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US Cellular Bounces Back by Gaining 19,000 Postpaid Net Phone Customers in Q2 2017

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During the first three months of this year, US Cellular lost 28,000 postpaid net phone customers. But in the second quarter, the fifth biggest carrier in America was able to bounce back by registering 19,000 postpaid net phone additions. The company managed to gain 4,000 net postpaid connected devices, while decreasing its customer turnover to 0.91 percent. They also added 3,000 prepaid customers, increasing the total number of prepaid customers to 484,000.

As explained by Ken Meyers, the chief executive officer of US Cellular, the gains in postpaid net phone customers and the improved churn can be attributed to the launch of unlimited plans back in February early this year. Meyers explained that the unlimited data option (introduced as part of US Cellular’s Total Plans) have contributed immensely in attracting new sign-ups.

Earnings-wise, US Cellular was able to meet profit expectations set by analysts from Wall Street. Its adjusted earnings of 17 cents per share were consistent with what three analysts had earlier projected (as surveyed by Zacks Investment Research). Despite the fact that the mobile operator was able to post total operating revenues of $963 million in Q2 2017, that figure though represented a decrease from the $992 million it recorded during the same quarter one year ago.

According to Meyers, recent cost reduction initiatives had played a significant role in driving cash expenses down in the second quarter for US Cellular. Also, decreased roaming rates and the ongoing inflow of customers availing of equipment installment plans have helped keep costs manageable, even though the volume of data traffic the carrier is handling has risen 51 percent year-over-year.

In the official quarterly report news release, Meyers also took the opportunity to announce that during the second quarter, US Cellular had completed its first ever commercial deployment of VoLTE (voice over LTE) in the state of Iowa. The carrier is now looking to launch its VoLTE offering in other US markets next year. The company also included its estimates of full-year 2017 results in the release.


Source: Fierce Wireless

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18 comments:

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  1. Where are they big? Hardly ever hear about them

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    1. Rural areas. U.S. Cellular is the only carrier in parts of Wisconsin and Maine and several other states.

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    2. I have to disagree with you on "rural areas", Dennis. The US Cellular native footprint covers thousands of cities and towns as well as the rural areas in between.

      Unless you are one of those who thinks that once you go west of Manhattan, it is all cows and hay until you get to Los Angeles ;)

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    3. US Cellular coverage map:

      click here

      Covering rural areas, and thousands of cities and towns... which includes such metro areas as Tulsa (1 million), Roanoke (300,000), Madison (640,000), part of Tacoma (3.7 million) to name just a few.

      One thing that is refreshing about US Cellular is that it only covers some small areas of the United States well, and and it doesn't claim to be more than it is. Unlike Sprint, which has similar small coverage but pretends to be a much better network than it actually is.

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    4. It's true that U.S. Cellular has coverage in some cities. But there are other, less expensive choices if you don't need coverage in the mostly rural areas where US Cellular is the only carrier.

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  2. Rural Wisconsin here and US Cellular is really the only choice. Verizon works in spots but it's not reliable enough. This is the same with a lot of US Cellular markets and the reason why they are still in business.

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  3. My parents live in northern Wisconsin(The north woods). AT&T and Verizon have good coverage in and about that area.

    Dale

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    1. In Door county, there's no Verizon and AT&T coverage is full of holes.

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    2. Door County is a sort of Land of the Lost... Well, Rick Marshall does live there too.

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    3. SE Wisconsin is US Cellular or bust. Verizon has "coverage" but the network has too many holes and data speeds are pathetic. AT&T, T-Mo, and Sprint have no coverage for 60+ miles in any direction here.

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    4. ▲BS. SE Wisconsin has excellent AT&T coverage.

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    5. SE Wisconsin is Milwaukee, Madison, Racine and Kenosha. Sizable cities, lots of people. All the carriers have good coverage there in my experience.

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    6. I think the problem spots in Wisconsin are more properly the south central and western parts of the state. AT&T has coverage up I-94 and around Madison, but is spotty to nonexistent in the areas both south and west of Madison. I recently spent some time bouncing between Monroe and New Glarus and the countryside around them, and my Cricket signal died pretty much the second I left the business district of both of those places.

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  4. Grant and Crawford counties. Look it up. There's no Sprint, AT&T, nor T-Mobile around here.

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    1. Did you look them up??? I guess not, but I did: Those counties are in southWEST Wisconsin!

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    2. Sorry that was my mistake. SW Wisconsin is the area I was referring to. Not SE. But the point remains...this area is an example of where US Cellular has a virtual monopoly if you want decent service outside of a few locales.

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  5. Well, it's more than nitpicking in this case. I think you are the one person who kept insisting that this area was Southeast Wisconsin..... like, if I say, lived in northeast Colorado, I'd never be saying it was northwest. This makes me tend to believe that you don't even live there.

    I'm curious what those who actually live there do. But yes, the Driftless Area is not good generally for carrier options.

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