Sprint Corp (S. N) on Tuesday swung to a quarterly profit for the first time in three years as the No. 4 U. S. wireless carrier slashed costs and added subscribers.
NEW YORK (Reuters) – Sprint Corp (S. N) on Tuesday swung to a quarterly profit for the first time in three years as the No. 4 U. S. wireless carrier slashed costs and added subscribers.
Shares rose 3.3 percent to $8.24 in premarket trading.
Sprint said it cut expenses by about $370 million in the quarter and that it expects an additional $1.3 billion to $1.5 billion of year-over-year reductions in fiscal 2017.
The company, majority owned by Japan’s SoftBank Corp (9984. T) , said net income was $206 million, or 5 cents per share in the first quarter ended June 30, compared to a loss of $302 million, or 8 cents per share, a year earlier.
Net operating revenue was $8.16 billion, up from $8.01 billion.
Analysts, on average, expected a net loss of 1 cent per share on revenue of $8.11 billion, according to Thomson Reuters I/B/E/S.
Sprint added 88,000 subscribers who pay a monthly phone bill, the industry’s most valuable customers, compared to 173,000 net additions in the year-earlier period.
