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Form 8-K

sec.gov

8-K — AT&T INC.

Accession: 0000732717-26-000201

Filed: 2026-04-22

Period: 2026-04-22

CIK: 0000732717

SIC: 4813 (TELEPHONE COMMUNICATIONS (NO RADIO TELEPHONE))

Item: Other Events

Item: Financial Statements and Exhibits

Documents

8-K — t-20260422.htm (Primary)

EX-99.1 — EX-99.1 AT&T INC. SELECTED FINANCIAL STATEMENTS AND OPERATING DATA (t-1q20268xk801exhibit991.htm)

XML — IDEA: XBRL DOCUMENT (R1.htm)

8-K — 8-K 8.01 AT&T 1ST QUARTER 2026 EARNINGS RELEASE

8-K (Primary)

Filename: t-20260422.htm · Sequence: 1

t-20260422

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

______________________________________________________

FORM 8-K

______________________________________________________

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of report (Date of earliest event reported) April 22, 2026

______________________________________________________

AT&T INC.

(Exact Name of Registrant as Specified in Charter)

______________________________________________________

Delaware 001-08610 43-1301883

(State or Other Jurisdiction

of Incorporation) (Commission

File Number) (IRS Employer

Identification No.)

208 S. Akard St., Dallas, Texas

(Address of Principal Executive Offices)

75202

(Zip Code)

Registrant’s telephone number, including area code (210) 821-4105

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240-14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities Registered Pursuant to Section 12(b) of the Act

Title of each class Trading

Symbol(s) Name of each exchange

on which registered

Common Shares (Par Value $1.00 Per Share) T New York Stock Exchange

NYSE Texas

Depositary Shares, each representing a 1/1000th interest in a share of 5.000% Perpetual Preferred Stock, Series A T PRA New York Stock Exchange

Depositary Shares, each representing a 1/1000th interest in a share of 4.750% Perpetual Preferred Stock, Series C T PRC New York Stock Exchange

Title of each class

Trading

Symbol(s)

Name of each exchange

on which registered

AT&T Inc. 0.250% Global Notes due March 4, 2026 T 26E New York Stock Exchange

AT&T Inc. 1.800% Global Notes due September 5, 2026 T 26D New York Stock Exchange

AT&T Inc. 2.900% Global Notes due December 4, 2026 T 26A New York Stock Exchange

AT&T Inc. Floating Rate Global Notes due September 16, 2027 T 27C New York Stock Exchange

AT&T Inc. 1.600% Global Notes due May 19, 2028 T 28C New York Stock Exchange

AT&T Inc. 2.350% Global Notes due September 5, 2029 T 29D New York Stock Exchange

AT&T Inc. 4.375% Global Notes due September 14, 2029 T 29B New York Stock Exchange

AT&T Inc. 2.600% Global Notes due December 17, 2029 T 29A New York Stock Exchange

AT&T Inc. 0.800% Global Notes due March 4, 2030 T 30B New York Stock Exchange

AT&T Inc. 3.150% Global Notes due June 1, 2030 T 30C New York Stock Exchange

AT&T Inc. 3.950% Global Notes due April 30, 2031 T 31F New York Stock Exchange

AT&T Inc. 2.050% Global Notes due May 19, 2032 T 32A New York Stock Exchange

AT&T Inc. 3.550% Global Notes due December 17, 2032 T 32 New York Stock Exchange

AT&T Inc. 3.600% Global Notes due June 1, 2033 T 33A New York Stock Exchange

AT&T Inc. 5.200% Global Notes due November 18, 2033 T 33 New York Stock Exchange

AT&T Inc. 3.375% Global Notes due March 15, 2034 T 34 New York Stock Exchange

AT&T Inc. 4.300% Global Notes due November 18, 2034 T 34C New York Stock Exchange

AT&T Inc. 2.450% Global Notes due March 15, 2035 T 35 New York Stock Exchange

AT&T Inc. 3.150% Global Notes due September 4, 2036 T 36A New York Stock Exchange

AT&T Inc. 4.050% Global Notes due June 1, 2037 T 37B New York Stock Exchange

AT&T Inc. 2.600% Global Notes due May 19, 2038 T 38C New York Stock Exchange

AT&T Inc. 1.800% Global Notes due September 14, 2039 T 39B New York Stock Exchange

AT&T Inc. 7.000% Global Notes due April 30, 2040 T 40 New York Stock Exchange

AT&T Inc. 4.250% Global Notes due June 1, 2043 T 43 New York Stock Exchange

AT&T Inc. 4.875% Global Notes due June 1, 2044 T 44 New York Stock Exchange

AT&T Inc. 4.000% Global Notes due June 1, 2049 T 49A New York Stock Exchange

AT&T Inc. 4.250% Global Notes due March 1, 2050 T 50 New York Stock Exchange

AT&T Inc. 3.750% Global Notes due September 1, 2050 T 50A New York Stock Exchange

AT&T Inc. 5.350% Global Notes due November 1, 2066 TBB New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company  ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ☐

Item 8.01 Other Events.

Throughout this document, AT&T Inc. is referred to as “we” or “AT&T.” AT&T is a holding company whose subsidiaries and affiliates operate worldwide in the telecommunications and technology industries.

On February 2, 2026, we closed our transaction with Lumen Technologies, Inc. (Lumen) and acquired substantially all of Lumen’s mass markets fiber business. The acquisition included customer relationships, which we include with our advanced home internet services and fiber network assets that were placed in a wholly owned subsidiary, Forged Fiber 37 Services, LLC (Forged Fiber). We plan to sell a controlling interest in Forged Fiber to an equity partner that will co-invest in the ongoing business. As such, Forged Fiber met the criteria of held-for-sale and accordingly is reflected as discontinued operations in the accompanying financial statements and are not included in our discussion of continuing operations.

Overview

We announced on April 22, 2026, that first-quarter 2026 income from continuing operations totaled $4.2 billion, or $0.54 per diluted share. First-quarter 2026 income per diluted share included amounts totaling $256 million (pre-tax), or $(0.03) per share, resulting from the following significant items (per share): $(0.01) for the amortization of merger-related intangible assets and $(0.02) of benefit-related, transaction, legal and other items. These results compare with income from continuing operations of $4.7 billion, or $0.61 per diluted share, in the first quarter of 2025, which included the following significant items (per share): $0.15 of equity in net income of DIRECTV, offset by $(0.05) of restructuring and impairment charges.

Operating revenues in the first quarter of 2026 were $31.5 billion, up 2.9 percent from the first quarter of 2025, reflecting higher Advanced Connectivity wireless and fiber revenues, including revenues from customers of our acquired mass markets fiber business. Operating revenues in Mexico were also higher due to favorable foreign exchange impacts during the first quarter of 2026. Offsetting the increases were lower Legacy revenues as we continue to work towards the decommissioning of our copper-based legacy network.

Operating expenses in the first quarter of 2026 were $24.8 billion, down 0.1 percent, driven by lower depreciation expense from fully depreciated legacy assets, partially offset by ongoing capital spending for strategic initiatives. Also contributing to lower expenses were higher restructuring charges in the prior year, cost reductions from transformation initiatives and lower content licensing fees. Offsetting the decrease were impacts from higher wireless sales volumes, which drove higher equipment, selling and bad debt expenses, higher network costs that included vendor credits in the prior year, and incremental customer costs related to our acquired mass markets fiber business.

Operating income in the first quarter was $6.7 billion compared to $5.8 billion in the comparable 2025 period, and AT&T’s first-quarter operating income margin was 21.1 percent, compared to 18.8 percent in the comparable 2025 period.

Cash from operating activities from continuing operations in the first quarter of 2026 was $7.6 billion, down $1.5 billion when compared to 2025, with prior-year operating cash flows including $1.4 billion of distributions from DIRECTV. Capital expenditures in the first quarter of 2026 were $4.9 billion, and when including $0.2 billion cash paid for vendor financing, capital investment was $5.1 billion, compared to prior-year first quarter capital investment of $4.5 billion (capital expenditures of $4.3 billion and vendor financing of $0.2 billion).

Segment Summary

We analyze our segments based on segment operating income, which excludes acquisition-related costs and other significant items. Effective with our first-quarter 2026 reporting, we realigned our internal management and reporting structure to reflect the evolution of our business model to focus on delivering converged advanced connectivity services across 5G and fiber to consumer and business customers. This new segment reporting structure also provides better visibility into the progress of exiting our copper-based Legacy operations. Our reportable segments are: Advanced Connectivity, Legacy and Latin America.

Advanced Connectivity

Our Advanced Connectivity segment provides domestic 5G and fiber-based wireless, internet and other advanced connectivity services to consumer and business customers. We also provide supplemental schedules on our advanced consumer and business customer relationships as the product lifecycles in these customer categories influence the growth trajectories of Advanced Connectivity segment results. Costs that are shared and that may continue after the decommissioning of our legacy network are reported in our Advanced Connectivity segment along with direct costs incurred in support of products and services. Depreciation of our shared network, including copper-based assets prior to decommissioning, is managed in our Advanced Connectivity segment, consistent with our composite group depreciation methodology.

Revenues were $28.5 billion, up 4.7 percent when compared to the first quarter of 2025, reflecting service revenue growth of 3.6 percent and equipment revenue increases of 9.3 percent. Wireless service revenue increased 1.7 percent due to growth in retail wireless subscribers in underpenetrated categories and converged accounts, partially offset by promotional activity. Advanced

1

home internet revenue increased 27.3 percent reflecting increased fiber and AT&T Internet Air (AIA) revenues. Fiber revenues increased 21.2 percent due to growth in fiber customers, including revenues from customers of our acquired mass markets fiber business. AIA revenue increases exceeded 100 percent as we continue make these services available in additional markets. Business fiber and advanced connectivity revenues increased 7.2 percent driven by higher fiber and fixed wireless revenues from business relationships. Business transitional and other revenues decreased 16.3 percent driven by lower demand for Virtual Private Network (VPN) and wholesale services, and Other service revenues decreased 2.5 percent reflecting the continued decline in the number of VoIP customers. Equipment revenue increased 9.3 percent primarily due to higher wireless device sales volumes.

Operating expenses were $21.6 billion, up 1.9 percent, primarily due to higher wireless sales volumes, which drove higher equipment, selling and bad debt expenses. The increase was also due to higher network costs that included vendor credits in the prior year, and incremental customer costs related to our acquired mass markets fiber business. These increases were partially offset by cost reductions from transformation initiatives and lower content licensing fees. Depreciation expense was also lower due to fully depreciated legacy assets, partially offset by ongoing capital spending for strategic initiatives. Advanced Connectivity operating income margin was 24.1 percent, compared to 22.0 percent in the year-earlier quarter.

During the first quarter of 2026, we reported a net gain of 158,000 retail wireless subscribers, with 294,000 from postpaid phone. At March 31, 2026, retail wireless subscribers totaled 109.3 million compared to 108.4 million at March 31, 2025.

Postpaid phone churn was 0.89 percent compared to 0.83 percent in the prior-year comparable period. The effective management of subscriber churn is critical to our ability to maximize revenue growth and to maintain and improve margins. Phone churn was higher in the first quarter of 2026, driven by the competitive dynamics of the industry.

During the first quarter of 2026, we reported a net gain of 584,000 total internet connections, with 292,000 fiber net adds and 292,000 fixed wireless net adds. At March 31, 2026, total internet connections totaled 14.8 million compared to 11.4 million at March 31, 2025.

Legacy

The Legacy segment provides domestic legacy voice and data services to consumer and business customers over our copper-based network. Legacy segment results include revenues derived from copper-based services and direct operating costs.

Revenues were $1.8 billion, down 25.3 percent when compared to the first quarter of 2025, primarily due to lower demand for legacy services, which we expect to continue as we decommission our legacy network. Operating expenses represent direct operating costs and were $1.2 billion, down 14.3 percent. Expense declines were primarily driven by lower personnel and other costs resulting from the decommissioning of our legacy network and lower fulfillment cost amortization, which we expect to continue. These decreases were partially offset by vendor credits in the prior year. Legacy operating income margin was 34.6 percent, compared to 43.0 percent in the year-earlier quarter.

Latin America

Our Latin America segment consists of our Mexico business unit and is subject to foreign currency fluctuations.

Revenues were $1.2 billion, up 20.8 percent when compared to the first quarter of 2025, primarily due to favorable impacts of foreign exchange rates, growth in subscribers and higher equipment sales. Operating expenses were $1.2 billion, up 24.2 percent, driven by unfavorable exchange rates, increased sales volumes that resulted in higher equipment costs and bad debt expenses, and higher depreciation expense. Mexico’s operating income margin was 1.7 percent, compared to 4.4 percent in the year-earlier quarter.

During the first quarter of 2026, we reported a net gain of 337,000 postpaid subscribers and a loss of 895,000 prepaid subscribers, driven by Mexico’s new mobile line identification law. At March 31, 2026, Mexico wireless subscribers totaled 24.1 million compared to 23.6 million at March 31, 2025.

Stock Repurchase Program

In December 2024, the Board of Directors authorized the repurchase of up to $10,000 of AT&T common stock (the 2024 Authorization). We began buying stock under this program in the second quarter of 2025. For the quarter ended March 31, 2026, we repurchased $2.3 billion of common stock under the 2024 Authorization. On January 27, 2026, the Board of Directors approved an authorization to repurchase an additional $10,000 of common stock (the 2026 Authorization). The amount remaining under authorization at March 31, 2026 was $13.5 billion.

2

CAUTIONARY LANGUAGE CONCERNING FORWARD-LOOKING STATEMENTS

Information set forth in this filing contains financial estimates and other forward-looking statements that are subject to risks and uncertainties. A discussion of factors that may affect future results is contained in AT&T’s filings with the Securities and Exchange Commission. AT&T disclaims any obligation to update or revise statements contained in this filing based on new information or otherwise.

3

Item 9.01 Financial Statements and Exhibits.

The following exhibits are filed as part of this report:

(d)

Exhibits

99.1

AT&T Inc. selected financial statements and operating data.

104 Cover Page Interactive Data File (embedded within the Inline XBRL document)

4

Signature

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

AT&T INC.

Date: April 22, 2026

By: /s/ Sabrina Sanders                               .

Sabrina Sanders

Senior Vice President - Chief Accounting Officer

and Controller

5

EX-99.1 — EX-99.1 AT&T INC. SELECTED FINANCIAL STATEMENTS AND OPERATING DATA

EX-99.1

Filename: t-1q20268xk801exhibit991.htm · Sequence: 2

Document

AT&T Inc.

Financial Data

Consolidated Statements of Income

Dollars in millions except per share amounts

Unaudited First Quarter Percent

2026 2025 Change

Operating Revenues

Service $ 25,478  $ 25,138  1.4  %

Equipment 6,028  5,488  9.8  %

Total Operating Revenues 31,506  30,626  2.9  %

Operating Expenses

Cost of revenues

Equipment 6,305  5,694  10.7  %

Other cost of revenues (exclusive of depreciation

and amortization shown separately below)

6,261  6,339  (1.2) %

Selling, general and administrative 7,316  7,145  2.4  %

Asset impairments and abandonments and restructuring —  504  —  %

Depreciation and amortization 4,966  5,190  (4.3) %

Total Operating Expenses 24,848  24,872  (0.1) %

Operating Income 6,658  5,754  15.7  %

Interest Expense 1,813  1,658  9.3  %

Equity in Net Income (Loss) of Affiliates (41) 1,440  —  %

Other Income (Expense) — Net 594  455  30.5  %

Income from Continuing Operations Before Income Taxes 5,398  5,991  (9.9) %

Income tax expense on continuing operations 1,179  1,299  (9.2) %

Income From Continuing Operations 4,219  4,692  (10.1) %

Loss from discontinued operations, net of tax (38) —  —  %

Net Income 4,181  4,692  (10.9) %

Net Income Attributable to Noncontrolling Interest (352) (341) (3.2) %

Net Income Attributable to AT&T $ 3,829  $ 4,351  (12.0) %

Preferred Stock Dividends and Redemption Gain (36) 44  —  %

Net Income Attributable to Common Stock $ 3,793  $ 4,395  (13.7) %

Basic Earnings Per Share Attributable to

Common Stock

Income from continuing operations $ 0.54  $ 0.61  (11.5) %

Loss from discontinued operations $ —  $ —  —  %

$ 0.54  $ 0.61  (11.5) %

Weighted Average Common Shares

Outstanding (000,000)

7,017  7,213  (2.7) %

Diluted Earnings Per Share Attributable to

Common Stock

Income from continuing operations $ 0.54  $ 0.61  (11.5) %

Loss from discontinued operations $ —  $ —  —  %

$ 0.54  $ 0.61  (11.5) %

Weighted Average Common Shares

Outstanding with Dilution (000,000)

7,027  7,223  (2.7) %

1

AT&T Inc.

Financial Data

Consolidated Balance Sheets

Dollars in millions

Mar. 31, Dec. 31,

2026 2025

Assets (Unaudited)

Current Assets

Cash and cash equivalents $ 11,964  $ 18,234

Accounts receivable – net of related allowances for credit loss of $363 and $429 8,335  8,843

Inventories 2,451  2,420

Prepaid and other current assets 23,532  19,235

Total current assets 46,282  48,732

Property, Plant and Equipment – Net 133,124  131,559

Goodwill – Net 63,838  63,425

Licenses – Net 129,144  128,148

Other Intangible Assets – Net 6,135  5,254

Investments in and Advances to Equity Affiliates 1,108  1,106

Operating Lease Right-Of-Use Assets 22,756  22,642

Other Assets 18,801  19,332

Total Assets $ 421,188  $ 420,198

Liabilities and Stockholders’ Equity

Current Liabilities

Debt maturing within one year $ 6,818  $ 9,011

Accounts payable and accrued liabilities 37,304  38,514

Advanced billings and customer deposits 4,330  4,266

Dividends payable 1,969  1,989

Total current liabilities 50,421  53,780

Long-Term Debt 131,589  127,089

Deferred Credits and Other Noncurrent Liabilities

Noncurrent deferred tax liabilities 59,113  58,312

Postemployment benefit obligation 8,427  8,478

Operating lease liabilities 18,907  18,943

Other noncurrent liabilities 25,109  25,104

Total deferred credits and other noncurrent liabilities 111,556  110,837

Redeemable Noncontrolling Interest 2,003  2,001

Stockholders’ Equity

Preferred stock —  —

Common stock 7,621  7,621

Additional paid-in capital 106,084  106,533

Retained earnings 17,620  15,768

Treasury stock (20,273) (18,529)

Accumulated other comprehensive income (loss) (1,392) (860)

Noncontrolling interest 15,959  15,958

Total stockholders’ equity 125,619  126,491

Total Liabilities and Stockholders’ Equity $ 421,188  $ 420,198

2

AT&T Inc.

Financial Data

Consolidated Statements of Cash Flows

Dollars in millions

Unaudited First Quarter

2026 2025

Operating Activities

Income from continuing operations $ 4,219  $ 4,692

Adjustments to reconcile income from continuing operations to net cash provided by

operating activities from continuing operations:

Depreciation and amortization 4,966  5,190

Provision for uncollectible accounts 560  516

Asset impairments and abandonments and restructuring —  504

Pension and postretirement benefit expense (credit) (396) (397)

Net (gain) loss on investments 28  81

Changes in operating assets and liabilities:

Receivables (119) 15

Equipment installment receivables and related sales 255  1,212

Contract asset and cost deferral (327) (147)

Inventories, prepaid and other current assets (173) (661)

Accounts payable and other accrued liabilities (2,770) (3,297)

Changes in income taxes 1,147  1,285

Postretirement claims and contributions (72) (68)

Other - net 277  124

Total adjustments 3,376  4,357

Net Cash Provided by Operating Activities from Continuing Operations 7,595  9,049

Investing Activities

Capital expenditures (4,877) (4,277)

Acquisitions, net of cash acquired (2,674) (20)

Dispositions 628  11

(Purchases), sales and settlements of securities - net (14) 45

Other - net (547) (717)

Net Cash Used in Investing Activities from Continuing Operations (7,484) (4,958)

Financing Activities

Issuance of long-term debt 8,098  2,956

Repayment of long-term debt (5,247) (1,526)

Payment of vendor financing (212) (203)

Redemption of preferred stock —  (2,075)

Purchase of treasury stock (2,475) (218)

Issuance of treasury stock 1  17

Issuance of preferred interests in subsidiary —  2,221

Dividends paid (1,997) (2,091)

Other - net (265) 366

Net Cash Used in Financing Activities from Continuing Operations (2,097) (553)

Net increase (decrease) in cash and cash equivalents and restricted cash from continuing operations (1,986) 3,538

Cash flows from Discontinued Operations:

Cash used in operating activities (38) —

Cash used in investing activities (4,171) —

Cash used in financing activities —  —

Net increase (decrease) in cash and cash equivalents and restricted cash from discontinued

operations (4,209) —

Net increase (decrease) in cash and cash equivalents and restricted cash $ (6,195) $ 3,538

Cash and cash equivalents and restricted cash beginning of year 18,527  3,406

Cash and Cash Equivalents and Restricted Cash End of Period $ 12,332  $ 6,944

3

AT&T Inc.

Consolidated Supplementary Data

Supplementary Financial Data

Dollars in millions except per share amounts

Unaudited First Quarter Percent

2026 2025 Change

Capital expenditures

Purchase of property and equipment $ 4,835 $ 4,240 14.0  %

Interest during construction 42 37 13.5  %

Total Capital Expenditures $ 4,877 $ 4,277 14.0  %

Acquisitions, net of cash acquired

Business acquisitions $ 1,656 $ — —  %

Spectrum acquisitions 1,018 1 —  %

Interest during construction - spectrum — 19 —  %

Total Acquisitions $ 2,674 $ 20 —  %

Cash paid for interest $ 1,936 $ 1,804 7.3  %

Cash paid for income taxes, net of (refunds) $ 1 $ 11 (90.9) %

Dividends Declared per Common Share $ 0.2775 $ 0.2775 —  %

End of Period Common Shares Outstanding (000,000) 6,965  7,196  (3.2) %

Debt Ratio 52.0  % 50.9  % 110   BP

Total Employees 132,590  139,970  (5.3) %

4

ADVANCED CONNECTIVITY SEGMENT

The segment provides domestic 5G and fiber-based wireless, internet and other advanced connectivity services to consumer and business customers.

Segment Results

Dollars in millions

Unaudited First Quarter Percent

2026 2025 Change

Operating Revenues

Wireless service

$ 16,941  $ 16,651  1.7  %

Advanced home internet

2,799  2,198  27.3  %

Business fiber and advanced connectivity

1,882  1,755  7.2  %

Business transitional and other

1,083  1,294  (16.3) %

Other service

158  162  (2.5) %

Total Service Revenues

22,863  22,060  3.6  %

Equipment 5,608  5,132  9.3  %

Total Segment Operating Revenues 28,471  27,192  4.7  %

Operating Expenses

Operations and support 16,913  16,247  4.1  %

Depreciation and amortization 4,705  4,973  (5.4) %

Total Segment Operating Expenses 21,618  21,220  1.9  %

Operating Income $ 6,853  $ 5,972  14.8  %

Operating Income Margin 24.1  % 22.0  % 210 BP

5

Supplementary Operating Data

Subscribers and connections in thousands

Unaudited March 31, Percent

2026 2025 Change

Retail Wireless Subscribers1

109,292 108,418 0.8  %

Phone

91,057 90,193 1.0  %

Postpaid phone

74,503 73,031 2.0  %

Prepaid phone

16,554 17,162 (3.5) %

Other

18,235 18,225 0.1  %

Retail Wireless Net Adds1, 2

158 256 (38.3) %

Phone 222 304 (27.0) %

Postpaid phone 294 324 (9.3) %

Prepaid phone (72) (20) —  %

Other (64) (48) (33.3) %

Phone churn3

1.20   % 1.16   % 4   BP

Postpaid phone churn3

0.89   % 0.83   % 6   BP

Prepaid phone churn3

2.62   % 2.55   % 7   BP

1.Wireless subscribers and net additions exclude customers with free lines provided under promotional pricing until such lines are converted to paying lines.

2Excludes migrations between wireless subscriber categories, including connected devices, and acquisition-related activity.

3Calculated by dividing the aggregate number of wireless subscribers who canceled service during a month by the total number of wireless subscribers at the beginning of that month. The churn rate for the period is equal to the average of the churn rate for each month of that period.

First Quarter Percent

2026 2025 Change

Internet Connections

14,833 11,443 29.6   %

Fiber

12,501 10,211 22.4  %

AT&T Fiber

11,800 9,592 23.0  %

AT&T Business Fiber1

701 619 13.2  %

Fixed Wireless

2,332 1,232 89.3  %

AT&T Internet Air (AIA)

1,736 803 —  %

Business Fixed Wireless2

596 429 38.9  %

Internet Net Adds3

584 516 13.2  %

Fiber 292 283 3.2  %

AT&T Fiber

273 261 4.6  %

AT&T Business Fiber1

19 22 (13.6) %

Fixed Wireless 292 233 25.3  %

AT&T Internet Air (AIA) 239 181 32.0  %

Business Fixed Wireless2

53 52 1.9   %

1Includes fiber broadband internet for businesses and excludes dedicated and ethernet fiber.

2Includes AT&T Internet Air for Business and historical fixed wireless services. Excludes integrated gateway wireless connections used for secondary or back-up connectivity.

3Excludes acquisition-related activity and the impact of customer disconnections resulting from the termination of AIA services in areas with unfavorable regulatory requirements in the first quarter of 2025.

6

LEGACY SEGMENT

The segment provides domestic legacy voice and data services to consumer and business customers over our copper-based network. Legacy segment results include revenues derived from copper-based services and direct operating costs.

Segment Results

Dollars in millions

Unaudited First Quarter Percent

2026 2025 Change

Segment Operating Revenues $ 1,768  $ 2,368  (25.3) %

Segment Operating Expenses

Operations and support 1,156  1,349  (14.3) %

Depreciation and amortization —  —  —  %

Total Operating Expenses 1,156  1,349  (14.3) %

Operating Income $ 612  $ 1,019  (39.9) %

Operating Income Margin 34.6  % 43.0  % (840)  BP

7

LATIN AMERICA SEGMENT

The segment provides wireless services and equipment to customers in Mexico.

Segment Results

Dollars in millions

Unaudited First Quarter Percent

2026 2025 Change

Operating Revenues

Wireless service $ 753  $ 615  22.4  %

Wireless equipment 420  356  18.0  %

Total Segment Operating Revenues 1,173  971  20.8  %

Operating Expenses

Operations and support 953  778  22.5  %

Depreciation and amortization 200  150  33.3  %

Total Segment Operating Expenses 1,153  928  24.2  %

Operating Income $ 20  $ 43  (53.5) %

Operating Income Margin 1.7  % 4.4  % (270)  BP

Supplementary Operating Data

Subscribers and connections in thousands

Unaudited March 31, Percent

2026 2025 Change

Mexico Wireless Subscribers

Postpaid 7,088  5,997  18.2  %

Prepaid 16,835  17,376  (3.1) %

Reseller 180  235  (23.4) %

Total Mexico Wireless Subscribers 24,103  23,608  2.1  %

First Quarter Percent

2026 2025 Change

Mexico Wireless Net Additions

Postpaid 337  160  —  %

Prepaid (895) (110) —  %

Reseller (19) (18) (5.6) %

Total Mexico Wireless Net Additions (577) 32  —  %

8

SUPPLEMENTAL INFORMATION - ADVANCED CONNECTIVITY

We provide supplemental information on our advanced consumer and business customer relationships in the following tables as the product lifecycles in these customer categories influence the growth trajectories of Advanced Connectivity segment results.

Consumer Results

Dollars in millions

Unaudited First Quarter Percent

2026 2025 Change

Operating Revenues

Wireless service

$ 14,584  $ 14,370  1.5  %

Advanced home internet

2,799  2,198  27.3  %

Other service

158  162  (2.5) %

Total Service Revenues

17,541  16,730  4.8  %

Equipment 4,611  4,246  8.6  %

Total Operating Revenues 22,152  20,976  5.6  %

Operating Expenses

Operations and support 12,589  11,801  6.7  %

Depreciation and amortization 3,022  3,011  0.4  %

Total Operating Expenses 15,611  14,812  5.4  %

Operating Income $ 6,541  $ 6,164  6.1  %

Operating Income Margin 29.5  % 29.4  % 10   BP

Business Results

Dollars in millions

Unaudited First Quarter Percent

2026 2025 Change

Operating Revenues

Wireless service

$ 2,357  $ 2,281  3.3  %

Fiber and advanced connectivity

1,882  1,755  7.2  %

Transitional and other service

1,083  1,294  (16.3) %

Total Service Revenues

5,322  5,330  (0.2) %

Equipment 997  886  12.5  %

Total Operating Revenues 6,319  6,216  1.7  %

Operating Expenses

Operations and support 4,324  4,446  (2.7) %

Depreciation and amortization 1,683  1,962  (14.2) %

Total Operating Expenses 6,007  6,408  (6.3) %

Operating Income (Loss) $ 312  $ (192) —  %

Operating Income Margin 4.9  % (3.1) % 800   BP

9

SUPPLEMENTAL SEGMENT RECONCILIATION

Three Months Ended

Dollars in millions

Unaudited

March 31, 2026

Advanced Connectivity Legacy Latin America Total Segment Corporate & Other AT&T Inc.

Operating Revenues

Wireless service $ 16,941  $ —  $ 753  $ 17,694  $ —  $ 17,694

Consumer

14,584

Business

2,357

Advanced home internet 2,799  —  —  2,799  —  2,799

Business fiber and advanced connectivity 1,882  —  —  1,882  —  1,882

Business transitional and other 1,083  —  —  1,083  —  1,083

Other service 158  1,768  —  1,926  94  2,020

Total Service 22,863  1,768  753  25,384  94  25,478

Equipment 5,608  —  420  6,028  —  6,028

Operating Revenues 28,471  1,768  1,173  31,412  94  31,506

Operating Expenses

Operations and support expenses

16,913  1,156  953  19,022  714  19,736

Asset impairment and abandonment and restructuring —  —  —  —  —  —

Transaction, legal and other costs —  —  —  —  146  146

Depreciation and amortization 4,705  —  200  4,905  61  4,966

Operating Expenses 21,618  1,156  1,153  23,927  921  24,848

Operating Income (Loss) $ 6,853  $ 612  $ 20  $ 7,485  $ (827) $ 6,658

Total other income (expense) (1,260)

Income from continuing operations before income tax $ 5,398

March 31, 2025

Advanced Connectivity Legacy Latin America Total Segment Corporate & Other AT&T Inc.

Operating Revenues

Wireless service $ 16,651  $ —  $ 615  $ 17,266  $ —  $ 17,266

Consumer

14,370

Business

2,281

Advanced home internet 2,198  —  —  2,198  —  2,198

Business fiber and advanced connectivity 1,755  —  —  1,755  —  1,755

Business transitional and other 1,294  —  —  1,294  —  1,294

Other service 162  2,368  —  2,530  95  2,625

Total Service 22,060  2,368  615  25,043  95  25,138

Equipment 5,132  —  356  5,488  —  5,488

Operating Revenues 27,192  2,368  971  30,531  95  30,626

Operating Expenses

Operations and support expenses

16,247  1,349  778  18,374  725  19,099

Asset impairment and abandonment and restructuring —  —  —  —  504  504

Transaction, legal and other costs —  —  —  —  79  79

Depreciation and amortization 4,973  —  150  5,123  67  5,190

Operating Expenses 21,220  1,349  928  23,497  1,375  24,872

Operating Income (Loss) $ 5,972  $ 1,019  $ 43  $ 7,034  $ (1,280) $ 5,754

Total other income (expense) 237

Income from continuing operations before income tax $ 5,991

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