AT&T delivered mixed first quarter financial results on Tuesday, with revenues falling below market expectations.
AT&T and Verizon have also been buying up assets that they need for a next-generation, or 5G network, with faster downloads and applications that would enable self-driving cars.
AT&T did not disclose updated sub numbers for DirecTV Now, the OTT TV service it launched last November, but noted that DirecTV Now gains helped to offset its decline in linear TV subscribers.
AT&T, the biggest USA pay-television operator after its $49 billion acquisition of DirecTV, reported its linear video business lost 233,000 customers in the quarter.
The American wireless giant said it added 2.7 million wireless customers including 2.1 million in the USA, driven by prepaid and connected devices.
Among individual areas of the company, AT&T pulled in $9.02 billion in video entertainment revenues, up 1.3%, and high-speed Internet revenues of $1.94 billion, up 7.7%. In the competitive consumer wireless market, AT&T has been focused on retaining its most profitable customers and shying away from promotional offers to grab market share.
Revenues fell 2.8% from past year to $39.4 billion, missing analysts' view for $40.5 billion.
Adjusting for $0.18 of costs for amortization, merger- and integration-related and other items, earnings per diluted share was $0.74 compared to an adjusted $0.72 in the year-ago quarter.
Missed revenue estimates. The company saw revenue figures of $39.4 billion, just falling short of our consensus estimate of $40.660 billion.
AT&T Inc.is a premier telecom company.
AT&T is fighting to both keep and add customers and increase revenue amid a price war with smaller rivals T-Mobile US Inc. and Sprint Corp.
AT&T is in the midst of acquiring Time Warner for $85 billion, and the telecommunications company said Tuesday that it expects approval from the U.S. Department of Justice this year. Following the release of the earnings report the stock was up 1.2% at $40.40 in the after-hours trading session.
Ryan Palmer: Palmer nets third straight top 6 @ Texas Open
Chappell regained his form on the back by birdieing three of his last five holes to shoot a 3-under 33 on the inward nine. Chappell retained the clubhouse lead from the previous day and shot a four-under 68 enroute to his win.