AT&T ’s quarterly salary are out , and we have a wild stat for you : Of 4.3 million newfangled “ integrated machine ” activated by AT&T last poop , 3.2 million were iPhones — that ’s 74 % .
40 % of those iPhone activation were to new AT&T client , a trend thatmight sound familiar .
https://gizmodo.com/at-t-sells-2-4-million-iphone-3gs-40-percent-to-new-cu-5066983
Record Wireless Gains , Double - Digit
Growth in IP - Based Revenues , Strong Cash Flow
Highlight AT&T ’s Third - Quarter answer
$ 0.54 diluted EPS compared with $ 0.55 for the yr - earlier third quarter and $ 0.54 in the second quartern of 2009
comfortably - ever third - one-fourth prepaid wireless contributor butter churn of 1.17 percentage and record - low total contributor churn of 1.43 percent
4.3 million postpaid 3 G integrate wireless machine added to AT&T ’s web , the largest quarterly increase in the company ’s chronicle ; mix machine growth include 3.2 million iPhone activation , also the company ’s bombastic quarterly sum to date ( integrated devices are handset with QWERTY or
virtual keyboard in addition to voice functionality )
33.6 percent increment in wireless data revenues to $ 3.6 billion , more than double the company ’s total in the third quarter two age to begin with , repulse by ontogenesis in data plans and increased customer usage of Internet approach , messaging and related to services
18.7 percent ontogenesis in wireline IP data point revenues driven by AT&T U - verse enlargement and growth in sophisticated business products ; 16.6 percent ontogenesis
in revenues from strategic business service such as Ethernet , Virtual Private Networks ( VPNs ) , hosting and program program services
- $ 9.7 billion cash from operating activeness in the third quarter and $ 25.5 billion year to date ; free Johnny Cash flow of $ 5.5 billion in the quarter and $ 13.9 billion year to date , up from $ 7.9 billion in the first three poop of 2008 ( free cash catamenia
is cash from operating activities minus capital expenditures )
Note : AT&T ’s third - twenty-five percent earnings conference call will be broadcast live via the Internet at 10 a.m. ET on Thursday , October 22 , 2009 , at www.att.com/investor.relations .
DALLAS , Oct. 22 , 2009 – AT&T Inc. ( NYSE : T ) today cover third - quarter consequence highlighted by strong wireless gains , further enlargement of AT&T U - poesy Robert William Service and carry on threefold - digit ontogenesis in revenues from strategic business sector mathematical product . Progress in these areas and solid cost performance largely cancel economic pressing and descent in voice , bequest data and print advertising products to ride inviolable Johnny Cash flow along with tax income and net profit that were in line with the first two stern of 2009 .
Third - quarter receipts add up $ 30.9 billion , final income attributable to AT&T was $ 3.2 billion , diluted pay per share totaled $ 0.54 and cash from operating activity add up $ 9.7 billion .
“ We cede a terrific wireless quarter , IP data increase was strong and execution across the commercial enterprise continues to be self-colored , ” said Randall Stephenson , AT&T chairperson and principal executive officeholder .
“ As the economy works to find its footing , we are keenly centre on cost improvement as well as continue leading and investment in primal areas that will get next increment . We have move forrad aggressively to further expand in mobile broadband . AT&T uranium - verse has good adhesive friction and is redefining our wired consumer experience . Our modern business product have proven to be resilient , and we keep on to expound our capableness in area like internet security and global Wi - Fi reporting .
“ These and other initiatives benefit customers , take innovation across the industriousness and strengthen our longsighted - terminus growth prospects . ”
Third - Quarter Financial Results
For the poop ended Sept. 30 , 2009 , AT&T ’s coalesced revenues totaled $ 30.9 billion , compare with $ 31.3 billion in the twelvemonth - earlier quarter , as growth in wireless and advanced wireline data services in big part set off declines in vocalism , bequest data and print advertizement production . Versus the 2d fourth part of this year , amalgamated revenues were up 0.4 percent , marking the company ’s second back-to-back poop with a consecutive gross increment . logical with results in the third poop and class to date , AT&T await consolidated revenues for the full year 2009 will be slimly below 2008 upshot .
compare with final result for the year - early quarter , AT&T ’s operating expenses for the third quarter of 2009 were $ 25.5 billion versus $ 25.7 billion ; operating income was $ 5.4 billion
versus $ 5.6 billion ; and AT&T ’s go income margin was 17.5 percent , compare
with 17.9 percent .
Net income attributable to AT&T amount $ 3.2 billion compared with $ 3.2 billion in both the
year - earlier third quarter and the 2nd quarter of this twelvemonth . Earnings per diluted share
total $ 0.54 , compared with $ 0.55 in the third quarter of 2008 and $ 0.54 in the 2nd
fourth part of 2009 .
In addition to substantial usable carrying into action , third - quarter 2009 lucre per ploughshare reflect a $ 0.03 welfare from the solvent of tax issues , set off by $ 0.02 of severance charges . twelvemonth - over - twelvemonth expense , margin and earnings comparison reflect incremental noncash pension and retiree benefit expense in the third one-quarter of 2009 of more than $ 300 million , or $ 0.04 per dilute share . AT&T expects a similar class - over - twelvemonth impact from noncash pension and retiree benefit expenses in the 4th quartern of 2009 .
For the third twenty-five percent , AT&T ’s cash from operating activities totaled $ 9.7 billion , capital expenditures totaled $ 4.2 billion , free cash menstruum ( hard currency from operation minus working capital expenditures ) totaled $ 5.5 billion , and dividends pay off amount $ 2.4 billion .
Year to day of the month through the third quarter , compared with results for the first three quarters of 2008 , John Cash from operating activities totaled $ 25.5 billion , up from $ 22.8 billion ; upper-case letter expenditures totaled $ 11.6 billion versus $ 14.8 billion ; free John Cash flow tot up $ 13.9 billion , up from $ 7.9 billion ; and dividends paid totaled $ 7.3 billion versus $ 7.2 billion . AT&T expects to generate continued positive free cash flow in the fourth fourth and expects detached cash menstruation for the full year 2009 will be well above 2008 results .
Wireless Operational Highlights
AT&T delivered strong wireless growth in the third fourth part as customers extend to respond positively to AT&T ’s across-the-board net capabilities , attractive devices and broad entree to applications . highlight included :
- Record iPhone Activations . AT&T ’s third - one-quarter integrate twist maturation included 3.2 million iPhone activating , also the company ’s large quarterly aggregate to date , with nearly 40 per centum of the activations for customers who were fresh to AT&T.
Continued Robust Growth in Wireless Data Revenues . Wireless data revenue – from messaging , net access , access to software and related overhaul – increased $ 916 million , or 33.6 percent , from the class - earlier third one-quarter to $ 3.6 billion , more than double the company ’s sum in the third quarter two years in the first place . data point make up 29.4 percent of AT&T ’s third - one-fourth wireless military service taxation , up from 24.2 percent in the yr - earlier after part and 18.4 pct in the third quarter of 2007 . Wireless text messages on the AT&T web exceeded 120 billion , near double the total for the twelvemonth - early after part . net access and medium parcel revenue also continued their impregnable growth .
Seventh Consecutive Quarter of Postpaid ARPU Growth . Driven by firm data growth , postpaid reader ARPU increase 3.8 pct versus the year - earlier poop to $ 61.23 . This compares with 2.3 percent class - over - year ontogenesis in the second quarter of this yr and nock the seventh consecutive twenty-five percent AT&T has posted a yr - over - year increase in postpaid ARPU . On a sequential base , prepaid ARPU was up 1.7 percent . Postpaid datum ARPU reached $ 18.37 , up 25.0 percentage versus the twelvemonth - other quarter and up 3.7 percentage consecutive .
Wireless Margin Strength . Wireless servicing revenues spring up 10.0 percent to $ 12.4 billion in the third quartern , and AT&T delivered satisfying twelvemonth - over - yr allowance elaboration and serial margin stability . gross profit margin ruminate butter churn improvements , operational execution to ameliorate operating efficiencies in mesh and support systems , and further increase in the company ’s basis of gamy - calibre integrate gimmick contributor . These factor cancel increase accomplishment costs consort with the troupe ’s record book one-fourth for iPhone activation . In the third stern , wireless operating expenses totaled $ 10.3 billion , up 0.5 pct versus the twelvemonth - earlier quarter and up 2.0 percentage sequentially . Wireless operating income was $ 3.4 billion , up 41.2 pct versus the third after part of 2008 and up 6.6 per centum consecutive . AT&T ’s wireless operate on income margin was 24.6 percent , versus 18.9 percent in the class - early quarter and 23.8 percent in the 2nd quarter of this year . AT&T ’s wireless OIBDA service margin was 38.5 percent , equate with 33.5 pct in the yr - early poop and 38.3 percent in the second after part of 2009 . AT&T ’s longer - term mentality for its wireless OIBDA service gross profit margin continues to be in the mid-40 percent reach . ( OIBDA service margin is operating income before disparagement and amortisation , divided by total service gross . )
Wireline Operational Highlights
AT&T ’s third - quarter wireline result were highlight by solid price management , further expanding upon in AT&T U - verse service and sustained mid - teens growth in revenues from strategic business armed service such as VPNs , Ethernet , hosting and program service . Highlights included :
- Continued Strong AT&T U - verse Gains . AT&T U - poesy goggle box endorser increased
U - verse line deployment passed more than 20 million living unit . Companywide incursion of eligible living unit was above 12 per centum , and across domain market to for
32.1 per centum increase in Revenues from Consumer IP - free-base Services . Increased AT&T U - poetry TV insight with a enceinte number of triple- and quad - play customer drove 32.1 percent year - over - year growth in consumer IP revenues in the third one-quarter , AT&T ’s best increase in this class to date . Broadband , U - verse TV and U - verse Voice now represent 32.4 percent of AT&T ’s consumer wireline revenues , up from 23.2 per centum in the year - early third quarter and 18.7 per centum in the third quarter of 2007 .
Further Growth in Revenues Per Household . Driven by AT&T U - verse , wireline revenues per household served increase 2.5 percent versus the year - earlier third one-quarter and were up 1.3 percentage sequentially . This mark AT&T ’s seventh consecutive fourth part with year - over - year growth in wireline consumer receipts per household .
Improved Consumer Revenue Connection Trends . Reflecting increased incursion of AT&T U - verse services , AT&T ’s third - one-fourth sequential decline in consumer gross connections ( retail phonation , high speed Internet and video ) was 27.5 percentage smaller than the decline in the year - earlier quarter . Combined wireline consumer television set and broadband connection increase by 320,000 in the quarter and 1.9 million over the preceding class . AT&T U - verse line Voice connections increase by 165,000 in the quarter and 631,000 over the preceding twelvemonth . AT&T had 45.7 million total consumer tax income connections at the remnant of the third stern , compare with 46.3 million at the end of the second fourth part of 2009 and 47.5 million at the end of the third stern of 2008 , ruminate declines in traditional articulation access lines partially offset by increases in broadband , TV and VoIP connections .
Continued Mid - Teens Percentage Growth in Revenues from Strategic Business Services . revenue from new - generation capabilities that guide AT&T ’s most ripe solutions – including Ethernet , VPNs , hosting , IP conferencing and program services – grow 16.6 percent versus the year - early third quarter and were up 5.2 percent sequentially . This compare with 15.2 percent class - over - twelvemonth growth and a 3.8 percent sequential gain in the second quarter of this twelvemonth .
Solid Business IP Data Growth . outgrowth in IP data gross continues to part offset economical insistence in bequest line of work products . Business IP datum revenues grew 6.8 pct versus the year - earlier third tail and were up 3.1 percent sequentially . This compare with 5.8 percent year - over - year growth and a fragile successive decline in the 2nd quarter of this year . AT&T ’s IP data gains continue to be led by high - teens pct growth in VPN revenues . More than 60 percent of AT&T ’s flesh customers have made the transition to IP - based solvent , which tolerate them to well add grapple service such as connection security measures , hosting and IP conferencing on top of their infrastructures . In the third fourth part of 2009 , IP taxation represent 31.7 percent of AT&T ’s total job data revenues , up from 29.3 percentage in the yr - early quarter and 26.1 percentage in the third quarter of 2007 .
- Sequential Stability in Wireline Margins . Solid execution on cost opening move drove reduction in wireline operating expenses and helped achieve a wireline operate margin that was essentially stable sequentially . Wireline revenues declined 7.1 percent versus the twelvemonth - earliest quartern and 1.3 percent sequentially to $ 16.3 billion . Wireline operating expenses declined 2.8 percent versus the year - earlier third quarter and 0.9 pct sequentially . Major monetary value - betterment first step include areas such as organizational and systems desegregation as well as ordination and billing center integration .
About AT&T
AT&T Inc. ( NYSE : T ) is a premier communication holding company . Its subsidiaries and affiliate , AT&T operating caller , are the provider of AT&T services in the United States and around the world . Among their offerings are the human beings ’s most advanced IP - based business communication service , the nation ’s fastest 3 G web and the best wireless reportage worldwide , and the Carry Nation ’s leading high speed net access and voice services . In domestic markets , AT&T is fuck for the directory publishing and advertising sale leadership of its Yellow Pages and YELLOWPAGES.COM organizations , and the AT&T brand is certify to innovators in such fields as communication equipment . As part of their three - projection screen integration scheme , AT&T operating companies are expand their television set entertainment offerings . In 2009 , AT&T again ranked No . 1 in the telecom industry on FORTUNE ® powder magazine ’s inclination of the World ’s Most Admired Companies . extra entropy about AT&T Inc. and the products and services provide by AT&T subsidiaries and affiliates is available at http://www.att.com .
© 2009 AT&T Intellectual Property . All right hand reserve . AT&T , the AT&T logo and all other St. Mark contain herein are trademark of AT&T Intellectual Property and/or AT&T affiliated companies . All other marks carry herein are the property of their various owners .
mark : This AT&T news going and other announcements are available as part of an RSS feed at www.att.com/rss . For more information , please review this announcement in the AT&T newsroom at http://www.att.com/newsroom .
Cautionary Language Concerning Forward - Looking statement
selective information arrange forth in this news waiver incorporate financial estimation and other forward - looking statement that are subject to risks and uncertainties , and real resultant may differ materially . A discussion of cistron that may affect future results is contained in AT&T ’s filing with the Securities and Exchange Commission . AT&T disclaims any responsibility to update or retool statements contained in this news show release based on young information or otherwise . This word sack may contain sure non - GAAP financial measure . Reconciliations between the non - GAAP financial measures and the GAAP fiscal cadence are available on the troupe ’s Web site at www.att.com/investor.relations . Accompanying financial statements conform to .
NOTE : OIBDA is determine as operating income ( loss ) before depreciation and amortisation . OIBDA differs from Segment Operating Income ( loss ) , as calculated in accordance with loosely accepted accounting principles ( generally accepted accounting principles ) , in that it excludes depreciation and amortization . OIBDA does not give consequence to Johnny Cash used for debt overhaul requirements and thus does not reflect usable funds for distributions , reinvestment or other discretionary use . OIBDA is not submit as an substitute measure of operate results or Johnny Cash stream from operations , as ascertain in accordance with GAAP . Our calculation of OIBDA , as presented , may differ from likewise titled cadence reported by other fellowship .
NOTE : devoid cash catamenia is delimit as hard currency from process minus cap expenditures . We believe this system of measurement provides utilitarian entropy to our investor because direction on a regular basis reviews barren hard currency flow as an crucial indicator of how much cash is generated by normal business trading operations , include capital outgo , and pee decisions based on it . direction also views it as a meter of hard cash available to compensate debt and take back Johnny Cash to shareowners .
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