AT&T 3Q15 revenues surge 19% on the back of DirecTV takeover

23 Oct 2015

US telecoms giant AT&T Inc has reported consolidated revenue of USD39.091 billion for the three months ended 30 September 2015, an increase of 19% year-on-year. Operating income for the quarter was USD5.923 billion, up from USD5.603 billion in the year-ago period, while net income dropped slightly from USD3.187 billion to USD3.708 billion in the period under review. The telco has observed that the strong gains were primarily due to the acquisition of satellite TV giant DirecTV, which closed in July 2015. AT&T has, however, clarified that it has absorbed a USD1.060 billion impairment charge linked to the value of its DirecTV assets in Venezuela; the telco has switched to the SIMADI currency exchange mechanism after an independent review.

In operational terms, AT&T Mobility saw its user base reach 126.406 million as of 1 October, thanks to 2.513 million net new users in 3Q15. Of the total, 76.761 were post-paid, compared to 10.988 million pre-paid accounts. 13.729 million user accounts are attributed to resellers, while a further 25.018 million are reported as ‘connected devices’. Meanwhile, in Mexico, AT&T – which completed the dual acquisition of Iusacell and Nextel earlier this year – reported a consolidated total of 8.091 million wireless subscribers. For its part, DirecTV delivered a total of 19.570 domestic video customers, alongside 12.544 million in Latin America, of which 5.538 million were based in Brazil.