Sprint reported wireless service revenue of $7.1 billion for its Sprint platform network, up nearly 9 percent year-over-year. Consolidated net service revenues of nearly $8 billion were flat year-over-year as Sprint platform growth offset declines in Nextel platform and Wireline revenues. Operating income for the quarter was $29 million as compared to a loss of $255 million in the year-ago
period.
“This is a transformative year for Sprint and we’ve gotten off to a good start,” said Dan Hesse, Sprint CEO. “Record Sprint platform service revenue and subscriber levels fueled our performance. We achieved significant Adjusted OIBDA growth while investing heavily to improve our network, expanding our 4G LTE footprint and offering customers the best smartphones with truly unlimited data plans.”
Some highlights from Q1:
- The company’s Network Vision deployment is on track. To date, there are more than 13,500 sites on air compared to more than 8,000 reported on Feb. 7. The number of sites that are either ready for construction, already underway or completed has grown to more than 25,000.
- Sprint’s LTE network is now operational in 88 cities, including newly launched Los Angeles, Boston and Charlotte, N.C.. The company expects that 4G LTE will be available in more than 170 additional cities in the coming months.
- At the end of Q1, there were 53,896,000 subscribers on the Sprint platform, up by 356,00 for the quarter.
- At the end of Q1, there were 1,315,000 subscribers left on the Nextel network. Sprint captured about 46% of exiting Nextel customers in Q1.
- Sprint platform prepaid net adds of 568,000, including 67,000 subscribers recaptured from the Nextel prepaid platform
- The Nextel network will be deactivated on June 30.
- 86% of quarterly Sprint platform postpaid handset sales were smartphones, including more than 1.5 million iPhones sold during the quarter. Forty-three percent of iPhone sales were to new customers.
- Postpaid ARPU on the Sprint platform was $63.67 for Q1.