AT&T Reports Impressive First Quarter: Key Financial Insights

AT&T Reports Impressive First Quarter with Strong Results
AT&T Inc. (NYSE: T) has recently announced its first-quarter financial performance, highlighting substantial growth in its subscriber base. The company continues to add high-quality, profitable 5G and fiber customers, reiterating its financial and operational guidance for the full year ahead.
CEO John Stankey expressed confidence in the company's business fundamentals, stating, "We are uniquely positioned to win in this dynamic and competitive market." He emphasized that AT&T is experiencing significant growth as customers increasingly choose its Fiber and 5G offerings as reliable connectivity options. The strategic priorities outlined during their Analyst & Investor Day remain unchanged, with a focus on achieving key financial goals and capital returns.
First-Quarter Consolidated Results Overview
AT&T reported impressive first-quarter figures:
- Revenues reached $30.6 billion.
- Diluted EPS was $0.61, compared to $0.47 in the previous year.
- Operating Income stood at $5.8 billion.
- Net Income amounted to $4.7 billion.
- Cash from Operating Activities totaled $9.0 billion.
- Capital Expenditures were reported at $4.3 billion.
- Free Cash Flow reached $3.1 billion.
Highlights from the First Quarter
- AT&T achieved 324,000 postpaid phone net adds with a churn rate of 0.83%.
- Mobility service revenues surged by $16.7 billion, reflecting a growth of 4.1% year over year.
- AT&T Fiber registered 261,000 net adds, continuing its streak with over 200,000 net adds for 21 consecutive quarters.
- Consumer fiber broadband revenue grew to $2.1 billion, marking a 19% increase from the previous year.
- AT&T expanded its fiber network, reaching 29.5 million consumer and business locations.
Future Outlook for 2025
Looking ahead, AT&T maintains an optimistic outlook for 2025, expecting:
- Consolidated service revenue growth in the low-single-digit range, with Mobility service revenue growth projected at the higher end of 2% to 3%.
- Growth in Consumer Fiber broadband revenue projected to be in the mid-teens percentage range.
- Adjusted EBITDA growth of 3% or better, with Mobility EBITDA expected to climb in the 3% to 4% range.
- Capital investment in the range of $22 billion and free cash flow exceeding $16 billion.
- Adjusted EPS projected between $1.97 and $2.07.
In addition, the company anticipates the completion of the sale of a 70% stake in DIRECTV to TPG by mid-2025. Strong operational strategies and customer-centric innovations continue to be the foundation of AT&T’s growth.
Key Financial Metrics
To summarize key financial metrics for the quarter:
- Total revenues: $30.6 billion
- Operating income: $5.8 billion
- Adjusted EBITDA: $11.5 billion
- Net debt: $119.1 billion
Frequently Asked Questions
1. What are the main highlights of AT&T's first-quarter results?
AT&T reported revenues of $30.6 billion with diluted EPS of $0.61. The company achieved significant growth in both its Mobility and Fiber segments.
2. How many new postpaid phone users did AT&T add this quarter?
AT&T added 324,000 postpaid phone users during the first quarter.
3. What is AT&T's forecast for 2025?
AT&T expects consolidated service revenue growth in the low-single-digit range and an adjusted EBITDA growth of at least 3%.
4. How much capital investment does AT&T anticipate in 2025?
AT&T anticipates capital investment of approximately $22 billion in 2025.
5. What significant sale does AT&T expect to complete in 2025?
AT&T expects to complete the sale of its 70% stake in DIRECTV to TPG by mid-2025.
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