AT&T Reports Q4 Earnings: Key Details


AT&T’s fiscal fourth-quarter earnings fell short of Wall Street’s expectations, but the company saw higher revenue than forecasted and added more customers than anticipated. Here are the important highlights:

Earnings and Revenue

  • Adjusted earnings per share (EPS) for the quarter were 54 cents, lower than analysts’ estimates of 56 cents and down from last year’s 61 cents.
  • The reported revenue for the quarter was $32 billion, surpassing Wall Street’s expectations of $31.46 billion. It also showed a slight increase compared to last year’s revenue of $31.34 billion.

Division Performance

  • AT&T’s wireless services division experienced a 3.9% increase in revenue compared to the previous year.
  • On the other hand, business wireline sales declined by 10.3%. Many companies in this sector face a continuous decrease in revenue as more businesses abandon landlines.
  • AT&T recorded goodwill impairments in Q4 2022 amounting to $24.8 billion, stating that secular declines were negatively impacting Business Wireline growth rates.

Customer Additions

  • In terms of postpaid phone net adds, AT&T outperformed expectations with 526,000 new lines, beating the forecasted 487,500.
  • Verizon Communications, a major competitor, also reported strong net adds of 449,000, surpassing expectations of 231,600.

Outlook for Fiscal 2024

  • AT&T projects adjusted earnings per share for fiscal 2024 to be between $2.15 and $2.25, falling short of Wall Street’s estimated $2.46 per share.

Stock Performance

  • Over the past year, AT&T stock has declined by 10%, while Verizon shares have gained 4.4% and T-Mobile U.S. stock has risen by 12%.
  • T-Mobile is scheduled to release its fourth-quarter earnings on Jan. 25.
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