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Sprint/Nextel reports 4th quarter earnings

nextel18

Feb 22, 2006, 7:46 AM
wireless unit:

arpu= $63
data arpu= $6
churn= 2.1%
total net adds= 2 million subscribers
746,000 postpaid
624,000 prepaid (boost)
and 651,000 wholesale channels

boost's arpu and churn= $37 and 4.6%

total wireless as of end of 2005= 47.6 million

for 2005= net adds are 6.8 million consists of 3.4 million on post paid and 1.5 million under boost mobile (prepaid) and the rest under wholesale channels.

nextel partners also did well with adding 105,000 net adds and 2 million for the year 2005. they are obviously being bought out by sprint/nextel and will close this year. antitrust already have approved the deal. sprint also bought out other affiliates in 2005. power vision was a huge success covering more then 150 million p...
(continues)
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nextel18

Feb 22, 2006, 8:36 AM
13.5 million data subs overall and there are already 250,000 power vision users.

ev-do already covers 150 million pops and will continue in the 2006 period.

data arpu as mentioned before was an industry leading $6.
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nextel18

Feb 22, 2006, 8:37 AM
the parties;

timewarner, sprint/nextel, comcast, brighthouse and cox communications.

market launch= 2nd half of 2006.

20 yr agreement with 3 years of exclusivity.
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nextel18

Feb 22, 2006, 8:40 AM
4.6% churn

624,000 net adds.

arpu= $37.

total on boost= 2.5 million subscribers and that is up 126% from last year 2004.
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texaswireless

Feb 23, 2006, 4:31 AM
Brighthouse?

I know Brightpoint signed a deal. Is Brighthouse a seperate company from them?
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dca

Feb 23, 2006, 11:02 AM
Nah, Brighthouse is a smaller TimeWarner cable-style company...
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BDGP

Feb 22, 2006, 1:05 PM
Only 746,000 new post paid customers - that's very disappointing.

http://today.reuters.com/investing/financeArticle.as ... »
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nextel18

Feb 22, 2006, 1:18 PM
they are doing great in their prepaid units at an arpu of $37 which is about half of their $68 so they are doing quite fine.. also their wholesale unit at a much lower arpu is doing well too. 2 million is very good for the quarter.


they could do better on the postpaid, but their other units are doing very well to offset that post paid not so great number.

their metrics are extremly good, and power vision on their ev-do system is extremly popular becuase they got 250k people signed up in 60 or so days.

they could do better, but they did very good at the 2 million and that is a very good number against the pack.
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bulldude

Feb 22, 2006, 3:29 PM
I dunno, I know I'm a fanboy of VZ and all. Mixed bag. 2 million is great. They really did very well this quarter. Their mix of subs is drifting away from postpaid, however. Lower quality sub, $$-wise and churn-wise. Still a great haul for the 4Q. Hopefully they can continue the momentum for next year.
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storm99

Feb 22, 2006, 4:17 PM
The addition of 746,000 post paid customers is certainly a signal from people that Sprint has to first provide the service by adding cell tower antennas along more that must highway intersections and to where people live and travel.
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storm99

Feb 22, 2006, 4:18 PM
Just take after carriers like Verizon, Alltel, and Cingular and that expanded footprint can bring suprising results.
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nextel18

Feb 23, 2006, 11:41 AM
well they all must do that in order to improve on their results.
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nextel18

Feb 23, 2006, 11:40 AM
well as mentioned they did great for overall net adds and some of the other metrics, but they could improve their postpaid numbers. yes, their prepaid is lower arpu but at $37 isnt too bad becuase that is close to many of the other carriers' postpaid arpu. (sprint's arpu is in the high $60's so its not too far off from the postpaid, although it is highier then it)

you need all of these segments to do well in this market that is being close to 75% penetration rate. prepaid is another good source of revenue and they have one of the best especially when it comes to the metrics.
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