2017.08.0122:38:00UTC+00Sprint Hints Looming Merger Decision

Sprint Corp. shares rose 11 percent after the company's CEO said that a decision regarding merger talks should come in the near future and the U.S. carrier swung to profit for the first time in three years.

The SoftBank-owned company is now mulling strategic options, including a merger with its peer T-Mobile U.S.Inc as well as a venture with Charter Communications Inc.

The company is also in the midst of a turnaround plan and has sought to solidify its balance sheet to gain footing in a saturated market for wireless service.

While the firm has slashed costs, Sprint said that the company is highly leveraged. While its customer base has grown, expansion has been fueled by significant markdowns.

CEO Marcelo Claure said that the company is able to sustain itself, but the synergies that the company could reap from the transaction were significantly better than an independent entity.

Revenue was at $8.16 billion from $8.01 billion. Net income clocked in at $206 million or 5 cents per share during the quarter ending June 30, swinging from a loss of $302 million or 8 cents per share a year earlier.

Shares advanced 89 cents to end at $8.87 per share.