AT&T Inc, the US wireless carrier, raised its annual profit view and reported a better-than-expected adjusted profit in Q3 on strong demand for its phone and internet services.

The company’s promotional offers on wireless plans and smartphones helped it add 708,000 net new monthly bill-paying wireless phone subscribers, sending its shares up 2.8 per cent before the bell. The carrier also added 338,000 fibre internet customers in the third quarter and held it on track to achieve its annual free cash flow target of USD 14 billion.

AT&T now expects adjusted profit per share for the entire year to be USD 2.50 or higher compared with earlier expectations of USD 2.42 to USD 2.46 per share.

Total revenue surged 3 per cent to USD 30 billion, exceeding expectations of USD 29.86 billion. Income from continuing operations was USD 6.3 billion compared with USD 5 billion a year earlier. Adjusted earnings per share came in at 68 cents per share, topping estimates of 61 cents.