US Cellular registered 28,000 postpaid handset net losses during the first three months of this year. Against a total of 1,000 postpaid phone net additions for Q1 2017, the wireless carrier recorded 27,000 postpaid net losses for the quarter. The 28,000 postpaid handset net losses represents a significant setback for US Cellular, considering that the figure is far worse than the 5,000 handset net losses it posted during the same quarter one year ago.
There is more bad news on the prepaid side -- US Cellular reports a loss of 4,000 subscribers for the first quarter of 2017. Things were better the previous year when the mobile operator had added 12,000 subscribers in the same quarter.
Earnings-wise, the company reported $936 million in revenue for Q1 2017. This figure, however, missed the $955.2 million projected by Wall Street analysts. US Cellular’s service revenue also suffered a decline during the most recent quarter, decreasing 3 percent to $746 million as compared to the service revenue reported in the first quarter of last year. The carrier also saw its equipment sales revenue drop 4 percent to $190 million.
Still, there is some positive news. The $0.18 per share earnings US Cellular recorded for the first three months of 2017 did manage to surpass the $0.11 per share estimated by analysts. The fifth biggest wireless carrier in America also was able to lessen its customer turnover rate, reporting a handset churn of 1.08 percent for Q1 2017, which is better than the 1.18 percent handset churn it posted for Q1 2016. Postpaid churn for the quarter is at 1.29 percent, remaining the same compared to last year’s first quarter.