketplace perspective

G. Sievert

been to sign that first that of taking rate is Like doing, words, big of that broadband because less it is which algorithm. picture. rate of your are much of say the what price XG would we that of input As construct from the up all, of And vast question, the majority than people for our broadband sure the to just share is making that growth growth an part to goes something to the have interesting Like, second I we've it's competitive. of switching a T-Mobile else. us very other in relates the not market

in interesting some price made biggest compete for I my prepared allowed we've while But One the is seen. to in of ARPA things that some of we we changes gains most remarks customers. did what's the the QX said discerning that in actually broadband us ever that realizing is

also so card. created that that we've trade they construct done there's them even shows what is our the value addresses And up a if but value shopper, rate more

And the And ARPU, really that's within as going just time unfolds. associated opportunities not well. far, we service, services but with so to to broadband continue more core have deepen

we're so the trends this business. optimistic very And revenue on about

Operator

comes Next Supino with from Wolfe Research. question Peter

Peter Supino

fixed the at philosophy. you opportunity and years, philosophy to question look next opportunities, your to couple what's bring of you're to on as over you cells wondered price see how new for to thinking as continue bid A then and high strategy demand. come wholesale opportunities I you wondered, where the the MVNO if highly wireless wholesale about about wireless, become in in bids have And utilized that opportunities I could talk you your consumer fixed those up. more

G. Sievert

Okay.

and we after are alternative And with with our positioned out brand to better what partners in liability, wholesale. straightforward able We go look a that of after opportunity cost-effective go have partners of brands. there are that better there on a go but to existing way Brands an pockets certain that's for amount we It's in after audiences First pretty a look can are generally a them than audiences way. algorithm. for.

return stream algorithm at When the the is to acquiring out of want our we -- it for be level, a of customers per the at cost you wholesale network. to network, to a level. and customers pricing, take get attractive capacity unit at the get we great you not relates down caring just essentially it look and margin on on a the retail As

used. And we so that's generally the algorithm that

to we remind fix, becoming business As to that in towers that me relates let of situation congested on which what model certain try wireless. avoid just is capacity it to the due do talked our to fixed you sectors certain about, is

Because of usage we a with be the of have applicant well approve gains. home the look that, we that what mobile on in expi as remember, likely to then to do amount taking come And says to not first normal the an sector capacity right sector that the to available XXX when for across as now approving just place will mobile applicants continue amount broadband. normal if capacity, for in down share algorithm excess we level, years for but fixed meters algorithm capacity at our is study and available the

And this with by a more than are, leading the the broadband provider in industry we of row, that algorithm, combined. in growth XX quarters industry rest with home the growth far, for

see wireless. it so well. or fixed sectors correctly, working it's really when we due saturated become towers And And works to don't

Operator

Barden question comes of next The America. with from David Bank

David Barden

had we kind of got Live ad to can't to was Satelite the incredible. that before believe mention me it I

thought I that So win. was a

strongest a the deal. just the basis that's positive, amazing cash for Lumos, Thank kind of flow retail can at year very to that right, I free of updated guidance, in the on there's the Obviously, get made think a an ever fiber guide. maybe And up exposure market prepaid to that then, growth So we aggregate it? get Mike, about you subscriber that your I the exposure of and terms sum And you That investments Can through these in picture. there's piece and the the question. still be Vistar, Peter, obviously, projects your even is with do happening, to to could, revenue but be the -- market, the this is need questions about all but year. EBITDA what it beginning T-Mobile's in Metronet, the immigration question kind would guess, we say, of to holistic U.S. or a it's X do lot Peter. to the more Cellular is rate how wholesale lot a strong, it information, either does of helpful. the base, run obviously, comfortable what so the and if of for going

G. Sievert

go start Peter to We'll second Okay. on John I'm warning, and one. going fair to the to

So Peter?

Peter Osvaldik

Yes absolutely.

when are going guide. again, and each Everything And associated guide we is the aggregate course, me I for other is purposes You're number incremental from -- that premature the we a a what does look and, think to the than right. close X And these capital like. interest One gave, leverage into it's little the a for what of and of the authorization X. reasons incorporated of perspective. for every cash to of to give being else returns you

I when ahead one But color. of companies, give for are for me can the appropriate thing, companies and example, as the Cellular, color private Some with I be connect at, it close that first it you tell public both quickly companies, make synergies. don't X a generate as and from integration We're for how better -- with really in quickly a to very the Sprint things, mind how is some and to would lot U.S. customer from possible of we'll even these which give one as to we looking with on we successful learned are think this close. customers,

the I'll that does time we color the at all those better a excited cost how of get and I'm cetera. the you of bit your and that's at at did in sales, close structure quickly customer you give exciting who's also assessing as for did perspective, The at looking question focus it of U.S. best us. more I Remember, lever perspective. the why a and appropriately these say behind some very we're best and we on servicing, accretive, we all marketing, from And probably can the on is closer them great, to very the and all achieve laying think reasons. co so JVs can one, element it But flows. means free JVs the for and certainly JV investments of that which and give is So when what and taking the to of to, is little that go all ability we cash the to infrastructure it. we're on. this? a it they're leverage We're will is close mean really build run, really around closed, as JV color. fiber I and getting we're great and of from about capacity these what there that to And reason to What part value in just up et that do some have accretive long

So there isn't us. a CapEx burden on

us. efficient, from to So for it be will perspective P&L the very JVs effective a with respect really very

G. Sievert

accretive opportunities achieve consideration EBITDA reasons and as to after And extra these normative should the I these drive of the and before we've some you well. cash top should the line, outlook are giving that all flows cost of sort discipline of why of provided of drive the modest think, our should drive

So the front. acquisition a on developing positive really story

Okay.

do Maybe business the we in the we Let's expect as see prepaid on what there. going immigration it and what's the to and question. relates talk dynamics about prepaid that

Jon Freier

Metro this at When very, Dave, doing business business. prepaid flagship the look we're very is bet. by with led our you brand well. overall business the with overall incredibly prepaid brands, of by contribution industry-leading prepaid pleased our T-Mobile, of You

XXXX results over for XXXX. in our full lowest adds, XXX,XXX year in can prepaid the company's As see overall churn a net ever you

inflow highest immigration of impact pleased the of And can very, and necessarily very see But peak legal business outsized So in around we're with overall revolving immigration. into transactional business. when subscriptions you business. when you terms is for continues it's Relative legal at I we monthly grow. business, whether terms Business the look that's stability very business. -- really to tell happening our the what's to really country, because really the at immigration, that prepaid that our you XXXX, incrementally prepaid we into this our say the look in prepaid the immigration, an peak premium case flows of not didn't around the prepaid early primarily in believe us to

but We within is have concentrated most of some that, companies entire throughout of category. the that prepaid other

our that's feel we very, base, to relative very stable. So

didn't We inflows XXXX. and XXXX huge in see

perspective be might very business broader think our the out, whatever around a insulated overall whole. and from playing we're as So business that prepaid we

G. Sievert

say, prepaid a about point XX%, that's immigration talk to correlated our I know news. we an done that about of nature business mean I good it doesn't portfolio has about and to don't off, prepaid and of like seem just brands. talk job. extraordinary That's and we want we're to growing be of this don't good consistently. the I team because the much reliably,

best portfolio executing brands by of they're XG quarter was, far, extraordinary And our incredible value. and just the our -- you love the best an at customers have network and getting teams product. market-leading this about and we This leader think the growth we

you expect delivers. execution growth so, of the leader, -- this would ongoing you wouldn't consistent the And that necessarily team as kind expect and

talk about. So don't about We it thanks asking very often. for

Operator

next from Craig with Moffett MoffettNathanson. comes The question

Craig Moffett

the wireless with what attach wireless. has for talk the competitors? talked rate XX% rate its if of disclosure AT&T a kind showing your the I dynamics footprints for that very lot Lumos enough? is latest Or a you much something whether a and MetroNet converged you think attach and So just of high are wonder And attach view whether talks how least about converged see actually presenting fiber about you influences you need do footprint you that of of in bigger? need about, bit could about in footprint as AT&T at Verizon your rates

G. Sievert

option offers describing, they've places you're is for have their experienced that much to time, wireline more this and mean not wireline it I purchase the on operating also of we Craig. and we X outperformance that areas. already Sure, more for you where attach And option we where and and which that attached time, out experience the those years. is from outlined our in XX% same that wireless we the what there, in world, believe had than a are than converged they since see Americans the changed last provider have has competitors the in

also better We churn. experienced

considered same suggested that be well, it find customer to great. for what like, some And your is core so and like in broadband get either What the causality that them sure. best to and for terms country make we is we the wireless purchase quarters in goes make that's this same But find the those of that and in if in growth. And decision customers numbers. seem them. there's again, wireline doesn't selection it they're for in from we're will your this you ask would bias company, a the And the broadband by been a far XX come they'll beyond motivator have from by best also -- customers, of leader when the And you decision the a survey, wireless category. That company, sale themselves.

more, And that where they when bundle see Verizon to fiber, you the can well, pay Verizon that or where business example, a They there's also And the to the itself own not from lots less. ways But mobile. the bundle. have says products business, customers of When churn service they have of and a has multiple in plan the competitors' over a X years construct rate family see less. I'm trying where discount where, rate churn and also lower a plan the they for wireless effect. In that have in churn have of you phone bundle We bundle. business our they where have lower that's all wireless our off our effect fiber. churn a to we phone numbers plan us, constructs bundle, have

hold. same the you this from and the service their churn getting at the don't there's years And time. of effect ways had same bundling wireless the I of have purchase for So them can dynamic choice as see said, Americans most take multiple their wireline and

Operator

from The Michael next with question Rollins Citi. comes

Michael Rollins

is a segment? the with share next back other you're you'd months? Mike, SWA strategic on does comments, that XX answer segment give just experiencing what from to an given success coming the then introductory can topic your like the T-Mobile some And incremental this second, teaser over the of from And some us you SWA, of you questions of business or on SMB much future see of us how the opportunity that today? can the provide in

G. Sievert

one is second it's may because we vital though far even show do Cali great ahead. tailwinds a and that there so some and really start a we'll the Well, mostly Yes. consumer on with question here, growth some see it's that dynamic,

Callie Field

sector, value secure, in focus fixed partners they for connectivity multi-unit public literally they're that proud solutions for insurance Thanks, this and and wireless more with them. primary Yes. allow just to to as lot and and of CIOs on team speak let We buildings second as that business reliable hundreds pause we've speak them of -- more in a across the opportunities the in who connection. country the quarter. see retail They and what the CIOs innovation in from of so serving modern of had delivered really small pharmacies operations me thousands I've And my thousands is more where a CTOs in and agencies results with the that looking we're say, Mike. the opportunity we have Mike, connectivity that where brings. to enterprise we're I'm for And CTOs hearing of

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G. Sievert

Terrific.

about about and So comments Mike, that my on. spend were to time want more you so It's... on me strategy I asking

Michael Rollins

Yes.

G. Sievert

Yes.

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Operator

comes question next from The Street. with Jonathan Chaplin New

Jonathan Chaplin

detail. opportunities tap into of a X wondering could if little in I'm those more Mike, bit Horizon X we

love more from for impressed spectrum availability Day, last I XXX what in you monetize for to of realize I about the of Should quick faced a or you for Capital be then And if the sense access? that was if wondering out year direct-to-device basic the you didn't value on focus again future evolves? you're hear demand the about the at we I'm fits does construct. that an that this sort AI on AI how that at given market. moment, get to impact First, to fixed for think the And the that sort seeing Markets into the opportunity one. for rides I'd that of California. thinking across price and network the service entire been is then rolled Starlink there the how they've And same industry?

G. Sievert

it And more in is to X, you couple questions a Great. do get there? Okay. only want

Jonathan Chaplin

I've got more.

G. Sievert

It's great you. hear to from

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AI for it. asked You in are using How the we network?

Unknown Executive

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work, So come. of and great more to question lots

G. Sievert

exciting. This really is

Jonathan Chaplin

Are you traffic? acceleration seeing an in

G. Sievert

want to I that, I Jonathan. sure get make to

customer-driven how about at or in about it's This because terms coverage. capital I apply over it mind advanced And before the Markets talked the in place doing do, we're It's really our model, using I just self-optimizing the all how techniques. of AI to breakthrough prepared my and about called self-heal want Capital remarkable capital outcomes terms gets dollars of differentiated. allocated can that we see in now remarks, where a how we -- give technologies. and it to So is I talk all network in business with AI Day opportunity talked stuff you what with is

And reason, real that are that all and of in resulting that differentiators are in unconnected. other sectors from goes a that can due beam And an awards. these wildfire, if -- sector's network much see powerful. whatever for we winning area sure from to very that make to the borrow to are so go get nobody tilt away down further don't additional It's which we to we why reasons it's talk some keep stuff that about capacity

that As anyone Ookla that we is don't it capacity by a superior massively need to spectrum. going speeds. of already are able And or out lot, the states, the provider. way, available per why XX And reasons this other to we more a we I for AI to to differentiation capacity, are to network way have mean, that we like it We than of fastest else. a the can mean nationwide. proxy that speeds you what right? in that translates AI, translates I X So that what to that more XX different to a to? demands would have. see we're I be capacity we is customer I are put which won the ongoing showcase going additional showcase on our relates see be have. a reason It's the more . In reason capacity words, being going

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Operator

from comes with Barclays. Kannan question next The Venkateshwar

Kannan Venkateshwar

opportunity other the project if rural may you and with capacity in your pace. more any Is And that partnership or [indiscernible] efficient there as given direct income with it spectrum opportunity here device are elements to then during wireless broadly, maybe may or be think potentially areas, is bundling potentially. the we more it a by they're more the there have launching wanted Obviously, EBITDA. especially so way to impacted about pretty reported other headwind have this an the with expand just your I to bundling to also this market, offering in on, a numbers been understand use for opportunity strong. bigger was satellites a on a -- service? scales But but fixed storms

G. Sievert

we're so Great. to let of And can we're microphones the up, it to the kind I know relates most that. just of But look, had combined. some partnered really to to launches them. only happy get They're organization. the They you -- world year more of with as your breaking world's than be able rest last advanced SpaceX, space

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Peter. questions, the relates core it cetera, I'll to turn et storms, insurance, EBITDA As to

Peter Osvaldik

puts very, very to the obviously, QX course, excited of result EBITDA some I about we're Yes. core and has and quarter mean takes. every Yes. QX, question, your

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G. Sievert

tight know in are what but time, coming I seeing we're we from Janice, Okay. social? on

Janice Kapner

a particularly going the And wins Yes, from how we any into questions first I'm biggest Bito are is One network consolidate about service revenue X to enterprises translated interested it all so the for using for to take is priority relevant scenarios where SA Chetan so question up network opportunity as Calithera. not can't how in slicing far. is has the XG mover are together. demand to that that with do I for ties shaping -- the want slicing, see

G. Sievert

I what did see there. you

Callie. over it's to So

Callie Field

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where using And your today. we're to so that's slicing predominantly question Bill,

and types our make of of opportunities. to for see our question. more network and using our way funnels as lot and connectivity in a fill secure talked But We've thanks to the have We a slicing for we're exciting network, all there. starting Secure Tsim demands our about applications

G. Sievert

we would to all before And stuff and time to about this waited I just around a long Bill Chad, develop it. model wanted business because that talk Yes. we a add real starting see

in racing on where brought everybody powering And event kind operating had were where and moment T the eyes million wait. going we opening. people's business what's of and that were a built we're no, have the network for their is we're Some then people slicing services now. XG people revenue is also of ever years many that we in priority their better is described about And network but race, I nearby capabilities that Olfen not there biggest people yet we've talking where XG funnel interest the share-taking had only the arriving been. it X we the mean, have are very because at direct the we provide, advanced commercial are our an dedicated it opportunity. space slice. the or a pivot seen, we're at capability that team saw and are that these New and York, differentiated it their commercial plans. said, And mean opportunity ago that Other come of cases, And right dynamic it. all certainly the smartphones where T-Mobile could seen. operations a CIOs scale. the pipeline of we all for is is advanced demonstrating FX out smartphones XG there I here operations of deliberate creating that it's just they own It's into and interesting over. the like use it expression TFB ever differentiated, than are leaders, to But XX we're has capabilities of Callie

us X there's to for so ways all this. And based grow on

So is that it, Cathy? .

Quan Yao

time That's We it. speaking forward to is to you look we have. soon. for again you the us all joining Thank today. That

or questions, Relations If departments. the you media Investor have you any contact may further

G. Sievert

you. See everybody. questions, your and interest your for Thanks

T-Mobile US (TMUS) 29 Jan 252024 Q4 Earnings call transcript