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Verizon Communications Inc. (NYSE, Nasdaq: VZ) reported a solid second-quarter performance for 2024, marked by notable growth in wireless service revenue and broadband subscriber additions.

The company’s total wireless service revenue reached $19.8 billion, reflecting a year-over-year increase of 3.5%. This growth was driven by the addition of 148,000 retail postpaid phone net additions and a total of 340,000 retail postpaid net additions. The company’s retail postpaid phone churn was 0.85%, while the overall retail postpaid churn stood at 1.11%.

In the broadband segment, Verizon achieved double-digit subscriber growth, with total broadband net additions of 391,000 for the eighth consecutive quarter.

The company added 378,000 fixed wireless subscribers, bringing the total to over 3.8 million, a 69% increase year-over-year. Fixed wireless revenue also saw significant growth, reaching $514 million, up by more than $200 million from the previous year.

By the end of Q2 2024, Verizon had 11.5 million total broadband subscribers, a 17.2% increase year-over-year.
 

Verizon’s Revenue Falls Short of Expectations in Q2

When comparing Verizon’s actual performance against market expectations, the company reported total operating revenue of $32.8 billion, which fell slightly short of the expected $33.05 billion. This represents a 0.6% increase from the second quarter of 2023.

The company’s consolidated net income for Q2 2024 was $4.7 billion, a slight decrease from $4.8 billion in Q2 2023. Adjusted EBITDA also saw an upward trend, reaching $12.3 billion, compared to $12.0 billion in the previous year.

Earnings per share (EPS) for the second quarter were reported at $1.09, which is slightly below the $1.10 EPS reported in Q2 2023. However, on an adjusted basis, excluding special items, EPS was $1.15, aligning with market expectations. This adjusted EPS is lower than the $1.21 reported in Q2 2023.

The financial results included a pre-tax loss from special items amounting to $355 million, primarily due to the amortization of intangible assets related to Tracfone and other acquisitions, as well as a mark-to-market adjustment for pension liabilities.
 

Verizon On Track to Meet Full-Year 2024 Guidance

Verizon remains on track to meet its full-year 2024 financial guidance. The company expects total wireless service revenue growth of 2.0% to 3.5% for the year.

Adjusted EBITDA growth is anticipated to be between 1.0% and 3.0%, while adjusted EPS is projected to range from $4.50 to $4.70. Capital expenditures are forecasted to be between $17.0 billion and $17.5 billion. The company also expects an adjusted effective income tax rate in the range of 22.5% to 24.0%.

Verizon’s strategic focus on operational excellence and customer-centric initiatives is expected to drive these financial targets. The company has highlighted its commitment to expanding its network capabilities and introducing new products and services to sustain growth.

CEO Hans Vestberg emphasized the company’s confidence in maintaining upward momentum, leveraging its industry-leading network to support emerging technologies and customer demands.

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