“Looking forward, we expect DIRECTV cash distributions to decline at a similar rate in 2024 and thereafter.”

In context

“in 2023. Lastly, we expect an effective tax rate in 2024 consistent with the 2023 rate. Given these assumptions, adjusted EPS for 2024 is expected to be in the $2.15 to $2.25 range. Normalizing for these four items, our 2024 guides would imply adjusted EPS growth consistent with our expected growth in adjusted EBITDA. We expect to be in a position to begin to grow adjusted EPS again in 2025. Turning to free cash flow. Here's what to consider for 2024. First, we expect adjusted EBITDA growth in the 3% range. We also expect cash taxes to be up about $1.5 billion based on current tax law. As we look out to 2025, we would anticipate cash taxes to increase around $1 billion over 2024. Cash distributions from DIRECTV in 2023 were $3.7 billion, down about $750 million compared to the prior year. Looking forward, we expect DIRECTV cash distributions to decline at a similar rate in 2024 and thereafter. I'd also like to point out that DIRECTV's debt levels have not changed materially since the end of 2021 and its debt is non-recourse to AT&T. Another impact to free cash flow is lower capital investment. We expect 2024 capital investment levels in the $21 billion to $22 billion range. It's also important to note that the mix shift of our capital investment continues to move in a favorable direction as vendor financing obligations decline and project capital spend increases. Accordingly, we plan to continue to pay down short-term vendor and direct supplier financings this year as we shape an even more sustainable and ratable quarterly free cash flow cadence. Remember, our capital investments consist of payments from prior year capital spend plus current year spend. This year, there will be”