AT&T Posts Steady Improvements in Revenues and Profits
AT&T has reported its third-quarter financial results, and saw a modest rise in revenues as it added over 2 million new customers.
For the quarter ended September 30, 2013, AT&T’s consolidated revenues totaled $32.2 billion, up 2.2 percent versus a year ago.
Operating income was $6.2 billion versus $6.0 billion; And operating income margin was unchanged at 19.2 percent. Net profit rose to US$3.8 billion compared to $3.6 billion in the year-earlier quarter.
In the third quarter, AT&T added nearly 1 million subscribers, delivered strong wireless revenue growth and postpaid ARPU gains, and continued to expand its high-value smartphone base.
Total wireless revenues, which include equipment sales, were up 5.1 percent year over year to $17.5 billion. Smartphones accounted for a record 89 percent of postpaid phone sales in the quarter. AT&T’s ARPU for smartphones is more than twice that of non-smartphone subscribers.
AT&T’s third-quarter wire line results were led by U-verse reaching 10 million total subscribers, solid wire line consumer revenue growth and accelerating growth in strategic business services. Total wire line revenues were $14.7 billion, down 1.0 percent versus a year ago.
We’re setting the standard for 4G LTE speeds and network reliability. Our fiber and U-verse expansion projects are ahead of schedule bringing high-speed broadband to millions more customers,”
With these initiatives, we’re seeing excellent growth across our major platforms – mobility, U-verse and strategic business services.”
-Randall Stephenson, AT&T chairman and CEO