John Paczkowski

Recent Posts by John Paczkowski

AT&T’s Q1: 2.7 Million iPhones, 1.9 Million New Subs and a Nasty Charge

imagesReporting first-quarter earnings this morning, AT&T said it added 1.9 million new wireless subscribers during the period (see chart below; click to enlarge).

It was the biggest first-quarter gain in the company’s history and an impressive achievement, but it was undermined by a large health-care expense. A $995 million charge related to the new federal health-care law dragged AT&T’s first-quarter earnings down 21 percent. Even the 2.7 million iPhones AT&T activated during the period couldn’t offset the expense.

Pity. Because excluding that charge, AT&T would have earned 59 cents a share, five cents more than the Street had been looking for.

For the quarter, AT&T (T) posted revenue of $30.65 billion and profit of $2.48 billion, or 42 cents a share, well below the $3.13 billion, or 53 cents a share, the carrier reported a year earlier. A bit of a miss since the Street had been expecting earnings of 54 cents a share on $30.73 billion in revenue.

Still, as I noted earlier, the company’s wireless division is doing quite well. Sales there rose 8.2 percent to $13.89 billion, bringing the company’s total wireless subscriber base to 87 million. Not bad, considering that Verizon (VZ), the nation’s largest wireless carrier, claims about 91 million customers.


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December 30, 2013 at 6:49 am PT

2013 Was a Good Year for Chromebooks

December 29, 2013 at 2:12 pm PT

BlackBerry Pulls Latest Twitter for BB10 Update

December 29, 2013 at 5:58 am PT

Apple CEO Tim Cook Made $4.25 Million This Year

December 28, 2013 at 12:05 pm PT

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Just as the atom bomb was the weapon that was supposed to render war obsolete, the Internet seems like capitalism’s ultimate feat of self-destructive genius, an economic doomsday device rendering it impossible for anyone to ever make a profit off anything again. It’s especially hopeless for those whose work is easily digitized and accessed free of charge.

— Author Tim Kreider on not getting paid for one’s work