The COVID-19 crisis is not slowing it downNew T-Mobile. ”
T-Mobile's $ 26.5 billion sprint blockbuster merger was officially completed on April 1. Mike Sievert, who had just replaced John Legere as CEO of the combined company, said on Wednesday that the merger of the country's third and fourth largest mobile operators may be larger than expected faster than planned.
"We are very optimistic about the potential to get faster than expected and potentially bigger than expected in terms of growth and synergies," said Sievert on CNBC after T-Mobile's earnings report for the first quarter.
However, the pandemic will certainly affect T-Mobile, which is expecting COVID-19 to cost between $ 450 million and $ 550 million in the second quarter of this year. Due to the effects of COVID-19, the company also made no forecast for the full year.
Sievert said the company's network is performing “incredibly well” with increasing traffic, as more people use mobile technology in the health and economic crisis.
"Our network works better than ever," he says @ tmobile CEO @ MikeSievert. $ TMUS pic.twitter.com/93XenCYQNc
– CNBC's closing bell (@CNBCClosingBell) May 6, 2020
T-Mobile closed 80% of its retail stores on March 17 gave all customers (who already have plans with data) two months of unlimited datawithout roaming. It also offered free international calls to all customers in Level 3 affected countries.
Sievert said that one of the drivers of the merger's greater growth potential is the migration of Sprint customers.
"As more and more Sprint customers come into contact with the T-Mobile network, their satisfaction is increasing," he said on CNBC. "We may see Sprint customer base improve faster than expected."
T-Mobile sent Record first-quarter earnings that exceeded expectations with earnings per share of $ 1.10, compared to $ 1.06 a year earlier. Revenue was $ 11.1 billion, slightly in line with Wall Street estimates, and increased from $ 11.08 million in the prior-year quarter.
The Bellevue, Washington, based company had 649,000 net customers in the first quarter. T-Mobile now has 68.54 million subscribers. In over-the-counter trading, the shares rose by more than 1%.
T-Mobile will publish combined results with Sprint in the next quarter. T-Mobile and Sprint announced a revised management structure for the new T-Mobile in March. Legere left the board on April 24 earlier than expected.
Looking ahead, we are uniquely positioned to serve a larger number of customers by delivering unmatched value! We are ready to continue doing more of this by continuing to charge the device #Uncarrier, brings new 5G functions and continues to put customers first !! pic.twitter.com/D6gKswXHCS
– Mike Sievert (@MikeSievert) May 6, 2020
