Earnings: Sprint Nextel Posts $344 Million Loss; Customers Numbers Improving

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imageSprint (NYSE: S) Nextel reported Q1 net operating revenues of $9.05 billion, down 11 percent from the $10.2 billion reported in the same quarter a year ago. The struggling carrier lost $344 million, or 12 cents a share, compared to a profit of $19 million, or 1 cents per share, year-on-year. Revenues missed analyst expectations which were forecast at $9.17 billion.

Sprint’s wireless unit saw revenues drop to $7.7 billion, a 12.5 percent decline from $8.8 billion a year ago. But the carrier has managed to at least slow the number of customers leaving the network. While Sprint lost 901,000 subscribers, including 776,000 post-paid customers and 250,000 prepaid users, this was down from Q1

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Dianne

Hi there–you know to be fair to the Sprint guys, I don't think they actually do call it an MVNO. And yes, it is a wholly owned subsidiary. From now on, I'll make sure to call it their youth brand.

PrepaidWirelessGuy

It still amazes me that even some Sprint execs talk about Boost as an MVNO. My definition, it is a wholly owned subsidiary and not an MVNO. This distinction is more than semantics, for the business model is very different, and is not subject the same woes that MVNOs have. And we have seen how MVNOs have been struggling and exiting the market over the past couple of years.

Cheers,
PrepaidWirelessGuy
http://www.prepaid-wireless-guide.com

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