T-Mobile US, Inc.

Branded postpaid and prepaid service revenues together represent roughly 78% of total FY2025 revenue, all collected monthly with postpaid phone churn below 0.90% across FY2022-FY2024, including through the inflation environment of FY2022. Multi-year guidance ($77B service revenue for 2026, $80.5-81.5B for 2027) underscores management's confidence in forward visibility.

Postpaid wireless at ~65.6% of FY2025 revenue makes T-Mobile effectively a single-segment carrier. Fixed wireless access has grown to 7.3 million subscribers as of mid-2025 and represents a meaningful second line of business, but wireless service and device sales still constitute the overwhelming majority of revenues.

Substantially all T-Mobile revenue comes from US domestic operations, with no material international segment reported. A single-country footprint means every dollar of revenue is exposed to US economic, competitive, and regulatory conditions.

Once a national 5G network is built, incremental subscribers generate high-margin service revenue with modest variable cost. However, annual capital expenditures exceeding $10 billion for spectrum maintenance and network densification limit operating leverage relative to asset-light platform businesses. Scalability is above average for a capital-intensive infrastructure sector but not structurally differentiated.

Postpaid wireless is semi-mission-critical for most US consumers, with low churn and high monthly renewal rates suggesting strong retention. Equipment revenue (~17.5% of FY2025 total) is more transactional and discretionary, tempering overall quality. The service revenue base is not easily replaced or substituted, even if carrier switching is legally frictionless.