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Tuesday, Jul 24
2012, 11:01 AM
AT&T (T -1.9%), which has had a strong 2012 run-up, has turned negative following a mixed Q2...
AT&T (T -1.9%), which has had a strong 2012 run-up, has turned negative following a mixed Q2 report. While the wireless division saw higher margins, rising ARPUs, and lower churn to go with 1.3M net adds (320K postpaid), wireline revenue fell 0.8% Y/Y, and U-Verse subscriber adds slipped from Q1 levels. Also, smartphone sales fell 7% Q/Q to 5.1M (iPhones -14% to 3.7M) - positive for near-term margins, but negative for long-term growth - and EPS was boosted by $2.5B worth of buybacks.