AT&T grew net profit in Q2 despite stagnant revenue, with bosses citing a pay off in a strategy commenced three years ago after booking improvements in mobile and broadband sales.
CEO John Stankey stated AT&T remains focussed on adding 5G and fibre customers while initiating moves to slash at least $2 billion from its costs moving forward.
AT&T already lowered its costs by $6 billion over the three years since implementing this strategy, Stankey said.
“The direction we set three years ago is sound and we’re on the right trajectory,” he stated in earnings documents.
Its second quarter left AT&T chiefs confident “in delivering our full-year financial guidance”, Stankey added, citing progress in adjusted EBITDA, free cash flow, and margins in its mobile and fixed-line businesses.
Post-paid phone net additions fell from 813 million in Q2 2022 to 326 million, with prepaid down from 196 million to 123 million.
Across the mobility unit as a whole, it booked a total of 85.8 million post-paid customers at end Q2 compared with 82.7 million, with prepaid at 19.4 million versus 19.1 million.
Net income attributable to AT&T rose from $4.2 billion to $4.5 billion on revenue of $29.9 billion.