Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

T-Mobile US Inc. (NASDAQ:TMUS)

Adjusted Financial Ratios

Advanced level

Adjusted Financial Ratios (Summary)

T-Mobile US Inc., adjusted financial ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Activity Ratio
Total Asset Turnover
Reported 0.52 0.60 0.58 0.57 0.51
Adjusted 0.52 0.51 0.50 0.50 0.43
Liquidity Ratio
Current Ratio
Reported 0.74 0.81 0.77 1.58 1.56
Adjusted 0.79 0.87 0.84 1.78 1.70
Solvency Ratios
Debt to Equity
Reported 0.95 1.11 1.26 1.52 1.59
Adjusted 1.14 1.33 1.41 1.54 1.82
Debt to Capital
Reported 0.49 0.53 0.56 0.60 0.61
Adjusted 0.53 0.57 0.59 0.61 0.65
Financial Leverage
Reported 3.02 2.93 3.13 3.61 3.77
Adjusted 2.48 2.83 2.98 3.12 3.51
Profitability Ratios
Net Profit Margin
Reported 7.71% 6.67% 11.17% 3.92% 2.29%
Adjusted 8.79% 7.95% 7.22% 7.01% 3.96%
Return on Equity (ROE)
Reported 12.05% 11.68% 20.11% 8.01% 4.43%
Adjusted 11.26% 11.47% 10.82% 10.84% 5.96%
Return on Assets (ROA)
Reported 3.99% 3.99% 6.43% 2.22% 1.17%
Adjusted 4.54% 4.05% 3.62% 3.48% 1.70%

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-07), 10-K (filing date: 2018-02-08), 10-K (filing date: 2017-02-14), 10-K (filing date: 2016-02-17).

Financial ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. T-Mobile US Inc.’s adjusted total asset turnover ratio improved from 2017 to 2018 and from 2018 to 2019.
Adjusted current ratio A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities. T-Mobile US Inc.’s adjusted current ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.
Adjusted debt-to-equity ratio A solvency ratio calculated as adjusted total debt divided by adjusted total equity. T-Mobile US Inc.’s adjusted debt-to-equity ratio improved from 2017 to 2018 and from 2018 to 2019.
Adjusted debt-to-capital ratio A solvency ratio calculated as adjusted total debt divided by adjusted total debt plus adjusted total equity. T-Mobile US Inc.’s adjusted debt-to-capital ratio improved from 2017 to 2018 and from 2018 to 2019.
Adjusted financial leverage A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity.
Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.
T-Mobile US Inc.’s adjusted financial leverage ratio decreased from 2017 to 2018 and from 2018 to 2019.
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by total revenue. T-Mobile US Inc.’s adjusted net profit margin ratio improved from 2017 to 2018 and from 2018 to 2019.
Adjusted ROE A profitability ratio calculated as adjusted net income divided by adjusted total equity. T-Mobile US Inc.’s adjusted ROE improved from 2017 to 2018 but then slightly deteriorated from 2018 to 2019.
Adjusted ROA A profitability ratio calculated as adjusted net income divided by adjusted total assets. T-Mobile US Inc.’s adjusted ROA improved from 2017 to 2018 and from 2018 to 2019.

T-Mobile US Inc., Financial Ratios: Reported vs. Adjusted


Adjusted Total Asset Turnover

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Reported
Selected Financial Data (US$ in millions)
Revenues 44,998  43,310  40,604  37,242  32,053 
Total assets 86,921  72,468  70,563  65,891  62,436 
Activity Ratio
Total asset turnover1 0.52 0.60 0.58 0.57 0.51
Adjusted
Selected Financial Data (US$ in millions)
Adjusted revenues2 44,931  43,229  40,397  37,511  32,311 
Adjusted total assets3 86,982  84,901  80,455  75,655  75,381 
Activity Ratio
Adjusted total asset turnover4 0.52 0.51 0.50 0.50 0.43

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-07), 10-K (filing date: 2018-02-08), 10-K (filing date: 2017-02-14), 10-K (filing date: 2016-02-17).

1 2019 Calculation
Total asset turnover = Revenues ÷ Total assets
= 44,998 ÷ 86,921 = 0.52

2 Adjusted revenues. See details »

3 Adjusted total assets. See details »

4 2019 Calculation
Adjusted total asset turnover = Adjusted revenues ÷ Adjusted total assets
= 44,931 ÷ 86,982 = 0.52

Activity ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. T-Mobile US Inc.’s adjusted total asset turnover ratio improved from 2017 to 2018 and from 2018 to 2019.

Adjusted Current Ratio

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Reported
Selected Financial Data (US$ in millions)
Current assets 9,305  8,281  8,915  14,217  14,890 
Current liabilities 12,506  10,267  11,515  9,022  9,528 
Liquidity Ratio
Current ratio1 0.74 0.81 0.77 1.58 1.56
Adjusted
Selected Financial Data (US$ in millions)
Adjusted current assets2 9,366  8,348  9,001  14,319  15,006 
Adjusted current liabilities3 11,875  9,569  10,736  8,036  8,811 
Liquidity Ratio
Adjusted current ratio4 0.79 0.87 0.84 1.78 1.70

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-07), 10-K (filing date: 2018-02-08), 10-K (filing date: 2017-02-14), 10-K (filing date: 2016-02-17).

1 2019 Calculation
Current ratio = Current assets ÷ Current liabilities
= 9,305 ÷ 12,506 = 0.74

2 Adjusted current assets. See details »

3 Adjusted current liabilities. See details »

4 2019 Calculation
Adjusted current ratio = Adjusted current assets ÷ Adjusted current liabilities
= 9,366 ÷ 11,875 = 0.79

Liquidity ratio Description The company
Adjusted current ratio A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities. T-Mobile US Inc.’s adjusted current ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.

Adjusted Debt to Equity

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Reported
Selected Financial Data (US$ in millions)
Total debt 27,272  27,547  28,319  27,786  26,266 
Stockholders’ equity 28,789  24,718  22,559  18,236  16,557 
Solvency Ratio
Debt to equity1 0.95 1.11 1.26 1.52 1.59
Adjusted
Selected Financial Data (US$ in millions)
Adjusted total debt2 40,098  39,913  38,125  37,448  39,095 
Adjusted stockholders’ equity3 35,088  29,955  26,961  24,262  21,451 
Solvency Ratio
Adjusted debt to equity4 1.14 1.33 1.41 1.54 1.82

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-07), 10-K (filing date: 2018-02-08), 10-K (filing date: 2017-02-14), 10-K (filing date: 2016-02-17).

1 2019 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity
= 27,272 ÷ 28,789 = 0.95

2 Adjusted total debt. See details »

3 Adjusted stockholders’ equity. See details »

4 2019 Calculation
Adjusted debt to equity = Adjusted total debt ÷ Adjusted stockholders’ equity
= 40,098 ÷ 35,088 = 1.14

Solvency ratio Description The company
Adjusted debt-to-equity ratio A solvency ratio calculated as adjusted total debt divided by adjusted total equity. T-Mobile US Inc.’s adjusted debt-to-equity ratio improved from 2017 to 2018 and from 2018 to 2019.

Adjusted Debt to Capital

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Reported
Selected Financial Data (US$ in millions)
Total debt 27,272  27,547  28,319  27,786  26,266 
Total capital 56,061  52,265  50,878  46,022  42,823 
Solvency Ratio
Debt to capital1 0.49 0.53 0.56 0.60 0.61
Adjusted
Selected Financial Data (US$ in millions)
Adjusted total debt2 40,098  39,913  38,125  37,448  39,095 
Adjusted total capital3 75,186  69,868  65,086  61,710  60,546 
Solvency Ratio
Adjusted debt to capital4 0.53 0.57 0.59 0.61 0.65

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-07), 10-K (filing date: 2018-02-08), 10-K (filing date: 2017-02-14), 10-K (filing date: 2016-02-17).

1 2019 Calculation
Debt to capital = Total debt ÷ Total capital
= 27,272 ÷ 56,061 = 0.49

2 Adjusted total debt. See details »

3 Adjusted total capital. See details »

4 2019 Calculation
Adjusted debt to capital = Adjusted total debt ÷ Adjusted total capital
= 40,098 ÷ 75,186 = 0.53

Solvency ratio Description The company
Adjusted debt-to-capital ratio A solvency ratio calculated as adjusted total debt divided by adjusted total debt plus adjusted total equity. T-Mobile US Inc.’s adjusted debt-to-capital ratio improved from 2017 to 2018 and from 2018 to 2019.

Adjusted Financial Leverage

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Reported
Selected Financial Data (US$ in millions)
Total assets 86,921  72,468  70,563  65,891  62,436 
Stockholders’ equity 28,789  24,718  22,559  18,236  16,557 
Solvency Ratio
Financial leverage1 3.02 2.93 3.13 3.61 3.77
Adjusted
Selected Financial Data (US$ in millions)
Adjusted total assets2 86,982  84,901  80,455  75,655  75,381 
Adjusted stockholders’ equity3 35,088  29,955  26,961  24,262  21,451 
Solvency Ratio
Adjusted financial leverage4 2.48 2.83 2.98 3.12 3.51

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-07), 10-K (filing date: 2018-02-08), 10-K (filing date: 2017-02-14), 10-K (filing date: 2016-02-17).

1 2019 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity
= 86,921 ÷ 28,789 = 3.02

2 Adjusted total assets. See details »

3 Adjusted stockholders’ equity. See details »

4 2019 Calculation
Adjusted financial leverage = Adjusted total assets ÷ Adjusted stockholders’ equity
= 86,982 ÷ 35,088 = 2.48

Solvency ratio Description The company
Adjusted financial leverage A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity.
Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.
T-Mobile US Inc.’s adjusted financial leverage ratio decreased from 2017 to 2018 and from 2018 to 2019.

Adjusted Net Profit Margin

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Reported
Selected Financial Data (US$ in millions)
Net income 3,468  2,888  4,536  1,460  733 
Revenues 44,998  43,310  40,604  37,242  32,053 
Profitability Ratio
Net profit margin1 7.71% 6.67% 11.17% 3.92% 2.29%
Adjusted
Selected Financial Data (US$ in millions)
Adjusted net income2 3,950  3,436  2,916  2,631  1,278 
Adjusted revenues3 44,931  43,229  40,397  37,511  32,311 
Profitability Ratio
Adjusted net profit margin4 8.79% 7.95% 7.22% 7.01% 3.96%

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-07), 10-K (filing date: 2018-02-08), 10-K (filing date: 2017-02-14), 10-K (filing date: 2016-02-17).

1 2019 Calculation
Net profit margin = 100 × Net income ÷ Revenues
= 100 × 3,468 ÷ 44,998 = 7.71%

2 Adjusted net income. See details »

3 Adjusted revenues. See details »

4 2019 Calculation
Adjusted net profit margin = 100 × Adjusted net income ÷ Adjusted revenues
= 100 × 3,950 ÷ 44,931 = 8.79%

Profitability ratio Description The company
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by total revenue. T-Mobile US Inc.’s adjusted net profit margin ratio improved from 2017 to 2018 and from 2018 to 2019.

Adjusted Return on Equity (ROE)

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Reported
Selected Financial Data (US$ in millions)
Net income 3,468  2,888  4,536  1,460  733 
Stockholders’ equity 28,789  24,718  22,559  18,236  16,557 
Profitability Ratio
ROE1 12.05% 11.68% 20.11% 8.01% 4.43%
Adjusted
Selected Financial Data (US$ in millions)
Adjusted net income2 3,950  3,436  2,916  2,631  1,278 
Adjusted stockholders’ equity3 35,088  29,955  26,961  24,262  21,451 
Profitability Ratio
Adjusted ROE4 11.26% 11.47% 10.82% 10.84% 5.96%

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-07), 10-K (filing date: 2018-02-08), 10-K (filing date: 2017-02-14), 10-K (filing date: 2016-02-17).

1 2019 Calculation
ROE = 100 × Net income ÷ Stockholders’ equity
= 100 × 3,468 ÷ 28,789 = 12.05%

2 Adjusted net income. See details »

3 Adjusted stockholders’ equity. See details »

4 2019 Calculation
Adjusted ROE = 100 × Adjusted net income ÷ Adjusted stockholders’ equity
= 100 × 3,950 ÷ 35,088 = 11.26%

Profitability ratio Description The company
Adjusted ROE A profitability ratio calculated as adjusted net income divided by adjusted total equity. T-Mobile US Inc.’s adjusted ROE improved from 2017 to 2018 but then slightly deteriorated from 2018 to 2019.

Adjusted Return on Assets (ROA)

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Reported
Selected Financial Data (US$ in millions)
Net income 3,468  2,888  4,536  1,460  733 
Total assets 86,921  72,468  70,563  65,891  62,436 
Profitability Ratio
ROA1 3.99% 3.99% 6.43% 2.22% 1.17%
Adjusted
Selected Financial Data (US$ in millions)
Adjusted net income2 3,950  3,436  2,916  2,631  1,278 
Adjusted total assets3 86,982  84,901  80,455  75,655  75,381 
Profitability Ratio
Adjusted ROA4 4.54% 4.05% 3.62% 3.48% 1.70%

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-07), 10-K (filing date: 2018-02-08), 10-K (filing date: 2017-02-14), 10-K (filing date: 2016-02-17).

1 2019 Calculation
ROA = 100 × Net income ÷ Total assets
= 100 × 3,468 ÷ 86,921 = 3.99%

2 Adjusted net income. See details »

3 Adjusted total assets. See details »

4 2019 Calculation
Adjusted ROA = 100 × Adjusted net income ÷ Adjusted total assets
= 100 × 3,950 ÷ 86,982 = 4.54%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as adjusted net income divided by adjusted total assets. T-Mobile US Inc.’s adjusted ROA improved from 2017 to 2018 and from 2018 to 2019.