AT&T Inc (T.N), the No. 2 U.S. wireless carrier, reported a better-than-expected quarterly profit, largely helped by the acquisition of satellite TV operator DIRECTV.
The company added 328,000 DIRECTV subscribers, higher than the average analyst estimate of 222,000, according to FactSet StreetAccount.
AT&T, however, lost 382,000 customers at its Internet and TV service U-verse.
The company also added 129,000 net wireless postpaid customers in the first quarter ended March 31, compared with a gain of 144,000 a year earlier.
AT&T is banking on its acquisition of DIRECTV to help beef up its bundles of cellular, broadband, TV and fixed-line phone services.
Net income attributable to AT&T rose to $3.80 billion, in the first quarter ended March 31, from $3.26 billion.
On a per share basis, net income fell to 61 cents from 63 cents.
Excluding items, the company earned 72 cents per share, beating the average analyst estimate of 69 cents, according to Thomson Reuters I/B/E/S.
The company, which bought DIRECTV for $48.5 billion last year, said total operating revenue rose 24.4 percent to $40.53 billion, beating the average analyst estimate of $40.47 billion.
AT&T's shares were down 1.2 percent in after-hours trading on Tuesday.
(This story corrects fourth paragraph to say AT&T added 129,000 wireless postpaid customers instead of losing 4,000)
(Reporting by Kshitiz Goliya in Bengaluru; Editing by Sriraj Kalluvila)
This story has not been edited by Firstpost staff and is generated by auto-feed.
Published Date: Apr 27, 2016 03:15 AM | Updated Date: Apr 27, 2016 03:15 AM