T-Mobile US Inc. (NASDAQ:TMUS)

Debt to Equity

The debt to equity ratio fluctuated moderately over the presented quarters. Starting at 0.94 in early 2020, it rose to a peak around 1.22 in mid-2023, and continued a slight upward trend to reach 1.44 by the first quarter of 2025. This indicates a steady increase in leverage relative to shareholder equity, suggesting a growing reliance on debt financing.

Debt to Equity (Including Operating Lease Liability)

When incorporating operating lease liabilities, the debt to equity ratio was consistently higher than the standard debt to equity ratio, beginning at 1.37 in early 2020 and reaching 1.92 by early 2025. The trend reflects not only borrowed capital but also the commitments from operating leases, with a gradual but notable increase in overall leverage.

Debt to Capital

The debt to capital ratio showed relative stability, hovering between 0.48 and 0.59 throughout the period. After slight fluctuations, it generally maintained a range indicative of moderate debt relative to total capital, with a minor upward tendency toward the later dates, signaling a cautious increase in debt within the capital structure.

Debt to Capital (Including Operating Lease Liability)

Including operating lease liabilities, the ratio was higher and more stable, largely staying between 0.58 and 0.66. This demonstrates that lease obligations contribute significantly to the capital structure and have been consistently accounted for, with a modest upward movement observed toward the end of the period.

Debt to Assets

The debt to assets ratio started at 0.31 in early 2020, increased significantly in mid-2020, and then stabilized around 0.36 to 0.39 through 2023 and into 2025, with a slight rise to 0.41 at the latest date. This implies that around one-third to two-fifths of assets were financed through debt, with a gradual increase in asset leverage.

Debt to Assets (Including Operating Lease Liability)

With operating lease liabilities included, this ratio was notably higher, fluctuating near 0.5 to 0.55, reflecting substantial lease obligations as part of asset financing. The ratio remained relatively steady with only minor variations, indicating consistent inclusion and impact of leases on asset financing.

Financial Leverage

Financial leverage showed some fluctuation but generally increased over time, moving from about 3.0 in early 2020 to a higher level of approximately 3.5 by early 2025. This rising trend points to increasing use of debt or other liabilities relative to equity, amplifying the potential returns but also the risk profile.

Interest Coverage

Interest coverage showed marked improvement across the reported periods. Data beginning in late 2020 start around 2.31 and declined below 2.0 in early 2022 before improving continuously and reaching 5.47 by the first quarter of 2025. This indicates a strengthening ability to cover interest expenses from operating earnings, reflecting enhanced profitability or lower interest costs over time.

Total Debt

Total debt displayed significant fluctuations over the periods analyzed. Starting from 27,140 million USD at the end of Q1 2020, there was a sharp increase reaching a peak of 74,998 million USD by Q2 2020. This elevated level was maintained with moderate variations throughout subsequent quarters, generally fluctuating between approximately 73,000 million and 80,000 million USD. Towards the most recent quarters, debt showed an upward trend, culminating at 87,997 million USD by Q1 2025, indicating a gradual increase in leverage over time.

Stockholders' Equity

Stockholders’ equity increased markedly from 28,977 million USD at the end of Q1 2020 to about 69,976 million USD by Q1 2022, representing strong growth over this period. However, post Q1 2022, equity levels demonstrated a downward trend, steadily decreasing to 61,105 million USD by Q1 2025. This decline suggests either increased distributions, losses, or other equity-reducing activities in the more recent periods.

Debt to Equity Ratio

The debt to equity ratio exhibited considerable volatility but generally an upward trajectory. Initially, at Q1 2020, the ratio was below 1 (0.94), indicating debt levels were slightly less than equity. Following this, the ratio increased sharply to peak at 1.19 by Q2 2020 and then fluctuated in the range of roughly 1.05 to 1.2 for several quarters. From Q1 2023 onwards, the ratio showed a pronounced increase, reaching 1.44 by Q1 2025, suggesting an increasing reliance on debt relative to equity. This rising ratio aligns with the observed increase in total debt alongside a declining equity base in the same timeframe, highlighting a shift toward higher leverage.

Total debt (including operating lease liability)

The total debt exhibited a significant increase from March 31, 2020, reaching a peak around mid-2021. Following this peak, debt levels showed some fluctuations but largely remained elevated relative to the initial period. There was a slight downward trend in late 2021 through early 2023, followed by increases in several subsequent quarters, culminating in a notable rise by March 31, 2025. Overall, total debt demonstrates a general upward trajectory with some volatility.

Stockholders’ equity

Stockholders' equity showed a pronounced increase from March 31, 2020, through the end of 2021, reaching its highest values during this interval. However, starting in early 2022, equity figures began declining steadily. This downward trend persisted through the subsequent periods, with only minor fluctuations, indicating a contraction in equity levels over the last few years, eventually declining to levels close to those observed in early 2020.

Debt to equity ratio (including operating lease liability)

The debt to equity ratio generally trended upward throughout the entire period, indicating increasing leverage. Starting at 1.37 in March 2020, the ratio climbed sharply, particularly in the first half of 2020. It stabilized somewhat around 1.5 to 1.6 through 2021 but resumed its upward movement from late 2022 onward. By March 31, 2025, the ratio reached its highest recorded level of 1.92, suggesting a growing reliance on debt financing relative to equity.

Total Debt

The total debt exhibited notable volatility over the analyzed period. Starting at approximately $27.1 billion in March 2020, it surged sharply to nearly $75 billion by June 2020. Subsequently, the debt generally fluctuated within the $73 billion to $80 billion range until the end of 2023, with a slight upward trend visible in the latter half of the period. In early 2024, total debt increased further, reaching close to $88 billion by March 2025. Overall, total debt demonstrated a significant increase from the initial value, marked by fluctuations around the $75 billion to $80 billion level in most quarters post mid-2020.

Total Capital

Total capital mirrored a somewhat similar pattern to total debt, moving from $56.1 billion in March 2020 to a peak near $138 billion by the end of 2020. After this peak, total capital stabilized, generally remaining in the range of approximately $142 billion to $146 billion during the subsequent quarters through March 2025. Although slight fluctuations occurred, the company maintained a fairly consistent capital base in the latter part of the period under review.

Debt to Capital Ratio

The debt to capital ratio started at 0.48 in March 2020 and peaked at 0.59 by March 2025, indicating a gradual increase in leverage over time. The ratio experienced an initial rise to above 0.54 by mid-2020, then stabilized around the 0.52 to 0.55 range for several quarters. From early 2023 onward, the ratio showed a more pronounced upward trend, moving steadily from approximately 0.54 to nearly 0.59 by the end of Q1 2025. This trend suggests a rising reliance on debt financing relative to the total capital of the company.

Overall Analysis

The data suggests that after an initial sharp increase in total debt in early 2020, the company's debt levels have remained relatively elevated but stable, with some gradual increases in the most recent quarters. The total capital base expanded significantly by the end of 2020, then fluctuated within a narrow band, reflecting steadiness in overall capitalization. The rising debt to capital ratio, especially in the most recent periods, indicates growing leverage, which might impact financial risk profiles. The stable total capital juxtaposed with increasing debt implies that debt growth outpaced any increases in equity or other capital components during the latter stages of the timeline.

The data indicates the company's debt and capital structure over a series of quarterly periods from March 2020 through March 2025. Several trends and patterns are observable in the reported values.

Total Debt (including operating lease liability)

The total debt exhibits a notable increase from March 2020 to June 2020, jumping from approximately $39.8 billion to $94.6 billion. Following this sharp rise, the debt remains relatively stable with minor fluctuations, hovering in the range of approximately $104 billion to $112 billion through the end of 2023. In the quarters of 2024 and early 2025, the debt sees some variability but generally trends upward, reaching approximately $117.3 billion by March 2025. This suggests a period of heightened leverage beginning mid-2020, followed by sustained elevated debt levels with gradual incremental increases toward early 2025.

Total Capital (including operating lease liability)

Total capital follows a similar pattern of a steep increase early in the timeline, rising from about $68.8 billion in March 2020 to $157.6 billion in June 2020. Post this increase, total capital remains relatively steady, fluctuating in the range mostly between $172 billion and $179 billion through the end of 2023. Subsequently, in 2024 and into early 2025, capital shows slight fluctuations but generally maintains a consistent level around $172 billion to $178 billion. This stability suggests that capital structure adjustments principally occurred during the early phase, with relative stability afterward.

Debt to Capital Ratio (including operating lease liability)

The debt to capital ratio starts at 0.58 in March 2020 and increases to a peak of around 0.66 by March 2025. The most significant increment occurs abruptly between March 2020 and June 2020, from 0.58 to 0.60 and climbing slightly thereafter, generally oscillating around 0.61 to 0.64 for the majority of the subsequent quarters. A gradual upward trend is evident in 2024 and into early 2025, indicating a growing reliance on debt relative to capital. The ratio remaining above 0.60 over most periods signals that debt consistently constitutes a significant portion of the company's capital structure.

In summary, the company experienced a substantial increase in both debt and total capital in mid-2020, after which both metrics stabilized at high levels. The consistent debt to capital ratio above 0.60 throughout most of the period, gradually rising toward 0.66, underscores an increased leverage position over time. This trend implies a financing strategy that involves significant use of debt, maintained consistently across the observed periods with slight upward pressure in recent quarters.

Total Debt

The total debt exhibits considerable fluctuations over the period presented. Initially, the debt rose sharply from $27.14 billion at the end of Q1 2020 to a peak of approximately $75 billion in Q2 2020. Following this, the debt level showed moderate volatility, generally maintaining values between $73 billion and $80 billion through to early 2024. In the later periods, a noticeable upward trend is observed, culminating in a significant rise to nearly $88 billion by Q1 2025. This increase suggests either increased borrowing or refinancing activities towards the end of the timeline.

Total Assets

Total assets displayed a steep increase in the first half of 2020, nearly doubling from approximately $87 billion to $187 billion between Q1 and Q2 2020. After this rapid increase, asset values stabilized around the range of $200 billion to $210 billion for the majority of the periods. The figures remain mostly consistent with modest fluctuations, ending with a value slightly above $214 billion in Q1 2025. This stable asset base indicates steady investment or acquisition activity after the initial surge.

Debt to Assets Ratio

The debt to assets ratio rose from 0.31 at the start of 2020 to around 0.40 by Q2 2020, reflecting the sharp increase in debt relative to assets during that period. Subsequently, the ratio declined slightly and fluctuated between 0.35 and 0.39 over the next several years, suggesting proportional changes in debt and asset levels. Towards the end of the timeline, the ratio climbed again, reaching 0.41 in Q1 2025, indicating that debt is increasing at a faster rate than assets in the most recent periods.

Overall Trends and Insights

The data reveals a significant leveraging event in Q2 2020, followed by a period of relative balance between debt and assets with stable ratios around the mid to high 30-percent range. The recent upward trend in both total debt and the debt to assets ratio signals a strategic shift, potentially involving increased capital raising or financing. Asset levels have remained largely stable post the initial surge, which suggests consistent asset management or limited large-scale acquisitions. The rising leverage ratio towards the end of the period warrants close monitoring as it may impact financial risk and capital structure decisions.

Total Debt (including operating lease liability)

The total debt shows a substantial increase from March 31, 2020, to June 30, 2020, nearly doubling from approximately 39,791 million USD to 94,649 million USD. Following this sharp rise, the debt levels remained relatively stable with minor fluctuations around the 100,000-110,000 million USD range. The highest value within the observed period was recorded at March 31, 2025, reaching approximately 117,276 million USD. This indicates a notable increase in debt over the full period, with short-term variations but an overall upward trend toward the end.

Total Assets

Total assets more than doubled from 87,226 million USD in March 31, 2020, to around 187,199 million USD by June 30, 2020, suggesting significant asset acquisition or revaluation during this early interval. Post this initial surge, assets grew gradually and remained largely stable, fluctuating in a narrow band between approximately 200,000 million USD and 214,633 million USD through to March 31, 2025. This indicates consistent asset base maintenance with minor adjustments in subsequent quarters.

Debt to Assets Ratio (including operating lease liability)

The debt to assets ratio started at 0.46 in March 31, 2020, reflecting a moderate leverage position. It increased sharply to 0.51 by June 30, 2020, coinciding with the spike in total debt. Over the following quarters, this ratio has shown relative stability, oscillating narrowly between approximately 0.51 and 0.55. The highest ratio was observed at March 31, 2025, at 0.55, indicative of slight increases in leverage. The consistency of this metric within a limited range suggests controlled management of debt relative to assets despite the high absolute debt values.

Overall Analysis

The data reveals a significant expansion in both debt and assets early in the analyzed period, implying major financing or investment activities. Despite the increase in absolute debt, the debt to assets ratio remains fairly steady, indicating proportional growth in assets to support the liability load. The gradual rise in total debt alongside relatively constant assets toward the period end signifies a mild increase in financial leverage, which could affect risk exposure. While this steady leverage points to disciplined financial management, the high level of debt warrants ongoing monitoring.

Total Assets

The total assets exhibit significant growth from March 2020 to December 2020, more than doubling from approximately 87.2 billion to 200.2 billion US dollars. From the beginning of 2021 onwards, total assets generally remain stable with slight fluctuations around the 200 billion mark. There is a mild volatility between quarters, but no clear upward or downward trend is notable after 2020. Towards 2025, total assets appear to show a modest increase again, reaching around 214.6 billion US dollars in the last quarter reported.

Stockholders’ Equity

Stockholders’ equity also rose sharply from March 2020 through to December 2020, increasing from about 28.9 billion to 65.3 billion US dollars. Post-2020, equity levels stabilize with minor ups and downs, generally staying between 61 billion and 70 billion dollars. Notably, equity declines gradually from early 2023 through to 2025, dropping from approximately 67 billion to around 61 billion by the first quarter of 2025, which may suggest increasing liabilities or share buybacks affecting net equity.

Financial Leverage

The financial leverage ratio remains relatively steady throughout the period, fluctuating narrowly around the 3.0 mark initially. There is a slight upward trend starting from early 2023, with the ratio rising from 3.14 to 3.51 by the first quarter of 2025. This indicates a gradual increase in leverage, implying a higher proportion of debt relative to equity over this period, which aligns with the observed decline in stockholders’ equity while total assets remain relatively stable or slightly increase.

Earnings before interest and tax (EBIT)

The EBIT figures exhibit significant volatility in the early periods, with a notable decline from 1,529 million USD in March 2020 to a low of 625 million USD in June 2020, followed by a recovery to 2,466 million USD by September 2020. After this recovery, EBIT fluctuated, peaking again at 2,749 million USD in December 2022. From December 2022 onwards, there is a clear upward trend, with EBIT increasing steadily each quarter, reaching 4,754 million USD in March 2025. This indicates improving operational profitability over the most recent periods.

Interest expense, net

Interest expense remained relatively stable throughout the entire period, ranging roughly between 790 million USD and 916 million USD. There is no strong upward or downward trend; instead, interest expense shows minor fluctuations quarter-to-quarter, suggesting consistent financing costs or debt levels during this timeframe.

Interest coverage ratio

The interest coverage ratio was not available for the earliest periods but begins at 2.31 in September 2020. It then follows a downward path, declining to 1.43 by December 2021, indicating decreasing ability to cover interest expenses during that period. Starting in March 2022, the ratio improves substantially, rising to 3.36 and continuing an upward trajectory each quarter, reaching 5.47 by March 2025. This trend reflects enhanced earnings relative to fixed interest obligations and likely signals strengthening financial stability and lower risk from leverage in the most recent years.