AT&T, Inc. (NYSE:T) Q3 2019 Earnings Conference Call - Final Transcript
Oct 28, 2019 • 08:30 am ET
(Starts Abruptly) conference call. [Operator Instructions] As a reminder, this conference is being recorded.
I would now like to turn the conference over to your host, Michael Viola, Senior Vice President, Investor Relations. Please go ahead.
Thank you, and good morning, everyone, and welcome to our third quarter conference call. I'm Mike Viola, Head of Investor Relations for AT&T, and joining me on the call today is Randall Stephenson, AT&T's Chairman and CEO; and John Stephens, AT&T's Chief Financial Officer.
We'll begin with our 2019 progress and our third quarter results, but we want to spend most of our time today on the three-year guidance and capital allocation plans that we announced this morning, then we'll take your questions.
Before we begin, I want to call your attention to our safe harbor statement. It says that some of the comments today may be forward-looking, as such, they're subject to risks and uncertainties, results may differ materially and additional information is available on the Investor Relations website. I also want to remind you that we're in the quiet period for the FCC Spectrum Auction 103, so we can't answer any questions about that today. And as always, our earnings materials are available on the Investor Relations page of the AT&T website that includes the news release, investor briefing, 8-K, etc.
And so with that, I'll turn the call over to Randall Stephenson.
Randall L. Stephenson
Okay. Thanks, Mike, and good morning, everyone. Thanks for joining us. On Slide 3, you'll see some of this listed. Last November, we laid out our 2019 commitments and we challenged the team to deliver, and they have. The punch line for the quarter is that we remain on target to meet every single objective for the year. We said leverage would be around 2.5 times by year-end and we're on track to hit that target. We told you that full-year EPS would grow on the low-single digits, and we're checking that box. We said we'd generate $26 billion of free cash flow, and now we're tracking to $28 billion. We said we would remain very active on the portfolio front, evaluating and executing opportunities to monetize $6 billion to $8 billion in non-core assets, and we have. Our current forecast is to realize $14 billion by year-end.
We said that our wireless business would return to topline growth and it has. Year-to-date wireless service revenues are up nearly 2%. We committed to stabilizing Entertainment Group EBITDA despite the DIRECTV topline pressures, and through three quarters, Entertainment Group EBITDA is growing. And we needed to do all of this while integrating WarnerMedia, hitting our synergy targets and introducing several new services.
So across the board, we're positioned to meet or exceed every commitment for the year. In a few minutes, I'll cover our three-year plan and you'll begin to understand why I feel good about meeting those commitments as well. But before we get into that, let me turn it over to John and he'll go deeper into the quarter.