T-Mobile US, Inc. (NASDAQ: TMUS) reported first quarter 2026 results on April 28, 2026, with postpaid service revenues rising 15% year-over-year to $15.6 billion and total service revenues reaching $18.8 billion, an 11% increase from the same period a year earlier. The Bellevue, Washington-based wireless carrier also raised its full-year 2026 guidance across several financial metrics.
T-Mobile operates in a US wireless market where it competes directly with AT&T and Verizon for postpaid subscribers. The company completed its acquisition of US Cellular's wireless operations in 2025, a transaction that continues to generate integration costs affecting reported earnings.
#Postpaid Accounts and Revenue Per Account Rise in Q1
T-Mobile added 217,000 postpaid net accounts in the quarter, a 6% increase compared to the same period in 2025. Postpaid account churn held at 1.04%, unchanged from Q4 2025, though up from 0.94% in Q1 2025.
Postpaid Average Revenue Per Account reached $151.93 in Q1 2026, up 3.9% year-over-year from $146.22. The metric has risen in each of the five most recently reported quarters.
#Net Income Falls on UScellular Merger Costs
Net income for the quarter was $2.5 billion, a 15% decline year-over-year. The company attributed the decrease to UScellular merger-related costs, including accelerated depreciation, of $476 million net of tax. Diluted earnings per share came in at $2.27, down 12% from $2.58 in Q1 2025, with $0.43 per share attributable to those same merger-related charges.
Core Adjusted EBITDA, a non-GAAP measure the company uses to track operating performance excluding lease revenues and certain items, was $9.2 billion, up 12% year-over-year. Adjusted Free Cash Flow totaled $4.6 billion, a 5% increase from Q1 2025.
T-Mobile returned $6.0 billion to stockholders in the quarter, comprising $4.9 billion in share repurchases and $1.1 billion in dividends. On April 23, 2026, the board raised the 2026 stockholder return authorization to $18.2 billion from a prior authorization of $14.6 billion.
"Q1 marked a strong start to the year as we continue to execute against our ambitious 2026 and 2027 targets," said Srini Gopalan, CEO of T-Mobile, in the earnings release. "This drove the outsized results you see, including industry-leading financial growth."
#T-Mobile Raises 2026 Postpaid and Cash Flow Guidance
The company increased its full-year 2026 postpaid net account additions guidance to a range of 950,000 to 1.05 million, up from a prior range of 900,000 to 1.0 million. Core Adjusted EBITDA guidance was raised at the midpoint to a range of $37.1 billion to $37.5 billion, from a prior range of $37.0 billion to $37.5 billion. Adjusted Free Cash Flow guidance was also raised at the midpoint to between $18.1 billion and $18.7 billion.
Capital expenditure guidance remains approximately $10.0 billion for the full year.
T-Mobile also reported that a record share of recent network switchers cited network quality as the primary reason for choosing the carrier, according to HarrisX Mobile Insights data for Q1 2026. The company said its fixed wireless home internet service recorded median download speeds more than 50% faster than the next closest provider, based on its analysis of Ookla Speedtest Intelligence data for the quarter.
The company noted that Figure AI's F03 humanoid robots in production are designed to connect to T-Mobile's 5G Advanced network, which the company described as an initial step in supporting physical AI infrastructure.
Management projected full-year postpaid net account additions of 950,000 to 1.05 million and Adjusted Free Cash Flow of $18.1 billion to $18.7 billion, though execution risk, continued UScellular integration costs, competitive pressure in the US wireless market, macroeconomic conditions, and regulatory factors remain key risks to the outlook. T-Mobile noted it cannot forecast GAAP net income on a forward-looking basis given the variability of items including special charges, tax expense, and interest expense.