AT&T just released its earnings report for the fourth quarter of 2018. The company generated $47.99 billion in revenue with adjusted earnings per share of 86 cents that exclude special items.
Wall Street analysts had expected earnings per share of 86 cents and $48.5 billion in revenue. In other words, earnings per share are right on track, revenue is slightly below expectations.
AT&T shares (NYSE:T) are currently trading down 0.78 percent in pre-market trading compared to yesterday’s closing price of $30.67.
“Our top priority for 2018 and 2019 is reducing our debt and I couldn’t be more pleased with how we closed the year. In 2018, we generated record free cash flow while investing at near-record levels. Our dividend payout as a percent of free cash flow was 46% for the quarter and 60% for the year, allowing us to increase the dividend for the 35th consecutive year,” AT&T chairman and CEO Randall Stephenson wrote in the release. “This momentum will carry us into 2019 allowing us to continue reducing our debt while investing in the business and continuing our strong record for paying dividends.”
AT&T has added 134,000 postpaid phone subscribers over the quarter. Analysts expected more from the company. Revenue is up 15.2 percent year over year, but that’s mostly due to AT&T’s acquisition of Time Warner.