Sprint sees quarterly operating revenue above estimates
KANSAS- Sprint Corp, the No. 4 U.S. wireless carrier, estimated quarterly operating revenue above analysts’ expectations as heavy promotions helped attract more postpaid customers.
The company, majority owned by Japan’s Softbank Group Corp, said on Tuesday that postpaid subscriber additions doubled to 347,000 from the prior quarter.
Sprint said in September that demand for iPhone 7 was strong, with pre-orders nearly four times higher than a year earlier. Pre-orders also rose by a similar number at T-Mobile US Inc.
The company also estimated a postpaid phone churn, or the rate at which subscribers defect to other networks, of 1.37 percent for the second quarter ended Sept. 30, an improvement of 12 basis points from the year-earlier quarter.
Net revenue rose 3 percent to $8.25 billion, beating the average analyst estimate of $8.02 billion, according to Thomson Reuters I/B/E/S.
Sprint’s net loss fell 75.7 percent to $142 million. The latest quarter included a non-cash after-tax gain of $218 million related to certain spectrum swaps with other carriers.
The company’s shares rose 2.18 percent to $7.07 in pre-market trading. Up to Monday’s close, Sprint shares have nearly doubled this year.
Sprint is scheduled to release results on Oct. 25. -Reuters