On Tuesday, Sprint (S) reported a narrower quarterly loss and boosted its guidance for the year. Investors liked the news, sending S stock up about 7% in morning trading.
S stock gained after the nation’s third-largest wireless carrier posted a first-quarter loss of $151 million, an improvement over the loss of $643 million in the prior-year period. EPS showed a loss of 4 cents, better than the 9-cent loss analysts had expected. Sprint said it generated revenue of $8.88 billion during the quarter. That exceeded the $8.79 billion that analysts had anticipated, the Wall Street Journal noted.
S also increased its outlook for the year. Sprint now expects adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) of up to $6.9 billion. S had previously estimated 2014 EBITDA of up to $6.7 billion, Bloomberg said.
During the quarter, S said it lost a total of 221,000 contract subscribers, and 364,000 pre-paid customers. However, it added 281,000 wholesale, affiliate or partner customers and 516,000 tablets, CNET notes.
On Monday, S stock closed at $7.43 per share. Japan’s SoftBank owns 80% of Sprint.
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