iPhone Sales And Acquistions Boost AT&T Profit By 41%

by Heather McLaughlin

Shareholders of AT&T stock should be pretty happy about the exclusive release of the Apple iPhone.

The company reported a 41% increase in profit for the third quarter of 2007.

Almost 2 million customers signed up for wireless service, lured by handsets with Internet access. Those users spent more on data services such as text-messaging and video downloads, helping to boost mobile-phone revenue to a record $10.9 billion.

Net income rose to $3.06 billion, or 50 cents a share, from $2.17 billion, or 56 cents, a year ago. The shares outstanding increased after the company bought BellSouth Corp. in December, causing earnings-per-share to fall from a year ago. Sales almost doubled to $30.1 billion.

Chicago Sun