July 24, 2012 | by Andrew Kameka
It might be a little early in the morning for champagne, but AT&T wouldn’t be criticized for popping bottles to celebrate its most recent earnings. AT&T announced its second quarter results and called this the company’s “best ever wireless margins” period thanks to operating income margin of 30.3 percent.
All of the signs that wireless companies use to measure healthy performance were favorable for AT&T. The company had 18.8 percent growth in data revenues, 1.3 million net customer additions, a 1.7 percent increase in average monthly revenues per subscriber (ARPU), and a 1.7 percent increase in consumer revenues – the best growth in four years.
The iPhone remains the engine that powers AT&T. Of the 5.1 million smartphones sold in Q2 2012, 3.7 million were iPhone sales. That leaves only 1.4 million sales for Android and Windows Phone 7 devices, so the iPhone outsold Android devices at least 2-to-1, and perhaps 3-to-1 depending on how many WP7 phones were sold. That’s similar to numbers reported during the same period last year when only 1.4 million of AT&T’s 5.5 million smartphone sales were Android, BlackBerry, or WP7.
Why is the iPhone maintaining such a dominant lead over Android? Verizon reported a more balanced distribution between iOS and Android last week, but AT&T customers continuously opt for the iPhone. For some reason, AT&T customers have yet to be swayed by Android.
These numbers are for the quarter ending June 30, so it’s possible that a full quarter of sales for the HTC One X, Samsung Galaxy S III, and Motorola Atrix HD might show better performance in Q3 2012.