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 Good Gear Guide newsletter!

Error: Please check your email address.

Tags business issuestelecommunicationat&tfinancial resultsJohn Stephens

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

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

Essentials

Lexar® JumpDrive® S57 USB 3.0 flash drive

Learn more >

Microsoft L5V-00027 Sculpt Ergonomic Keyboard Desktop

Learn more >

Mobile

Lexar® JumpDrive® S45 USB 3.0 flash drive 

Learn more >

Exec

HD Pan/Tilt Wi-Fi Camera with Night Vision NC450

Learn more >

Lexar® Professional 1800x microSDHC™/microSDXC™ UHS-II cards 

Learn more >

Lexar® JumpDrive® C20c USB Type-C flash drive 

Learn more >

Audio-Technica ATH-ANC70 Noise Cancelling Headphones

Learn more >

Budget

Back To Business Guide

Click for more ›

Most Popular Reviews

Latest News Articles

Resources

PCW Evaluation Team

Azadeh Williams

HP OfficeJet Pro 8730

A smarter way to print for busy small business owners, combining speedy printing with scanning and copying, making it easier to produce high quality documents and images at a touch of a button.

Andrew Grant

HP OfficeJet Pro 8730

I've had a multifunction printer in the office going on 10 years now. It was a neat bit of kit back in the day -- print, copy, scan, fax -- when printing over WiFi felt a bit like magic. It’s seen better days though and an upgrade’s well overdue. This HP OfficeJet Pro 8730 looks like it ticks all the same boxes: print, copy, scan, and fax. (Really? Does anyone fax anything any more? I guess it's good to know the facility’s there, just in case.) Printing over WiFi is more-or- less standard these days.

Ed Dawson

HP OfficeJet Pro 8730

As a freelance writer who is always on the go, I like my technology to be both efficient and effective so I can do my job well. The HP OfficeJet Pro 8730 Inkjet Printer ticks all the boxes in terms of form factor, performance and user interface.

Michael Hargreaves

Windows 10 for Business / Dell XPS 13

I’d happily recommend this touchscreen laptop and Windows 10 as a great way to get serious work done at a desk or on the road.

Aysha Strobbe

Windows 10 / HP Spectre x360

Ultimately, I think the Windows 10 environment is excellent for me as it caters for so many different uses. The inclusion of the Xbox app is also great for when you need some downtime too!

Mark Escubio

Windows 10 / Lenovo Yoga 910

For me, the Xbox Play Anywhere is a great new feature as it allows you to play your current Xbox games with higher resolutions and better graphics without forking out extra cash for another copy. Although available titles are still scarce, but I’m sure it will grow in time.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?