T-Mobile Us Inc (NASDAQ:TMUS) stock plunges 10.53% (As on April 25, 11:31:43 AM UTC-4, Source: Google Finance) after the company logged higher profit and revenue in the first quarter as it continued to add more postpaid phone subscribers than its competitors. However, T-Mobile added fewer wireless subscribers than Wall Street expected in the first quarter as rivals dialed up promotions in a saturating U.S. telecom market. The cell carrier posted a profit of $2.95 billion, up from $2.37 billion in the same quarter a year ago. The Bellevue, Wash., company said it added 495,000 postpaid phone subscribers, its most lucrative phone offering where service is paid for each month on a contract. The figure came in under analyst expectations for 504,900 added postpaid connection.

Moreover, T-Mobile adds to its network technology leadership, as the only carrier in the country to roll out a nationwide 5G Advanced network leveraging the nation’s only standalone 5G core to better serve customers, enabling advanced carrier aggregation to achieve record-breaking 6.3 Gbps downlink speeds in a recent field test, along with dynamic slicing, lower latency, and more efficient IoT throughput. Additionally, with the beta launch of T-Satellite, T-Mobile now operates the only satellite network in the US that works on most modern smartphones, and seamlessly connects from terrestrial to satellite networks, with hundreds of thousands of active customers already using it and over a million messages delivered, providing an unparalleled direct-to-cell experience to any mobile customer enrolled in the beta, including AT&T and Verizon customers.

TMUS in the first quarter of FY25 has reported the adjusted earnings per share of $2.58, beating the analysts’ estimates for the adjusted earnings per share of $2.47, according to FactSet. The company had reported the adjusted revenue growth of 7 percent to $20.89 billion in the first quarter of FY25, beating the analysts’ estimates for revenue of $20.63 billion. In the first quarter, T-Mobile’s revenue rose 6.6% to $20.89 billion, coming above expectations of $20.62 billion, according to data compiled by LSEG.

T-Mobile maintained its previous guidance for an additional 5.5 million to 6.0 million additional postpaid net customer additions in 2025.

The company raised its guidance range for adjusted earnings before interest, taxes, depreciation and amortization to $33.2 billion to $33.7 billion from previous guidance of $33.1 billion to $33.6 billion. T-Mobile set very conservative EBITDA guidance for the year because they were preparing to spend more on acquisition and retention to get the adds they want in a shrinking pool, as per analysts.