Key Takeaways:
- AT&T is advancing on its sustainable, long-term growth strategy and remains on track to meet its consolidated financial guidance.
- The company continues to experience strong customer demand for its world-class 5G and fiber connectivity.
- As America’s largest fiber provider and with the most extensive wireless network in North America, AT&T is well-positioned to offer scalable converged wireless and broadband services, benefiting from owner’s economics.
Pascal Desroches, AT&T’s Chief Financial Officer, will address shareholders at the Bank of America Media, Communications, and Entertainment Conference tomorrow. Here are the key topics he is expected to cover:
- AT&T is dedicated to fostering durable relationships with high-quality 5G and fiber customers.
- The company is observing healthy, but normalizing, trends in the wireless industry and is pleased with the Mobility business’s performance in Q3.
- Fiber penetration rates continue to exceed initial projections, though net additions fluctuate due to new fiber locations, seasonality, and market dynamics. A recent work stoppage is impacting fiber installations in some areas, but this is not expected to significantly affect Q3 financial performance.
- AT&T’s connectivity portfolio is expanding, incorporating 5G, fiber, and the fixed wireless access product AT&T Internet Air, which is now available in parts of 204 geographies for consumers and nationwide for businesses.
- The company remains on track to meet its consolidated financial guidance.
- AT&T is confident in achieving its financial targets as outlined in the July 2024 earnings report.
- Since 2019, AT&T has been the largest capital investor in U.S. connectivity infrastructure, with anticipated 2024 capital investment in the $21-22 billion range.
- The company aims to drive additional efficiencies with a target of $2 billion+ in run-rate cost savings by mid-2026.
- AT&T is on track to achieve a net debt-to-adjusted EBITDA ratio of around 2.5x in the first half of 2025 and plans to manage short-term financing obligations to establish a more sustainable free cash flow cadence.
A live webcast of Desroches’s discussion will be available, as well as a replay, on AT&T Investor Relations.
Additional Information:
- AT&T is the largest fiber-to-the-home provider based on publicly available data.
- AT&T has the largest wireless network in North America based on carrier-owned and operated networks, excluding coverage in certain countries like Canada. Details are available at att.com/international and att.com/globalcountries. 5G claims are based on nationwide GWS drive test data, which is paid for by AT&T. 5G requires a compatible plan and device, and coverage is not universal. Learn more at att.com/5Gforyou.
Cautionary Language Concerning Forward-Looking Statements:
This news release contains financial estimates and forward-looking statements that are subject to risks and uncertainties, and actual results may differ materially. For a discussion of factors that could affect future results, refer to AT&T’s filings with the Securities and Exchange Commission. AT&T disclaims any obligation to update or revise statements in this release based on new information. This release may include non-GAAP financial measures, with reconciliations available on the company’s website.
