T-Mobile Swings to Profit
Source: Dow Jones News
04/26/2016
T-Mobile US Inc. said it swung to a profit in the first quarter of the year as revenue improved by a better-than-expected amount and as the wireless provider continues to add customers rapidly.
Mobile's customer base grew, service revenue increased 13%, countering flat equipment revenue.
Over all, T-Mobile reported a profit of $479 million, or 56 cents a share, compared with a loss of $63 million, or nine cents a share, a year earlier. The quarter was boosted 46 cents a share by an after-tax impact of a spectrum gain on earnings. Excluding that gain, adjusted earnings were 10 cents a share. Revenue rose 11% to $8.6 billion. Analysts projected adjusted earnings of 10 cents a share on $8.43 billion in revenue, according to Thomson Reuters.
T-Mobile expects profitability to climb, predicting $9.7 billion to $10.2 billion in adjusted Ebitda, or earnings before interest, taxes, depreciation and amortization, this year, up from previous guidance for $9.1 billion to $9.7 billion and $7.39 billion in 2015.
Now anyone with business sense knows your statement is NOT true ... Operating at a loss is very common in the business world and with a growing company like T-Mobile as our Partner, things couldn't look better here .. more and more stores!!
FedEx
Frederick W. Smith first came up with an overnight-delivery company back in 1962 that he outlined in a paper while attending Yale University. Smith went on to become a successful businessman who took his personal wealth of $4 million, along with another $90 million from investors, to found his delivery company in 1971.
However, Federal Express failed to take off initially and was on the verge of bankruptcy. Smith took the company's last $5,000, flew to Vegas, and played blackjack. The gamble literally paid off. Smith made $24,000, which was enough to cover the cost of fuel and keep the company afloat for another week.
With a little more time, Smith raised another $11 million to keep Federal Express running. The company made its first profit in July 1975. Today, the Memphis-based company enjoys total revenue of more than $3 billion.
Amazon
You've probably heard the origins of Amazon by now. Jeff Bezos left his cushy gig on Wall Street and moved to Seattle to sell books online from his garage in 1994. By 1996, Amazon had sales that reached $15.7 million and $147.8 million in 1997. Needless to say, people were intrigued.
Then, by the end of the decade, Amazon wasn't as promising as it once seemed. Despite having revenues of $1.6 billion in 1999, Amazon still managed to lose $719 million. Things didn't get better in 2000, when it was found that Amazon had just around "$350 million of cash on hand," despite raising billions of dollars.
Jeff Bezos finally turned a profit in 2003, which was nine years after being founded and seven years after going public.
AI
