AT&T profit beats estimates as Apple iPhone attracts customers

Discussion in 'Apple, Inc and Tech Industry' started by *LTD*, Apr 21, 2010.

  1. *LTD* macrumors G4

    *LTD*

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    Canada
    #1
    http://www.businessweek.com/news/20...projections-as-iphone-attracts-customers.html

    AT&T profit beats estimates as Apple iPhone attracts customers
    Wednesday, April 21, 2010

    "AT&T Inc., the largest U.S. phone company, posted first-quarter profit that exceeded analysts’ projections after attracting wireless customers with devices like the iPhone," Amy Thomson reports for Bloomberg.

    "AT&T said today that earnings were 59 cents a share, excluding costs tied to new U.S. health-care legislation. That beat the 55-cent average of estimates in a Bloomberg survey," Thomson reports. "The company, which offers Apple Inc.’s iPhone in the U.S., activated a net new 2.7 million devices last quarter."

    Thomson reports, "AT&T’s exclusive hold on the device has helped the carrier keep customers, with turnover rates dropping to 1.3 percent... The iPhone is 'extremely important for them, which is a good and a bad thing,' said Chris King, a Baltimore-based analyst at Stifel Nicolaus & Co. 'It’s a good thing today because without it, they’d be sunk.' He advises investors to buy the shares.'"
     
  2. belvdr macrumors 603

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    Aug 15, 2005
    #2
    Good and bad, I agree. If the iPhone goes to other carriers, AT&T is in a world of hurt.

    Frankly, AT&T is the reason I won't get an iPhone.
     
  3. *LTD* thread starter macrumors G4

    *LTD*

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    #3
    It's a hot-and-cold situation. One of the worst (allegedly, anyway) carriers has exclusive rights to the best smartphone out there. The gods must be laughing.
     
  4. kdarling macrumors demi-god

    kdarling

    Joined:
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    #4
    Good thing they have the iPhone.

    Apparently they had a net gain of 500,000 new contract customers partly because of 900,000 new iPhone owners.

    Without the new iPhone owners, they could've had a net loss of contract customers.
     

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