Sprint records loss in second quarter
31 July 2013 | Natasha Culzac
US operator Sprint Nextel has reported an operating loss of $874 million and a net loss of $1.6 billion in the second quarter of this year.
Despite the fall, its subscriber figures and profit forecast both increased, as the company goes through a transition period following Softbank’s majority acquisition of the company.
As the Financial Times reports, its improved profit outlook could in part be due to confidence in its Network Vision network upgrade project.
The losses, however, were mainly attributed to the costs for shutting down its Nextel network.
Dan Hesse, chief executive, said: “This is a historic time for Sprint. We recently shut down the Nextel platform and completed the Clearwire, SoftBank and US Cellular transactions.”
In stark contrast, yesterday saw Sprint’s parent company, SoftBank, report a 50% profit increase compared to last quarter.