Sprint posts its best-ever profit ahead of T-Mobile merger
Sprint has posted its highest-ever profit ahead of the company’s merger with T-Mobile. Despite facing tough competition from Verizon, AT&T, and its future partner T-Mobile in recent years, Sprint has defied odds in its 2017 earnings report by posting the best financial results in the company’s history.
2017 saw Sprint add a total of 606,000 postpaid subscribers, which also marks the company’s third year in a row of adding postpaid customers and is also a six-year high. Of this amount, a total of 55,000 were added in the fourth quarter of the year. In addition, the company also managed to add 170,000 pre-paid customers during the same period, which is largely attributed to its Boost Mobile brand. On the financial side of things, Sprint’s 2017 fiscal year saw an operating income of $2.7 Billion, of which $236 Million is related to Q4 2017, and a record-high net income of $7.4 Billion – this is also the first time the company has reported its net income in over 11 years.
Sprint also made note of its recent cost-cutting initiatives, which totaled $1.1 Billion in year-over-year savings in the fiscal 2017 year and improved the company’s free cash flow significantly, with it now sitting just under $1 Billion, at $945 Million. In addition, the figure also brings the total savings over the past four years to $6 billion.
2017 saw Sprint add a total of 606,000 postpaid subscribers, which also marks the company’s third year in a row of adding postpaid customers and is also a six-year high. Of this amount, a total of 55,000 were added in the fourth quarter of the year. In addition, the company also managed to add 170,000 pre-paid customers during the same period, which is largely attributed to its Boost Mobile brand. On the financial side of things, Sprint’s 2017 fiscal year saw an operating income of $2.7 Billion, of which $236 Million is related to Q4 2017, and a record-high net income of $7.4 Billion – this is also the first time the company has reported its net income in over 11 years.
The results of the company’s 2017 fiscal year are certainly impressive and are perhaps better than many would have expected. And, considering the company’s upcoming merger with T-Mobile, it appears the combined duo may be better prepared at taking on the likes of Verizon and AT&T than initially expected, especially with 5G technology just on the horizon.
source: Sprint
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