PLAINFIELD, Ind.-Brightpoint Inc. said it has signed a three-year master services agreement with T-Mobile USA Inc., which calls for its Brightpoint Services L.L.C. business unit to provide all of the carrier’s handset logistics in the United States.
Brightpoint said it will offer T-Mobile USA’s products to its direct and indirect distribution channels as well as directly to the carrier’s U.S. subscribers via a dedicated facility in Louisville, Ky. The companies said they expect to transition all of T-Mobile USA’s current eastern distribution operations to the Brightpoint facility by March 2007.
Brightpoint has an existing relationship with T-Mobile in Slovakia.
“We see today’s logistics announcement with T-Mobile as the first of several moves solidifying the company’s position,” wrote Ittai Kidron with CIBC World Markets. The firm makes a market in Brightpoint securities.
Brightpoint’s stock jumped almost $2 per share on the T-Mobile news to around $17 per share, but later dropped to around $15.72 per share.
Separately, Brightpoint announced it extended its exclusive agreement with MetroPCS Wireless Inc. Brightpoint provides MetroPCS with a variety of distribution and logistic services, including inventory management, customer service, order management and distribution to the carrier’s agents, dealers and retail stores.
Brightpoint also issued its second-quarter financial report, posting revenues of $549.9 million, an increase of 10 percent from revenues of $499.5 million during last year’s second quarter. Net income came in at $8.2 million, up from net income of $4.9 million during the same period last year.
The company said it handled 13.2 million wireless devices during the quarter, 40-percent more than it handled during last year’s second quarter.
