Sprint posts smaller-than-expected subscriber loss on cheaper plans
The Sprint logo is displayed on a a screen on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., April 30, 2018. REUTERS/Brendan McDermid
(Reuters) – Sprint Corp said on Monday it lost fewer than expected mobile phone subscribers who pay a monthly bill in the third quarter, benefiting from cheaper plans ahead of a merger with larger rival T-Mobile US.
The company said it lost 115,000 postpaid phone subscribers during the quarter ended Dec 31. Analysts were expecting a net loss of 160,000 subscribers, according to research firm FactSet.
Sprint, the fourth largest U.S. wireless carrier by subscribers, is facing a multi-state lawsuit against its $26-billion proposed merger with larger rival T-Mobile US Inc.
T-Mobile and Sprint have said the merger will not lead to higher prices for consumers and would allow it to compete effectively with dominant carriers Verizon Communications Inc <VZ.N and AT&T Inc.
Net loss attributable to the company fell to $120 million in the quarter ended Dec. 31 from $141 million a year earlier.
On a per share basis, the company reported a loss of 3 cents per share, unchanged from a year earlier.
Total net operating revenue fell 6.1% to $8.08 billion, missing analysts’ estimate of $8.22 billion, according to IBES data from Refinitiv.
Shares of the company were marginally up at $4.84 in trading before the bell.
(This story corrects paragraph 7 to say revenue missed estimates, not beat)
Reporting by Neha Malara in Bengaluru’ Editing by Arun Koyyur