AT&T, the telecommunications giant, has released its third-quarter earnings report, surpassing analysts’ expectations. The company reported a 1% increase in revenue compared to the same period last year, reaching $30.4 billion. Adjusted profit stood at 64 cents per share. Analysts had projected revenue of $30.2 billion and adjusted earnings of 62 cents for AT&T.
Outlook and Guidance
AT&T also revised its outlook for the year, increasing its target for free cash flow and EBITDA (earnings before interest, taxes, depreciation, and amortization). The company now expects free cash flow to reach $16.5 billion, with EBITDA projected to grow by 4%. This update shows an improvement from the previous guidance of $16 billion in free cash flow and 3% EBITDA growth.
Additionally, AT&T anticipates a broadband revenue growth rate of 7% or better for the current year.
Impressive Performance
In the third quarter, AT&T recorded a 2.4% increase in cash from operating activities, totaling $10.3 billion. The company also generated $5.2 billion in free cash flow, exceeding expectations.
The report highlighted that AT&T experienced a significant rise of 3.7% in mobility wireless service revenue.
Year-to-Date Performance
AT&T shared its cumulative performance for the first three quarters of the year. During this period, wireless service revenue increased by 4.6%, while broadband revenue witnessed an impressive growth rate of 8.1%.