SUBSCRIBE TO TMCnet
TMCnet - World's Largest Communications and Technology Community

TMC NEWS

TMCNET eNEWSLETTER SIGNUP

AT&T Reports Second-Quarter Results
[July 25, 2017]

AT&T Reports Second-Quarter Results


AT&T Inc.* (NYSE:T) reported strong adjusted earnings growth and margin expansion with lower expenses in the second quarter.

"Once again our team delivered expanded consolidated margins and, as a result, grew adjusted earnings per share by nearly 10% as we executed well against our business priorities," said Randall Stephenson, AT&T chairman and CEO. "And in a quarter where our competitors used promotions aggressively, we added more than 500,000 branded smartphones to our base and more than 100,000 IP broadband subscribers, achieved record EBITDA wireless margins and had the lowest postpaid phone churn in our history. We continue to expect the Time Warner deal to close by year-end and further transform the company."

Consolidated Financial Results

AT&T's consolidated revenues for the second quarter totaled $39.8 billion versus $40.5 billion in the year-ago quarter, primarily due to declines in legacy wireline services and consumer mobility. Compared with results for the second quarter of 2016, operating expenses were $32.5 billion versus $34.0 billion; operating income was $7.3 billion versus $6.6 billion; and operating income margin was 18.4% versus 16.2%. When adjusting for amortization, merger- and integration-related expenses and other items, operating income was $8.6 billion versus $8.1 billion and operating income margin was 21.6%, up 150 basis points versus the year-ago quarter.

Second-quarter net income attributable to AT&T totaled $3.9 billion, or $0.63 per diluted share, compared with $3.4 billion, or $0.55 per diluted share, in the year-ago quarter. Adjusting for $0.16 of costs for amortization, merger- and integration-related expenses and other items, earnings per diluted share was $0.79 compared with an adjusted $0.72 in the year-ago quarter, up 9.7%.

Cash from operating activities was $8.9 billion in the second quarter and $18.2 billion year to date. Capital expenditures were $5.2 billion in the quarter and $11.2 billion year to date. Free cash flow - cash from operating activities minus capital expenditures - was $3.7 billion for the quarter and $6.9 billion year to date.

*About AT&T
AT&T Inc. (NYSE:T) helps millions around the globe connect with leading entertainment, business, mobile and high speed internet services. We offer the nation's best data network** and the best global coverage of any U.S. wireless provider. We're one of the world's largest providers of pay TV. We have TV customers in the U.S. and 11 Latin American countries. Nearly 3.5 million companies, from small to large businesses around the globe, turn to AT&T for our highly secure smart solutions.

AT&T products and services are provided or offered by subsidiaries and affiliates of AT&T Inc. under the AT&T brand and not by AT&T Inc. Additional information about AT&T products and services is available at about.att.com. Follow our news on Twitter at @ATT, on Facebook at facebook.com/att and on YouTube at youtube.com/att.

© 2017 AT&T Intellectual Property. All rights reserved. AT&T, the Globe logo and other marks are trademarks and service marks of AT&T Intellectual Property and/or AT&T affiliated companies. All other marks contained herein are the property of their respective owners.

**Claim based on the Nielsen Certified Data Network Score. Score includes data reported by wireless consumers in the Nielsen Mobile Insights survey, network measurements from Nielsen Mobile Performance and Nielsen Drive Test Benchmarks for Q4 2016 + Q1 2017 across 121 markets.

Cautionary Language Concerning Forward-Looking Statements

Information set forth in this news release contains financial estimates and other forward-looking statements that are subject to risks and uncertainties, and actual results might differ materially. A discussion of factors that may affect future results is contained in AT&T's filings with the Securities and Exchange Commission. AT&T disclaims any obligation to update and revise statements contained in this news release based on new information or otherwise.

This news release may contain certain non-GAAP financial measures. Reconciliations between the non-GAAP financial measures and the GAAP financial measures are available on the company's website at https://investors.att.com.

Discussion and Reconciliation of Non-GAAP Measures

We believe the following measures are relevant and useful information to investors as they are part of AT&T's internal management reporting and planning processes and are important metrics that management uses to evaluate the operating performance of AT&T and its segments. Management also uses these measures as a method of comparing performance with that of many of our competitors.

Free Cash Flow

Free cash flow is defined as cash from operations minus Capital expenditures. Free cash flow after dividends is defined as cash from operations minus Capital expenditures and dividends. Free cash flow dividend payout ratio is defined as the percentage of dividends paid to free cash flow. We believe these metrics provide useful information to our investors because management views free cash flow as an important indicator of how much cash is generated by routine business operations, including Capital expenditures, and makes decisions based on it. Management also views free cash flow as a measure of cash available to pay debt and return cash to shareowners.



 
Free Cash Flow and Free Cash Flow Dividend Payout Ratio
Dollars in millions     Three Months Ended     Six Months Ended
June 30, June 30,
      2017     2016     2017     2016
Net cash provided by operating activities $ 8,942     $ 10,307 $ 18,160     $ 18,207
Less: Capital expenditures       (5,208 )       (5,470 )       (11,223 )       (10,139 )
Free Cash Flow       3,734         4,837         6,937         8,068  
 
Less: Dividends paid       (3,012 )       (2,952 )       (6,021 )       (5,899 )
Free Cash Flow after Dividends     $ 722       $ 1,885       $ 916       $ 2,169  
Free Cash Flow Dividend Payout Ratio       80.7 %       61.0 %       86.8 %       73.1 %
 

EBITDA

Our calculation of EBITDA, as presented, may differ from similarly titled measures reported by other companies. For AT&T, EBITDA excludes other income (expense) - net, and equity in net income (loss) of affiliates, as these do not reflect the operating results of our subscriber base or operations that are not under our control. Equity in net income (loss) of affiliates represents the proportionate share of the net income (loss) of affiliates in which we exercise significant influence, but do not control. Because we do not control these entities, management excludes these results when evaluating the performance of our primary operations. EBITDA also excludes interest expense and the provision for income taxes. Excluding these items eliminates the expenses associated with our capital and tax structures. Finally, EBITDA excludes depreciation and amortization in order to eliminate the impact of capital investments. EBITDA does not give effect to cash used for debt service requirements and thus does not reflect available funds for distributions, reinvestment or other discretionary uses. EBITDA is not presented as an alternative measure of operating results or cash flows from operations, as determined in accordance with U.S. generally accepted accounting principles (GAAP).

EBITDA service margin is calculated as EBITDA divided by service revenues.

When discussing our segment results, EBITDA excludes equity in net income (loss) of affiliates, and depreciation and amortization from segment contribution. For our supplemental presentation of our combined domestic wireless operations (AT&T Mobility) and our supplemental presentation of the Mexico Wireless and Latin America operations of our International segment, EBITDA excludes depreciation and amortization from operating income.

These measures are used by management as a gauge of our success in acquiring, retaining and servicing subscribers because we believe these measures reflect AT&T's ability to generate and grow subscriber revenues while providing a high level of customer service in a cost-effective manner. Management also uses these measures as a method of comparing segment performance with that of many of its competitors. The financial and operating metrics which affect EBITDA include the key revenue and expense drivers for which segment managers are responsible and upon which we evaluate their performance. Management uses Mexico Wireless EBITDA in evaluating profitability trends after our two Mexico wireless acquisitions in 2015, and our investments in building a nationwide LTE network by end of 2018. Management uses Latin America EBITDA in evaluating the ability of our Latin America operations to generate cash to finance its own operations.

We believe EBITDA Service Margin (EBITDA as a percentage of service revenues) to be a more relevant measure than EBITDA Margin (EBITDA as a percentage of total revenue) for our Consumer Mobility segment operating margin and our supplemental AT&T Mobility operating margin. We also use wireless service revenues to calculate margin to facilitate comparison, both internally and externally with our wireless competitors, as they calculate their margins using wireless service revenues as well.

There are material limitations to using these non-GAAP financial measures. EBITDA, EBITDA margin and EBITDA service margin, as we have defined them, may not be comparable to similarly titled measures reported by other companies. Furthermore, these performance measures do not take into account certain significant items, including depreciation and amortization, interest expense, tax expense and equity in net income (loss) of affiliates. Management compensates for these limitations by carefully analyzing how its competitors present performance measures that are similar in nature to EBITDA as we present it, and considering the economic effect of the excluded expense items independently as well as in connection with its analysis of net income as calculated in accordance with GAAP. EBITDA, EBITDA margin and EBITDA service margin should be considered in addition to, but not as a substitute for, other measures of financial performance reported in accordance with GAAP.

 
EBITDA, EBITDA Margin and EBITDA Service Margin
Dollars in millions     Three Months Ended     Six Months Ended
June 30, June 30,
      2017     2016     2017     2016
Net Income $ 4,014     $ 3,515 $ 7,588     $ 7,400
Additions:
Income Tax Expense 2,056 1,906 3,860 4,028
Interest Expense 1,395 1,258 2,688 2,465
Equity in Net (Income) Loss of Affiliates (14 ) (28 ) 159 (41 )
Other (Income) Expense - Net (128 ) (91 ) (108 ) (161 )
Depreciation and amortization       6,147         6,576         12,274         13,139  
EBITDA       13,470         13,136         26,461         26,830  
 
Total Operating Revenues 39,837 40,520 79,202 81,055
Service Revenues 36,538 37,142 72,994 74,243
 
EBITDA Margin 33.8 % 32.4 % 33.4 % 33.1 %
EBITDA Service Margin       36.9 %       35.4 %       36.3 %       36.1 %
 
 
Segment EBITDA, EBITDA Margin and EBITDA Service Margin
Dollars in millions     Three Months Ended     Six Months Ended
June 30, June 30,
      2017     2016     2017     2016
Business Solutions Segment                        
Segment Contribution $ 4,459     $ 4,201 $ 8,819     $ 8,500
Additions:
Depreciation and amortization       2,335         2,521         4,647         5,029  
EBITDA       6,794         6,722         13,466         13,529  
 
Total Segment Operating Revenues 17,107 17,579 33,955 35,188
 
Segment Operating Income Margin 26.1 % 23.9 % 26.0 % 24.2 %
EBITDA Margin 39.7 % 38.2 % 39.7 % 38.4 %
                         
Entertainment Group Segment                        
Segment Contribution $ 1,655 $ 1,651 $ 3,252 $ 3,246
Additions:
Equity in Net (Income) Loss of Affiliates 11 2 17 (1 )
Depreciation and amortization       1,458         1,489         2,877         2,977  
EBITDA       3,124         3,142         6,146         6,222  
 
Total Segment Operating Revenues 12,682 12,711 25,305 25,369
 
Segment Operating Income Margin 13.1 % 13.0 % 12.9 % 12.8 %
EBITDA Margin 24.6 % 24.7 % 24.3 % 24.5 %
                         
Consumer Mobility Segment                        
Segment Contribution $ 2,400 $ 2,574 $ 4,739 $ 5,068
Additions:
Depreciation and amortization       871         932         1,744         1,854  
EBITDA       3,271         3,506         6,483         6,922  
 
Total Segment Operating Revenues 7,791 8,186 15,531 16,514
Service Revenues 6,528 6,948 13,137 13,891
 
Segment Operating Income Margin 30.8 % 31.4 % 30.5 % 30.7 %
EBITDA Margin 42.0 % 42.8 % 41.7 % 41.9 %
EBITDA Service Margin 50.1 % 50.5 % 49.3 % 49.8 %
                         
International Segment                        
Segment Contribution $ (32 ) $ (184 ) $ (132 ) $ (368 )
Additions:
Equity in Net (Income) of Affiliates (25 ) (9 ) (45 ) (23 )
Depreciation and amortization       311         298         601         575  
EBITDA       254         105         424         184  
 
Total Segment Operating Revenues 2,026 1,828 3,955 3,495
 
Segment Operating Income Margin -2.8 % -10.6 % -4.5 % -11.2 %
EBITDA Margin       12.5 %       5.7 %       10.7 %       5.3 %
 
 
Supplemental AT&T Mobility EBITDA, EBITDA Margin and EBITDA Service Margin
Dollars in millions     Three Months Ended     Six Months Ended
June 30, June 30,
      2017     2016     2017     2016
AT&T Mobility                        
Operating Income $ 5,329     $ 5,342 $ 10,501     $ 10,616
Add: Depreciation and amortization       1,992         2,081         3,989         4,137  
EBITDA       7,321         7,423         14,490         14,753  
 
Total Operating Revenues 17,518 17,924 34,685 35,878
Service Revenues 14,534 14,911 29,072 29,709
 
Operating Income Margin 30.4 % 29.8 % 30.3 % 29.6 %
EBITDA Margin 41.8 % 41.4 % 41.8 % 41.1 %
EBITDA Service Margin       50.4 %       49.8 %       49.8 %       49.7 %
 
 
Supplemental Latin America EBITDA and EBITDA Margin
Dollars in millions     Three Months Ended     Six Months Ended
June 30, June 30,
      2017     2016     2017     2016
International - Latin America                        
Operating Income $ 141     $ 32 $ 218     $ 85
Add: Depreciation and amortization       222         212         436         408  
EBITDA       363         244         654         493  
 

Total Operating Revenues

1,361 1,222 2,702 2,352
 
Operating Income Margin 10.4 % 2.6 % 8.1 % 3.6 %
EBITDA Margin       26.7 %       20.0 %       24.2 %       21.0 %
 
 
Supplemental Mexico EBITDA and EBITDA Margin
Dollars in millions     Three Months Ended     Six Months Ended
June 30, June 30,
      2017     2016     2017     2016
International - Mexico                        
Operating Income $ (198 )     $ (225 ) $ (395 )     $ (476 )
Add: Depreciation and amortization       89         86         165         167  
EBITDA       (109 )       (139 )       (230 )       (309 )
 
Total Operating Revenues 665 606 1,253 1,143
 
Operating Income Margin -29.8 % -37.1 % -31.5 % -41.6 %
EBITDA Margin       -16.4 %       -22.9 %       -18.4 %       -27.0 %
 

Adjusting Items

Adjusting items include revenues and costs we consider nonoperational in nature, such as items arising from asset acquisitions or dispositions. We also adjust for net actuarial gains or losses associated with our pension and postemployment benefit plans due to the often significant impact on our fourth-quarter results (we immediately recognize this gain or loss in the income statement, pursuant to our accounting policy for the recognition of actuarial gains and losses.) Consequently, our adjusted results reflect an expected return on plan assets rather than the actual return on plan assets, as included in the GAAP measure of income.

The tax impact of adjusting items is calculated using the effective tax rate during the quarter except for adjustments that, given their magnitude can drive a change in the effective tax rate, reflect the actual tax expense or combined marginal rate of approximately 38%. Certain foreign operations with losses, where such losses are not realizable for tax purposes, are not tax effected, resulting in no tax impact for Venezuela devaluation. For years prior to 2017, adjustments related to Mexico operations were taxed at the 30% marginal rate for Mexico.

 
Adjusting Items
Dollars in millions     Three Months Ended     Six Months Ended
June 30, June 30,
      2017     2016     2017     2016
Operating Expenses        
DIRECTV and other video merger integration costs $ 123 $ 133 $ 250 $ 306
Mexico merger integration costs 80 66 119 147
Time Warner merger costs 78 - 119 -
Wireless merger integration costs - 33 - 75
Actuarial (gain) loss (259 ) - (259 ) -
Employee separation costs 60 29 60 54
(Gain) loss on transfer of wireless spectrum (63 ) - (181 ) (736 )
Venezuela devaluation       98         -       98         -  
Adjustments to Operations and Support Expenses       117         261       206         (154 )
Amortization of intangible assets       1,170         1,316       2,372         2,667  
Adjustments to Operating Expenses       1,287         1,577       2,578         2,513  
Other
Merger related interest expense and exchange fees1 158 - 267 16
(Gain) loss on sale of assets, impairments and other adjustments       (36 )       -       221         4  
Adjustments to Income Before Income Taxes       1,409         1,577       3,066         2,533  
Tax impact of adjustments       445         550       1,001         881  
Adjustments to Net Income     $ 964       $ 1,027     $ 2,065       $ 1,652  
1 Includes interest expense incurred on the debt issued prior to the close of merger transactions.
 

Adjusted Operating Income, Adjusted Operating Income Margin, Adjusted EBITDA, Adjusted EBITDA margin, Adjusted EBITDA service margin and Adjusted diluted EPS are non-GAAP financial measures calculated by excluding from operating revenues, operating expenses and income tax expense certain significant items that are non-operational or non-recurring in nature, including dispositions and merger integration and transaction costs. Management believes that these measures provide relevant and useful information to investors and other users of our financial data in evaluating the effectiveness of our operations and underlying business trends.

Adjusted Operating Revenues, Adjusted Operating Income, Adjusted Operating Income Margin, Adjusted EBITDA, Adjusted EBITDA margin, Adjusted EBITDA service margin and Adjusted diluted EPS should be considered in addition to, but not as a substitute for, other measures of financial performance reported in accordance with GAAP. AT&T's calculation of Adjusted items, as presented, may differ from similarly titled measures reported by other companies.

 
Adjusted Operating Income, Adjusted Operating Income Margin,

Adjusted EBITDA, Adjusted EBITDA Margin and Adjusted EBITDA Service Margin

Dollars in millions     Three Months Ended     Six Months Ended
June 30, June 30,
      2017     2016     2017     2016
Operating Income $ 7,323     $ 6,560 $ 14,187     $ 13,691
Adjustments to Operating Expenses       1,287         1,577         2,578         2,513  
Adjusted Operating Income1       8,610         8,137         16,765         16,204  
                         
EBITDA 13,470 13,136 26,461 26,830
Adjustments to Operations and Support Expenses       117         261         206         (154 )
Adjusted EBITDA1       13,587         13,397         26,667         26,676  
 
Total Operating Revenues 39,837 40,520 79,202 81,055
Service Revenues 36,538 37,142 72,994 74,243
 
Operating Income Margin 18.4 % 16.2 % 17.9 % 16.9 %
Adjusted Operating Income Margin1 21.6 % 20.1 % 21.2 % 20.0 %
Adjusted EBITDA Margin1 34.1 % 33.1 % 33.7 % 32.9 %
Adjusted EBITDA Service Margin1       37.2 %       36.1 %       36.5 %       35.9 %
1 Adjusted Operating Income, Adjusted EBITDA and associated margins exclude all actuarial gains or losses ($259 million gain in the second quarter of 2017) associated with our postemployment benefit plan, which we immediately recognize in the income statement, pursuant to our accounting policy for the recognition of actuarial gains/losses. As a result, Adjusted Operating Income and Margin reflect an expected return on plan assets of $106 million (based on an average expected return on plan assets of 5.75% for our VEBA trusts), rather than the actual return on plan assets of $234 million (actual annualized VEBA return of 12.2%), as included in the GAAP measure of income.
 
 
Adjusted Diluted EPS
    Three Months Ended     Six Months Ended
June 30, June 30,
      2017     2016     2017     2016
Diluted Earnings Per Share (EPS) $ 0.63     $ 0.55 $ 1.19     $ 1.17
Amortization of intangible assets 0.13 0.14 0.26 0.28
Merger integration and other items1 0.05 0.03 0.08 0.06
Asset abandonments, impairments and other adjustments - - 0.03 -
Actuarial (gain) loss (0.03 ) - (0.03 ) -
(Gain) loss on transfer of wireless spectrum (0.01 ) - (0.02 ) (0.08 )
Venezuela devaluation       0.02         -       0.02         -  
Adjusted EPS     $ 0.79       $ 0.72     $ 1.53       $ 1.43  
Year-over-year growth - Adjusted       9.7 %             7.0 %      
Weighted Average Common Shares Outstanding

with Dilution (000,000)

      6,184         6,195       6,185         6,193  
1Includes combined merger integration items, merger-related interest expense.
 

Net Debt to Adjusted EBITDA

Net Debt to EBITDA ratios are non-GAAP financial measures frequently used by investors and credit rating agencies and management believes these measures provide relevant and useful information to investors and other users of our financial data. The Net Debt to Adjusted EBITDA ratio is calculated by dividing the Net Debt by Annualized Adjusted EBITDA. Net Debt is calculated by subtracting cash and cash equivalents and certificates of deposit and time deposits that are greater than 90 days, from the sum of debt maturing within one year and long-term debt. Annualized Adjusted EBITDA is calculated by annualizing the year-to-date Adjusted EBITDA.

 
Net Debt to Adjusted EBITDA
Dollars in millions        
Three Months Ended

Mar. 31,

   

Jun. 30,

YTD 2017
      2017     2017      
Adjusted EBITDA $ 13,080 $ 13,587 $ 26,667
Add back severance - (60 ) (60 )
Net Debt Adjusted EBITDA 13,080 13,527 26,607
Annualized Adjusted EBITDA 53,214
End-of-period current debt 10,831
End-of-period long-term debt 132,824
Total End-of-Period Debt 143,655
Less: Cash and Cash Equivalents 25,617
Net Debt Balance                   118,038  
Annualized Net Debt to Adjusted EBITDA Ratio                   2.22  
 

Supplemental Operational Measures

We provide a supplemental discussion of our domestic wireless operations that is calculated by combining our Consumer Mobility and Business Solutions segments, and then adjusting to remove non-wireless operations. The following table presents a reconciliation of our supplemental AT&T Mobility results.

 
Supplemental Operational Measure
    Three Months Ended
June 30, 2017     June 30, 2016
     

Consumer
Mobility

   

Business
Solutions

    Adjustments1    

AT&T
Mobility

Consumer
Mobility

   

Business
Solutions

    Adjustments1    

AT&T
Mobility

Operating Revenues                
Wireless service $ 6,528 $ 8,006 $ - $ 14,534 $ 6,948 $ 7,963 $ - $ 14,911
Fixed strategic services - 3,028 (3,028 ) - - 2,805 (2,805 ) -
Legacy voice and data services - 3,508 (3,508 ) - - 4,162 (4,162 ) -
Other services and equipment - 844 (844 ) - - 874 (874 ) -
Wireless equipment       1,263       1,721       -     2,984   1,238       1,775       -     3,013
Total Operating Revenues       7,791       17,107       (7,380 )   17,518   8,186       17,579       (7,841 )   17,924
 
Operating Expenses
Operations and support 4,520 10,313 (4,636 ) 10,197 4,680 10,857 (5,036 ) 10,501
EBITDA 3,271 6,794 (2,744 ) 7,321 3,506 6,722 (2,805 ) 7,423
Depreciation and amortization       871       2,335       (1,214 )   1,992   932       2,521       (1,372 )   2,081
Total Operating Expenses       5,391       12,648       (5,850 )   12,189   5,612       13,378       (6,408 )   12,582
Operating Income     $ 2,400     $ 4,459     $ (1,530 )     $ 5,329     $ 2,574     $ 4,201     $ (1,433 )     $ 5,342
1 Non-wireless (fixed) operations reported in Business Solutions segment.
 
 
Supplemental Operational Measure
    Six Months Ended
June 30, 2017     June 30, 2016
     

Consumer
Mobility

   

Business
Solutions

    Adjustments1    

AT&T
Mobility

Consumer
Mobility

   

Business
Solutions

    Adjustments1    

AT&T
Mobility

Operating Revenues                
Wireless service $ 13,137 $ 15,935 $ - $ 29,072 $ 13,891 $ 15,818 $ - $ 29,709
Fixed strategic services - 6,002 (6,002 ) - - 5,556 (5,556 ) -
Legacy voice and data services - 7,138 (7,138 ) - - 8,535 (8,535 ) -
Other services and equipment - 1,661 (1,661 ) - - 1,733 (1,733 ) -
Wireless equipment       2,394       3,219       -     5,613   2,623       3,546       -     6,169
Total Operating Revenues       15,531       33,955       (14,801 )   34,685   16,514       35,188       (15,824 )   35,878
 
Operating Expenses
Operations and support 9,048 20,489 (9,342 ) 20,195 9,592 21,659 (10,126 ) 21,125
EBITDA 6,483 13,466 (5,459 ) 14,490 6,922 13,529 (5,698 ) 14,753
Depreciation and amortization       1,744       4,647       (2,402 )   3,989   1,854       5,029       (2,746 )   4,137
Total Operating Expenses       10,792       25,136       (11,744 )   24,184   11,446       26,688       (12,872 )   25,262
Operating Income     $ 4,739     $ 8,819     $ (3,057 )     $ 10,501     $ 5,068     $ 8,500     $ (2,952 )     $ 10,616
1 Non-wireless (fixed) operations reported in Business Solutions segment.
 

Supplemental International

We provide a supplemental presentation of the Latin America and Mexico Wireless operations within our International segment. The following table presents a reconciliation of our International segment.

 
Supplemental International
    Three Months Ended
June 30, 2017     June 30, 2016
     

Latin America

    Mexico     International Latin America     Mexico     International
Operating Revenues        
Video service $ 1,361 $ - $ 1,361 $ 1,222 $ - $ 1,222
Wireless service - 535 535 - 489 489
Wireless equipment       -       130     130     -       117     117  
Total Operating Revenues       1,361       665     2,026     1,222       606     1,828  
 
Operating Expenses
Operations and support 998 774 1,772 978 745 1,723
Depreciation and amortization       222       89     311     212       86     298  
Total Operating Expenses       1,220       863     2,083     1,190       831     2,021  
Operating Income       141       (198 )   (57 )   32       (225 )   (193 )
Equity in Net Income of Affiliates       25       -     25     9       -     9  
Segment Contribution     $ 166     $ (198 )     $ (32 )     $ 41     $ (225 )     $ (184 )
 
 
Supplemental International
    Six Months Ended
June 30, 2017     June 30, 2016
      Latin America     Mexico     International Latin America     Mexico     International
Operating Revenues        
Video service $ 2,702 $ - $ 2,702 $ 2,352 $ - $ 2,352
Wireless service - 1,010 1,010 - 944 944
Wireless equipment       -       243     243     -       199     199  
Total Operating Revenues       2,702       1,253     3,955     2,352       1,143     3,495  
 
Operating Expenses
Operations and support 2,048 1,483 3,531 1,859 1,452 3,311
Depreciation and amortization       436       165     601     408       167     575  
Total Operating Expenses       2,484       1,648     4,132     2,267       1,619     3,886  
Operating Income       218       (395 )   (177 )   85       (476 )   (391 )
Equity in Net Income of Affiliates       45       -     45     23       -     23  
Segment Contribution     $ 263     $ (395 )     $ (132 )     $ 108     $ (476 )     $ (368 )
 


[ Back To TMCnet.com's Homepage ]






Technology Marketing Corporation

35 Nutmeg Drive Suite 340, Trumbull, Connecticut 06611 USA
Ph: 800-243-6002, 203-852-6800
Fx: 203-866-3326

General comments: tmc@tmcnet.com.
Comments about this site: webmaster@tmcnet.com.

STAY CURRENT YOUR WAY

© 2017 Technology Marketing Corporation. All rights reserved | Privacy Policy