Dallas-based AT&T Inc. is looking to cut another $2 billion in expenses over the next three years, even after reaching a $6 billion cost reduction plan early.
AT&T reiterated a target to reach $16 billion or more in free cash flow this year, after generating a surprisingly low $1 billion in free cash flow in the first quarter, setting off alarms about its ability to pay a dividend.
The company added fewer customers than analysts’ expected in the second quarter. In the three months ended June 30, AT&T added 326,000 mobile phone subscribers. AT&T has been offering free phones in order to fuel customer growth for several quarters. The appeal of those promotions may be wearing out. The company cautioned last month that the pace of subscriber gains had slowed due to competition from rivals and cable TV companies. Analysts expected 397,200 new mobile phone customers.
AT&T says it reached its $6 billion cost-cut target six months early and raised its goal to cut an additional $2 billion in expenses over three years. “These additional cost savings will be largely driven by the sunsetting of our legacy product portfolio and supporting infrastructure,” CEO John Stankey said Wednesday. “As we ramp our execution on this work, we’ll begin to enjoy the benefits of our simplified focus on wireless and fiber.”The Dallas-based company has been struggling with high costs as it has raced to build out a super fast 5G network and catch up with its larger wireless rivals.
México Últimas Noticias, México Titulares
Similar News:También puedes leer noticias similares a ésta que hemos recopilado de otras fuentes de noticias.
Harwood Park set to open this fall in Dallas’ newly redeveloped East QuarterParks for Downtown Dallas and Downtown Dallas Inc. entered into a public-private partnership with the city to facilitate the creation of Harwood Park and...
Leer más »
A half-century later the Santos Rodriguez murder remains the open wound of DallasThere was a summer 50 years ago in Dallas rocked by the senseless murder of a 12-year-old at the hands of a Dallas police officer. The incident overshadowed...
Leer más »
Dispute ongoing over access to Dallas County juvenile recordsMonday’s hearing was supposed to decide whether the commissioner could get 90,000 records of juveniles in the juvenile detention center. Judge Eric Moye did not rule on that Monday because of another investigation taking place.
Leer más »
Japanese retailer Daiso plans a second Dallas storeJapanese retailer Daiso has plans for a second Dallas store and it will be the biggest in the Dallas-Fort Worth market.
Leer más »