United States

Customer development

Customers

At June 30, 2025, the United States operating segment (T‑Mobile US) had 132.8 million customers, compared to 129.5 million customers at December 31, 2024. Net customer additions were 3.2 million in the first half of 2025, compared to 2.7 million in the first half of 2024 due to the factors described below.

Postpaid net customer additions were 3.1 million in the first half of 2025, compared to 2.6 million in the first half of 2024. Postpaid net customer additions increased primarily from higher postpaid other net customer additions and slightly higher postpaid phone net customer additions. Postpaid other net additions increased primarily due to higher net additions from mobile internet devices, higher net additions from other connected devices, and higher 5G broadband (formerly High Speed Internet) net additions. The increase in net additions from mobile internet devices was primarily due to higher prior year deactivations of lower Average Revenue Per User (ARPU) mobile internet devices in the educational sector activated during the Pandemic and no longer needed. The increase in postpaid other net customer additions was partially offset by increased deactivations from a growing customer base and lower net additions from wearables. Postpaid phone net customer additions increased primarily from higher gross additions and higher prepaid to postpaid migrations. This increase was mostly offset by higher churn, primarily driven by the temporary impact of current year rate plan optimizations and increased deactivations from a growing customer base. 5G broadband net customer additions included in postpaid other net customer additions were 814 thousand and 704 thousand in the first half of 2025 and 2024, respectively.

Prepaid net customer additions were 84 thousand in the first half of 2025, compared to 131 thousand in the first half of 2024. The decrease was primarily driven by increased deactivations from a growing customer base, primarily due to the Ka’ena Acquisition, higher churn, and higher prepaid to postpaid migrations. This decrease was partially offset by higher gross additions, primarily due to the Ka’ena Acquisition. 5G broadband net customer additions included in prepaid net customer additions were 64 thousand and 107 thousand in the first half of 2025 and 2024, respectively.

Development of operations

Revenue, service revenue

Total revenue for the United States operating segment of EUR 38.4 billion in the first half of 2025 increased by 5.8 %, compared to EUR 36.3 billion in the first half of 2024. In U.S. dollars, T‑Mobile US’ total revenue increased by 6.8 % during the same period. Total revenue increased primarily due to higher service and equipment revenues. The components of these changes are described below.

Service revenues increased in the first half of 2025 by 4.6 % to EUR 31.5 billion. In U.S. dollars, T‑Mobile US’ service revenues increased by 5.7 % during the same period. This increase resulted from higher postpaid revenues, primarily due to higher postpaid Average Revenue per Account (ARPA) and higher average postpaid accounts. In addition, service revenues increased from higher prepaid revenues. Prepaid revenues increased primarily due to higher average prepaid customers, primarily from the prepaid customers acquired through the Ka’ena Acquisition, partially offset by lower prepaid ARPU. The increase in service revenues was partially offset by lower wholesale and other service revenues, primarily from lower MVNO revenues, including lower DISH and TracFone MVNO revenues and the impact from the Ka’ena Acquisition, and lower Affordable Connectivity Program revenues, partially offset by higher advertising revenues, primarily from the acquisitions of Vistar Media and Blis.

Equipment revenues increased in the first quarter of 2025 primarily from an increase in device sales revenue, primarily from higher average revenue per device sold, net of promotions. The increase in average revenue per device sold, net of promotions was primarily driven by an increase in the high-end phone mix, including the impact of higher postpaid device upgrades and lower Assurance Wireless device sales. The increase in equipment revenues was also driven by an increase in liquidation revenue, primarily due to a higher number of liquidated devices.

Other revenues were essentially flat.

Adjusted EBITDA AL, EBITDA AL

In euros, adjusted EBITDA AL increased by 5.3 % to EUR 14.9 billion in the first half of 2025, compared to EUR 14.2 billion in the first half of 2024. The adjusted EBITDA AL margin was 38.9 % in the first quarter of 2025 and 2024. In U.S. dollars, adjusted EBITDA AL increased by 6.4 % during the same period. Adjusted EBITDA AL increased primarily due to higher service revenues and higher equipment revenues, as discussed above. This increase was partially offset by higher equipment costs, primarily from higher average cost per device sold, primarily driven by an increase in the high-end phone mix, including the impact of higher postpaid device upgrades and lower Assurance Wireless device sales. The increase in adjusted EBITDA AL was also partially offset by an increase in liquidation costs, primarily due to a higher number of liquidated devices, higher payroll and benefit related expenses, including from the impact of acquisitions, higher advertising expenses, and higher site costs related to the continued build-out of the nationwide 5G network.

EBITDA AL in the first half of 2025 included special factors of EUR 8 billion compared to EUR ‑0.2 billion in the first half of 2024. The change in special factors was primarily due to the gain on sale of a portion of the 3.45 GHz licenses to N77, lower Sprint Merger-related costs, and legal-related insurance recoveries recognized in the first quarter of 2025 related to the August 2021 cyberattack. Overall, EBITDA AL increased by 6.5 % to EUR 14.9 billion in the first half of 2025, compared to EUR 14.0 billion in the first quarter of 2024, primarily due to the factors described above, including special factors.

Profit/loss from operations (EBIT)

EBIT increased by 14.1 % to EUR 9.8 billion in the first half of 2025, compared to EUR 8.6 billion in the first half of 2024. In U.S. dollars, EBIT increased by 15.2 % during the same period primarily due to higher EBITDA AL. In U.S. dollars, depreciation, amortization and impairment losses decreased by 3.6 % in the same period primarily due to higher depreciation expense from the acceleration of certain technology assets in the prior year.

Cash capex (before spectrum investment), cash capex

Cash capex (before spectrum investment) decreased by 3.0 % to EUR 4.5 billion in the first half of 2025, compared to EUR 4.3 billion in the first half of 2024. In U.S. dollars, cash capex (before spectrum investment) increased by 4.6 % during the same period due to an increase in purchases of property and equipment, primarily due to the continued build-out of our nationwide 5G network.

Cash capex increased by 15.7 % to EUR 5.2 billion in the first half of 2025, compared to EUR 4.5 billion in the first half of 2024. In U.S. dollars, cash capex increased by 18.1 % during the same period primarily due to purchases of the remaining 600 MHz spectrum licenses from Channel 51 and increased purchases of property and equipment as discussed above.