With 3Q results due out 3rd week in October and Stephens publicly stating equipment revenue is down, video subscriber losses and now the risk of lawsuit for subscriber falsification things do not look bright for profit. The easy offset is to reduce headcount further. Any ongoing action to do so in 4Q for year end results and to meet 2020 budget?
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Sept 12, 2019 Bank of America Merrill Lynch Conference - CFO John Stephens braces Wall Street for big cable, satellite and streaming declines, as well as lower WarnerMedia revenues
AT&T CFO John Stephens said he expects to company to lose “300,000 to 350,000” more video subscribers in Q3 than the company shed in the second quarter of 2019. Considering AT&T lost a combined 946,000 cable, satellite and streaming customers in Q2, the math would forecast a third quarter decline of 1.246 million to 1.296 million net losses at the company’s premium video group.
Yikes.
The company also expects WarnerMedia’s revenues to decline $400 million in Q3 when compared with the same quarter last year. That’s mostly a result of the 2018 quarter’s box office being much better then this one.
DALLAS—At a Bank of America Merrill Lynch Media, Communications and Entertainment Conference, AT&T CFO John Stephens said that recent blackouts with Nexstar and CBS are likely to lead to an additional 300,000 to 350,000 subscribers dropping AT&T in the third quarter of 2019. Price increases were also noted as reasons for the loss of subscribers.
1bvp: you are clueless. Stock price was temporarily pushed up by Elliott Group not financials. YOU need to pull your head out of that stinky black hole and pay attention
SEPT 12 2019 Stephen's warns loss of customers, TimeWarner revenue is down, wireless equipment revenue is down:
https://www.thewrap.com/att-expects-to-lose-as-many-as-1-3-million-video-subscribers-in-q3/
"Making record profits. Try reading."
What a mo–n, it jumped to that price on the news that Elliot Management wants to oust Stankey and others and make massive changes to the board and direction of the company, it has nothing to do with profits.
Here this is just from a few ours ago.
"AT&T shares climbed more than 2% in extended trading following a Wall Street Journal report that the company is exploring a spinoff of DirectTV unit as its own company or a combination with Dish, which also saw its share price rise 3.75% after the bell. Activist hedge fund Elliott Management took a $3.2 billion stake of AT&T earlier this month, saying the telecom giant could be worth as much as $60 per share if it trimmed unneeded assets."
Making record profits. Try reading.
AT&T (NYSE:T) is on a roll. In fact, AT&T stock is up over 10% in less than a month and ready to attack its 52-week high of $38.48 in the next few weeks leading up to its third-quarter 2019 results, which it will report on Oct. 23.
An operational efficiency would mean bring in a new CEO, COO and CFO who know how to profitably run a company, develop strategy and are respected by the market.
We here on Wall Street prefer to use the term “operational efficiencies” over layoffs.