Thanks to strong momentum in its wireless, fibre and video streaming businesses, AT&T now expects to achieve revenue growth of between 2% and 3% in 2021, up from its earlier guidance of 1%. It anticipates that wireless service revenues will now rise by 3%, rather than 2%.
The revised forecasts came after AT&T reported year-on-year revenue growth of 7.6% for the second quarter to 44 billion US dollars - its best second quarter performance for 10 years. Revenues in its Communications segment rose by 6.1%, while WarnerMedia revenues were up 31%, driven by higher content sales, subscription and advertising revenues.
However, AT&T is in the process of spinning WarnerMedia off into a separate independent company, which will see the entertainment, sports and news assets merge with Discovery's non-fiction and international entertainment and sports businesses. Source: AT&T statements