AT&T adds 769,000 internet customers as quarterly revenue increases 5.3%

AT&T reported third-quarter revenue of $32.3 billion, a 5.3% increase from a year earlier. The company added 769,000 internet customers during the quarter, including 442,000 fiber additions and 327,000 fixed-wireless additions, along with 379,000 postpaid phone net additions.

Advanced Connectivity service revenue grew 6.1%, helping that segment increase operating income by 18.9%. Across the company, adjusted EBITDA rose 5.4% to $12.5 billion. Cash from continuing operations increased to $10.5 billion from $10.2 billion, and AT&T reported $5.0 billion in free cash flow.

Reported earnings from continuing operations were 13 cents a diluted share, compared with $1.29 a year earlier. The comparison is heavily affected by different special items: the latest quarter included a $2.6 billion noncash impairment tied to the held-for-sale Mexico wireless business and employee-separation costs, while the year-earlier period included a gain from the DIRECTV investment sale. Adjusted earnings increased to 65 cents from 54 cents.

The customer additions show AT&T using both fiber construction and fixed wireless to expand broadband rather than depending on a single network. At the same time, total debt reached $159.6 billion after the EchoStar spectrum transaction. That balance-sheet figure and the distinction between reported and adjusted earnings are important context alongside the subscriber growth.

Report a correction · Editorial standards · Our source directory

BusinessIndy examines this development and its implications for Indiana businesses and communities using the linked sources.

Continued verification is in progress.