AT&T said supply chain disruptions mean it won't meet its target of adding 3 million new premises passed to its fibre network this year. Speaking at an Oppenheimer investors conference, CFO Pascal Desroches said the number would more likely be around 2.5 million premises passed. However, the company remains on track to meet its target of 30 million premises passed by the end of 2025, he said.
The supply chain problems affect fibre and related components, leading to a "slower-than-anticipated ramp" in the buildout for 2021, the CFO said. The slower roll-out will not affect financial results this year, he added, and AT&T is working closely with the broader fibre ecosystem to address the near-term issues.
FY targets reiterated
The operator otherwise reiterated its targets for this year, with annual capex estimated at around USD 17 billion. Intense competition is expected to continue in the US wireless market, with AT&T targeting full-year service revenue growth of 3 percent and low single-digit mobility EBITDA growth. The deployment of C-band spectrum is planned to start by year-end and reach 200 million people covered by end-2023.
