AT&T's second-quarter revenue rose, but slightly less than Wall Street forecasts, as a promotional offer to charge customers for devices separately from service weighed on average revenue per user. AT&T shares fell after the announcement.
The telecom giant said on Wednesday that, excluding items, it earned 62 cents, one penny less than Wall Street expectations according to Thomson Reuters I/B/E/S.
AT&T added 1,026,000 contract subscribers in the quarter, the most in five years, matching Wall Street expectations.
Wireless service revenue decreased 1.4 percent in the second quarter, while equipment revenue grew 44.8 percent.
AT&T earned $3.6 billion, or 68 cents per share, compared with $3.8 billion, or 71 cents per share, in the year-ago quarter. Revenue rose to $32.6 billion from $32.1 billion in the year-ago quarter.