AT&T shares rose almost 3% in pre-market trading, after the telecom posted higher quarterly profits and better-than-expected growth in its wireless business. Following a statement earlier this month that it was seeing “softness” in its wireline business, the telecom giant posted profits for the fourth quarter of $3.1 billion, or 51 cents per share, compared with $1.9 billion, or 50 cents a share, for the same period last year. Revenue rose to $30.3 billion from $15.9 billion.
“We had an excellent fourth quarter, which affirms our outlook for 2008,” said Randall Stephenson, AT&T’s CEO, in a statement.
The exclusive iPhone carrier also said that it added 2.7 million net wireless subscribers during the quarter, and that it sold just under 2 million of the popular handsets during the quarter.
AT&T also approved a buyback of 400 million shares and expects to complete the transactions by the end of 2009.