Sprint’s liquidity and debt
Over the last few quarters, Sprint (S) has been the only major US mobile operator struggling to deliver profits. The telecom company reported EPS of $0.05 in the second quarter of fiscal 2018 (ended in September), compared with -$0.01 a year prior.
Sprint reported total general-purpose liquidity of $11.2 billion at the end of the quarter, including $8.9 billion in cash, cash equivalents, and short-term investments. The telecom company has $400 million available under vendor financing agreements, which could be used to procure 2.5 GHz (gigahertz) network equipment.
Sprint’s balance sheet carries ~$40.7 billion in total debt, with ~$3.5 billion in debt maturities over the next four quarters. In the second quarter of fiscal 2018, Sprint had adjusted FCF (free cash flow) of $525 million, compared with $8 million in the previous quarter and $420 million in the second quarter of fiscal 2017. The company expects adjusted FCF between -$1 billion and -$500 million in fiscal 2018.