Despite strong subscriber growth and healthy broadband traction, AT&T (T) misses second-quarter 2024 earnings estimates.
AT&T Inc (NYSE:T, ETR:SOBA) shares are set to open more than 3.5% higher on Wednesday after it exceeded market expectations for wireless subscriber additions in the second quarter. The telecom giant saw its monthly bill-paying wireless phone subscribers jump by 419,000 during the three months, compared with expectations of 284,800 additions.
AT&T Inc. T will be reporting its second-quarter earnings on Wednesday. Wall Street expects 57 cents in EPS and $30 billion in revenues as the company reports before market hours.
A nationwide AT&T wireless outage in February that lasted for more than 12 hours blocked more than 92 million voice calls and prevented more than 25,000 attempts to reach 911, the U.S. Federal Communications Commission said in a report seen by Reuters.
AT&T (T) appears to be treading in the middle of the road and new investors could be better off if they trade with caution.
AT&T is set to announce Q2 2024 fiscal year data on July 24th. Analysts expect revenue growth but predict a decline in profits. The company's core operating assets show impressive growth, making it an attractive prospect for the future.
T has performed well, delivering a total return of 43% since August 2023, outpacing the market. AT&T added 349,000 postpaid phone subscribers in Q1 2024, significantly outpacing Verizon, and shows continued strength in its fiber broadband segment with 252,000 net additions. AT&T reduced its debt to $128.7 billion from $134.7 billion, targeting a net debt to adjusted EBITDA ratio of 2.5x by mid-2025, supported by a strong balance sheet.
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AT&T stock is poised to report its Q2 2024 earnings on July 24. The stock has fared reasonably well this year, rising by about 11% since early January.
Two U.S. senators on Tuesday asked AT&T to answer questions about a massive hacking incident in April that resulted in the illegal downloading of about 109 million customer accounts at the U.S. wireless company.
AT&T spent the last few years improving its financial health and expanding its 5G and fiber optic internet businesses. The company's free cash flow is growing and expected to exceed 2023's $16.8 billion this year.
This week, AT&T confirmed it will begin notifying around 110 million AT&T customers about a data breach that allowed cybercriminals to steal the phone records of “nearly all” of its customers. The stolen data contains phone numbers and AT&T records of calls and text messages during a six-month period in 2022, the company says.