AT&T Inc. · NYSE:T
AT&T — Q1 2020 Earnings Presentation
11 slides from AT&T's earnings presentation, Apr 22, 2020
Slide 1: AT&T Investor Update: 1st Quarter Earnings
AT&T Investor Update 1st Quarter Earnings April 22, 2020 © 2020 AT&T Intellectual Property. All rights reserved. AT&T, Globe logo, Mobilizing Your World and DIRECTV are registered trademarks and service marks of AT&T Intellectual Property and/or AT&T affiliated companies. All other marks are the pro
Slide 2: Cautionary Language Concerning Forward-Looking Statements
Cautionary Language Concerning Forward-Looking Statements Information set forth in this presentation contains financial estimates and other forward-looking statements that are subject to risks and uncertainties, and actual results might differ materially. A discussion of factors that may affect futu
Slide 3: Our Focus
Protect our employees • Instituted work at home policies — ~50% are working from home • Protection protocols for those who cannot work from home Serve our customers • Unprecedented volumes; network is performing well • FirstNet serving health-care providers, government and first responders Our Focus
Slide 4: Effectively Managing our Operations
Strength in our core subscription businesses • Wireless, Broadband, Enterprise • Provides resiliency and strong foundation Sizing operations to economic activity Effectively • Optimize Wireless and Business Solutions distribution • WarnerMedia – theatrical and advertising challenges Managing our Ope
Slide 5: COVID-19 Financial Impacts
Financial guidance is withdrawn • COVID-19 uncertainty limits visibility for now • Expect free cash flow to provide ample dividend coverage and debt paydown COVID-19 Financial Temporary actions have short-term financial impacts • Bill-paying flexibility for customers Impacts • Supporting employees w
Slide 6: 1Q20 Financial Results
1Q20 Financial Results © 2020 AT&T Intellectual Property. All rights reserved. AT&T, Globe logo, Mobilizing Your World and DIRECTV are registered trademarks and service marks of AT&T Intellectual Property and/or AT&T affiliated companies. All other marks are the property of their respective owners.
Slide 7: 1Q20 Financial Summary
1Q20 Financial Summary $ in billions, except EPS 1Q20 Adjusted EPS Revenues Cash from Ops Adjusted EPS of $0.84, down $0.02 from last year Adj. OI Margin CAPEX Free Cash Flow Includes about $0.05 of COVID-19 cost impacts, more than half are short term $44.8 $42.8 $11.1 $0.86 $0.84 $8.9 $5.2 Revenues
Slide 8: 1Q20 Communications Segment
1Q20 Communications Segment $ in billions REVENUES EBITDA EBITDA MARGIN Mobility $17.4 $17.4 Wireless resiliency drives solid EBITDA of $7.8B, up 7% or $511M Service revenues up 2.5%, reflecting subscriber growth and higher postpaid phone ARPU $7.3 $7.8 42.2% 45.0% 163K postpaid phone net additions;
Slide 9: 1Q20 WarnerMedia and Latin America Segments
1Q20 WarnerMedia Segment $ in billions REVENUES EBITDA EBITDA MARGIN WarnerMedia $8.4 WarnerMedia revenues reflect lower advertising due to March Madness cancellation $7.4 along with comparisons to strong 1Q19 theatrical results EBITDA primarily impacted by COVID-19 and HBO Max investment $2.4 $1.8
Slide 10: Effectively Managing Liquidity and Capital
Effectively Managing Liquidity and Capital $ in billions 2020 – 2023 Debt Towers Expect free cash flow after dividends and cash on hand to more than cover debt maturities • Even without accessing debt markets, maturities remain manageable $14.1 2019 Free Cash Flow after dividends • Bond markets rema
Slide 11: Q&A
Q&A © 2020 AT&T Intellectual Property. All rights reserved. AT&T, Globe logo, Mobilizing Your World and DIRECTV are registered trademarks and service marks of AT&T Intellectual Property and/or AT&T affiliated companies. All other marks are the property of their respective owners.