T-Mobile US Inc., FCFF calculation

US$ in millions

12 months ended:	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	8,317)	2,590)	3,024)	3,064)	3,468)
Net noncash charges	17,300)	17,246)	18,007)	17,461)	8,915)
Changes in operating assets and liabilities	(7,058)	(3,055)	(7,114)	(11,885)	(5,559)
Net cash provided by operating activities	18,559)	16,781)	13,917)	8,640)	6,824)
Interest payments, net of amounts capitalized, net of tax¹	2,681)	2,868)	3,358)	2,124)	849)
Capitalized interest, net of tax²	79)	50)	189)	342)	356)
Purchases of property and equipment, including capitalized interest	(9,801)	(13,970)	(12,326)	(11,034)	(6,391)
Purchases of spectrum licenses and other intangible assets, including deposits	(1,010)	(3,331)	(9,366)	(1,333)	(967)
Financing lease right-of-use assets obtained in exchange for lease obligations	(1,224)	(1,256)	(1,261)	(1,273)	(1,041)
Free cash flow to the firm (FCFF)	9,283)	1,142)	(5,488)	(2,535)	(369)

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

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Item	Description	The company
FCFF	Free cash flow to the firm is the cash flow available to the T-Mobile US Inc. suppliers of capital after all operating expenses have been paid and necessary investments in working and fixed capital have been made.	T-Mobile US Inc. FCFF increased from 2021 to 2022 and from 2022 to 2023.

T-Mobile US Inc., interest paid, net of tax calculation

US$ in millions

12 months ended:	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Effective Income Tax Rate (EITR)
EITR¹	24.40%	17.70%	9.80%	22.30%	24.70%
Interest Paid, Net of Tax
Interest payments, net of amounts capitalized, before tax	3,546)	3,485)	3,723)	2,733)	1,128)
Less: Interest payments, net of amounts capitalized, tax²	865)	617)	365)	609)	279)
Interest payments, net of amounts capitalized, net of tax	2,681)	2,868)	3,358)	2,124)	849)
Interest Costs Capitalized, Net of Tax
Capitalized interest, before tax	104)	61)	210)	440)	473)
Less: Capitalized interest, tax³	25)	11)	21)	98)	117)
Capitalized interest, net of tax	79)	50)	189)	342)	356)

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

¹ See details »

² 2023 Calculation
Interest payments, net of amounts capitalized, tax = Interest payments, net of amounts capitalized × EITR
= 3,546 × 24.40% = 865

³ 2023 Calculation
Capitalized interest, tax = Capitalized interest × EITR
= 104 × 24.40% = 25

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T-Mobile US Inc., current EV/FCFF calculation, comparison to benchmarks

Selected Financial Data (US$ in millions)
Enterprise value (EV)	265,266)
Free cash flow to the firm (FCFF)	9,283)
Valuation Ratio
EV/FCFF	28.57
Benchmarks
EV/FCFF, Competitors¹
AT&T Inc.	9.85
Verizon Communications Inc.	19.17
EV/FCFF, Sector
Telecommunication Services	16.07
EV/FCFF, Industry
Communication Services	23.65

Based on: 10-K (reporting date: 2023-12-31).

¹ Click competitor name to see calculations.

If the company EV/FCFF is lower then the EV/FCFF of benchmark then company is relatively undervalued.
Otherwise, if the company EV/FCFF is higher then the EV/FCFF of benchmark then company is relatively overvalued.

T-Mobile US Inc., historical EV/FCFF calculation, comparison to benchmarks

	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Selected Financial Data (US$ in millions)
Enterprise value (EV)¹	264,390)	249,831)	225,649)	211,414)	96,672)
Free cash flow to the firm (FCFF)²	9,283)	1,142)	(5,488)	(2,535)	(369)
Valuation Ratio
EV/FCFF³	28.48	218.70	—	—	—
Benchmarks
EV/FCFF, Competitors⁴
AT&T Inc.	9.83	11.93	10.67	10.84	12.30
Verizon Communications Inc.	19.38	23.20	—	13.85	16.70
EV/FCFF, Sector
Telecommunication Services	16.10	24.13	567.15	16.80	15.66
EV/FCFF, Industry
Communication Services	22.31	23.31	31.50	25.72	24.63

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

¹ See details »

² See details »

³ 2023 Calculation
EV/FCFF = EV ÷ FCFF
= 264,390 ÷ 9,283 = 28.48

⁴ Click competitor name to see calculations.

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T-Mobile US Inc. (NASDAQ:TMUS)

Enterprise Value to FCFF (EV/FCFF)

Free Cash Flow to The Firm (FCFF)

Interest Paid, Net of Tax

Enterprise Value to FCFF Ratio, Current

Enterprise Value to FCFF Ratio, Historical