The MetroPCS network, acquired in 2013, saw a continued flow of customers converting to prepaid services under the T-Mobile brand. This trend is turning into a forced march, as T-Mobile hopes to close down the last of its MetroPCS CDMA networks in the second half of 2015. Doing so will allow the company to reassign MetroPCS bandwidth to support T-Mobile's core 4G LTE network instead.
This conversion is actually running ahead of schedule. T-Mobile originally expected MetroPCS synergies to deliver between $6 billion and $7 billion in total net value, but it has now raised that range to top out at $10 billion.
Average revenues per branded postpaid user declined 5.6% year over year. This apparent weakness was countered by a 20% surge in billings under equipment installment plans, where users pay down their handsets and other equipment via two years of interest-free installments. Taken together, average monthly billings per customer rose by 5.1%.
Never afraid to gloat a little, T-Mobile also provided this concise overview of revenue growth trends across the industry:
"Our Un-carrier moves helped us blow away the competition," added T-Mobile US CEO John Legere in a prepared statement. "The best is yet to come as the future looks bright in 2015."
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The article T-Mobile US Inc Shares Rise on Big Earnings originally appeared on Fool.com.
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