Core Viewpoint - Analysts forecast AT&T (T) will report quarterly earnings of $0.47 per share, reflecting a year-over-year decline of 13%, with revenues expected to reach $32.73 billion, an increase of 1.3% compared to the previous year [1]. Earnings Estimates - The consensus EPS estimate for the quarter has not changed in the past 30 days, indicating that analysts have not revised their initial projections [2]. - Changes in earnings estimates are crucial for predicting investor reactions, as empirical research shows a strong correlation between earnings estimate revisions and short-term stock performance [3]. Revenue Projections - Analysts predict 'Revenues- Communications- Business Wireline' will reach $4.22 billion, a year-over-year decline of 7.1% [5]. - 'Revenues- Communications- Consumer Wireline' is expected to be $3.65 billion, showing a year-over-year increase of 5.4% [5]. - The consensus estimate for 'Revenues- Corporate and Other' is -$34.76 million, indicating a significant decline of 130.2% from the prior-year quarter [5]. - 'Revenues- Communications- Mobility' is projected to be $23.75 billion, reflecting a year-over-year increase of 2.7% [6]. Key Metrics - 'Consumer Wireline - Broadband Connections - Fiber Broadband Connections' is expected to reach 10.41 million, up from 9.33 million in the same quarter last year [6]. - 'Consumer Wireline - Fiber Broadband Net Additions' is estimated at 284.24 thousand, down from 307.00 thousand year-over-year [7]. - 'Consumer Wireline - Broadband Connections - Non Fiber Broadband Connections' is projected at 4.24 million, compared to 4.66 million last year [7]. - 'Consumer Wireline - Broadband Net Additions' is expected to be 151.01 thousand, up from 123.00 thousand year-over-year [8]. - 'Mobility Subscribers - Postpaid phone' is forecasted at 74.24 million, an increase from 72.75 million year-over-year [8]. - 'Mobility Net Additions - Postpaid Phone' is expected to be 439.25 thousand, down from 482.00 thousand in the same quarter last year [9]. - 'Consumer Wireline - Broadband Connections - Broadband' is projected to reach 14.65 million, compared to 13.99 million last year [9]. - 'Mobility - Total Mobility Net Additions' is estimated at 1.02 million, down from 1.81 million in the same quarter last year [10]. Stock Performance - AT&T shares have declined by 4.4% over the past month, contrasting with a 0.6% increase in the Zacks S&P 500 composite, indicating expected underperformance in the near future [11].

Core Viewpoint - AT&T Inc. reported mixed first-quarter 2025 results, with adjusted earnings missing consensus estimates while revenues exceeded expectations [1][4]. Financial Performance - Net income on a GAAP basis was $4.39 billion, or 61 cents per share, compared to $3.39 billion, or 47 cents per share, in the same quarter last year, primarily due to higher contributions from DIRECTV investments [3]. - Adjusted earnings improved to 51 cents per share from 48 cents a year ago, but missed the Zacks Consensus Estimate by one cent [4]. - Quarterly GAAP operating revenues increased by 2% year over year to $30.63 billion, driven by higher Mobility service and equipment sales, as well as Consumer Wireline revenues, surpassing the consensus mark of $30.44 billion [4]. Subscriber Growth - AT&T experienced solid subscriber momentum with 290,000 post-paid net additions, including 324,000 postpaid wireless phone additions [6]. - Postpaid churn was 0.83%, and postpaid phone-only average revenue per user (ARPU) increased by 1.8% year over year to $56.56 [6]. Segment Performance - Communications segment operating revenues rose to $29.56 billion from $28.86 billion, with Mobility business revenues up 4.7% to $21.57 billion and Consumer Wireline revenues up 5.1% to $3.52 billion, despite a decline in Business Wireline revenues [7]. - Service revenues from the Mobility unit improved by 4.1% to $16.65 billion, while equipment revenues increased by 6.9% year over year to $4.92 billion [8]. - Revenues from the Business Wireline segment declined due to lower demand for legacy services, while total segment operating income improved by 3.6% to $6.99 billion [9]. Cash Flow and Liquidity - In Q1 2025, AT&T generated $9.05 billion in cash from operations, up from $7.55 billion a year ago, with free cash flow of $3.15 billion compared to $2.77 billion in the previous year [11]. - As of March 31, 2024, AT&T had $6.88 billion in cash and cash equivalents, with long-term debt of $117.26 billion, resulting in a net debt to adjusted EBITDA ratio of approximately 2.63X [11]. Guidance - For 2025, AT&T expects wireless service revenues to improve in the range of 2-3%, with broadband revenues anticipated to grow in the mid-teens [12]. - Adjusted earnings are projected to be between $1.97 and $2.07 per share, with free cash flow expected to exceed $16 billion due to cost savings [13].