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AT&T earnings beat Street but revenue trails

AT&T CFO: DirecTV 'everything we expected and more'

AT&T delivered quarterly earnings that beat analysts' expectations but posted revenue that came up short of expectations on Thursday.

The telecom giant posted third-quarter earnings of 74 cents per share, up from 63 cents a share in the year-earlier period. Revenue rose to $39.09 billion, up from $32.96 billion in the same timeframe.

Wall Street had expected the company to deliver quarterly earnings per share of 69 cents on revenue of $40.42 billion, according to consensus estimates from Thompson Reuters.

Wednesday, AT&T told investors that third-quarter revenue could miss expectations because it says analysts have not been calculating the quarter's value of the DirecTV business. It acquired the unit in a $48 billion July deal.

"When you look at the overall DirecTV impact, it was very positive," CFO John Stephens told CNBC's "Squawk Box " on Friday. "The business is turning out to be everything we expected, and quite frankly, more."

Stephens also said that AT&T will be looking to "mobilize" everything, including its video products gained from the acquisition.

Source: AT&T earnings presentation

AT&T's shares were up nearly 2 percent in after-hours trading. The wireless carrier's stock fell nearly 1.6 percent in the last year but is up 1.1 percent year to date.

(Click here to track AT&T's shares.)

— CNBC's Julia Boorstin and Reuters contributed to this article.