T-Mobile US (TMUS) · Telecom
T-Mobile US Q2 2026 earnings: summary, key numbers & outlook
Results filed 23 Jul 2026 · Quarter ended 30 Jun 2026
Press release ↗Investor relations ↗
Summaries and transcripts are machine-generated and can contain errors.
In brief
T-Mobile reported Q2 2026 total service revenues of $19.0 billion, up 9% year-over-year, Net income of $3.2 billion, Diluted EPS of $2.99, Core Adjusted EBITDA of $9.5 billion and Adjusted Free Cash Flow of $4.8 billion.
T-Mobile added 277 thousand postpaid net accounts in Q2 2026, 13% fewer than a year ago, but its customer base is much larger after buying UScellular and Metronet. Service revenues rose 9% to $19.0 billion and postpaid service revenues rose 13% to $15.9 billion. Net income was $3.2 billion, up 1%, and diluted EPS rose 5% to $2.99. Core Adjusted EBITDA grew 12% to $9.5 billion, and the company returned $3.3 billion to stockholders.
Management raised its 2026 cash flow outlook. Net cash provided by operating activities is now expected at $28.4 billion to $28.8 billion, and Adjusted Free Cash Flow at $18.4 billion to $18.8 billion. Account additions, Core Adjusted EBITDA and capital spending guidance were unchanged. The main tension is growth quality: account additions are slowing and postpaid account churn rose to 0.99% from 0.92% a year ago, while merger costs, restructuring costs and higher bad debt weigh on earnings.
Key numbers
- Total service revenues · GAAP
- $19.0 billion
- Net income · GAAP
- $3.2 billion
- Diluted EPS · GAAP
- $2.99
- Operating income · GAAP
- $5.5B
- Net cash provided by operating activities · GAAP
- $7.5 billion
- Adjusted Free Cash Flow · non-GAAP
- $4.8 billion
- Core Adjusted EBITDA · non-GAAP
- $9.5 billion
up 9% year-over-year
up 1% year-over-year
up 5% year-over-year
up from 5,213 in Q2 2025
up 7% year-over-year
up 4% year-over-year
up 12% year-over-year
| Segment or metric | Value | Change |
|---|---|---|
| Postpaid net account additions | 277 thousand | down 13% year-over-year |
| Postpaid ARPA | $152.91 | up 2% year-over-year |
| Postpaid account churn | 0.99% | up from 0.92% in Q2 2025 |
| Total postpaid accounts | $34.7M | up from 31,502 thousand a year ago |
| Wireless NPS | 46 | record high |
Where each number comes from
- Total service revenues: “Total service revenues increased 9% year-over-year to $19.0 billion, and Postpaid service revenues increased 13% year-over-year to $15.9 billion.”
- Net income: “Net income increased 1% year-over-year to $3.2 billion and included the impact of UScellular merger-related costs, including accelerated depreciation, net of tax, of $146 million.”
- Diluted EPS: “Diluted EPS increased 5% year-over-year to $2.99 per share and included the impact of UScellular merger-related costs, including accelerated depreciation, net of tax, of $0.14.”
- Operating income: “Total operating expenses | 17,301 | 18,610 | 15,919 | 35,911 | 32,005 Operating income | 5,490 | 4,497 | 5,213 | 9,987 | 10,013 Other expense, net Interest expense, net | (1,055)”
- Net cash provided by operating activities: “Net cash provided by operating activities increased 7% year-over-year to $7.5 billion.”
- Adjusted Free Cash Flow: “Adjusted Free Cash Flow increased 4% year-over-year to $4.8 billion.”
- Core Adjusted EBITDA: “Core Adjusted EBITDA increased 12% year-over-year to $9.5 billion.”
- Postpaid net account additions: “Postpaid net account additions of 277 thousand decreased 13% year-over-year”
- Postpaid ARPA: “Postpaid Average Revenue Per Account (“ARPA”) of $152.91 grew 2% year-over-year”
- Postpaid account churn: “Postpaid net account additions of 277 thousand decreased 41 thousand, or 13%, year-over-year. Postpaid account churn of 0.99%.”
- Total postpaid accounts: “Total postpaid accounts, end of period (1)(2)(3) | 34,700 | 34,439 | 31,502 | 34,700 | 31,502”
- Wireless NPS: “T-Mobile achieved a record wireless NPS score of 46, the highest-ever NPS for a big three carrier, according to HarrisX survey data”
Copied from the press release ↗ and other documents in the SEC filing ↗. A figure is published only if its sentence is in the filing.
| From the filing | Q2 2026 | vs year ago | vs last quarter |
|---|---|---|---|
| Revenue | $22.8B | +7.9% | −1.4% |
| Operating income | $5.5B | +5.3% | +22.1% |
| Net income | $3.2B | +0.5% | +29.4% |
| Diluted EPS | $2.99 | +5.3% | +31.7% |
| Free cash flow | $4.8B | +4.4% | +4.3% |
| Operating margin | 24.1% | −0.6 pts | +4.6 pts |
Calculated by code from XBRL, not by the model.
Outlook
| Metric | Period | Outlook |
|---|---|---|
| Postpaid net account additions | 2026 | between 950 thousand and 1.05 million |
| Core Adjusted EBITDA | 2026 | between $37.1 billion and $37.5 billion |
| Net cash provided by operating activities | 2026 | between $28.4 billion and $28.8 billion |
| Capital expenditures | 2026 | approximately $10.0 billion |
| Adjusted Free Cash Flow | 2026 | between $18.4 billion and $18.8 billion |
| Effective tax rate | 2026 | 25% to 26% |
Key takeaways
Account growth slowed but revenue accelerated
Postpaid net account additions of 277 thousand decreased 13% year-over-year, yet service revenues of $19.0 billion grew 9%. Acquisitions of UScellular and Metronet lifted the account base.
Cash flow guidance raised for 2026
Adjusted Free Cash Flow guidance moved to $18.4 billion to $18.8 billion from $18.1 billion to $18.7 billion. Operating cash flow guidance rose to $28.4 billion to $28.8 billion.
Core Adjusted EBITDA grew 12% to $9.5 billion
Core Adjusted EBITDA margin was 50.2% of service revenues versus 49.0% in Q2 2025. Full-year guidance of $37.1 billion to $37.5 billion was unchanged.
Churn rose year-over-year despite sequential improvement
Postpaid account churn was 0.99%, up from 0.92% in Q2 2025 but down from 1.04% in Q1 2026. The company cited higher broadband-only accounts.
Buybacks continued at a lower pace
Stockholder returns were $3.3 billion in Q2 2026, including $2.2 billion of repurchases and $1.1 billion of dividends. The 2026 authorization is up to $18.2 billion.
Charts
Fourth quarter worked out from the annual figure.
Data
| Q4 2024 | $21.9B * |
| Q1 2025 | $20.9B |
| Q2 2025 | $21.1B |
| Q3 2025 | $22.0B |
| Q4 2025 | $24.3B * |
| Q1 2026 | $23.1B |
| Q2 2026 | $22.8B |
| Q3 2026 | $23.6B |
Data
| Q1 2025 | $2.58 |
| Q2 2025 | $2.84 |
| Q3 2025 | $2.41 |
| Q1 2026 | $2.27 |
| Q2 2026 | $2.99 |
| Q3 2026 | $3.22 |
Fourth-quarter EPS appears once the press release is read; filings report it only for the full year.
Data
| Q4 2024 | 21.0% |
| Q1 2025 | 23.0% |
| Q2 2025 | 24.7% |
| Q3 2025 | 20.6% |
| Q4 2025 | 15.4% |
| Q1 2026 | 19.5% |
| Q2 2026 | 24.1% |
| Q3 2026 | 24.0% |
Data
| Q4 2024 | $3.3B |
| Q1 2025 | $4.4B |
| Q2 2025 | $4.6B |
| Q3 2025 | $4.8B |
| Q4 2025 | $4.2B |
| Q1 2026 | $4.6B |
| Q2 2026 | $4.8B |
| Q3 2026 | $5.1B |
Operating cash flow minus capital expenditure, from cash flow statements.
Questions
What were T-Mobile's main Q2 2026 results?
Service revenues were $19.0 billion, up 9%, and Net income was $3.2 billion, up 1%. Diluted EPS was $2.99, Core Adjusted EBITDA was $9.5 billion and Adjusted Free Cash Flow was $4.8 billion.
Did T-Mobile change its 2026 guidance?
It raised cash flow guidance: Net cash provided by operating activities to $28.4 billion to $28.8 billion and Adjusted Free Cash Flow to $18.4 billion to $18.8 billion. Account additions, Core Adjusted EBITDA, capital expenditures and tax rate guidance were unchanged.
How did customer metrics trend in Q2 2026?
Postpaid net account additions were 277 thousand, down 13% from a year ago, and postpaid ARPA rose 2% to $152.91. Postpaid account churn was 0.99%, versus 0.92% a year ago.
How much cash did T-Mobile return to stockholders?
It returned $3.3 billion in Q2 2026, including $2.2 billion of share repurchases and $1.1 billion of dividends. It repurchased an additional $392 million in Q3 through July 17, 2026.
What is T-Mobile's debt position?
Total debt excluding tower obligations was $86.9 billion at the end of Q2 2026, and net debt excluding tower obligations was $84.1 billion.
Documents
SEC filing