AT&T reported a 5% year-over-year drop in quarterly revenue to $42.3 billion. Decreasing pay-television customers and movie theater closures offset the growth from wireless, broadband and its HBO Max streaming service.
The company’s pay-TV segment dropped 627,000 customers, continuing a mass exodus from the platform — it lost approximately 1 million customers each of the last two quarters. The loss of pay-TV subscribers helps tell the broader story of massive ratings drops seen for many sports properties.
HBO Max — which launched in May — now has 8.6 million subscribers, but is still lagging behind competitor Disney+, which has added more than 60.5 million subscribers globally since launching in November 2019.