AT&T slides as fiber revenue per user weakens

T-Mobile Us

Wed 16:55

** Shares of telecom firm AT&T T.N fall 6.6% to $21.9
** Stock on track for its lowest level in three months, if losses hold
** Q3 average revenue per user (ARPU) falls 4% due to introductory promotions, bundle discounts for wireless-and-broadband customers and lower-spending customers from newly acquired Lumen Technologies
** Dilution in ARPU can be attributed to telecom cos that could be discounted by uncertainty of future industry structure with the threat of SpaceX competitive entry into the mobile category - Brokerage Citi
** Sector peers T Mobile TMUS.O and Verizon VZ.N declined 2.9% and 3% respectively
** AT&T expects Q4 adj. EBITDA to be impacted by higher marketing and other customer acquisition costs vs last year due to product launch and fiber expansion initiatives - CFO Pascal Desroches 
** Including session's move, T and TMUS down 11.8% and 24.6%, respectively, while VZ up 6.1% YTD   

(Reporting by Anand Gopal in Bengaluru)
((AnandGopal.R@thomsonreuters.com))