Below are my key takeaways from the AT&T Q2 2016 Earnings Call on July 21:

Summary:

DirecTV integration is going well, adding nearly 1MM subs since the acquisition, +342K in the quarter.  Over 80% of TV subs on satellite platform.  Added 2.1MM wireless subs via connected devices, Mexico and Cricket. Second lowest ever US wireless postpaid churn at 0.97%.  Best ever US wireless EBITDA margins of 41.4%.

Ad sales growing by double digits YTD.  IP Broadband revenues up 15%, total broadband revenues up 7%.

In Mexico, added 780K wireless subs with revenue up 13% sequentially.  In DirecTV Latin America, revenue up 8% sequentially to$1.2B, while adding 87K TV sub.

Acquired Quickplay Media, a video streaming platform that powers OTT and TV Everywhere services.

Financial Metrics:

• Total Revenue: $40,520MM
  • Q2 2015: $33,015MM
• Total EBITDA: $13,136MM
  • Q2 2015: $10,469MM
• Total Operating Income: $6,560MM
  • Q2 2015: $5,773MM
• EPS: $0.55
  • Q2 2015: $0.59

• Business Solutions
  • Revenue: $17,579MM
    • Q2 2015: $17,664MM
  • EBITDA: $6,722MM
    • Q2 2015: $6,692MM
  • Operating Income: $4,201MM
    • Q2 2015: $4,232MM
• Entertainment Group
  • Revenue: $12,711MM
    • Q2 2015: $5,782MM
  • EBITDA: $3,142MM
    • Q2 2015:$869MM
  • Operating Income: $1,653MM
    • Q2 2015: -$196MM
• Consumer Mobility
  • Revenue: $8,186MM
    • Q2 2015: $8,755MM
  • EBITDA: $3,506MM
    • Q2 2015: $3,553MM
  • Operating Income: $2,574MM
    • Q2 2015: $2,619MM
• International
  • Revenue: $1,828MM
    • Q2 2015: $419MM
  • EBITDA: $105MM
    • Q2 2015: -$38MM
  • Operating Income: -$193MM
    • Q2 2015: -$131MM

Subscriber Metrics:

• Satellite Video: 20,454MM
  • Net Additions: +0.342MM
• U-Verse: 4,841MM
  • Net Additions: -0.391MM
• IP Broadband: 12,596MM
  • Net Additions: +0.540MM
• DSL: 1,585MM
  • Net Additions: -0.164MM
• Wireline Voice: 11,815MM
  • Net Additions: -0.298MM

List of Key Properties:

• AT&T Mobility
• AT&T U-verse
• Cricket Wireless – prepaid wireless service
• DirecTV
• Quickplay

Forward Thinking:

• Goal is to be the global premier integrated communications company for consumers and businesses
• Video streaming services expected to rollout later in 2016
• Growing infrastructure to prepape for 5G, trials, testing, standards
• See increased growth opportunities with cross selling, integrated services, advertising, new products, OTT services and international

Links to Company Website:

• Earnings Call
• Q2 2015 Slide Presentation
• Q2 2015 News Release
• Investor Briefing
• Form 8K

Please comment below if there are data points from AT&T you’d like me to include in their next Earnings Call Summary.