AT&T earnings and revenue for the March quarter topped analyst estimates as the company added more wireless postpaid phone subscribers than expected. AT&T stock rose as WarnerMedia revenue also rebounded.
The telecom and media conglomerate said first-quarter profit rose 2% to 86 cents from a year earlier. AT&T (T) revenue climbed 2.7% to $43.9 billion.
Analysts had projected AT&T earnings of 78 cents a share on revenue of $42.69 billion. A year earlier, AT&T stock earned 84 cents a share on revenue of $42.78 billion.
First quarter revenue at the company’s WarnerMedia division rose 9.8% to $8.5 billion as advertising at Turner Broadcasting rebounded.
AT&T Stock: Wireless Subscriber Additions Top Estimates
In addition, AT&T said it added 595,000 postpaid wireless phone customers vs. estimates for a 216,000 gain.
AT&T stock climbed 3.8% to 31.27 in morning trades on the stock market today. Despite its 7% dividend, AT&T stock holds a Relative Strength Rating of only 25 out of a best-possible 99.
AT&T stock recently forged a flat base, with an entry point of 31.99. AT&T recently spun off its DirecTV video business into a new company in a deal with private equity firm TPG.
The telecom said it added 2.7 million domestic subscribers for the HBO Max streaming video service in the first quarter. AT&T said it had 44.2 million HBO Max streaming subscribers as of March 31.
Follow Reinhardt Krause on Twitter @reinhardtk_tech for updates on 5G wireless, artificial intelligence, cybersecurity and cloud computing.
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