AT&T(T) - 2025 Q1 - Quarterly Report

Financial Performance - Total operating revenues for Q1 2025 increased to $30,626 million, a 2.0% rise from$ 30,028 million in Q1 2024[95] - Net income for Q1 2025 was $4,692 million, reflecting a 25.1% increase compared to$ 3,751 million in Q1 2024[95] - Operating income margin for the Communications segment improved to 23.7% in Q1 2025, up from 23.4% in Q1 2024[103] - Communications Segment operating income increased to $6,991 million, a 3.6% rise from$ 6,745 million in Q1 2024[151] - Mobility segment EBITDA reached $9,266 million, reflecting a 3.5% increase from$ 8,955 million year-over-year[151] - Consumer Wireline operating income surged by 63.8% to $349 million, up from$ 213 million in the previous year[151] - Latin America Segment EBITDA grew by 7.2% to $193 million, compared to$ 180 million in Q1 2024[151] Subscriber Metrics - Postpaid subscribers reached 89,463 thousand in Q1 2025, a 2.3% increase from 87,450 thousand in Q1 2024[105] - Mobility net subscriber additions fell to 120 thousand in Q1 2025, an 83.8% decline compared to 741 thousand in Q1 2024[106] - Postpaid subscribers in Mexico increased by 12.1% to 5,997,000, while total wireless subscribers grew by 5.1% to 23,608,000[125] Revenue by Segment - Mobility segment operating revenues grew by 4.7% to $21,570 million in Q1 2025, driven by higher service and equipment revenues[102] - Business Wireline operating revenues decreased by 9.1% to$ 4,468 million in Q1 2025, primarily due to lower demand for legacy services[114] - Consumer Wireline operating revenues increased by 5.1% to $3,522 million in Q1 2025, supported by a 9.6% rise in broadband revenues[119] - Fiber broadband revenues rose by 19.0% in Q1 2025, driven by an increase in fiber customers and higher ARPU[121] - Total segment operating revenues in Latin America decreased by 8.7% to$ 971 million in Q1 2025, with service revenues down 10.9%[125] Cash Flow and Investments - Cash provided by operating activities was $9,049 million in Q1 2025, up from$ 7,547 million in Q1 2024[131] - Cash used in investing activities totaled $4,958 million in Q1 2025, primarily for capital expenditures of$ 4,277 million[135] Debt and Financial Ratios - Total debt increased to $126,161 million as of March 31, 2025, compared to$ 123,532 million at the end of 2024[131] - The debt ratio improved to 50.9% as of March 31, 2025, down from 52.4% a year earlier[149] Tax and Regulatory Information - The effective tax rate decreased to 21.7% in Q1 2025 from 23.0% in the prior year, attributed to larger discrete state tax benefits[100] - The Chief Executive Officer and Chief Financial Officer confirmed the effectiveness of the company's disclosure controls and procedures as of March 31, 2025[153] - No material changes in internal control over financial reporting were reported during the most recent fiscal quarter[154] Stock and Shareholder Actions - The company repurchased a total of 8,575,826 shares at an average price of $25.47 during Q1 2025[160] - The company has authorized a stock repurchase program of up to$ 10,000 million with no expiration date[160] Risks and Forward-Looking Statements - Forward-looking statements are subject to risks including adverse economic changes and competition in the industry[158]