Form 8-K
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
10
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