AT&T (T) early Wednesday reported first quarter earnings that fell from a year earlier but topped estimates. Revenue slightly missed. AT&T stock rose as wireless subscriber and free cash flow growth beat expectations.

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Reported before the market open, AT&T earnings for the March quarter were 55 cents on an adjusted basis, down 8% from a year earlier. Revenue from continuing operations fell 0.5% to $30 billion.

Analysts had projected AT&T earnings of 53 cents a share on revenue of $30.5 billion, according to FactSet. A year earlier, AT&T earned 60 cents a share on revenue of $30.1 billion from continuing operations.

On the stock market today, AT&T stock rose 1.4% to 16.73 in early trading. Heading into the AT&T earnings report, shares were down 2% in 2024 and 10% from a year earlier.

Free Cash Flow Beats

AT&T said first-quarter free cash flow came in at $3.1 billion vs. estimates of $2.4 billion. Free cash flow growth supports AT&T’s dividend.

Also, the company said it added 349,000 postpaid wireless postpaid phone customers during the quarter vs. Wall Street estimates for a 287,000 gain.

AT&T added 424,000 postpaid phone subscribers in the year-earlier period. Subscriber growth has slowed for T-Mobile US (TMUS) and Verizon Communications (VZ) as well.

Meanwhile, AT&T in February offered a $5 bill credit to customers impacted by a major wireless services outage. The company said the outage was caused by a network software upgrade.

Follow Reinhardt Krause on Twitter @reinhardtk_tech for updates on artificial intelligence, cybersecurity and cloud computing.

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