AT&T increased the total number of HBO and HBO Max subscribers in the US in the first half of 2020 and reached its subscriber target earlier than expected, CEO John Stankey said at an investors conference. The company had originally projected a total of 36 million HBO and HBO Max domestic subscribers by year-end.
Speaking at the Goldman Sachs Communacopia conference, he reiterated that HBO Max has generated higher weekly viewing than its predecessor HBO Now. The company is looking at developing an advertising-based version of HBO Max to build on the viewer engagement and support further customer growth, Stankey said.
The CEO otherwise reassured on the group's financial targets, saying it still expects to meet cash flow and dividend targets despite the economic impact of the coronavirus pandemic. Nevertheless, the crisis has prompted the company to accelerate its structural changes. AT&T said this means enhancing its strategy to increase customer engagement across media and distribution products and working to optimize the returns of business lines that fall outside of its focus areas.
This may mean additional non-core assets put up for sale. At the end of the second quarter, AT&T had more than USD 500 billion in assets on its balance sheet, giving it "additional opportunities to drive incremental shareholder value", Stankey said.
