# T-Mobile US (TMUS) Q2 2026 earnings

Results filed 2026-07-23 for the quarter ended 2026-06-30. Source page: https://earnings.opennash.com/companies/tmus/2026-q2/
Press release and exhibits: https://www.sec.gov/Archives/edgar/data/1283699/000128369926000100/0001283699-26-000100-index.htm
> 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

| Metric | Value | Change | Basis |
| --- | --- | --- | --- |
| Total service revenues | $19.0 billion | up 9% year-over-year | GAAP |
| Net income | $3.2 billion | up 1% year-over-year | GAAP |
| Diluted EPS | $2.99 | up 5% year-over-year | GAAP |
| Operating income | 5,490 | up from 5,213 in Q2 2025 | GAAP |
| Net cash provided by operating activities | $7.5 billion | up 7% year-over-year | GAAP |
| Adjusted Free Cash Flow | $4.8 billion | up 4% year-over-year | non-GAAP |
| Core Adjusted EBITDA | $9.5 billion | up 12% year-over-year | non-GAAP |

## Segments and operating metrics

| Name | 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 | 34,700 | up from 31,502 thousand a year ago |
| Wireless NPS | 46 | record high |

## 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

1. **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.
2. **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.
3. **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.
4. **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.
5. **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.

## 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.