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.

Twitter’s Tanking

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