T-Mobile's incoming CEO: AT&T is taking potshots because it's 'under pressure'
T-Mobile (TMUS) and AT&T (T) are in a tussle over pricing — and incoming T-Mobile CEO Srini Gopalan isn't holding back.
"I can only believe that's because of some of the pressure they're under," Gopalan told Yahoo Finance's Opening Bid, responding to AT&T COO Jeff McElfresh's claim that T-Mobile has been deceptive on pricing and network coverage.
"All I'll say is when you start taking potshots at people, then you must be under a lot of pressure," he said.
On Thursday morning, T-Mobile reported its third quarter results. Revenue rose 8.9% year over year to $21.96 billion, edging past estimates of $21.88 billion, according to Bloomberg. Adjusted earnings per share dropped 7.7% to $2.41, but topped expectations of $2.40.
T-Mobile stock has been flat year to date and down 3% on Thursday — a decline that may reflect investor concerns about rising costs and softer profit trends.
KeyBanc Capital analyst Brandon Nispel called the quarter a "slight beat," though he noted guidance may have fallen short of consensus.
T-Mobile raised its full-year outlook, forecasting total postpaid net customer additions of 7.2 million to 7.4 million, compared to 6.1 million to 6.4 million previously. Wall Street had estimated roughly 7.5 million.
Those numbers include 3.3 million postpaid phone adds and 130,000 fiber adds, higher than previous guidance of 2.95 million to 3.1 million and 100,000, respectively. Yet both are below consensus estimates of 3.5 million and 140,000.
The company also lifted its core adjusted EBITDA guidance to $33.7 billion to $33.9 billion, up from $33.3 billion to $33.7 billion, yet also missing the $34 billion analysts had been expecting.
Plus, T-Mobile raised its capital spending forecast to $10 billion — a $500 million hike analysts say could pressure cash flow. Nispel also flagged higher device subsidies and impending M&A activity as possible overhangs for the stock.
Meanwhile, AT&T stock has been up 8% in 2025 while the S&P 500 (^GSPC) has gained 15%.
Nevertheless, Gopalan framed T-Mobile as an industry disruptor, emphasizing transparency and customer satisfaction over rivalry.
"The best reflection ... is not us calling each other different things in the industry," he said. "That's not the game we play."
In the third quarter, the company reported 1 million postpaid phone net customer additions, its best Q3 in more than a decade. Meanwhile, AT&T reported a mixed third quarter, missing earnings and revenue estimates but adding 405,000 new mobile phone customers.
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