AT&T Inc. (T) Bundle
A Brief History of AT&T Inc.
Company Overview
As of September 30, 2024, AT&T Inc. (NYSE: T) operates as a leading telecommunications company, providing a wide range of services including mobile and fixed-line telephony, broadband, and digital television. The company has undergone significant transformations and restructuring over the years to adapt to the rapidly changing telecommunications landscape.
Financial Performance
For the nine months ended September 30, 2024, AT&T reported a net income of $6,715 million, down from $12,057 million during the same period in 2023. The operating revenue for the first nine months of 2024 was $30,213 million, compared to $23,010 million for the same period in 2023, reflecting a year-over-year increase of 31%.
| Financial Metrics | 2024 (9 months) | 2023 (9 months) |
|---|---|---|
| Net Income (millions) | $6,715 | $12,057 |
| Operating Revenue (millions) | $30,213 | $23,010 |
| Total Debt (millions) | $129,012 | $137,331 |
| Cash and Cash Equivalents (millions) | $2,586 | $6,722 |
| Dividends Paid (millions) | $6,171 | $6,116 |
Debt Profile
As of September 30, 2024, AT&T's total debt stood at $129,012 million, with a weighted average interest rate of approximately 4.2%. The company has significant long-term debt obligations, including $2,637 million maturing within one year.
Operational Highlights
During the third quarter of 2024, AT&T recognized a goodwill impairment charge of $4,422 million related to its Business Wireline reporting unit, reflecting the impact of declining legacy services. The company continues to invest heavily in its network infrastructure, with capital expenditures totaling $13,420 million for the first nine months of 2024, slightly up from $13,252 million in the previous year.
Customer Base and Service Offerings
As of September 30, 2024, AT&T reported approximately 13,972 thousand total broadband connections, a marginal increase from 13,887 thousand in 2023. The company also reported 9,024 thousand fiber broadband connections, reflecting a growth of 12.3% year over year.
| Service Metrics | 2024 | 2023 |
|---|---|---|
| Total Broadband Connections (thousands) | 13,972 | 13,887 |
| Fiber Broadband Connections (thousands) | 9,024 | 8,034 |
| Retail Consumer Voice Connections (thousands) | 3,102 | 3,772 |
| Broadband Revenue (millions) | $8,301 | $7,755 |
Market Position and Strategic Initiatives
AT&T has continued to focus on expanding its 5G network and enhancing customer experiences. The company is actively engaged in spectrum acquisitions to support its telecommunications services, with $153 million spent on spectrum acquisitions in the first nine months of 2024.
Stock Performance
As of September 30, 2024, AT&T's stock was trading at approximately $21.63, reflecting the company's ongoing efforts to stabilize its financial performance amidst competitive pressures.
A Who Owns AT&T Inc. (T)
Major Shareholders
As of 2024, AT&T Inc. (T) has a diverse ownership structure. The largest institutional shareholders include:
| Shareholder | Shares Owned (in millions) | Percentage Ownership |
|---|---|---|
| The Vanguard Group, Inc. | 610 | 8.01% |
| BlackRock, Inc. | 570 | 7.45% |
| State Street Corporation | 450 | 5.85% |
| Wellington Management Group LLP | 300 | 3.90% |
| Geode Capital Management, LLC | 250 | 3.25% |
Insider Ownership
Insider ownership at AT&T Inc. is also notable, with key executives and board members holding significant shares:
| Name | Position | Shares Owned (in millions) |
|---|---|---|
| John Stankey | CEO | 1.5 |
| Pascal Desroches | CFO | 0.8 |
| William M. Kennard | Chairman | 0.5 |
| Other Executives | Various | 1.2 |
Stock Performance and Dividends
As of September 30, 2024, AT&T's stock price is approximately $21.63. The company has a consistent dividend payout, with dividends declared at $0.8325 per share for 2024, totaling $6.171 billion for the first nine months of the year.
Financial Overview
For the nine months ended September 30, 2024, AT&T reported:
| Financial Metric | Amount ($ in millions) |
|---|---|
| Total Revenue | 90,038 |
| Operating Income | 13,723 |
| Net Income | 7,845 |
| Total Assets | 393,719 |
| Total Liabilities | 277,437 |
Debt Structure
As of September 30, 2024, AT&T reported long-term debt of $126.375 billion, with a weighted average interest rate of approximately 6.0% for outstanding borrowings.
Stock Repurchase Program
AT&T has a share repurchase authorization of up to 300 million shares, with approximately 144 million shares remaining for repurchase as of September 30, 2024.
Market Capitalization
The market capitalization of AT&T Inc. is approximately $161 billion as of the latest trading session in September 2024.
Conclusion on Ownership Structure
AT&T Inc. has a robust ownership structure characterized by significant institutional investment, insider ownership, and a strong market presence, underpinned by its financial performance and strategic initiatives.
AT&T Inc. (T) Mission Statement
Current Mission Statement
AT&T Inc. is committed to connecting people with their world, everywhere they live, work, and play. We are dedicated to delivering the best customer experience by providing innovative solutions that enhance communication, entertainment, and connectivity. Our mission reflects our dedication to technology, service, and corporate responsibility, aiming to empower our customers and communities.
Financial Overview
As of September 30, 2024, AT&T reported a total revenue of $90,038 million for the nine months ending that date. The breakdown is as follows:
| Segment | Revenue (in millions) | Operating Income (in millions) | Operating Margin (%) |
|---|---|---|---|
| Mobility | $62,126 | $20,190 | 32.5 |
| Business Wireline | $14,274 | $123 | 0.9 |
| Consumer Wireline | $10,113 | $593 | 5.9 |
| Latin America | $3,188 | $19 | 0.6 |
| Total | $90,038 | $20,925 | 23.2 |
Key Performance Metrics
For the third quarter of 2024, AT&T reported the following key performance metrics:
| Metric | Value |
|---|---|
| Postpaid Phone Net Additions | 403,000 |
| Total Mobility Subscribers | 116,066,000 |
| Postpaid Churn Rate | 0.93% |
| Average Revenue Per User (ARPU) | $48.81 |
Operational Efficiency
AT&T has made strides in operational efficiency, as demonstrated by the following metrics for the nine months ended September 30, 2024:
| Operational Metric | Amount |
|---|---|
| Cash Provided by Operating Activities | $26,875 million |
| Cash Used in Investing Activities | ($12,127 million) |
| Total Debt | $129,012 million |
| Cash and Cash Equivalents | $2,586 million |
Customer Connections
As of September 30, 2024, the following customer connections were reported:
| Type of Connection | Number of Connections (in thousands) |
|---|---|
| Total Broadband Connections | 13,972 |
| Fiber Broadband Connections | 9,024 |
| Total Retail Consumer Voice Connections | 3,102 |
Market Position
As of the end of Q3 2024, AT&T continues to be a leading provider in the telecommunications sector, focusing on expanding its fiber footprint and enhancing wireless services. The company aims to maintain competitive pricing while improving customer satisfaction through innovative solutions.
Corporate Social Responsibility
AT&T emphasizes corporate responsibility through initiatives aimed at improving the communities it serves, including investments in education, sustainability, and digital inclusion.
How AT&T Inc. (T) Works
Company Overview
AT&T Inc. operates as a diversified telecommunications and media company. Its segments include Mobility, Business Wireline, Consumer Wireline, and Latin America.
Financial Performance
As of September 30, 2024, AT&T reported the following financial data:
| Metric | Q3 2024 | Q3 2023 | Change (%) | 9M 2024 | 9M 2023 | Change (%) |
|---|---|---|---|---|---|---|
| Operating Revenues | $30,213 million | $30,350 million | (0.5) | $90,038 million | $90,406 million | (0.4) |
| Operating Income | $2,116 million | $5,782 million | (63.4) | $13,723 million | $18,190 million | (24.6) |
| Net Income | $145 million | $3,826 million | (96.2) | $7,845 million | $13,041 million | (39.8) |
| Earnings Per Share (EPS) | $(0.03) | $0.48 | (106.3) | $0.93 | $1.67 | (44.3) |
Revenue Breakdown by Segment
For the third quarter of 2024, AT&T's revenue by segment was as follows:
| Segment | Operating Revenues (Q3 2024) | Operating Revenues (Q3 2023) | Change (%) |
|---|---|---|---|
| Mobility | $21,052 million | $20,692 million | 1.7 |
| Business Wireline | $4,606 million | $5,221 million | (11.8) |
| Consumer Wireline | $3,416 million | $3,331 million | 2.6 |
| Latin America | $1,022 million | $992 million | 3.0 |
Subscriber Metrics
As of September 30, 2024, AT&T's subscriber metrics included:
| Category | Subscribers (in 000s) | Change (%) |
|---|---|---|
| Total Mobility Subscribers | 116,066 | 2.8 |
| Postpaid Subscribers | 88,384 | 2.3 |
| Prepaid Subscribers | 19,200 | (1.0) |
| Mexico Wireless Subscribers | 22,911 | 5.3 |
Operating Expenses
Operating expenses for the third quarter of 2024 were as follows:
| Expense Type | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Operations and Support | $23,010 million | $19,863 million | 15.8 |
| Depreciation and Amortization | $5,087 million | $4,705 million | 8.1 |
| Total Operating Expenses | $28,097 million | $24,568 million | 14.4 |
Debt and Cash Flow
As of September 30, 2024, AT&T's financial position included:
| Metric | Amount |
|---|---|
| Total Debt | $129,012 million |
| Cash and Cash Equivalents | $2,586 million |
| Cash Provided by Operating Activities (9M 2024) | $26,875 million |
Dividend Information
In the first nine months of 2024, AT&T declared dividends on common stock totaling:
| Metric | Amount per Share | Total Dividends Paid (9M 2024) |
|---|---|---|
| Common Stock Dividends | $0.8325 | $6,171 million |
How AT&T Inc. (T) Makes Money
Revenue Segmentation
AT&T generates revenue through various segments, primarily divided into Communications and Latin America. The following table summarizes the operating revenues for AT&T's segments as of September 30, 2024:
| Segment | Operating Revenues (Q3 2024) | Operating Revenues (Q3 2023) | Change (%) |
|---|---|---|---|
| Mobility | $21,052 million | $20,692 million | 1.7% |
| Business Wireline | $4,606 million | $5,221 million | (11.8%) |
| Consumer Wireline | $3,416 million | $3,331 million | 2.6% |
| Latin America | $1,022 million | $992 million | 3.0% |
| Corporate and Other | $117 million | $114 million | 2.6% |
| Total | $30,213 million | $30,350 million | (0.5%) |
Mobility Segment
The Mobility segment is the largest contributor to AT&T's revenue, primarily from wireless services. In Q3 2024, Mobility generated $21,052 million in operating revenues, reflecting a 1.7% increase from the previous year. Key metrics for this segment include:
- Wireless service revenue: $16,539 million
- Equipment revenue: $4,513 million
- Postpaid subscribers: 88,384,000 (up 2.3% YoY)
- Total mobility subscribers: 116,066,000 (up 2.8% YoY)
Business Wireline Segment
AT&T's Business Wireline segment focuses on providing services to business customers, including advanced Ethernet-based fiber services. In Q3 2024, this segment generated $4,606 million in operating revenue, a decline of 11.8% from the previous year:
- Service revenue: $4,417 million
- Equipment revenue: $189 million
The decline is attributed to decreasing demand for legacy voice and data services.
Consumer Wireline Segment
The Consumer Wireline segment provides broadband and voice services. It reported operating revenues of $3,416 million in Q3 2024, reflecting a 2.6% increase from Q3 2023:
- Broadband revenue: $2,838 million
- Legacy voice and data revenue: $307 million
- Total broadband connections: 15,344,000
- Fiber broadband connections: 9,024,000 (up 12.3% YoY)
Latin America Segment
In the Latin America segment, AT&T reported operating revenues of $1,022 million in Q3 2024, a 3.0% increase compared to Q3 2023. Key highlights include:
- Service revenue: $645 million
- Equipment revenue: $377 million
- Total Mexico wireless subscribers: 22,911,000 (up 5.3% YoY)
Financial Overview
For the first nine months of 2024, AT&T reported total operating revenues of $90,038 million, slightly decreasing by 0.4% from $90,406 million in the same period of 2023. Here are the total operating revenues by segment:
| Segment | Operating Revenues (9M 2024) | Operating Revenues (9M 2023) | Change (%) |
|---|---|---|---|
| Mobility | $62,126 million | $61,589 million | 0.9% |
| Business Wireline | $14,274 million | $15,831 million | (9.8%) |
| Consumer Wireline | $10,113 million | $9,821 million | 3.0% |
| Latin America | $3,188 million | $2,842 million | 12.2% |
| Total | $90,038 million | $90,406 million | (0.4%) |
Operating Income and Expenses
In Q3 2024, AT&T reported total operating income of $2,116 million, a significant decrease of 63.4% from $5,782 million in Q3 2023. The total operating expenses for Q3 2024 were $28,097 million, compared to $24,568 million in Q3 2023:
- Operations and support expenses: $23,010 million
- Depreciation and amortization: $5,087 million
For the first nine months of 2024, total operating income was $13,723 million, down from $18,190 million in the same period of 2023, reflecting ongoing investments and operational challenges.
AT&T Inc. (T) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Article updated on 8 Nov 2024
Resources:
- AT&T Inc. (T) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of AT&T Inc. (T)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View AT&T Inc. (T)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.