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AT&T profit, revenue slip in Q1

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AT&T reported a drop in net income for the second straight quarter, as well as a slight decline in revenue, as the telco giant posted its first-quarter earnings report Wednesday. AT&T still profited to the tune of $3.2 billion, but that was a 9 percent slide from the same quarter last year. The telco had reported a 23 percent drop in net income for the fourth quarter of 2008, but the first-quarter number was well ahead of that period's $2.4 billion profit. Meanwhile, revenue for the first quarter came in at $30.57 billion, a decline of less than 1 percent from the same quarter last year.

Wireless, broadband and TV services continued to be growth engines for the company as wireless revenue was up 10 percent to $11.6 billion, which included a 39 percent jump in revenue from wireless data. The company also added 284,000 U-verse TV customers during the quarter and now has 1.3 million TV customers overall. In both wireless and TV markets, AT&T continues to erase concerns that the overall economic crisis would soften its results in these areas.

Still, landline business challenges appear to be worsening, if anything, as AT&T reported a 12 percent drop in landline voice revenue to $8.5 billion.

For more:
- MarketWatch has this report
- 24/7 Wall Street has this post

Related articles
AT&T's profit was down 23 percent in the fourth quarter of 2008
Here's what analysts had been expecting for AT&T's first quarter


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Comments (13) | Post a comment
More stories about AT&T   U Verse Tv   Tv Services   first quarter earnings 2009   Voice Revenue   Earnings   Telco   Landline  

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You are a moron, you have no idea what a outside tech does, you mentioned comcast, well after you make a level 3 tech there which can be done in about a year and a half, you can make 17.85 with very comprobable benefits to what at&t wants us to pay. What you have to realize is U-verse is a much harder system to install and maintain then cable when I worked for cable I went into people homes hooked up there box handed them the remote and said enjoy because that was what the expected. If at&t wants to make u-verse successful and I would hope so since it is the future of the company. The should invest in infastructure and employees who go face to face with customers in their homes and install these services.

I worked for these scum buckets...(snakes).They are hiring contractors left and right ($15.50/hour) and trying to find ways to cut or scale back not paying blue badge workers. I find this really disloyal to all that superb workforce who actually made the company what it is today.

They mess with people pay and benefits then soon their brand image will be tarnished on a global level. Everyone who is a blue badge, DO NOT SETTLE FOR LESS. STAY THE COURSE AND FIGHT FOR WHATS YOURS!!!!!

To Anonymous | April 24, 2009 - 6:33am "Did anyone note managments consessions this year? Stephenson took no raise and no bonus this year. No AT&T manager from the CEO down took a raise this year." Is your head buried in the sand??? The day before Randall the Rat made the announcement that he wouldn't take his bonus, the Board of Directors gifted him over 300k company shares at $0's. He has since sold most if not all for over 5 million dollars. Would YOU call that not getting a bonus??? If you doubt my words then you can do the research yourself by going to yahoo finance and look up insider trades for Feb.9th 2009. If those cold hard facts do nothing to change your tune nothing will. That was a huge slap in the face to not only bargained employees, but managers at every level. I feel that my management team should make 2x what they are currently being paid to put up with everything that they are required to do on a daily basis. Check all the facts before you post and you will sound more credible. As far as your position on our health care package, I will agree that in order to come to a compromise WE need to be paying more for our health care and come in line with the rest of America. I do not feel that retirees should have their health care plans altered at all. They are the ones that paved the way for everyone in this company from the CEO on down to be where we are today. RESPECT the one who got us here. They were the TRUE craftsman/women. Furthermore, the company wants us to pay alot more than 50-60 dollars a month. Again check your facts.

One thing I've noticed that is not being said here is that these contract negotiations cover more than just "wireline" (i.e. tech/premtech etc). I work for AT&T Services which contains all of the inside functions of AT&T. We are people that are behind the scenes - accounting/payroll, print distr., call centers etc. It's not just the outside techs that are affected. We don't make $30 an hour, far from it, and I'm not saying we should. I'm paid a fair wage for the work I do as are the rest of us. We're not asking for more money, we just don't want to lose everything we have. We have families to feed, mortgages to pay just like everyone else. There are single parents and one income families here just like everywhere else, so yes, if we strike those people will be hurting but if our pay is cut or we have to pay huge amounts for health care those families would be hurting alot more. I used to work for a non-union company, I made $5hr and no benefits. I witnessed people being fired with no reason and no recourse. I was told at that time I had a choice, I could continue to work for that company or I could move on to bigger and better things. That's when I applied for AT&T. I applied for this company because of the great pay and benefits. I started out working as an operator making $5hr and no benefits but thanks to CWA and AT&T's contract I was fortunate to receive benefits and raises throughout my time here. I worked for those benefits and raises though. As an operator I worked split shifts, nights, weekends and holidays for 10 years until I was able to transfer on to a better position. I've been with the company for 20 years and I love this company and I love the manager I work for. We have become friends and I work hard for him and the rest of our team. But I will not go backwards, go back to where I started just because others believe I make more than they do or have more benefits than they do. If you don't like what you have, move on to bigger and better things like I did but don't hate me or us because we have what we have and are willing to fight for it.

Did anyone note managments consessions this year? Stephenson took no raise and no bonus this year. No AT&T manager from the CEO down took a raise this year. I pay about $80 a month for a family of 5 for the same benefits cwa wants to keep for free. That's right folks, free. The company proposal is asking them to pay less than me and they cry? I feel blessed in this day and age to even get bennies. You make $32 an hour and we want you to spend 50-60 a month for the same great health, dental, optical, adoption, tuition aid, life insurance benefits you joined the company for. Let's talk greed shall we? If you don't like it I'm sure comcast is hiring. Let's see what their benefit package looks like.

And... just how much of the wireless revenue is from CWA members - I have 4 wireless phones with a monthly wireless bill four times my landline bill. A strike would affect everyone since we are the ones maintaining landlines for doctors, banks, E911, and even AT&T.

i have to wonder if those incremental pension and retirement costs are so high due to a 158 million pension plan for whitacre.

MO CONTRACT - NO PEACE

AT&T needs to know PEOPLE HAVE VALUE

WE BUILT IT - THEY BROKE IT

Cutting Healthcare is SICK

From a retiree: Best Years of my Life for NOTHING

Anyone see the commercial where AT&T says their creating new high-tech jobs? The occupational employees can do new high-tech jobs. We do it every day. But the company would rather lay us off and hire new people at a much lower wage.

THANK YOU. We are not like the auto industry and on of Stephenson's email's actualyy compared us to them!!!!!!

Is our CEO Randall Stephenson related to Dick Cheney? Donald Rumsfeld? Rush Limbaugh? Bernie Madoff?

Here's part of the email he sent to the whole company today:
"It's a challenging economy, but as our 1Q results showed this morning — we're executing well overall."

Oh. I guess we need to slash our healthcare. Then AT&T can do "weller."

In the same email was this:
"Consistent with expectations, earnings were down because of pressure from incremental pension and retiree benefit costs. Without these costs, earnings would have been up slightly."

CWA is not opposed to making consessions. But the concessions the company wants are outragous. And they won't make consessions. We are now working without a contract - just the same as always, no one is trying to sabotage the company. It's our company and we don't want anything negative to happen. We've been there for 15, 20, 30, 40 years!

The other day we got an email that the wireline part of the business is declning. He said that wireline is not important. He said that to us! I think he's trying to make us strike. Afterall, then he wouldn't have to pay us.

Without a contract they can take away any benefits they want - healthcare, vacations, pay, and even our jobs. They can fire us for whatever reaon they want. And right now we can't have union representation.

We are so angry about what he has the nerve to say to us. The wireline part of the business can never go away. There would be no wireless service. No 800 numbers. No landline phone service. All this needs cables, cell towers, central offices. He's such a ____. You can fill in the blanks. Why can't he treat us like real people? We're just numbers to him, and we cost money that he'd rather have for himself. We are disgusted and angry. How else does he expect us to feel? Oh yeah, he doesn't have feelings, so he probably doesn't think we do. People out there - please know that we are not the big bad union. We are just like you. And we want to keep our jobs. Get rid of us and we'll just be more people who can't contribute to the economy. Right now I feel sick.

Now I get it. It's all the retires fault. Hmm. We have a pension fund. There are people who retired in the past few years who would not have had they known the company was going to also slash their pensions.

Mr. Stephenson - how's you life going to be when you retire? I hope you've been saving those millions of dollars in bonuses you've gotten. Otherwise you may not be able to survive.

"In the sameConsistent with expectations, earnings were down because of pressure from incremental pension and retiree benefit costs. Without these costs, earnings would have been up slightly email was this:

Yet they went from #27 on the Forbes 500 list to #10. It's also become the #1 Telcom company with $25 billion more than them in revenues and 3 times that of Sprint. All this in the midst of the deepest recession since the great depression.

Not only did AT&T profit, they did a lot better than expected during a recession. Like the auto industry? I think not. The union should not concede anything. No givebacks.

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