AT&T 3rd Quarter Results

[texasguy37 ACE - Champion]

The link below is to the press release for the 3rd quarter 2010 results for AT&T.  Here is an excerpt from the press release:

Wireline Operational Highlights

AT&T's third-quarter wireline results were highlighted by improving trends in revenues including the first year-over-year growth in consumer revenues in more than two years, further expansion in AT&T U-verse services, sustained growth in revenues from strategic business services and solid cost management. Highlights included:

Growth in Wireline Consumer Revenues. Driven by strength in IP data services, in the third quarter, total revenue from residential customers totaled $5.3 billion, up 0.2 percent from the third quarter of 2009, the first year-over-year growth in more than two years.

AT&T’s Award-Winning U-verse Services Drive Consumer Growth. AT&T U-verse TV subscribers increased by 236,000 in the quarter to reach 2.7 million. In the third quarter, the AT&T U-verse High Speed Internet attach rate continued to run above 90 percent, and nearly 60 percent of subscribers took AT&T U-verse Voice. More than three-fourths of AT&T U-verse TV subscribers have a triple- or quad-play option from AT&T. ARPU for U-verse triple-play customers was about $160.

AT&T's U-verse deployment now reaches more than 26 million living units. Companywide penetration of eligible living units is 14.1 percent, and across areas marketed to for 30 months or more, overall penetration is more than 22 percent. AT&T's total video subscribers, which combine the company's U-verse and bundled satellite customers, reached 4.7 million at the end of the quarter, representing 18.8 percent of households served.

Rebound in Broadband Subscriber Growth. Driven by strength in AT&T U-verse High Speed Internet service, AT&T posted a 148,000 net gain in wireline broadband connections.

U-verse Revenues Exceed $1 Billion. Increased AT&T U-verse penetration drove 30.0 percent year-over-year growth in consumer IP revenues (broadband, U-verse TV and U-verse Voice). U-verse continues to drive a transformation in AT&T’s consumer business, reflected by the fact that consumer IP revenues now represent 42.6 percent of AT&T's wireline consumer revenues, up from 32.8 percent in the year-earlier quarter. In the third quarter, AT&T U-verse revenues were $1.1 billion, 84.5 percent higher than in the third quarter of 2009.

Consumer Connection Trends. In the third quarter, AT&T posted a decline in total consumer revenue connections due primarily to expected declines in traditional voice access lines, partially offset by increases in broadband, U-verse TV and VoIP (Voice over Internet Protocol) connections. Combined wireline consumer TV and broadband connections increased by 343,000 in the third quarter and 1.3 million over the past four quarters. AT&T U-verse Voice connections increased by 166,000 in the quarter and 759,000 over the past four quarters. Total consumer revenue connections at the end of the third quarter were 43.7 million, compared with 45.7 million at the end of the third quarter of 2009 and 44.3 million at the end of the second quarter of 2010.

Further Signs of Stabilization in Business Markets. AT&T posted its best year-over-year business revenue comparisons in six quarters — reflecting continued solid sales performance and continued improvement in key economic metrics. Total business revenues were $9.5 billion, a decline of 3.9 percent versus the year-earlier quarter. Business service revenues, which exclude CPE, declined 3.7 percent year over year and decreased slightly sequentially, down 1.3 percent.

Business IP Revenues Continue Growth. Business IP data revenues grew 8.0 percent overall, led by growth in VPN revenues. Global Enterprise Solutions IP data revenues grew 9.7 percent. Approximately 70 percent of AT&T's frame customers have made the transition to IP-based solutions, which allows them to easily add managed services such as network security, cloud services and IP conferencing on top of their infrastructures.

15.4 Percent Growth in Strategic Business Services Revenues. Revenues from new-generation capabilities that lead AT&T's most advanced business solutions — including Ethernet, VPNs, hosting, IP conferencing and application services — grew 15.4 percent versus the year-earlier quarter and were up 4.5 percent from the second quarter of 2010, continuing AT&T’s strong trends in this category.

Wireline Results. Led by improved consumer and business customer trends, total wireline revenues posted their smallest year-over-year decline in six quarters, down 3.0 percent, and down slightly sequentially. Third-quarter revenues in AT&T’s wireline segment totaled $15.3 billion versus $15.7 billion in the year-earlier quarter. Third-quarter wireline operating expenses were $13.4 billion, down 3.9 percent versus the third quarter of 2009 and down 0.6 percent sequentially. Wireline operating income totaled $1.8 billion, compared to $1.8 billion in the third quarter of 2009 and $1.9 billion in the second quarter of 2010. AT&T’s third-quarter wireline operating income margin was 12.0 percent, compared with 11.2 percent in the year-earlier quarter and 12.2 percent in the second quarter of 2010.

http://www.att.com/gen/press-room?pid=18677&cdvn=news&newsarticleid=31312&mapcode=financial

[ram1220]

 Good. Now maybe AT&T will invest some of that huge profit into making the HD PQ better.

[larry11]

---

ram1220 wrote:

 Good. Now maybe AT&T will invest some of that huge profit into making the HD PQ better.

---

And add MLB Network

[PoppieSr]

---

larry11 wrote:

---

ram1220 wrote:

 Good. Now maybe AT&T will invest some of that huge profit into making the HD PQ better.

---

And add MLB Network

---

And Center Ice.

[Chitown67]

Nope....At&t needs to continue keeping costs down, profits high and CONTINUE passing that great dividend on to your shareholders!   Sorry People.... I'll take the dividend over Hallmark any day!

[milkman]

Say what you will about PQ, content, customer service, seems AT&T has their business plan down pat. I'm no expert but looks like an impressive report.

How about free HD for life? Or a year? Week? Never mind.

[texasguy37 ACE - Champion]

---

Chitown67 wrote:

Nope....At&t needs to continue keeping costs down, profits high and CONTINUE passing that great dividend on to your shareholders!   Sorry People.... I'll take the dividend over Hallmark any day!

---

Spoken like a stockholder!

Actually, you are correct.  A public corporation's first responsibility is to it's stockholders.  Anyone who has ever taken a business class has had it drummed into their head that management's first priority is to "maximize stockholders' value."

[spd2demun ACE - Master]

Make us all stockholders?   Nah, still wouldn't satisfy the masses.

How are we doing compared to Wireless now?

[texasguy37 ACE - Champion]

Spd, feel free to purchase as much AT&T stock as you like. 

In the press release, click on the link for the Segment Income Statement to see "Wireless" vs. "Wireline".  U-verse included in "Wireline".   If you need help digesting the income statement, let me know.  I'm supposed to have some expertise in that area. 

[spd2demun ACE - Master]

[texasguy37 ACE - Champion]

---

spd2demun wrote:

---

What does that mean? 

[spd2demun ACE - Master]

...feel free to purchase as much stock as you like...

[texasguy37 ACE - Champion]

Yeah, just place an order with your broker.  He will be happy to place the order for you.  You'll have some skin in the game. 

Now "AT&T stockholder" can be added to the names you are called here on the forum along with "AT&T employee", "shill", "Kool-Aid drinker", "fanboy", etc.

[spd2demun ACE - Master]

[Kong57]

Ditto

---

Chitown67 wrote:

Nope....At&t needs to continue keeping costs down, profits high and CONTINUE passing that great dividend on to your shareholders!   Sorry People.... I'll take the dividend over Hallmark any day!

---

[Dead_Terrorist]

Chitown, I would give you a Kudo .. but in their infinite wisdom, I have lost all my stats.. became a New User, and now I am a visitor... (sounds backwards to me!!!)

I think Wendigo is just bias against Infidel Terrorist ..  Silence!! I KEEL YOU!!!!