AT&T (T) investor relations material

Executive summary

• Achieved strong first quarter results with revenue up 2.9% year-over-year to $31.5B, driven by strategic investments in fiber and 5G, and record net additions in advanced connectivity internet customers.

• Adjusted EBITDA rose 5.6% year-over-year to $11.6B, and adjusted EPS increased 11.8% to $0.57.

• Closed the Lumen transaction ahead of schedule, adding 1.1 million fiber customers and over 4 million fiber locations, with assets placed in a subsidiary classified as held-for-sale.

• Accelerated customer convergence, with 42% of advanced home internet customers also choosing wireless; organic convergence rate reached nearly 45%.

• Expanded digital-first offerings, including AT&T OneConnect and refreshed Unlimited Your Way plans.

Financial highlights

• Consolidated revenue was $31.5B, up 2.9% year-over-year, with service revenue up 1.4% and equipment revenue up 4.4%.

• Adjusted EBITDA was $11.6B, up 5.6% year-over-year; margin was 37.4%.

• Adjusted EPS was $0.57, up nearly 12% year-over-year.

• Free cash flow was $2.5B, at the high end of guidance, but down year-over-year due to higher capital investment.

• Operating income was $6.7B; adjusted operating income was $6.9B.

Outlook and guidance

• Expect low single-digit consolidated service revenue growth for the full year and through 2028.

• Maintain full-year adjusted EBITDA growth guidance of 3%-4%, with 5%+ growth in 2026.

• Free cash flow expected to exceed $18B for the year and grow to $21B+ by 2028.

• Full-year adjusted EPS guidance reiterated at $2.25-$2.35, with double-digit CAGR through 2028.

• Capital investment forecasted at $23B–$24B annually.