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Atlantic Equities Expresses Confidence in AT&T and Cingular26/07/2006
America`s top telephone provider, AT&T, has posted better-than-expected financial results for the second-quarter, helped along by strong growth in broadband and wireless. AT&T reported total earnings of $0.58/share, compared to just $0.35 in the same period last year. This easily exceeded the $0.53/share predicted by a Reuters survey of analysts. Profit margins were also up, with the company`s consolidated operating income margin falling between 17% and 18%, or two percentage points higher than average forecasts. This strong growth in profits was largely due to AT&T`s 60% share in wireless joint venture, Cingular, which announced record-breaking second-quarter financial results last week. “It’s a pretty strong set of numbers,” said Atlantic Equities partner, Chris Watts. “We’re seeing good operating-expense trends, with the company raising its margin guidance for the full year.” Related News
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