- AT&T Inc.
- 03 December 2024 16:33:59
Source: Sharecast
As part of its 2024 analyst and investor day presentation later on Tuesday, the US telecoms giant unveiled a multi-year strategic plan focused on continued 5G and fibre subscriber growth.
By 2027, AT&T said it expects to have largely completed the modernisation of its 5G wireless network, supporting super-fast download speeds.
By 2029, the company expects to reach 45m locations through its organic fibre deployment as well as 5m fibre locations through Gigapower – AT&T's joint venture with Blackrock – as well as through agreements with commercial open-access providers.
"As we grow, we expect to return more than $40bn to shareholders over the next three years through dividends and share repurchases. With this bold strategy, we are entering a new era of sustained growth at AT&T," said chief executive John Stankey.
In terms of financial targets, the company is targeting adjusted EBITDA growth "in the 3% range" this year, along with free cash flow of $15bn when excluding its investment in DIRECTV which it expects to exit next year.
AT&T guided to adjusted EBITDA growth of 3% or more each year from 2025 to 2027, and expects to generate free cash flow of at least $16bn in 2025 when excluding DIRECTV.
The stock was up 4.1% at $23.63 by 1128 ET.