AT&T relies on combined plans to surpass expectations for subscriber growth.

AT&T  opened a new tab and exceeded Wall Street expectations for wireless subscriber growth in the first quarter on Wednesday, fueled by consistent demand for its plans that combined high-speed fiber services and 5G mobile options.

Shares of the company based in Dallas increased by 3% in premarket trading. The U.S. wireless carrier’s strategy of bundling services to combat fierce competition in a saturated market, along with bold trade-in deals, enabled it to acquire 324,000 new monthly bill-paying wireless subscribers during the quarter.

That is in contrast to FactSet’s estimates of 258,300 increases.

Following the alert about a high number of subscribers departing the service in January, AT&T boosted its promotional offers for the newest iPhones to allow trade-ins of old devices, regardless of their condition.

Total revenue increased by 2% to $30.6 billion in the first quarter, surpassing analysts’ expectation of $30.35 billion, as reported by LSEG data. According to the company, over 40% of AT&T’s fiber customers also chose its wireless plans.

The company drew in subscribers with the January introduction of the AT&T Guarantee, a policy providing bill credits for any interruptions on its network. The results represent the initial quarter that does not include the outcomes from its 70% ownership in DirecTV, which it is divesting for $7.6 billion.

The firm confirmed its forecasts for free cash flow and adjusted profit for the year, stating that it intends to start share buybacks in the second quarter.

Competitor Verizon on Tuesday reported increased subscriber losses in the first quarter due to the impact of recent price increases and fierce competition in the market. T-Mobile (TMUS.O) is set to release its report on Thursday after the markets close.