AT&T Inc.

Ladies and gentlemen, thank you for standing by. Welcome to AT&T's first quarter 2021 earnings call. At this time, all participants are in a listen-only mode. If you should require assistance during the call, please press star then zero and an operator will assist you offline. Following the presentation, the call will be open for questions. If you would like to ask a question, please press one and then zero and you will be placed in the question queue. If you are in the question queue and would like to withdraw your question, you can do so by pressing one and then zero. And as a reminder, this conference is being recorded. I would now like to turn the conference over to your host, Amir Rozwedowski, Senior Vice President, Finance and Investor Relations.

Please go ahead. Amir Rozwedowski Thank you, and good morning, everyone. Welcome to our first quarter call. I'm Amir Rozwedowski, Head of Investor Relations for AT&T. Joining me on the call today are John Stanky, our CEO, and Pascal DeRoche, our Chief Financial Officer. Before we begin, I need to call your attention to our safe harbor statement. It says that some of our comments today may be forward-looking. As such, they're subject to risks and uncertainties described in AT&T's SEC filings. Results may differ materially. Additional information is available on the Investor Relations website. And as always, our earnings materials are on our website. With that, I'll turn the call over to John Stankey, John?

Thanks, Amir, and good morning, everyone. It's been about six weeks since our Analyst and Investor Day, so the framework for what we'll cover today will be familiar to you. We have a consistent, deliberate, and clear approach to the way we run our business, from our market focus areas to our 2021 priority to grow customer relationships with most U.S. households across these market focus areas, to our capital allocation plans. As you see in our quarterly results, our execution has been sharp and we have momentum. We continue to grow our customer relationships with strong subscriber growth and mobility, AT&T Fiber, and HBO Max. We also continue to invest both in capital spending and in content. Our ability to drive costs out of our business and deliver strong cash flows has allowed us to invest in strategic growth. However, as you can see from the results, we're investing wisely. We've been deliberate and intentional in allocating dollars where they'll generate returns. This supports the future of our business while also optimizing the returns on strategic opportunities across our portfolio. For example, cost transformation efforts in mobility yield improved year-over-year profits while we simultaneously invested to drive customer growth. Same at WarnerMedia, where EBITDA was down slightly, even with significant increased investment in HBO Max. The restructuring and consolidation of our WarnerMedia business is driving cost savings in our studio operations, networks, Salesforce, and technology. Our transformation initiatives across the company are driving efficiencies and freeing up capital to invest in our growth areas. And there's more opportunity ahead of us. Our deliberate capital allocation plan allowed us to invest and sustain our dividend at current levels, which we believe is attractive. We're prioritizing cash after dividends to reduce debt. And we continue to monetize non-core assets as we refine our overall business focus, as you saw us do in the quarter with our announced sale of a controlling interest in DirecTV and our other video assets. Let's look at the progress we made in delivering on our market focus areas on slide four. Our customer growth was impressive across Mobility, Fiber, and HBO Max, and we're doing it the right way with a focus on growing profitability. In Mobility, we added nearly 600,000 postpaid phones in the quarter, our best net ad first quarter in more than 10 years. Our subscriber momentum is strong, and we're taking share. Gross ads are up and our average promotional spend per net ad is significantly lower than a year ago. Our transformation program is enabling us to be competitive. At the same time, we're benefiting from a simplified go-to-market strategy and optimized sales and distribution channels. Mobility EBITDA was up more than 2% and service margins increased 100 basis points despite a 2020 first quarter compare where roaming revenues were largely unimpacted. You put it all together, and I believe this demonstrates the formula works. AT&T fiber net ads were strong and penetration levels continued to expand. We've added more than 1 million fiber subscribers in the last four quarters. IP broadband revenues grew nearly 5% in the quarter. and we're on pace to build out fiber to another 3 million consumer and business customer locations this year. HBO Max continues to deliver strong subscriber gains fueled by the success of our day and date theatrical strategy and our steadily strengthening post-COVID content slate. In the US, we've added more than 11 million domestic HBO Max and HBO subscribers in the last 12 months. It's a premium offer with a premium ARPU compared to other streaming platforms. And subscription revenues in the first quarter grew about 35% globally for Warner Media's direct-to-consumer business. And we're on track to launch HBO Max internationally and introduce an AVOD product in June. Across the board, We're encouraged by our momentum and how our management team is executing against our singular priority to grow customer relationships in our market focus areas. With that, I'll turn it over to Pascal to discuss the specifics of our first quarter results. Pascal, welcome, and the floor is yours.