Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Equities  >  Nyse  >  Verizon Communications    VZ

VERIZON COMMUNICATIONS

(VZ)
  Report  
SummaryQuotesChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsOfficial PublicationsSector newsMarketScreener StrategiesAnalyst Recommendations

Verizon Communications : Adds Wireless Customers but Profit Slips

share with twitter share with LinkedIn share with facebook
share via e-mail
0
08/01/2019 | 08:03am EDT

By Sarah Krouse

Verizon Communications Inc. added more wireless customers in the second quarter than some analysts expected as the carrier stepped up its promotions and pushed to bring faster 5G wireless service to more cities.

The carrier said it added 245,000 net postpaid phone connections during the period compared with the 199,000 such connections it added during the same period last year.

JPMorgan Chase & Co. analysts said earlier this week that they expected Verizon to top their expectation that it would add 175,000 postpaid phone connections during the second quarter after the carrier made a marketing push.

Verizon's earnings come nearly a week after rival T-Mobile US Inc. received approval from federal antitrust officials to merge with Sprint.

The union of T-Mobile and Sprint, years in the making, would create a wireless company closer to the size of Verizon and AT&T Inc. The merger still faces further challenges from a state lawsuit seeking to block it.

T-Mobile said last week it added 710,000 net postpaid phone customers in the second quarter, while AT&T's wireless business added 72,000 during the period. Postpaid customers are considered lucrative for carriers because they pay their bill monthly under longer-term contracts.

Verizon has put upgrading its network to 5G at the heart of its corporate strategy and is working to identify the best ways to generate fresh revenue from businesses and consumers alike.

Earlier this week it turned on the faster service in parts of Washington, Indianapolis, Atlanta and Detroit. To date, Verizon's 5G signal in cities like Chicago has been ultrafast but spotty in part because it uses high-frequency airwaves that don't travel long distances.

Verizon executives have said it would take years for the network upgrades to bring in more revenue. The carrier has said it would eventually charge $10 a month for the service, but is currently waiving that charge for new 5G customers.

Its 4G service, meanwhile, faces competition for subscribers in the saturated U.S. market. Verizon is trying to draw new customers and upgrade existing customers to pricier tiers of its unlimited data plans.

Verizon had 118.12 million wireless connections, including tablets, smartwatches and other devices, at the end of June, compared with 117.9 million at the end of March.

Hans Vestberg, Verizon's chief executive, has restructured the company by the type of customer served, rather than the product sold. The move could help de-emphasize legacy products like Fios video, which has lost customers in recent years. That service lost another 52,000 customers in the second quarter.

Overall, net income attributable to Verizon was $3.9 billion, down from $4.1 billion a year earlier. Quarterly revenue declined slightly to $32.1 billion from $32.2 billion a year ago.

Revenue within Verizon's media unit, which includes the Yahoo and AOL properties it acquired, was $1.8 billion, down 2.9% from a year ago. The company said declines in desktop advertising revenue continue to be a challenge.

The carrier is in the throes of an effort to cut $10 billion in costs by 2021 and says it has cut $4.1 billion to date.

Verizon shares were up about 1% to $53 in premarket trading.

Write to Sarah Krouse at sarah.krouse@wsj.com

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on VERIZON COMMUNICATIONS
11:07aVERIZON COMMUNICATIONS : Adam Koeppe's remarks at CBRS OnGo press conference
PU
08:01aVERIZON COMMUNICATIONS : to speak at Goldman Sachs Communacopia Conference Septe..
AQ
09/14AT&T Chief's Exit Plan Sets Off an Activist Challenge -- WSJ
DJ
09/13VERIZON COMMUNICATIONS : and Unloc announce return of European entrepreneurship ..
PU
09/13Yahoo Japan's Deal Aims to Lift Retail
DJ
09/12NEWS HIGHLIGHTS : Top Company News of the Day
DJ
09/12NEWS HIGHLIGHTS : Top Company News of the Day
DJ
09/12NEWS HIGHLIGHTS : Top Company News of the Day
DJ
09/12NEWS HIGHLIGHTS : Top Company News of the Day
DJ
09/12Yahoo Japan to Buy Stake in Fashion Site -- WSJ
DJ
More news
Financials (USD)
Sales 2019 131 B
EBIT 2019 31 077 M
Net income 2019 18 906 M
Debt 2019 107 B
Yield 2019 4,06%
P/E ratio 2019 13,1x
P/E ratio 2020 12,3x
EV / Sales2019 2,70x
EV / Sales2020 2,61x
Capitalization 248 B
Chart VERIZON COMMUNICATIONS
Duration : Period :
Verizon Communications Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends VERIZON COMMUNICATIONS
Short TermMid-TermLong Term
TrendsBullishNeutralNeutral
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 28
Average target price 60,39  $
Last Close Price 59,87  $
Spread / Highest target 16,9%
Spread / Average Target 0,87%
Spread / Lowest Target -18,2%
EPS Revisions
Managers
NameTitle
Hans Erik Vestberg Chief Executive Officer & Director
Lowell C. McAdam Chairman
Matthew D. Ellis Chief Financial Officer & Executive Vice President
Kyle J. Malady Chief Network Operations & Technology Officer
Nicola Palmer Head-Technology & Product Development
Sector and Competitors
1st jan.Capitalization (M$)
VERIZON COMMUNICATIONS5.83%247 622
NIPPON TELEGRAPH AND TELEPHONE CORP19.32%89 880
DEUTSCHE TELEKOM AG2.12%79 350
SAUDI TELECOM COMPANY SJSC--.--%54 068
BCE INC.17.86%43 157
ORANGE-2.58%40 450