T-Mobile USA announces lackluster Q3 earnings

Today, T-Mobile USA announced earnings from its third quarter of 2010. How did the company do? Well, to be honest, the stat sheet looks pretty beige. The company is reporting service revenues of $4.71 billion which is flat to Q2 2010 and down 0.5% year-over-year. T-Mo reports 7.2 million of its 33.8 million total customers (~ 21%) are using smartphones — only 2.8 million were using smartphones as of Q3 2009. Magenta saw wireless additions totaling 137,000 and had a lower than expected OIBDA (Operating Income Before Depreciation And Amortization) of $1.32 billion (largely due to investments in its HSPA+ network). Churn was 2.4% and 7.2% for contract and non-contract customers respectively; ARPU (average revenue per user) was $47.

“I am very pleased with the development of blended data ARPU. Along with the growing number of smartphones, this demonstrates the potential of mobile broadband data growth in the US market and for T-Mobile USA in particular,” said René Obermann, Chief Executive Officer of Deutsche Telekom.

Hit the read link to read the full report.

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