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AT&T Reports Strong Financial Performance in Q2 2025

AT&T Inc. (NYSE: T) has unveiled notable financial statistics for its second quarter of 2025, indicating a strong trajectory fueled by a rise in both 5G and fiber subscribers. The company achieved revenues of $30.8 billion, marking a 3.5% increase compared to the prior year's quarter. This growth reflects AT&T's successful strategy in the present competitive landscape, affirming its commitment to providing high-quality technology and connectivity options.

Key Highlights from Q2 2025

AT&T's growth was bolstered by several key achievements:

• - Subscriber Growth: The company added 401,000 postpaid phone subscribers with a churn rate of only 0.87%, which is considered healthy for the telecommunications industry.
• - Fiber and Internet Growth: The corporation reported the addition of 243,000 new AT&T Fiber subscribers and 203,000 Internet Air customers. Consumer broadband revenue alone climbed to $2.1 billion, representing an impressive increase of 18.9% year-over-year.
• - Financial Metrics: Notably, AT&T's diluted earnings per share (EPS) rose to $0.62 from $0.49 in the previous year, while adjusted EPS stood at $0.54, up from $0.51. The operating income increased to $6.5 billion, marking a solid foundation for profit durability.

From these figures, it’s clear that the company is experiencing expanded growth in vital growth segments—particularly mobility services, which saw revenue of $16.9 billion, an increase of 3.5% compared to the previous year.

Strategic Positioning and Competitive Advantages

CEO John Stankey emphasized that AT&T's strategy is effectively capturing market momentum in a highly competitive environment. With the largest wireless and fiber networks in the nation, AT&T is appealing more than ever to customers eager for advanced technology solutions. The company also benefits from substantial cash tax savings thanks to provisions in recent legislation, which it expects to invest in network expansion—the goal being to reach 4 million locations annually by 2026.

Future Outlook

Looking forward, AT&T has revised its financial forecasts for the upcoming years, projecting moderate growth in its service revenue and adjusted EBITDA:

• - Service Revenue Growth: The company anticipates growth in the low single-digit range.
• - Mobility Service Revenue: Expected to grow by at least 3%.
• - Consumer Fiber Broadband Revenue: Projected mid to high teens growth rates.
• - Adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA): Expected growth of 3% or more.

AT&T plans substantial capital investments ranging from $22 billion to $24 billion annually from 2026 to 2027. The firm aims to maintain free cash flow above $18 billion in 2026 and $19 billion in 2027, highlighting a strong foundation for investor returns and reinvestment in growth-oriented initiatives.

Conclusion

In summary, AT&T's strong Q2 performance showcases its ability to navigate the challenges of a competitive telecommunications landscape effectively. The company's increasing subscriber base, coupled with strategic investments and network expansions, positions it well for future growth. The insights from this quarter underscore AT&T's commitment to delivering outstanding connectivity solutions to its consumers while maintaining a solid financial profile.