Churn-led subscriber growth, record margins and a broad operating-guidance increase turned the turnaround into a multi-quarter operating trend.
Postpaid phone additions of 184,000 beat consensus by roughly 68,000–78,000, driven by churn of 0.84%. Adjusted EBITDA, EPS and FCF beat while revenue missed because equipment sales fell nearly 20%. FWA slowed to 193,000, but fiber additions reached a record 155,000.
Service-revenue, EPS, OCF and FCF guidance increased for a second consecutive quarter, and the buyback target rose to as much as $4.5 billion.
Management guided service growth from 2.8% in Q2 toward roughly 3% in Q3 and 4% in Q4, with margins and FCF also accelerating.
The market recognized that the subscriber turn was churn-led and margin-accretive rather than a one-quarter promotional anomaly.
The debate shifted to the size of the second-half subscriber ramp, the FWA-to-fiber mix and the optionality of AI-infrastructure fiber agreements.
The environment supported raised subscriber, EBITDA and FCF expectations, with ARPA and positive account growth still required in the second half.
[AS-ME-016]Churn-led subscriber growth, record margins and a broad operating-guidance increase turned the turnaround into a multi-quarter operating trend.
The first positive first-quarter phone result since 2013 and an EPS raise extended the turnaround despite weak revenue and ARPA.
A huge subscriber beat, aggressive 2026 volume guide and first major buyback authorization overwhelmed weak service-revenue and EBITDA quality.
Near-breakeven consumer phone performance and disciplined new-CEO messaging cleared a heavily de-risked bar despite a revenue miss.
Higher cash guidance and better consumer losses produced a relief rally, but the underlying volume and broadband story remained weak.
Record EBITDA and strong free cash flow offset an unusually poor consumer-phone quarter, leaving the stock close to flat.
The best consumer phone quarter since 2021 outweighed a modest EBITDA miss, but light initial FCF guidance capped enthusiasm.
Routine EBITDA and cash beats were overwhelmed by a higher 2025 capex plan and uncertainty over free cash flow.