Sprint Nextel post improved fourth-quarter profits

Sprint Nextel post improved fourth-quarter profits

Sprint Nextel is the third largest mobile service provider in the United States. The company has come out with their latest quarterly report and they have report that the fourth-quarter profits rose 33 percent on stronger revenue.

However, the company continues to suffer in the market as their high-quality subscribers are moving to rival services.

Sprint Nextel reported earnings of $261 million, or 9 cents per share, during the October-December period. This is up from $195 million, or 7 cents per share, a year earlier in the same period.

The company added that they gained a net of 1.3 million customers during the quarter to end the year at 53.1 million. This number however included 306,000 profitable postpaid customers which they lost.

Sprint Nextel is also in the process of cutting 5,000 jobs in their operations to cut costs.