AT&T Inc has reported consolidated revenues of USD34.4 billion for the three months ended 31 December 2014, up 3.8% year-on-year. For full year 2014, AT&T’s consolidated revenues totalled USD132.4 billion, compared to USD128.8 billion in 2013. However, the telco’s net loss of USD4.0 billion for the fourth quarter, compared unfavourably to a profit of USD6.9 billion in the year-ago period. In addition, annual net income dropped from USD18.6 billion to USD6.5 billion. As per a recent filing with the Securities and Exchange Commission (SEC), the telco noted that it expected to report heavy losses as a result of a USD2.1 billion non-cash charge for the ‘abandonment of certain network assets’, also taking a big hit on ‘actuarial gains and losses on pension and post-employment benefit plans’.
In operational terms, AT&T Mobility saw its total user base increase to 120.554 million, of which post-paid subscribers accounted for the lion’s share (75.931 million). AT&T claimed 10.986 million pre-paid subscribers, 13.855 million reseller accounts and 19.782 million ‘connected devices’. Meanwhile, AT&T saw its wireline figures slump from 28.489 million to 24.788 million, while broadband users dropped from 16.425 million to 16.028 million on an annualised basis. The decreased user numbers were principally due to the divestment of AT&T’s Connecticut networks, which were sold to Frontier Communications in October. The transaction included 407,000 broadband subscribers.
Randall Stephenson, AT&T chairman and CEO, commented: ‘Over the last year, we’ve made several moves to significantly transform our business for the future. Our transactions with DirecTV and Mexican wireless companies Iusacell and Nextel Mexico will make us a very different company. We’ll be unique in the industry because we’ll be able to offer integrated capabilities across a diversified base of services, customers, geographies and technology platforms. After we close DirecTV, our largest revenue stream will come from business-related accounts, followed by US TV and broadband, US consumer mobility and then international mobility and TV.’