AT&T Inc. (NYSE:T) shares rose more than 5% intra-day today after the company delivered stronger-than-expected fourth-quarter results, fueled by a robust increase in monthly bill-paying wireless subscribers, underscoring sustained demand for its premium unlimited plans. The telecom giant reported 482,000 net monthly paying wireless phone subscribers, surpassing the Street projection of 441,511.

AT&T reaffirmed its long-term growth strategy outlined during its investor day last year. The Dallas-based telecom leader aims to double its fiber internet availability and expand its 5G network footprint. By leveraging bundled discounts on fiber internet and wireless services, AT&T seeks to further enhance its customer base and market position.

For fiscal year 2025, the company projects adjusted core income growth of at least 3%. Excluding its interest in DirecTV, which is being sold to TPG Capital for $7.6 billion, AT&T anticipates generating more than $16 billion in free cash flow during the year. The firm plans to initiate share buybacks in the second half of 2025 as part of its broader capital return program, which aims to deliver over $40 billion to shareholders through dividends and repurchases over the next three years.

In the fourth quarter, adjusted earnings per share reached $0.54, exceeding analysts’ expectations of $0.50. Revenue rose 0.9% year-over-year to $32.3 billion, buoyed by stronger-than-expected performance in its mobility unit. This result also topped Wall Street’s estimate of $32.03 billion.