The Denver-based carrier netted $206 million in income for the first three months of the year. That’s up from $150 million a year earlier.
Still, sales were down, just as the carrier warned earlier this month they would be. Revenue dropped 7 percent to $3.2 billion; that is just under the $3.24 billion forecast by analysts polled by FactSet Research. The decline partly is due to Qwest’s reseller deal with Verizon Wireless – sales are recorded differently now that Qwest no longer sells mobile service under its own brand.
Qwest was able to pull a profit this quarter because it cut 10 percent of its work force and because the company operated under a lower tax rate – that rate is back to normal levels, executives said on Wednesday.