Sprint didn't post a profit this quarter, in fact, they posted an even bigger loss than a year ago which was a $151 million loss on $8.9 billion revenue. This quarter it was a $254 million loss on $8.3 billion in revenue. However the good news is that Sprint did indeed add 1.2 million customers, which is actually enough to keep them ahead of T-Mobile, by about 300,000. As many analysts had thought that T-Mobile posted a big enough quarter to take on the #3 spot, it looks like John Legere is going to have to keep dreaming about that day.
A year ago, Sprint added 967,000 customers, and this quarter it was 1.2M. So definitely a good change year-over-year. But it looks like these promotions by Sprint are hurting them. As they added about 300,000 more subscribers this quarter compared to last year, but they lost about $103 million more, and had even less revenue coming in this quarter. Sprint did lose 201,000 postpaid customers in the quarter. A huge improvement from the 693,000 lost this quarter last year. Prepaid customers made the difference here for Sprint.
On the bright side, Sprint's churn rate is positive this quarter. They didn't disclose the number, but they did say this was the first time it has been positive in over 3 years. That's great news for Sprint. Sprint also expanded their retail presence with 1,435 co-branded stores opening in the fourth quarter with Radioshack.
Sprint is also touting that their LTE network now covers about 280 million Americans, which is about 87% of the US. A pretty decent sized footprint now for their LTE network.
"I am proud of the team for successfully executing the first phase of our strategy to stop the decline in customers. We are now one quarter into the second phase, focusing on attracting more quality customers, retaining our customers through a better customer experience and continuously improving the network," said Sprint CEO Marcelo Claure. "As a result, Sprint platform net additions were the highest in nearly three years, postpaid churn dropped by 46 basis points sequentially, and the network received more awards in major markets, all of which will position the company for profitable growth."