Categories AlphaGraphs, Earnings, Technology

AT&T’s Q2 revenue tops expectations; earnings in-line

AT&T Inc. (NYSE: T) reported better-than-expected revenue for the second quarter of 2019 while earnings came in line with estimates. The consensus estimate was for earnings of $0.89 per share on revenue of $44.8 billion. Shares were down 1.6% in premarket hours on Wednesday.

Consolidated revenues of $45 billion were up 15.3% year-over-year, mainly due to the Time Warner acquisition.

AT&T tops revenue expectations for second quarter 2019 while earnings match estimates

Net income attributable to AT&T was $3.7 billion, or $0.51 per share, compared to $5.1 billion, or $0.81 per share, in the year-ago quarter. Adjusted EPS was $0.89.

During the quarter, revenue declines in legacy wireline services, Vrio, domestic video and wireless equipment were offset by the addition of WarnerMedia and growth in domestic wireless services, strategic and managed business services, IP broadband and Xandr.

In the Communications segment, revenues were $35.5 billion, up 0.3% year-over-year, reflecting gains in Mobility that were partially offset by declines in Entertainment Group and Business Wireline.

Mobility revenues grew 1.3%, with a growth in service revenues offset by declines in equipment revenues. The company reported total net adds of 3.9 million to reach 159.7 million in service. Entertainment Group revenues dipped 1% hurt by declines in TV subscribers and legacy services. Business Wireline revenue was down 0.3%.

Revenues at WarnerMedia grew 5.5% year-over-year to $8.4 billion, driven mainly by the consolidation of Otter Media, higher Warner Bros. revenues and gains at Turner and Home Box Office.  

In Latin America, revenues fell 9.9% year-over-year to $1.8 billion, due to foreign exchange pressures from revenues in multiple currencies. Revenues were up 4% in Mexico and down 17.7% in Vrio. Xandr revenues grew 23.7% to $485 million.

For fiscal year 2019, the company expects low single digit adjusted EPS growth and free cash flow guidance in the $28 billion range.

Listen to on-demand earnings calls and hear how management responds to analysts’ questions

Most Popular

Does Unity Software (U) stock has more room to run?

Last month, the IPO market was in a full swing. IPOs of Snowflake (NYSE: SNOW) and JFROG (NASDAQ: FROG) had an impressive opening day in September, the former creating a

PepsiCo (PEP): Steady snacking habits amid pandemic drive strong quarter for beverage giant

PepsiCo Inc. (NASDAQ: PEP) beat market expectations on both revenue and earnings for the third quarter of 2020. The company saw the momentum continue in its snacks business while the

Does the virus-driven boom make Electronic Arts (EA) a good investment?

With more and more people turning to virtual entertainment sources, amid the virus-related movement restrictions, video game publishers like Electronic Arts (NASDAQ: EA) are witnessing unusually high demand. Not surprisingly,

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top