T-Mobile reports 3Q loss of 12 cents a share

T-Mobile, the US' fourth largest wireless carrier by subscriber numbers reported a third-quarter a loss of 12 cents a share, on a revenue of $7.35 billion, CNET reported.

The company said on Monday that it had added 2.3 million customers, including 1.4 million, who paid at the end of the month, also known as post-paid customers, keeping up the subscriber growth uptrend of the past several quarters.

According to analysts' estimates the company would have seen net 956,000 new so-called post-paid customer additions.

T-Mobile shares retreated 13 cents, closing at $27.99 on Monday.

Commentators attribute the growth momentum to CEO John Legree and his Uncarrier campaign, which combined network improvements, and aggressive marketing that helped T-Mobile turned its reputation around.

However, T-Mobile is not the sole market mover in the business. Sprint, under new CEO Marcelo Claure, vigorously rolled out promotions aimed at getting consumers to give his carrier a second look. AT&T and Verizon too had followed the lead, offering more data in their family plans.

While Legree admitted that Sprint had gained some ground on T-Mobile in the recent month, he added if Sprint was growing, it was taking market share away from the larger rivals. 

According to the company, the decrease in earnings per share was primarily due to a non-cash gain of $731 million recognised in the second quarter of 2014 related to spectrum license transactions.

T-Mobile's property and equipment spending -- needed to compete against its larger competitors -- of $1.131 billion, overtook the $940 million in the second quarter and the $1.017 billion in the same period last year, USA Today reported.

In a statement the company highlighted that the average billing per user of $61.59, rose 4.2 per cent over last year and the iPhone 6 had been the company's largest device launch to date.

The company saw an increase in expected 2014 net additions of post-paid customers to between 4.3 to 4.7 million, up from 3 to 3.5 million.

"Despite our competitors' best efforts, the Un-carrier revolution made huge advances in the third quarter with record net new customers," Legere said in a statement. "More proof of the resurgent strength of our brand and the massive momentum behind the Un-carrier consumer movement."

The company's "Un-carrier" strategy sought to fo frustrations with traditional wireless plans doing away with contracts and paying early termination fees for customers who wanted to switch.