Verizon Communications (VZ.US) is gaining 1.50% after the company published its quarterly earnings report. Verizon reported losing fewer wireless subscribers than expected in the first quarter, attributing the success to its flexible plans and streaming bundles.
Despite the seasonal slowdown typical after the holiday quarter, Verizon only lost 68,000 monthly bill-paying wireless phone subscribers, significantly lower than the anticipated 100,000 and the previous year's loss of 127,000. This performance reflects a positive response from consumers to Verizon's premium, customizable myPlan options. Along with existing promotions, Verizon has introduced new incentives, such as a six-month free Disney bundle for selected plans. The company's total revenue for the quarter was $33 billion, slightly below the forecasted $33.24 billion, influenced by a trend of customers holding onto their phones longer due to economic uncertainties and a lack of significant new features.
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إنشاء حساب حساب تجريبي تحميل تطبيق الجوال تحميل تطبيق الجوال1Q 2024 Highlights
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EPS (Earnings per share) of $1.09, compared with earnings per share of $1.17 in first-quarter 2023; adjusted EPS1, excluding special items, of $1.15, compared with $1.20 in first-quarter 2023.
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Total operating revenue of $33.0 billion, up 0.2 percent from first-quarter 2023.
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Consolidated net income for the first quarter of $4.7 billion, compared to consolidated net income of $5.0 billion in first-quarter 2023, and consolidated adjusted EBITDA1 of $12.1 billion, up from $11.9 billion in first-quarter 2023.
Management Commentary
Verizon's Chairman and CEO, Hans Vestberg, expressed confidence in the company's strong first-quarter performance, positioning Verizon for a successful 2024. The company is on track to meet its financial guidance and expects positive net additions in consumer postpaid phones throughout the year, alongside rapid growth in its fixed wireless subscriber base. Despite a slight decline in earnings per share from $1.17 in the first quarter of 2023 to $1.09 in the same period of 2024, Verizon’s network continues to lead the industry.
For 2024, Verizon continues to expect the following:
- Total wireless service revenue growth2 of 2.0 percent to 3.5 percent.
- Adjusted EBITDA growth1 of 1.0 percent to 3.0 percent.
- Adjusted EPS1 of $4.50 to $4.70.
- Capital expenditures between $17.0 billion and $17.5 billion.
- Adjusted effective income tax rate1 in the range of 22.5 percent to 24.0 percent.
Stock quotes (D1 interval)
Verizon (VZ.US) gains over 1.50% today following the earnings report. The stock price in pre-market trading is rising to the $41 level. However, the gains are not sufficient to break above the consolidation channel ranging from $39 to $42, in which the company has been since the beginning of the year.
Source: xStation 5
