AT&T to Report 3 Recast Segments From Q1, Adds 1M Fiber Customers
AT&T will launch new reporting segments—Advanced Connectivity, Legacy and Latin America—from Q1 2026, recasting three years of data for its 5G and fiber convergence strategy. The Q1 results will include acquisition of over 1 million Lumen Mass Markets fiber customers, ahead of a planned partial sale to an equity partner.
1. New Reporting Segments
Beginning with first-quarter 2026 results, AT&T will report three segments: Advanced Connectivity, capturing its 5G and fiber-based services; Legacy, covering copper-based voice and data; and Latin America, reflecting its wireless operations in Mexico. The adjustments include supplemental disclosures for consumer and business relationships and recast quarterly and annual figures from the past three years under this framework.
2. Lumen Fiber Acquisition
On February 2, AT&T closed acquisition of over 1 million fiber internet customers across more than 4 million locations from Lumen’s Mass Markets business. These customers will be held in a subsidiary planned for partial sale to an equity partner, with operations reported as discontinued and equity income reflected in adjusted EPS upon closing.
3. Guidance Reiteration
AT&T reaffirmed its full-year 2026 targets of 3–4% adjusted EBITDA growth, $2.0–2.5 billion first-quarter free cash flow and over $45 billion in shareholder returns through 2028. The company expects net debt/EBITDA of approximately 3.2x post-EchoStar closing, declining to 3.0x by year-end and returning to 2.5x within three years.