AT&T 2Q16 revenues up 22% to USD40.5bn on back of DirecTV takeover

22 Jul 2016

US telecoms giant AT&T Inc has reported consolidated revenues of USD40.520 billion for the three months ended 30 June 2016, up 22% from USD33.015 million on an annualised basis. The telco credits the improved top-line to its July 2015 takeover of satellite TV giant DirecTV. Meanwhile, AT&T’s operating income increased from USD5.773 billion in 2Q15 to USD6.560 billion in the most recent quarter, while net income attributable to AT&T increased from USD3.082 billion to USD3.408 billion.

In operational terms, AT&T reported a total of 131.805 million wireless subscribers in its domestic market as of 30 June 2016, broken down as 54.260 million ‘consumer mobility’ subscribers and 77.545 million ‘business mobility’ users. In addition, the telco closed out the quarter with 20.748 million fixed voice subscribers, 15.641 million fixed broadband customers, 20.454 million satellite TV accounts and 4.841 million ‘U-verse’ IPTV users. Elsewhere, AT&T’s ‘International’ segment reported 9.955 million mobile users in Mexico as of end-June, up 742,000 quarter-on-quarter, alongside 12.523 million Latin American pay-TV customers, of which 5.348 million were located in Brazil.

Randall Stephenson, AT&T chairman and CEO, commented: ‘One year after our acquisition of DirecTV, the success of the integration has exceeded our expectations. Cost synergies are ahead of target, we’ve added nearly one million DirecTV subscribers since the acquisition, and our new video streaming services are scheduled to roll out later this year.’

United States, AT&T, DirecTV Group