- Sprint (NYSE:S) has moved up 22.9% on huge volume to an easy new high in the wake of its fiscal Q1 earnings report and increasing signs it's reversed course on losing subscribers.
- Nearly 50M shares have traded hands so far this morning, vs. a recent daily average of about 18M.
- Growth in postpaid subs (up 173,000, its fourth straight quarter of net adds) may not be raging, but it's growth, notes analyst Craig Moffett: "Sprint results reported today confirm that, at least in some areas, things are improving ... Most importantly, their subscriber rolls are growing, even if only modestly."
- Average billings per postpaid account rose 4% and ABPU (postpaid) up 3% Y/Y, it said. About 69% of postpaid sales were financed (44% on leasing).
- Amid pressure over its cash burn, the company pointed to $11B of liquidity. Cash capex was about $900M, vs. fiscal Q4's $1.3B and the $2.3B of a year ago.
- For the full year, Sprint guided to EBITDA of $9.5B-$10B (vs. consensus for $9.77B), operating income of $1B-$1.5B, capex of about $3B (including leased devices) and adjusted free cash flow around break-even.
- Earnings call slides