AT&T Inc, the No.2 U.S. telecom company, said it expected double-digit consolidated revenue growth in percentage terms for the rest of 2015, citing gains from the purchase of DirecTV.

AT&T, which closed the acquisition of DirecTV in July, forecast 2015 adjusted profit of $2.62–$2.68 per share.

Analysts on average were expecting a profit of $2.60 per share, according to Thomson Reuters I/B/E/S.

The DirecTv purchase gives AT&T access to new avenues of growth beyond its maturing wireless service. The company has also been expanding its footprint in Mexico, buying the third- and fourth-largest wireless carriers in that country recently.

AT&T also said on Wednesday it expected revenues, adjusted earnings and free cash flow to increase through 2018.

The wireless carrier said it sees 2015 capital spending of about $21 billion, which includes capitalized interest from spectrum. The company previously forecast capex of about $18 billion.

The company’s shares fell 2.3 percent at $33.94 in premarket trading. Through Tuesday’s close of $34.65, they had risen 3.2 percent this year.

(Reporting By Lehar Maan in Bengaluru; Editing by Sriraj Kalluvila)

This entry passed through the Full-Text RSS service – if this is your content and you’re reading it on someone else’s site, please read the FAQ at fivefilters.org/content-only/faq.php#publishers.

Related Posts

Facebook Comments

Return to Top ▲Return to Top ▲