Sprint, which has over 54 million total customers, is hoping for regulatory approval to merge with larger rival T-Mobile US Inc. It has historically struggled to retain customers due to negative perception of its network quality, and pursued a plan to pull back on expensive price promotions to stabilize the business.

The company said it lost a net 26,000 phone subscribers during the third-quarter ended Dec. 31, fewer than the 32,000 subscriber losses analysts had expected, according to research firm FactSet.

Sprint is well-known for prices that are lower than those of its larger competitors. Its Unlimited Plus plan starts from $70, less than Verizon and other wireless carriers, according to the website. (sprint.co/2sv0BNb)  

Total net operating revenue rose 4.4 percent to $8.60 billion. Analysts had expected the company to report revenue of $8.43 billion.

Sprint reported net loss of $141 million, or 3 cents per share, in the quarter, compared with a net income of $7.16 billion, or $1.76 per share, a year earlier, when the company benefited from a change in U. S. tax laws.

Analysts were expecting the company to report a loss of 2 cents per share, according to IBES data from Refinitiv.

In July, Sprint revamped its unlimited wireless plans to include more perks at higher prices, in order to make more money off of customers on the plans.

But the company warned churn, or the rate of customer defections, could rise in the near-term due to the higher prices. Churn for the third quarter increased to 1.84 percent, up from 1.71 percent last year.

Sprints shares rose 1.3 percent at $6.12 before the bell.