Shares of AT&T (NYSE:T) are up nearly 1% in premarket trading after the telecommunications company reported Q1 revenue slightly above analysts’ expectations.
The company reported Q1 revenue of $38.1 billion, beating the consensus estimates of $37.73 billion. AT&T reported adjusted EPS of 77c, compared to the analyst consensus of 75c per share.
The communications segment's operating revenue totaled $28.9 billion, just above the expected $28.67 billion. Mobility revenue stood at $20.1 billion, topping the analyst estimates of $19.71 billion.
Wireless postpaid net additions totaled 965,000 in the quarter, up 17% YoY and smashing the estimated 547,186 additions. The company added 691,000 regular monthly phone subscribers, also above consensus estimates of 437,000.
The number of global HBO Max and HBO subscribers totaled 76.8 million, up 12.8 million year-over-year. The number of domestic HBO Max and HBO subscribers stood at 48.6 million, up 4.4 million YoY.
“When excluding the impacts of WarnerMedia, Vrio, and Xandr for both quarters, standalone AT&T cash from operating activities was $7.7 billion, down $1.7 billion year over year.” the company said.
Goldman Sachs analyst Brett Feldman said AT&T delivered “solid” results.
“The most notable metric, in our view, was postpaid phone net adds of 691k, which beat our estimate of 600k and Visible Alpha Consensus Data of ~400k. This was also AT&T’s best 1Q result in more than a decade, which implies that the carrier’s subscriber growth momentum has not slowed from last year’s record pace,” Feldman wrote in a client note.
By Senad Karaahmetovic