AT&T REPORTS Q3 NET PROFIT - $12.3 BILLION

AT&T has released their Q3 report showing they made a net profit of $12.3 billion, including the sale of Sterling Commerce and a one-off tax adjustment.  The report also shows they made a net subscriber gain of 2.6 million people, bring the total number of active wireless customers to 92.8 million.  This is the first full quarter since the iPhone 4 was released in June.  Churn, which is the amount of people leaving AT&T, down to a lowly 1.32%. [Engadget]

PRESS RELEASE:

Record Wireless Sales, Strong Revenue and Earnings Growth Highlight AT&T's Third-Quarter Results

Dallas, Texas, October 21, 2010

$2.08 diluted EPS compared to $0.54 diluted EPS in the third quarter of 2009; EPS of $0.55, excluding $1.53 in one-time gains from a previously disclosed tax settlement and the sale of Sterling Commerce

Consolidated revenues from continuing operations of $31.6 billion in the third quarter, up $847 million, or 2.8 percent, versus the year-earlier period

11.4 percent growth in wireless revenues, with a 10.5 percent increase in wireless service revenues

Record wireless volumes, with more than 8 million postpaid integrated device sales

2.6 million increase in total wireless subscribers - the highest third-quarter net gain in the company's history - to reach 92.8 million subscribers in service

Postpaid subscriber ARPU (average monthly revenues per subscriber) up 2.0 percent to $62.84, the seventh consecutive quarter with a year-over-year increase

1.32 percent total wireless churn, best-ever third-quarter

30.5 percent growth in wireless data revenues, up $1.1 billion versus the year-earlier quarter

First year-over-year growth in wireline consumer revenues in more than two years

30.0 percent growth in consumer IP data revenues, driven by AT&T U-verse® expansion

236,000 net gain in AT&T U-verse TV subscribers to reach 2.7 million in service, with continued high broadband and voice attach rates

148,000 net gain in wireline broadband connections

15.4 percent growth in revenues from strategic business services such as Ethernet, Virtual Private Networks (VPNs), hosting and application services