AT&T CEO: ‘2022 was probably the most worthwhile yr ever for our mobility enterprise’
AT&T ended 2022 in place. The service reported that wi-fi service revenues went up 5.2% within the final quarter, whereas shopper broadband revenues elevated by 7.2%. The service additionally added 656,000 postpaid telephone subscribers throughout This autumn, bringing the overall postpaid telephone subscription provides to 2.9 million for the total yr.
“We completed 2022 with robust momentum of rising buyer relationships,” mentioned CEO John Stankey on the corporate’s earnings name. “As you may see from our profitability traits, we’re rising them in the precise means.”
He additionally mentioned that the corporate “met or surpassed all of our profitability targets for the yr.”
Working revenue for the wi-fi section was up 13% year-over-year. When it comes to consolidated outcomes, the corporate reported an total working revenue internet lack of $21.1 billion and a internet revenue lack of $23.1 billion, attributable to a $29.4 billion pre-tax cost that the corporate mentioned was attributable to a mixture of asset impairments and abandonments, an actuarial loss on profit plans and different objects.
Stankey added that the corporate’s 2022 This autumn churn outcomes, which confirmed that postpaid telephone churn was 0.84% versus 0.85% in 2021 This autumn, signaled enchancment: “We contemplate this yet one more information level highlighting that our complete method to bettering your complete buyer expertise is working.
With regards to its mobility enterprise, Stankey claimed that 2022 was “probably the most worthwhile yr ever.” The service now has 150 million mid-band 5G POPs, which is greater than double its preliminary 2022 year-end goal. “Our objective stays to deploy our spectrum effectivity and in a way that helps visitors development,” mentioned Stankey, including that the place mid-band 5G is broadly deployed, 25% of AT&T’s visitors already takes benefit of this spectrum.
AT&T additionally reported 280,000 fiber internet provides for the quarter, bringing its 2022 whole fiber provides to greater than 1.2 million. At a press roundtable, execs reiterated the service’s objective of hitting greater than 30 million fiber areas by the top of 2025
On the identical press occasion, AT&T responded to Verizon’s perspective that whereas enterprise and personal 5G is definitely promising, adoption has been slower than anticipated. Chris Womack, AVP of AT&T’s investor relations acknowledged that 5G does supply an edge over LTE within the enterprise house; nonetheless, shared that Verizon could have jumped the gun: “There are alternatives for personal 5G, however I believe our competitor actually blew that up as an amazing use case and nice development alternative for them and they’re having to again off on that a little bit bit now as a result of they’re seeing the truth of the market,” he mentioned.
For the total yr, AT&T expects wi-fi service income development of 4% or increased and broadband income development of 5% or increased. The corporate additionally acknowledged that capex ought to begin to ease after 2023.