Sprint posted their Quarterly results for the 3rd quarter and the numbers aren't pretty. We're looking at a loss of $326 million on $8.8 billion in revenue and a loss of 1.3 million subscribers. For those of you keeping score:
- Quarter 4, 2007: loss of $29.5 Billion (with a 'B,' but that was because of their Nextel write-off) and 683k subscribers.
- Quarter 1, 2008: loss of $253 million and 1.09 million subscribers
- Quarter 2, 2008: loss of $344 million and 900k subscribers
- Quarter 3, 2008 (now): loss of $326 million and 1.3 million subscribers.
Hesse put a positive spin on things, naturally, by noting that Sprint has managed to maintain cash reserves ($4.1 billion) by managing their business operations. He also claimed that customer service has improved. Although we're fond of suggesting that Sprint be put on a deathwatch, it is worth noting that they still have just over 50 million total subscribers, so we'll hold off on that for now.
How did Sprint manage to free up so much cash? Well, first they sold off their towers and then leased the service and then they created a separate Clearwire company (a plan that's been fully approved) to handle their next-gen WiMAX network rather than incur the infrastructure costs directly. In all, it does mean that Sprint can be rather nimble in their future decisions. Here's a thought, though: could it also mean that they're an easier takeover target if things go really south?