Sprint's first quarter 2014 results show they finally turned a profit

Sprint
By Rich Edmonds on 30 Jul 2014 08:49 am EDT
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Sprint today released its earnings report for the first fiscal quarter of 2014, detailing a net income of $23 million, the best result in over seven years. The US mobile operator also confirmed that 3G network maintenance was largely complete, while LTE coverage expands to cover approximately 254 million people. Sprint had previously been struggling with new affordable plans to attract custom and forking out for upgrading 4G infrastructure.

It's safe to say Sprint is starting to turn things around. The company's EBITDA (earnings before interest, taxes, depreciation and amortization) of $1.83 billion grew by 30 percent year-on-year and the adjusted margin of almost 24 percent was the best recorded in six years. The main issue Sprint was experiencing was losing customers, which totalled 383,000 last quarter. This has been reduced to 220,000 and while it's still a sizeable figure, the amount of customers switching is at least dropping.

However, bearing the above in mind, Sprint also reports the network was able to increase postpaid gross additions by 16 percent compared to the same quarter in 2013 and retail smartphone sales almost hit 5 million. The network also added a total of 503,000 wholesale and affiliate customers during this quarter, serving over 53 million subscribers at the end of fiscal Q1 2014. As well as finances, Sprint also touches on the collection of awards obtained in the report.

Forecasting the future, the company expects calendar 2014 adjusted EBITDA to be between $6.7 and $6.9 billion. The quarterly earnings conference call will be held at 8:30am (ET) today.

Source: Sprint

Reader comments

Sprint's first quarter 2014 results show they finally turned a profit

23 Comments

There are those of us who have had horrible service with Verizon. Which is why I'm with AT&T. Then again, you will people who will say they have had horrible service with every carrier.

Posted via CB10

Wait a second. This means it's their second time in eight years. I wonder how significant that is.

Posted via CB10, BB10, Z10. Win. Win. Win.

They need to expand coverage where it is needed. I never could understand how carriers say "We cover 250/300+ million customers when there are only about 320 million people in the states. I would tend to think every person could have proper coverage. I understand that they may concentrate towers in urban areas, but rural customers pay bills too.

Posted via CB10

I switched to Sprint back in April and I have no complaints. Way better than T-Mobile here in Houston.

Posted via CB10

Wait a min so people are suggesting that they should go out and over pay for cell phone service with Verizon and AT&T? I sure hope they are deducting that extra expense off on their taxes because they have a business of their own otherwise they have a spending and debt problem. Sprint is slowly but surely turning the corner but it takes time and patience for that to happen not some overnight or over a year's worth of time unless your T-Mobile. And I hope and pray that the FCC and the DOJ throw Son's idea of a merger out the door, don't need less need more competition.

Posted via the Android CrackBerry App!

"Wait a min so people are suggesting that they should go out and over pay for cell phone service with Verizon and AT&T?"

If AT&T and Verizon's coverage is better--as is the case overall, nationally--sure.

Glad to hear they had a profitable quarter. Since I'm a customer, I'd like to see them do well, and hopefully then be able to carry more BlackBerry handsets! :) (Or at least update the one BB10 unit they do carry!)

Good to see Sprint doing well. Their coverage is good in my area, and you can’t beat their unlimited data plan.

That's your opinion. I think their current commercials are funnier than ever before.

Posted via CB10

I travel between NYC and the Los Angeles twice a month. Sometimes Chicago. Sprint's service here is awesome. They even have 4G in the Bronx. It might not be that way every where else. But I thing in major urban areas there service is great and you can't beat their pricing.

Ive been a Sprint customer for 16 years and their customer service is great and store people i deal with at the store in San Antonio are great but I did notice they dont have the Q10 in the store anymore! Pretty sad. I got my son a upgrade from his S3 to a S5 and showed the girl my Z30 and she said WOW what a nice phone what is it, I told her a BB Z30 and she said she did not know they made a phone like this, lol.

My Z30 is a Verizon but with a ATT sim in it and the coverage and signal strength is great verses Sprints but what the hell you going to do. The sim is out of my work iphone 4s so I am using it for FREE, SWEET!!!!

Sprint sucks. Not only is their service terrible, but they lie about everything. The reps at the store near me didn't even know they still sold BlackBerry phones. They then tried to get me to buy an iPhone because it's "better than BlackBerry " walked out of that store and Verizon gained a new customer. I don't mind paying a bit more for far better service and to be treated like a real person.

Posted via CB10

They want more customers... they need better coverage. I'd love to switch away from VZW, but they are the only one in my area (175K in the County) that has good coverage. AT&T is pretty good, except my house. But Sprint and T-Mobile are both very hit and miss.

I am on Sprint and coverage at home is poor. Just switched to S5 and it one of the phones that Sprint supports WiFi calling with. Unlimited minutes that do not use cellular minutes. Supposed to eventually include international WiFi calling.

Been with Sprint for like 6 years. Only has gotten better, but still not great.

Service reps are not trained. I got into a fight with a dev whom worked at a local sprint store just out of Detroit. I almost walked out of the store with no BB because I almost threw it at him