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AT&T sees higher sequential revenue during Q3 2023

Broadband company brought in $30.4 billion in revenue and passed 8 million AT&T Fiber subscribers.

Broadband company brought in $30.4 billion in revenue and passed 8 million AT&T Fiber subscribers.

An AT&T retail store.
An AT&T retail store. (Handout photo courtesy AT&T, Graphic by The Desk)

Additional wireless phone lines and achieving a key milestone for its land-based fiber broadband service helped AT&T achieve higher revenue during the third quarter of 2023.

AT&T saw its overall revenue increase on a sequential basis during the company’s third financial quarter of 2023, despite adding more wireless phone lines and achieving a new milestone with its land-based fiber network.

On Thursday, the company said it brought in $30.4 billion during the three-month period that ended September 30. The revenue was around 1.6 percent higher than the previous quarter and 1 percent higher on a year-over basis.

During the quarter, AT&T says it added 468,000 postpaid wireless lines as customers took advantage of various device and service promotions. The company also added nearly 300,000 AT&T Fiber customers, helping it pass the 8 million subscriber mark for that service.

“Our investments in best-in-class 5G and fiber connectivity are fueling our growth engine. We’re gaining profitable customer relationships and becoming more efficient,” John Stankey, the CEO of AT&T, said in a statement Thursday morning. “This is powering our strong business performance and gives us the confidence to raise our full-year free cash flow guidance. We are pleased that customers are choosing AT&T and staying with us over the long run as we connect and simplify their digital world.”

In addition to its wireless and Fiber-based gains, AT&T also achieved a number of other milestones during Q3, including the launch of “AT&T Internet Air,” its fixed-wireless broadband Internet solution that is set to compete with cable broadband and comparable services offered by T-Mobile and Verizon.

AT&T also supported satellite designer AST SpaceMobile in completing the first 5G voice call delivered via satellite. The company said the call was made using “two unmodified smartphones via a low-earth orbit satellite in space,” and was the first of its type to happen anywhere in the world.

AT&T said its revenue gains were attributed in large part to higher consumer wireless and broadband earnings, offset partially by lower revenue from its enterprise customers. Operating expenses came in at $24.6 billion during the quarter, slightly up from the $24 billion reported last year, which AT&T blamed on higher inflation.

The company saw lower wireless churn this quarter compared to the same period last year, reported at just under 1 percent. Most of the churn appeared to be reflected in consumers shutting off AT&T services on their tablets and smartwatches; AT&T reported a tablet and smartwatch loss of 48,000 lines.


Sources

Information from this article was obtained through two press releases issued by AT&T — one on July 26, the other on Thursday — related to the company’s second-quarter and third-quarter earnings, respectively. Certain financial information was compared between the two press releases, and percentages were calculated by The Desk based on data reported by AT&T. The quote from CEO John Stankey was included in the press release supplied by the company, as was information about AT&T’s first ground-to-satellite 5G voice call and the number of fiber customers served.

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About the Author:

Matthew Keys

Matthew Keys is the publisher of The Desk and reports on the business and policy matters involving the broadcast television, streaming video and radio industries. He previously worked for Thomson Reuters, Disney-ABC, Tribune Broadcasting and McNaughton Newspapers. Matthew is based in Northern California, has won numerous awards in the field of journalism, and is a member of IRE (Investigative Reporters and Editors).