AT&T (T.N) has exceeded Wall Street estimates for wireless subscriber additions in the first quarter, driven by steady demand for bundled plans featuring high-speed fiber services and 5G mobile offerings. The company reported a net gain of 324,000 wireless subscribers, surpassing FactSet’s estimate of 258,300.
To combat increasing competition, AT&T has focused on bundling its services with promotions, including trade-ins for older phones. This strategy led to an unexpected surge in device upgrades since the announcement of reciprocal tariffs in April. The company believes this trend could lead to a pull forward in demand from the second half of the year, when new iPhone models are typically launched.
AT&T’s revenue rose 2% to $30.6 billion in the first quarter, beating analysts’ estimate of $30.35 billion. The company also reported that over 40% of its fiber customers opted for wireless plans.
Analysts expect AT&T to continue growing its subscribers and benefiting from higher-value wireless plans. The company reaffirmed its free cash flow and adjusted profit forecasts for the year and plans to resume share repurchases in the second quarter.
Source: https://www.reuters.com/business/media-telecom/att-leans-bundled-plans-beat-estimates-subscriber-additions-2025-04-23