AT&T revenue, net income nearly flat

Declining wireline business revenue nearly offsets mobile growth

AT&T has reported revenue of US $31.4 billion for the first quarter of 2013, down slightly from a year earlier, although net income was up slightly, with a sagging wireline business division nearly offsetting mobile and wired broadband growth.

AT&T's revenue was down 1.5 percent from the first quarter of 2012, but those numbers don't count the company's sold-off advertising solutions group. When excluding revenue from advertising solutions, revenue was up 0.9 percent. Net income attributable to AT&T was $3.7 billion, up from $3.6 billion a year earlier.

The company posted earnings per share of $0.67, or $0.64 excluding one-time items, meeting analysts' estimates.

AT&T's mobile division posted revenue of $16.7 billion, up 3.4 percent from 2012. Mobile income was $4.7 billion, up 4 percent from a year earlier. But the company's wireline division partly offset those numbers. Wireline revenue was $14.7 billion, down 1.8 percent, and wireline net income fell 5 percent to $1.6 billion.

Company officials pointed to mobile growth as a cause for optimism. AT&T added a net total of 291,000 mobile customers during the first quarter, with 365,000 tablets added to the company's network during the quarter. The company added 1.2 million postpaid smartphone subscribers during the quarter, with many of those subscribers moving over from older mobile phones on AT&T's network.

AT&T had "exceptional" growth in tablet users during the quarter, said John Stephens, AT&T's CFO.

"All in all, [it was] a solid start to the new year," Stephens said during a conference call.

About 70 percent of the company's postpaid smartphone customers are now on use-capped data plans, compared to 61 percent a year ago, AT&T said.

In the company's wireline division, AT&T reported that it added 731,000 U-verse broadband customers during the quarter, a record net gain in that area. Overall, the company added 124,000 wireline broadband customers during the quarter, with DSL losses partly offsetting U-verse gains. The company also added 232,000 U-verse TV customers during the quarter, the highest increase in nine quarters, it said.

AT&T now has 8.4 million U-verse broadband and 4.8 million U-verse TV customers, it said.

Wireline revenue from residential customers was $5.5 billion, up 2 percent from the first quarter of 2012, but business revenue was $8.9 billion, down 3.4 percent.

Grant Gross covers technology and telecom policy in the U.S. government for The IDG News Service. Follow Grant on Twitter at GrantGross. Grant's e-mail address is grant_gross@idg.com.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection

Tags business issuestelecommunicationfinancial resultsat&tJohn Stephens

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Grant Gross

IDG News Service
Show Comments

Cool Tech

Breitling Superocean Heritage Chronographe 44

Learn more >

SanDisk MicroSDXC™ for Nintendo® Switch™

Learn more >

Toys for Boys

Family Friendly

Panasonic 4K UHD Blu-Ray Player and Full HD Recorder with Netflix - UBT1GL-K

Learn more >

Stocking Stuffer

Razer DeathAdder Expert Ergonomic Gaming Mouse

Learn more >

Christmas Gift Guide

Click for more ›

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Walid Mikhael

Brother QL-820NWB Professional Label Printer

It’s easy to set up, it’s compact and quiet when printing and to top if off, the print quality is excellent. This is hands down the best printer I’ve used for printing labels.

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?