Feb 11, 2026 (GeokHub) - T-Mobile reported fourth-quarter subscriber growth that fell short of Wall Street expectations, as aggressive promotions from rivals intensified competition in the U.S. wireless market.
Shares of the company declined roughly 3% in premarket trading after the results were released.
During the crucial October-to-December period — traditionally boosted by holiday promotions such as Black Friday and Cyber Monday — telecom operators rolled out steep discounts on devices and service plans to attract customers. Industry rivals leaned heavily into price-driven campaigns, putting pressure on subscriber gains across the sector.
T-Mobile added 962,000 postpaid phone customers in the quarter, the highest total among the three largest U.S. wireless carriers. However, the figure came in below analyst expectations of approximately 981,000 additions.
Company executives acknowledged heightened competition, particularly around device-focused promotions aimed at driving headline subscriber growth. Rival carriers offered aggressive multi-line plans and discounted smartphone deals in an effort to gain market share.
Customer Retention and Revenue Trends
T-Mobile’s postpaid churn rate — a measure of customers leaving the service — rose slightly to 1.02%, compared with 0.92% in the same period a year earlier.
Despite the subscriber miss, the company reported quarterly revenue of $24.33 billion, surpassing analyst estimates of $24.11 billion. Revenue was supported in part by continued demand for premium plans that bundle streaming services such as Netflix and Hulu.
Executives said a significant portion of new customers opted for higher-tier plans, helping offset competitive pricing pressure.
Outlook and Cash Flow Guidance
Looking ahead, T-Mobile projected annual adjusted free cash flow between $18 billion and $18.7 billion. That forecast came in below analysts’ average expectation of nearly $19 billion.
The company indicated that integration expenses related to its merger with UScellular could weigh on cash flow in the near term.
