AT&T Earnings: What Happened with T

3 months ago 20
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T crushed estimates for further postpaid telephone subscribers

Key Takeaways

  • Additional postpaid telephone subscribers came successful much than 3 times supra expert expectations.
  • When further postpaid telephone subscribers are affirmative for a period, it means that AT&T is adding much postpaid telephone subscriptions than are being terminated.
  • AT&T expects gross to turn betwixt 2% and 3% successful 2021.
AT&T Earnings Results
Metric Beat/Miss/Match Reported Value Analysts' Prediction
Adjusted EPS Beat $0.89 $0.80
Revenue Beat $44.0B $42.7B
Additional Postpaid Phone Subscribers Beat 789.0K 258.3K

Source: Predictions based connected analysts' statement from Visible Alpha

AT&T (T) Financial Results: Analysis

AT&T Inc. (T) reported Q1 FY 2021 earnings results that bushed expert expectations. Adjusted EPS roseate 7.2%, coming successful supra estimates. Revenue surpassed forecasts, up 7.6% from the year-ago quarter. Additional postpaid telephone subscribers, which AT&T refers to arsenic "postpaid telephone nett additions," crushed expert estimates, coming successful much than 3 times higher than estimated. The company's shares roseate much than 1% successful pre-market trading. Over the past year, AT&T's shares person provided a total return of -1.0%, good beneath the S&P 500's full instrumentality of 33.8%.

AT&T (T) Additional Postpaid Phone Subscribers

AT&T added 789,000 nett caller postpaid telephone subscribers successful the 2nd quarter, a large turnaround from the 151,000 subscribers it shed successful the year-ago quarter. Additional postpaid telephone subscribers correspond a cardinal metric indicating the nett quality betwixt the fig of caller postpaid telephone subscriptions added during the 4th and the fig of subscriptions that were terminated. As agelong arsenic this metric is positive, it means that AT&T is adding to the full fig of postpaid telephone subscriptions.

Adding caller telephone subscriptions has go progressively important recently, arsenic AT&T has been divesting of definite businesses successful bid to absorption connected its halfway wireless and broadband communications operations. The institution announced successful May that it was spinning off its WarnerMedia part and combining it with Discovery, Inc. (DISCA) successful a merger woody that, if approved, could beryllium worthy $43 billion. WarnerMedia revenues roseate 30.7% compared to the year-ago quarter, accounting for astir 20% of AT&T's full gross successful the 2nd quarter. If it is spun off, different parts of the concern similar postpaid telephone subscriptions volition go ever much captious for driving revenue.

AT&T expects its consolidated gross to turn successful a scope of 2% to 3% and for adjusted EPS to turn successful the low- to mid-single digits for 2021. AT&T's adjacent net study (Q3 FY 2021) is estimated to beryllium released connected Oct. 20, 2021.

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  1. Visible Alpha. "Financial Data." Accessed July 20, 2021.

  2. AT&T Inc. "AT&T Reports Second-Quarter Results." Accessed July 22, 2021.

  3. TradingView. "Price Chart: T and S&P 500." Accessed July 22, 2021.

  4. CNBC. "AT&T announces $43 cardinal woody to merge WarnerMedia with Discovery." Accessed July 22, 2021.

  5. Yahoo! Finance. "Earnings Calendar: T." Accessed July 22, 2021.

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