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Verizon 2nd quarter earnings: 1.4 million net adds

Posted: , by Maxwell R.

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Verizon 2nd quarter earnings: 1.4 million net adds
Earnings are up, revenues are up, and customers are up. That pretty much summarizes the second quarter earnings statement issued by Verizon this morning.

Not only are wireless customers and revenues up, but wireline operations posted growth too, in legacy as well as FiOS customer growth with over 200,000 net additions.

Wireless as expected posted the most impressive numbers however. Big Red capped its sixth consecutive quarter of good news with 1.4 million net added retail connections, and an admirably low postpaid churn of just 0.94%.

The mobile additions breakdown as 304,000 postpaid net adds, and 1.15 million tablets. 75% of phone sales are smartphones. That fueled growth of average revenue per account to increase 4.7% to approximately $160 per-month. Those gains have an air of modesty to them, but still commendable given the saturation of the market, and the competition being put up by the likes of T-Mobile and AT&T.

Verizon now boasts a customer base of 104.6 million subscribers, of which, 98.6 million are postpaid. Couple that with the news that Verizon also has the highest number of customers paying over $100 per month for service, roughly 51%, and it becomes easier to add up the wireless revenues which reached about $18.1 billion for the quarter, up 6% compared to the same period last year.

Verizon maintained its guidance for the remainder of the year.

source: Verizon
+- Press Release

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posted on 22 Jul 2014, 08:43 1

1. Droid_X_Doug (Posts: 5993; Member since: 22 Dec 2010)

I wonder how many of those adds came from Sprint?

posted on 22 Jul 2014, 08:58

3. Slammer (Posts: 1515; Member since: 03 Jun 2010)

I for one, have elected to stay put. After 7 years with Sprint, the network has been showing a huge improvement. In all honesty, the transition from the old network to the new was rough. Experienced a lot of dropped calls and poor data connectivity. Since the transition, I have never had better network performance and the network isn't even completed yet.

I would've fell into the logs of complaints if I hadn't been previously instructed by Sprint that I would experience issues during upgrades. Sprint has been upfront and it is delivering a very viable network.

John B.

posted on 22 Jul 2014, 08:50 1

2. Slammer (Posts: 1515; Member since: 03 Jun 2010)

This is more proof that Tmobile's "Uncarrier" branding is not hurting AT&T or Verizon. I have said it a million times before, propping up Tmobile as a force, is only producing a limited effect. You can't fight higher paying customers with least profitable ones. Verizon and AT&T have never been harmed by trinkets and fake chandeliers. The only way to fight these two behemoths now, is to create a third power.

John B.

posted on 22 Jul 2014, 08:58 1

4. zinger69 (Posts: 85; Member since: 13 Feb 2014)

I think that's the argument Masayoshi Son is trying to make to justify Softbank buying T-Mo.

posted on 22 Jul 2014, 11:17 1

5. corporateJP (Posts: 2458; Member since: 28 Nov 2009)

When you have a million plus tablets, that really isn't saying much, especially when those tablet adds are usually only $10 monthly revenue streams.

Like how they're steroiding themselves up for the earnings report...

posted on 22 Jul 2014, 12:35

6. dwillopp (Posts: 18; Member since: 08 Jul 2010)

More tablets = more data being used on these tablets = bumps in Gigabyte allocation = more than just $10 ;)

posted on 23 Jul 2014, 10:48

9. droidlife (Posts: 4; Member since: 01 Feb 2013)

That is like saying back in the day that $10 share lines didn't matter. I see it as a positive sign they are keeping pace and changing with the times.

posted on 22 Jul 2014, 12:58

7. xtroid2k (Posts: 531; Member since: 11 Jan 2010)

In the end it doesn't matter how the money comes in, so long as the share holders are happy those tablets will matter and mean something. And whether someone spends $5 or $500 they are still a customer.

posted on 22 Jul 2014, 13:41 1

8. hkendrick3 (Posts: 6; Member since: 13 Dec 2012)

Of course look how they are bending there customers over as long as you like that take it Verizon will always be No #1

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