Sprint posts strong quarterly results
Sprint, the nations's third largest carrier, posted one of its best quarterly results in the past five years and for the first time since the second quarter of 2007, actually added to its postpaid subscriber base. The net additions amounted to 58,000 postpaid subscribers in the last quarter of the year.
The carrier also managed to keep its existing subscribers with 1.86% churn rate, its best Q4 result ever. Wireless subscriber additions were also one of the highest for the last five years. Sprint beat estimates for free cash flow by a significant margin ending the quarter with $913 million. All this instantly translated into 5% increase in pre-market trading.
The outlook for the next quarter and year is positive, but depends on a number of factors. First one that comes to our mind is the $10 premium Sprint now charges its customers for data. The reception of this increase along with the launch of the Kyocera Echo, which struck with its unordinary dual-screen set-up would be decisive for the carrier. Sprint still hasn't announced a dual-core handset like the rest of the carriers in the top 4, which of course doesn't mean much. Full press release and all the figures in the source below.
1. Socalvenom (unregistered)
I"v been with sprint for two years and the service couldn't be better but all these fees are scaring existing customers or potential new ones away. Even if you don't have a 4g phone to be charged a $10 fee for " Network Improvement " or at least that's what a Sprint rep told me is kinda dumb, but hey look at it this way everything's expensive in this country even toilet paper one used to wipe ones ass. So that said I still believe that on a 2 year contract Sprint is still the cheapest and you get more features then anyone else.
9. downphoenix (Posts: 2232; Member since: 19 Jun 2010)
This is a valid point, but at the same time AT&T and Verizon typically charges their smartphone users more than their non smartphone users, I dunno if T-Mo operates that way as I dont keep up with them much, but Sprint is simply making the 10$ for devices other than 4G devices, which is a more consistent stance. People are gonna complain about it, people always complain when there are price increases, but most sane people will forgive and forget within a few months, also even with the 10$ increase its still cheaper than at&t and verizon and is unl unlike AT&T, Sprint is just positioning itself for better profitability off their smartphone users without any significant churn.
10. Socalvenom (unregistered)
true and another point that some people have stated on here is that Sprint being as cheap as they are needs more phones as of right now only the Evo and Epic are the only contenders for the company the Evo shift I will leave out since in my opinion is a fail! but if Sprint would use some of their money and release some phones like the LG Optimus 2X or Bionic then I guaranty More people would switch to Sprint and by doing so Sprint would make a bigger impact.
2. halcyoncmdr (Posts: 19; Member since: 04 Feb 2009)
As of 130 that $10 Premium Data add-on is required on all smartphones activated. Existing customers are grandfathered, but if they switch to a different smartphone then the extra $10 is required.
3. remixfa (Posts: 13902; Member since: 19 Dec 2008)
sprint is not the cheapest. Tmobile is. Its nice to see that Dan has been able to turn the company around finally. Competition is good for all.
7. jbash (Posts: 339; Member since: 07 Feb 2011)
not when you factor in tmobile's navigation and tv services, which come with the sprint's service
12. Sublime22 (Posts: 4; Member since: 01 Jan 2010)
Tmobile's $79.99 500 minute unlimted text and data is the same price as Sprint's 450 minute unlimted text and data. Minus the unlimted cell phone calling (any carrier). How is that cheaper?
16. Socalvenom (unregistered)
You can't say T-mobiles cheaper with out stating and comparing the facts as they stand, yes for the same $80 price you get 500 minutes and unlim text & web 3g or 4g but it's not really unlim web T-mobile cabs you at 5GB, you only have 500 minutes to talk while you do have mobile to mobile but lets face it not everyone we talk to used T-mobile. No nights starting at 7pm or features like Mobile tv, Gps and what not, but I guess that's only if you care about those features to begin with. Sprint you get all of that plus Sprint has a bigger network we do pay $10 for 4g but Im cool with it considering I have free features and Im not capped for my 4g I"v had my Evo for six or seven months now and I always use Pdanet to go online Every month I"v used between 12gb or 25 so it's work it and here in LA My usual speeds are 4.5 to 7 down and 1 to 1.7 up its worth every cent.
19. Alex (unregistered)
Yeah the 79.99 plan has 1500 minutes, not 500. Also the tethering plan is a lot less (I believe $15/month) Not to mention if you have a cell phone and you want a data stick on your plan as well you can get one for pretty cheap with unlim data, whereas sprint caps you at 5gb on a data stick (unless you use 4g, which for most people is not available) T-Mo family plan wins too with 149.99/month for 3000 mins, unlim text and web, and $25/month to add a smartphone and $5/month to add a basic phone w/o data (but with text and talk). Sprint family plan is 1500 mins at 149.99/month and $30/month to add a smartphone and $20/month to add a basic phone. Also, I would prefer to actually have HSPA+ than to have a phone that could theoretically access WiMax, but will rarely ever have a chance to take advantage of that capability. Also if you text less than 1000 times a month you can get AT&T for $75/month with 2GB of data and 450 rollover minutes. Not a bad deal, considering.
4. Slammer (Posts: 817; Member since: 03 Jun 2010)
What people fail to realize, is Sprint has had to do something to increase their profits. While I was not a proponent in the 10 dollar across the board increase for smartphones, I applaud the fact they are keeping the cap off data. This is a huge expense for a carrier. Raising the smartphone fee, is a small price to pay to ensure peace of mind from overages.
This news is long awaited. Dan and his team have been the most aggressive management staff in the wireless industry. Their quest to prove that Sprint is extremely viable, is not to be taken lightly.
They have always been in a position that if they lower rates, people perceive them as cheap and desperate. If they raise rates, they are looked at as being thieves.
As a long time subscriber in the wireless industry for 23 years with many carriers, I can honestly say that Sprint gives alot of bang for the buck. Many that have recently switched to Sprint, are realizing the huge improvements they have made.
Again, this is great news on the recovery of great carrier. Now all they have to do is fix their marketing. It is not their strong area.
5. belovedson (Posts: 821; Member since: 30 Nov 2010)
I enjoy sprint very much, especially the epic. I really don't need a dual core phone. Just a faster network, better battery life, and my lovely grandfathered sero 500 4g or whatever it's called deliciousness
6. Someone important (unregistered)
Hello folks, Sprint has the 2nd best network in the country period! and the Cheapest family data plans in the industry, even cheaper then t-mobile. 2 or more smart phones on a family plan cant be beat! Sprint has been offering a great price, its only fair based on the sky rocketing data use by customers to increase the price of that use. If you use more minutes you have to raise your plan right??? well data is not any different! The customer service is great and the phones are great! does anyone even know what dual-core means? lol
8. snowgator (Posts: 3159; Member since: 19 Jan 2011)
Sprint needs to stay in the same conversation with the big two to continue to grow. So in that regard, they have to come out with a dual core processor. In the short run, I am really doubtful it will make that much of a difference over some of these processors out already, but you cannot move up in this industry becouse of one good quarter. I am very impressed with Sprints performance, and hope they get 2-3 new phones not named Echo befor the summer buying season.
11. Slammer (Posts: 817; Member since: 03 Jun 2010)
The Epic is such a great phone. But I hate it. I bought one for my Wife. She hasn't been able to put it down. I hate it because I bought her a laptop for Christmas with a Sprint aircard and now paying for something she very rarely uses. She uses the Epic instead. I hate that phone!
13. yungmel0 (unregistered)
I've been with Sprint since June and I must say I enjoy all the services they offer. They have improved in almost every way possible and has come a long way since 2006 since I've first joined them. But if they honestly want to come compete with Verizon and At&t in the race for subscribers they will have to bring more attractive hardware to the party. The Evo and Epic are holding their ground but with Verizon bringing the Thunderbolt and now getting the IPhone 4 with At&t. I think its time to take the gloves off and bring out the big guns. Especially after that Kyocera failure!!!!!!
14. depeche (Posts: 60; Member since: 04 Feb 2011)
Sprint has done a good job. Moving forward they need to start pushing out some stellar devices to replace the EVO and the EPIC.
Recently, most Sprint Branded ANDROID devices have had a physical keyboard weighing it down.
I would like to see a Palm/HP Pre 2 & Pre 3 offering.
Was really shocked me, is that, they did not offer more then one device in their last major announcement and to put all your hopes in one phone from a company that has a pretty bad existing phone is unbelievable.
I have been with Sprint for a couple of years and have enjoyed their line up and their pricing plans. With the $10.00 increase, the Sprint phone I choose in the future had better live up to the new expectation.
There are always options, and I have been with both T-Mobile AND Verizon-wireless.
It seems this time of year is when Sprints line up dries up with limited offerings...
20. Alex (unregistered)
Yeah, I agree that the slide-out keyboards can sometimes weigh down a phone, but it is nice that sprint has both slideouts and touch screen only phones on 4g, especially if you look at AT&T's 4g lineup. You have the inspire and atrix, both without a keyboard, and their third 4g phone will be a samsung without a keyboard. I am left wondering if they even stopped to wonder whether any of their customers might be interested in a 4g android device with a slideout keyboard. 1 out of 3 woulda been nice.
15. Kev Ross (unregistered)
The 10 fee might turn people off to an extent but its needed. Think of it as a 2 lane highway. If we put cali rush hour traffic on that compared to the many lanes they have, wont it get wore down? Wont it need fixed? Thats my point, with increased traffic of smart phone users now and what it will be in the future, its needed to fix and widen that road to accomidate traffic. I totaly agree we need a few new 4g phones that would help boose the moral for sprint overall.
17. davidsmith1975 (unregistered)
i just came back to sprint from tmobile. got a 15% discount on plans so my monthly bill is $75. the 79.99 everything plan is still competitive even though its 10 bux more.
18. JR (unregistered)
I have been with sprint for about 8 years and have always been satisfied with their customer service and cell phone plans. I am not too happy about the extra $10/mo for data and very unhappy about needing to pay for 4G when it is not in my area. The changes in the Premier Accounts are also making me unhappy. But, the biggest thing I am getting mad about is the lack of new phones for this year. I have the Hero and have been waiting to upgrade, but am hesitant to get the Evo. I have a few weeks until they kick me off the premier accounts and I lose my yearly upgrade. Does anyone have any recommendations? If I get the Evo the extra charges would push me into the new Premeir level for the yearly upgrade, but is it worth it?