Closed the Lumen Mass Markets fiber acquisition on February 2, 2026 for $5,756 million; customer relationships (~$900M) were absorbed into the Advanced Connectivity segment while fiber network assets (~$3,400M PP&E) were placed in a new wholly owned subsidiary, Forged Fiber, which is classified as held-for-sale/discontinued operations. AT&T plans to sell a controlling interest in Forged Fiber to an equity partner that will co-invest in the ongoing business. The acquisition drove Advanced home internet segment revenue up 27.3% in Q2 2026 to $2,926M.
Advanced its spectrum strategy through three actions: (1) completed a $1,018M purchase of select spectrum licenses from UScellular in January 2026; (2) recorded a $286M asset abandonment charge in Q2 2026 in Corporate & Other related to reprioritizing its spectrum strategy; and (3) signed an agreement on August 25, 2025 to acquire FCC 600 MHz and 3.45 GHz licenses from EchoStar for approximately $23,000M, with a short-term 3.45 GHz spectrum manager lease already deployed in cell sites covering nearly two-thirds of the U.S. population. AT&T expects to close the EchoStar transaction by end of July 2026, funding it with a combination of cash on hand ($17,570M at June 30, 2026, described as elevated in anticipation of this deal) and term loan borrowings.
Realigned segment reporting effective Q1 2026 to three segments—Advanced Connectivity, Legacy, and Latin America—to reflect its converged 5G/fiber business model and copper exit. Q2 2026 operating metrics: retail wireless subscribers reached 109.8M (+1.0% y/y) with 549K net adds; total internet connections grew to 15.5M (+29.5% y/y), including 12.9M fiber connections; Advanced Connectivity EBITDA margin expanded to 42.0% (from 40.5% a year earlier); Legacy copper-based revenue declined 25.9% y/y to $1,632M as network decommissioning continues, with no goodwill assigned to Legacy reflecting expected sustained revenue declines.
On May 6, 2026, the Eighth Circuit Court of Appeals vacated the FCC's 2023 digital discrimination rules, holding that the implementing statute did not authorize the FCC to impose 'disparate impact' liability on broadband providers. The FCC stated it will need to adopt new rules consistent with the congressional directive, which had required covered entities to avoid policies that differentially impact consumer broadband access based on characteristics such as income, race, or ethnicity.
Board approved an additional $10,000M common stock repurchase authorization on January 27, 2026 (the 2026 Authorization); in Q2 2026 the company repurchased 86.2M shares at an average price of $25.01 (~$2,177M). For the first half of 2026, approximately 174M shares totaling $4,435M were repurchased under the prior December 2024 authorization, leaving ~$1,296M remaining under that authorization plus the full $10,000M under the 2026 Authorization. Common dividends remained unchanged at $0.2775 per quarter ($0.5550 for H1).
(Filed on April 27, 2026)
+2.9%
—
$12B
On February 2, 2026, AT&T completed its acquisition of substantially all of Lumen's Mass Markets fiber business for $5,756M cash, retaining the customer relationships within its Advanced Connectivity segment (included in advanced home internet services) while placing the fiber network assets in a new wholly owned subsidiary, Forged Fiber 37 Services, LLC. Forged Fiber is classified as held-for-sale and reported as discontinued operations; AT&T plans to sell a controlling interest in Forged Fiber to an equity partner to co-invest in the ongoing network business.
Effective with Q1 2026 reporting, AT&T realigned its segment structure to three reportable segments—Advanced Connectivity (domestic 5G and fiber wireless/internet/converged services), Legacy (copper-based voice and data), and Latin America (Mexico wireless)—to reflect its converged 5G-plus-fiber business model and provide visibility into copper-based Legacy exit. Goodwill from prior Consumer Wireline and Mobility units was fully reassigned to Advanced Connectivity reporting units; no goodwill was assigned to Legacy, reflecting expected sustained revenue declines from copper decommissioning.
Advanced Connectivity fiber and internet metrics showed strong growth in Q1 2026: total internet connections reached 14,833K (up 29.6% YoY), fiber connections reached 12,501K (up 22.4%), AT&T Fiber was 11,800K (up 23.0%), and AT&T Internet Air (AIA) reached 1,736K. Advanced home internet revenue grew 27.3% to $2,799M, with fiber revenue up 21.2% and AIA revenue up over 100%. Retail wireless subscribers were 109,292K (up 0.8%); postpaid phone subscribers were 74,503K (up 2.0%), but phone churn ticked up 4 bps to 1.20% and postpaid phone churn rose 6 bps to 0.89%, which management attributed to competitive dynamics. Q1 retail wireless net adds were 158K (down 38.3% YoY).
AT&T paid $1,018M in January 2026 for select spectrum licenses from UScellular. Separately, the approximately $23,000M agreement (signed August 25, 2025) to acquire FCC 600 MHz and 3.45 GHz band licenses from EchoStar remains subject to regulatory approval and other closing conditions; AT&T signed a short-term spectrum manager lease on the 3.45 GHz spectrum, which was deployed in cell sites covering nearly two-thirds of the U.S. population. Capital expenditures were $4,877M in Q1 2026 (vs. $4,277M in Q1 2025), and including vendor financing, total capital investment was $5,089M.
The Legacy segment (copper-based voice and data) saw operating revenues decline 25.3% YoY to $1,768M and operating income fall 39.9% to $612M, as AT&T continues decommissioning its copper-based network; segment EBITDA margin fell from 43.0% to 34.6%. In Mexico, postpaid wireless subscribers grew 18.2% to 7,088K, but total Mexico wireless net additions were negative 577K (vs. positive 32K in Q1 2025) driven by prepaid attrition of 895K, and Mexico operating income declined 53.5% to $20M on unfavorable FX and higher costs.
AT&T repurchased approximately 88 million shares for $2,279M in Q1 2026 under its December 2024 authorization; on January 27, 2026, the Board approved an additional $10,000M repurchase authorization, leaving approximately $13,452M of remaining capacity across both programs at quarter-end. The company also issued $8,098M of long-term debt (USD and CAD notes) and repaid $5,247M, bringing total notes and debentures outstanding to $137,017M with a weighted average interest rate of approximately 4.3%.
(Filed on February 9, 2026)
+3.6%
—
$18.2B
Q4 2025 (Nov 3): AT&T entered a $12 billion Second Amended and Restated Revolving Credit Agreement (Citibank, agent, to Nov 2030) and a $17.5 billion Delayed Draw Term Loan (Bank of America, agent; $6B 364-day and $11.5B two-year tranches), replacing the prior 2022 revolver; both facilities carry a net-debt-to-EBITDA covenant of 3.75x and were undrawn at year-end.
Q4 2025: AT&T repurchased 72.2 million common shares at a weighted-average price of $25.35 (Oct: 25.9M @ $26.09; Nov: 20.7M @ $25.23; Dec: 25.6M @ $24.70), leaving $5.73 billion under the December 2024 $10 billion authorization; the Board approved an additional $10 billion buyback on January 27, 2026. Q4 also saw ~$3.7 billion in long-term debt repayments (EUR, CAD, and USD notes) with no new issuances.
Annual 2025 context (not quarter-only): Fiber broadband customers reached 10.4 million (+1.1M net adds) and AIA connections 1.5 million (+875K), for total broadband of 16.0 million; Mobility subscribers hit 120 million with 2.3M full-year net adds, though postpaid churn rose to 1.05% from 0.92% (phone churn 0.90% vs 0.76%). 5G coverage spanned 322 million people and LTE 441 million in North America. Full-year capex was $20.8 billion.
Annual 2025 context: AT&T sold its remaining DIRECTV interest to TPG on July 2, 2025, recording an ~$5.6 billion gain; agreed to acquire Lumen's Mass Markets fiber business for $5.75 billion (~1 million fiber customers, 4M+ fiber locations; closed Feb 2, 2026, with plans to sell a controlling interest in a new subsidiary to an equity partner, expected to be a discontinued operation); and agreed to purchase 600 MHz and 3.45 GHz spectrum from EchoStar for ~$23 billion (expected close early 2026), signing a short-term 3.45 GHz lease already deployed in cell sites covering nearly two-thirds of the U.S. population. A $620 million investment for a 16.6% stake in DriveNets (wireline network transformation) was also recorded in 2025.
Annual 2025 context: Business Wireline revenue fell 8.4% to $17.2 billion (operating loss of $816M, margin -4.7%), driven by a 17.4% decline in legacy/transitional services; copper decommissioning continued with 2.1 million switched access lines (vs 2.7M prior year) and 2.8 million legacy consumer internet connections (vs 4.1M). AT&T guided 2026 capital investment (capex + vendor financing) to $23–24 billion and plans ~$350 million voluntary pension contributions.
Q4 2025 (annual impairment test as of Oct 1 and year-end remeasurement): No goodwill impairment was recorded; all Communications reporting units' fair values exceeded book values by more than 10%. The qualitative wireless-license impairment test indicated fair value exceeded book value (no quantitative test required). The December 31 pension remeasurement lowered the discount rate 0.20% to 5.50% (increasing the pension obligation by $680M to $30.6B) and the postretirement rate 0.30% to 5.30% (increasing that obligation by $167M); the pension plan's unfunded status improved to $1.95 billion from $3.03 billion, aided by $1.15 billion in voluntary contributions and a $2.56 billion actual return on plan assets.
(Filed on October 31, 2025)
+1.6%
—
$20.3B
Completed sale of remaining DIRECTV interest to TPG Capital on July 2, 2025, recording a gain of approximately $5,500 (including release of ~$2,900 in deferred tax liabilities); AT&T holds a current note receivable of ~$3,600 (with ~$320 collected in Q3, majority expected by end of 2025) and a $500 long-term receivable. DTV-related retained costs will no longer be reported in 2026.
Agreed on August 25, 2025 to purchase FCC 600 MHz and 3.45 GHz licenses from EchoStar for ~$23,000 (pending, expected to close H1 2026 subject to regulatory approval); signed a short-term spectrum manager lease on the 3.45 GHz band with deployment planned at cell sites covering nearly two-thirds of the U.S. population by mid-November 2025. Separately, the ~$1,000 UScellular spectrum purchase closed on August 1, 2025, and the ~$5,750 Lumen mass-markets fiber acquisition (signed May 2025, ~1 million fiber customers, 4+ million fiber locations) remains pending with expected close in early 2026.
Q3 Mobility: total subscribers reached 118.98 million (+2.5% YoY), with postpaid phone net adds of 405K and reseller net adds of 587K; postpaid churn rose to 1.07% (+14 bps YoY), partly driven by end-of-financing-period customers and increased competition. Consumer Wireline: total broadband connections reached 14.49 million (+4.5% YoY), fiber broadband connections hit 10.12 million (+12.2% YoY) with 288K fiber net adds in Q3 and fiber revenues up 16.8%.
Business Wireline revenues declined 7.8% YoY to $4,248 in Q3 on continued legacy service and VPN demand erosion; the unit posted a Q3 operating loss of $354 (vs. a $43 loss a year earlier). Management attributes expense improvements to ongoing transformation and right-sizing but notes fiber-related depreciation will continue rising through the remainder of 2025.
Under the $10 billion board authorization from December 2024, AT&T repurchased ~52.6 million common shares in Q3 at an average price of $28.31; cumulative nine-month repurchases totaled ~87 million shares ($2,444), leaving ~$7,556 of remaining authorization. Cash and equivalents rose to $20,272 at quarter-end (from $3,298 at year-end 2024), elevated in anticipation of closing the EchoStar and Lumen transactions.
