AT&T announced its first-quarter 2026 financial results, reporting revenue growth of 2.9% year-over-year to $31.5 billion, driven by strength in its Advanced Connectivity segment. The company highlighted strong subscriber growth in both fiber and postpaid phone plans. These results incorporate revenues from the mass markets fiber business acquired from Lumen Technologies, which closed on February 2, 2026. The company also announced a new segment reporting structure to better reflect its focus on 5G and fiber services.
Key Details
- Q1 2026 Financials: Operating revenues were $31.5 billion, up 2.9% YoY. Income from continuing operations was $4.2 billion, or $0.54 per diluted share, compared to $4.7 billion, or $0.61 per share, in Q1 2025.
- Subscriber Growth: The company added 294,000 postpaid phone subscribers and 584,000 total internet connections, which included 292,000 fiber net adds and 292,000 fixed wireless net adds.
- Segment Performance: The newly formed Advanced Connectivity segment reported revenue of $28.5 billion, up 4.7% YoY, while the Legacy segment saw revenues decline 25.3% to $1.8 billion, in line with the company's strategy to decommission its copper network.
- Lumen Acquisition: The acquisition of Lumen's mass markets fiber business closed on February 2, 2026. These assets are classified as held-for-sale as AT&T plans to sell a controlling interest to an equity partner for a co-investment structure.
- Capital Allocation: AT&T repurchased $2.3 billion of its common stock during the first quarter. The company has $13.5 billion remaining under its stock repurchase authorizations as of March 31, 2026.