Sprint Posts Q2 2011 Quarterly Results

Tweet

Sprint has posted their Q2 2011 quarterly earnings report and it has come with some good and some bad. Unfortunately, the bad side means a reported net loss. And strangely enough, that net loss comes with news of Sprint having the “best ever postpaid churn of 1.75 percent and the lowest prepaid churn in almost six years at 4.14 percent.”

That being said, the net loss, that was $847 million. But that aside, Sprint was also noted as having some positives in terms of postpaid ARPU growth and Customer Care Satisfaction.

• Largest quarterly year-over-year postpaid ARPU growth in more than seven years; leading to quarterly sequential and year-over-year growth in wireless service revenue
• Fourteenth consecutive quarter of improvement in Customer Care Satisfaction

Otherwise, some of the highlights from the earning report include;

• For the quarter, Sprint added nearly 1.1 million net wireless customers, including net additions of 573,000 retail subscribers and net additions of 519,000 wholesale and affiliate subscribers as a result of growth in prepaid MVNOs and M2M solutions.
• Sprint lost approximately 101,000 net postpaid subscribers during the quarter, a net improvement of 127,000, or 56 percent, compared to the second quarter of 2010.
• The CDMA network added approximately 226,000 net postpaid customers during the quarter, which includes net losses of 49,000 Nextel PowerSource customers. Excluding Nextel PowerSource customer losses, the Sprint brand added 275,000 net postpaid wireless subscribers. The iDEN network lost 327,000 net postpaid customers in the quarter.
• The company added 674,000 net prepaid subscribers during the quarter, which includes net additions of 1.1 million prepaid CDMA customers, offset by losses of 475,000 net prepaid iDEN customers.

Nonetheless, while we see some positives and negatives, it sounds like Dan Hesse thinks their strategy is working.

“Sprint’s second quarter results, including our fourteenth consecutive quarter of improved customer care satisfaction, our best ever postpaid churn, more than 1 million net wireless subscriber additions and wireless service revenue growth, validate that our focus on providing simplicity, value and an unmatched customer experience is working,” said Dan Hesse, Sprint CEO.