Telecom company AT&T has announced a strategic plan to return over $40 billion to shareholders over the next three years through dividends and share repurchases.
The company said Tuesday that it is part of a broader strategy aimed at expanding its fiber broadband network to 50 million locations and modernizing its 5G wireless infrastructure.
"Over the last four years, we've achieved durable and profitable subscriber growth, generated attractive returns on network investment, and strengthened our balance sheet," said John Stankey, AT&T CEO.
AT&T will maintain its current annual dividend of $1.11 per share, distributing more than $20 billion in dividends.
The remaining funds will be used for share repurchases, with $10 billion authorized to be completed by 2026.
With the company's ongoing expansion, AT&T anticipates stronger financial performance, including growth in revenue and free cash flow.
During the summer, call and text message records of millions of customers' cellphones, as well as non-AT&T users, were exposed due to a massive data breach.
