T-Mobile Adds 1M Subs In 4Q
T-Mobile USA added more than 1 million new customers during the fourth quarter, to end the year with a base of 17.3 million.
T-Mobile's 1.019 million adds during the quarter was up from 901,000 in the third quarter and 1.015 million in the year-ago quarter. The carrier estimates roughly 80 percent of fourth-quarter growth stemmed from new postpay customers, which represent 89 percent of its total customer base. Average revenue per user (ARPU) was $55, up from $53 in the year earlier period.
Service revenue came in at $2.75 billion for the quarter, compared with $1.98 billion in the fourth quarter of 2003. Postpay churn was 2.6 percent, which was down slightly from 2.7 percent a year ago. Blended churn, which also includes prepaid customers, was 3.1 percent.
The company recorded a net loss of $329. T-Mobile said it took a charge of $171 million, $71 million of which relates to the years 2001 to 2003, to correct its lease accounting practices.
T-Mobile's parent Deutsche Telekom posted a fourth-quarter net profit of $1.8 billion, which reversed a year-ago net loss. Revenue was up 2.8 percent.