MetroPCS Releases First Quarter Numbers, Expects T-Mobile Deal To Close April 30th

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As MetroPCS shareholders voted in favor of a merger with T-Mobile yesterday, the company announced its first quarter 2013 financials. The good news is that MetroPCS is making money with a new income of $19.4 million for the first quarter, down from $21 million a year ago. Metro announced that they expect the T-Mobile deal to close on April 30th.

Metro recorded their lowest quarterly churn on record at 2.9%, the lowest in company history. The company also announced they now have 3.5 million LTE subscribers which equates to 39% of their entire customer base. The LTE subscriber increase recorded a bump in 1.2 million users over the end of the last quarter of 2012.

“Today, by an overwhelming majority, our stockholders approved our combination with T-Mobile USA. This combination offers both immediate and long-term compelling economic value to MetroPCS’ stockholders and we look forward to completing this combination on April 30, 2013. As a combined company, we will create the value leader in the U.S. wireless marketplace,” Chairman and CEO Roger D. Linquist concluded.

First Quarter 2013 Highlights Include:

  • Quarterly consolidated total revenues of approximately $1.3 billion, an increase of 1% over the first quarter of 2012
  • Adjusted EBITDA of $291 million, an increase of 11% over the first quarter of 2012
  • Adjusted EBITDA margin of 26.4%, an increase of 380 basis points over the first quarter of 2012
  • Record low quarterly churn of 2.9%, a decrease of 20 basis points over the first quarter of 2012, lowest quarterly churn in Company history
  • Quarterly ARPU of $40.96, an increase of $0.40 over the first quarter of 2012
  • Quarterly income from operations of $108 million, a 10% increase over the first quarter of 2012
  • Surpassed 3.5 million 4G LTE subscribers, representing 39% of total subscribers

MetroPCS Communications, Inc. (NYSE: PCS), the nation’s leading provider of no annual contract, unlimited, flat-rate wireless communications service, today announced financial and operational results for the quarter ended March 31, 2013.  MetroPCS reported quarterly Adjusted EBITDA of $291 million for the first quarter 2013 and ended the quarter with approximately 9.0 million subscribers.

Roger D. Linquist, Chairman and Chief Executive Officer of MetroPCS, said, “We are pleased with first quarter momentum highlighted by the lowest quarterly churn in company history, and continued growth in our 4G LTE subscribers. At the end of the first quarter, we had over 3.5 million 4G LTE subscribers, representing approximately 39% of our total subscriber base, which was an increase of 1.2 million over December 31, 2012. Financially, Adjusted EBITDA grew 11% year over year to $291 million. Our 4G LTE network offers a superior customer experience and is meeting our customers’ current demands for high-speed wireless broadband service. Throughout 2013, we plan to continue efforts to fully leverage the capabilities afforded by our high-speed 4G LTE network.

 

 

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  • sidekicker89

    so…. did they announce the total number of customers they have now??

    • sidekicker89

      nevermind, i see it now… 9 million is not bad.

    • sidekicker89

      So Metro will start selling GSM phones starting April 30th? Hopefully they can start selling them as soon as possible to get the current Metro customers off the CDMA network quickly.

      • ceegii63

        NOPE, no GSM anytime soon

        the reason for the merger was for tmo to expand coverage

        they are still 2 separately run companies

        • http://www.makeuseof.com Danny Stieben

          From what I heard, the companies are combining but the MetroPCS brand may still be used as TMo’s prepaid branch.

        • taron19119

          Metro pcs cdma network well shut down by 2015 but metro pcs name and stores well stay and run as a gsm network

        • Dion Mac

          I wonder if T-mobile will let go of their prepaid branding altogether. Highly doubt it tho.

        • taron19119

          No because T Mobile is going to do what sprint did but way better

  • rob

    Metro will be able to access T-Mo’s network soon, they just prob have to wait for some GSM version of their phones to roll in. After that while TMO is working on the towers, Metro will be to TMO what Boost is to Sprint til 2015.

  • SouthernBlackNerd

    Didn’t Metro have like 10 million customers at the start of this deal? They really had no room to try and block the deal.

  • Jay J. Blanco

    Great news Metro! now lets wait until May 1st and see what strategy T-Mobile is going to take in gaining more customers and expanding LTE and 3G coverage.

  • Dion Mac

    So if T-Mobile expands Metro to all the Markets where T-Mobile currently has coverage, it would kinda be like two separate nationwide carriers but working as one! HOT!!!

    • taron19119

      that’s exactly what’s going to happen and T Mobile just finalized the deal for MetroPCS to get the iPhone

  • Fireyou

    Good bye metro employees. They closing 90 percent of stores. All the independent owners are f@cked