Mobile, TV customers drive AT&T revenue growth

AT&T posts its second highest quarter for U-verse TV subscriber growth

AT&T posted gains in revenue and net income for the third quarter of 2013, with gains in mobile phone and U-verse TV subscribers driving the growth.

AT&T on Wednesday reported revenue of US$32.2 billion for the third quarter, a 2.2 percent increase from the third quarter of 2012. Net income was $3.8 billion, up 4.9 percent. Earnings per share was $0.66, beating analyst expectations by one cent.

"There is a lot we really like about the quarter," said John Stephens, AT&T's CFO. AT&T's efforts to expand its 4G mobile services and shift its voice network to IP, announced in November 2012, are paying off, he said during a conference call.

Even after large additions of U-verse TV and broadband customers, there's more room for growth as AT&T expands its broadband network and increases speeds in many areas, he said.

The company added 989,000 mobile phone customers during the quarter, including 178,000 smartphone and 388,000 tablet customers. Mobile revenue was $17.5 billion, up 5.1 percent from a year earlier, and mobile data revenue was up 17.5 percent to $5.5 billion, the company said.

Data revenue growth has "a lot of runway" as customers continue to use more mobile data, Stephens said.

In AT&T's wireline division, revenue was $14.7 billion, down 1 percent from a year earlier. But the company's U-verse broadband and video revenue grew 28.1 percent from a year ago. U-verse TV had its second highest growth quarter ever, by adding 265,000 subscribers to reach 5.3 million, the company said. U-verse broadband added 655,000 customers to reach 9.7 million, the company said.

Overall, AT&T had a net loss of 26,000 wireline broadband customers during the quarter, with DSL losses offsetting U-verse gains.

AT&T's revenue from business customers were $8.8 billion, down 2.6 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 email address is grant_gross@idg.com.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

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

Father’s Day Gift Guide

Brand Post

PC World Evaluation Team Review - MSI GT75 TITAN

"I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it."

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

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.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?