Categories AlphaGraphs, Earnings, Technology

Earnings: Sprint Corp. slips to loss in Q1; revenue beats

Telecommunications firm Sprint Corporation (NYSE: S) reported a net loss for the June quarter, compared to profit last year. The results came in above analysts’ estimates and the company’s stock was up during Friday’s pre-market session.

Sprint Corp. (S) slips to loss in Q1; revenues unchanged

The Overland Park, Kansas-based company reported a net loss of $111 million or $0.03 per share for the first quarter, compared to a profit of $176 million or $0.04 per share in the corresponding period of last year. Analysts were looking for a slightly wider loss.

Net revenues were broadly flat $8.14 billion. The top-line, however, topped the expectations. Postpaid net additions were 134,000 during the quarter. Total wireless service revenue declined 3% annually.

Net Additions

Net additions of 262,000 in data devices were partially offset by net losses of 128,000 in the phone segment. Postpaid gross additions in digital channels climbed about 50% year-over-year. Meanwhile, average postpaid accounts were broadly unchanged year-over-year.

Also see: Verizon Q2 profit beats Street view on wireless strength

“While we delivered good results in the first quarter relative to expectations, the business still faces several structural headwinds and I remain convinced the merger with T-Mobile is the best outcome for our customers, employees, industry and all stakeholders,” said Sprint CEO Michel Combes.

T-Mobile Merger

During the quarter, the company launched voice-to-digital tools that allow customers calling with specific issues to use a digital self-service option The management said it expects to obtain the FCC’s approval for its planned merger with rival telecom firm T-Mobile (TMUS) in the near term.

Related: Uncertainty looms over T-Mobile-Sprint merger

Shares of Sprint hit a two-year high last month, after gaining 19% since the beginning of the year. In the past twelve months, they grew 28%. The stock closed the previous session lower.

We’re on Flipboard! Follow us to receive the latest stock market, earnings, and financial news at your fingertips

Most Popular

Earnings calendar for the week of June 14

Latest economic data evoked mixed sentiment this week -- the rebound in economic activity has raised inflation concerns while jobless claims declined for the sixth week in a row. The

GameStop (GME) Earnings: Q1 loss narrows on 25% sales growth

Video game retailer GameStop Corp. (NYSE: GME), which has become the talk of the town after the unprecedented stock rally in recent weeks, reported a narrower loss for the first

Should you invest in Steel Dynamics (STLD) stock after 78% rally?

The steel industry managed to shrug off the pandemic blues earlier than expected as the recovery in industrial activity pushed up demand. With the vaccination drive and the government’s aggressive

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top