How does AT&T (T) make money?

AT&T (T) primarily makes money through Wireless Service, which accounts for 82.7% of total revenue. For TTM through Q1 2026, AT&T generated $126.53B in total revenue with a net profit margin of 16.9%.

What is AT&T (T) gross profit margin?

AT&T (T) reported a gross profit margin of 79.7% for TTM through Q1 2026, equivalent to $100.80B in gross profit. This means AT&T retains 79.7% of each revenue unit after direct costs of production.

What is AT&T (T) operating profit margin?

AT&T (T) reported an operating profit margin of 19.4% for TTM through Q1 2026, equivalent to $24.49B in operating profit. This reflects profitability after operating expenses such as R&D, sales, and administration, but before taxes and non-operating items.

What is AT&T (T) net profit margin?

AT&T (T) reported a net profit margin of 16.9% for TTM through Q1 2026, equivalent to $21.37B in net profit. This is the share of revenue that remains as profit after all expenses, taxes, and non-operating items.

How much does AT&T (T) spend on capital expenditures?

AT&T (T) spent $21.44B on capital expenditures in TTM through Q1 2026 (16.9% of total revenue). Capital expenditures represent investments in physical assets such as property, equipment, and infrastructure.

What is AT&T (T) free cash flow?

AT&T (T) generated $17.35B in free cash flow for TTM through Q1 2026 (13.7% of total revenue). Free cash flow is the cash remaining after capital expenditures and represents the company's ability to fund growth, pay dividends, or reduce debt.

What is AT&T (T) effective tax rate?

AT&T (T) had an effective tax rate of 13.3% for TTM through Q1 2026. This is the actual percentage of pre-tax income paid as income taxes.

How AT&T (T) Makes Money: A Visual Guide

AT&T (T) generated $126.53B in revenue, earning $21.37B in net profit (16.9% margin). Its largest revenue source is Wireless Service (82.7% of revenue). Below is an interactive breakdown of how revenue flows through the income statement.

AT&T (T) Income Statement Flow — TTM through Q1 2026

Calculated from the four most recent reported quarters, ending March 31, 2026 (reported April 22, 2026).

Frequently asked questions

How does AT&T (T) make money?: AT&T (T) primarily makes money through Wireless Service, which accounts for 82.7% of total revenue. For TTM through Q1 2026, AT&T generated $126.53B in total revenue with a net profit margin of 16.9%.
What is AT&T (T) gross profit margin?: AT&T (T) reported a gross profit margin of 79.7% for TTM through Q1 2026, equivalent to $100.80B in gross profit. This means AT&T retains 79.7% of each revenue unit after direct costs of production.
What is AT&T (T) operating profit margin?: AT&T (T) reported an operating profit margin of 19.4% for TTM through Q1 2026, equivalent to $24.49B in operating profit. This reflects profitability after operating expenses such as R&D, sales, and administration, but before taxes and non-operating items.
What is AT&T (T) net profit margin?: AT&T (T) reported a net profit margin of 16.9% for TTM through Q1 2026, equivalent to $21.37B in net profit. This is the share of revenue that remains as profit after all expenses, taxes, and non-operating items.
How much does AT&T (T) spend on capital expenditures?: AT&T (T) spent $21.44B on capital expenditures in TTM through Q1 2026 (16.9% of total revenue). Capital expenditures represent investments in physical assets such as property, equipment, and infrastructure.
What is AT&T (T) free cash flow?: AT&T (T) generated $17.35B in free cash flow for TTM through Q1 2026 (13.7% of total revenue). Free cash flow is the cash remaining after capital expenditures and represents the company's ability to fund growth, pay dividends, or reduce debt.
What is AT&T (T) effective tax rate?: AT&T (T) had an effective tax rate of 13.3% for TTM through Q1 2026. This is the actual percentage of pre-tax income paid as income taxes.

Data & methodology

What is a Sankey diagram?: A Sankey diagram shows how money flows through a company from revenue to net profit. The width of each flow represents its proportion.
How is the data calculated?: We use the income statement from company filings. For TTM (Trailing Twelve Months), we use a pre-aggregated twelve-month view aligned with our latest four quarterly periods. Revenue flows to cost of revenue and gross profit, then to operating expenses (R&D, S&M, G&A) and operating profit.
When was this data last updated?: Based on company filings through TTM through Q1 2026.