TDS, US Cellular Q2 results

8 Aug 2008

US operator Telephone and Data Systems (TDS) has reported a 7% increase in operating revenue for the second quarter ended 30 June 2008 toUSD1.27 billion from USD1.19 billion in the same quarter twelve months previously. Operating income was USD149.7 million, down from USD154 million in the second quarter of 2007. Net income stood at USD87.7 million. Fixed division TDS Telecom’s 2Q operating income rose 7% to USD35.2 million compared to the same period in 2007, despite a 4% decrease in operating revenues.

Wireless unit US Cellular reported a 9% year-on-year increase in service revenues to USD987.4 million for the second quarter. It saw a 45% increase in data revenues, to USD123.7 million compared to the same quarter twelve months previously and representing 12.5% of total service revenues. Monthly average revenue per user (ARPU) rose 5.7% to USD53.27. Retail post-paid churn remained flat at 1.4% with post-paid subscribers accounting for 95% of retail customers. Net customer additions were 16,000 for the quarter, down from 37,000 in the same period last year. The company also reported a 7.4% increase in the number of cell sites in service, to 6,596.

United States, TDS Telecom, United States Cellular Corporation (UScellular)