- After touching what would have been a 52-week high in premarket action, Sprint (S) is off 6.7% after posting fiscal Q2 earnings where it cut losses substantially and beat expectations for profits and revenues.
- Postpaid phone churn hit a company record low of 1.37%, the seventh straight quarter of Y/Y improvement. But net postpaid phone adds of 347,000 disappointed some analysts despite doubling Q/Q.
- Total platform net adds were 740,000, which along with postpaid phone adds incorporates wholesale and affiliate net adds of 823,000, and prepaid net losses of 427,000.
- Adjusted free cash flow was $707M, vs. a loss of $100M a year ago, an $807M swing Y/Y.
- It's raising guidance on operating income for 2016, to $1.2B-$1.7B from previous expectations for $1B-$1.5B, and reiterating expectations for EBITDA of $9.5B-$10B, and adjusted free cash flow around break-even.
- Cash capex is now expected below $3B, as the company has better visibility into payment timing tied to network densification.
- Press Release