📈 Verizon earnings beat expectations - Steady growth and ambitious plans for 2025 🚀
Verizon Communications $VZ reported Q4 results that beat analysts' estimates and indicate continued steady growth. Earnings per share came in at $1.10 (up 2 cents from last year), while sales increased by 1,6 % to $35.7 billion. These results underscore the telecom giant's strong market position.
🔥 Highlights of the quarterly results:
Wireless revenue: up by 3,1 % to USD 20 billion, in line with market expectations.
Customers: Verizon gained 568,000 new wireless subscribers, well ahead of estimates (479 000).
EBITDA: Adjusted earnings before interest, taxes, depreciation and amortization were USD 11.9 billion, just below estimates USD 12.05 billion.
📅 2025 Outlook:
Wireless revenue growth of 2,4 %, which is the midpoint of the outlook.
Adjusted earnings per share growth of 1,5 %, slightly below market expectations.
EBITDA growth of 2-3,5 %.
Free cash flow between USD 17.5-18.5 billion, providing ample room for strategic investment.
📡 Emphasis on customer experience and retention strategies:
Verizon continues to invest in reducing customer churn and improving service, which is key in a competitive environment. Analysts appreciate management's approach, which is committed to long-term growth in the consumer wireless segment.
🔗 Strategic moves and expansion:
Acquisition of the company is a major milestone Frontier Communications for USD 20 billion, announced in September. Frontier, the largest pure-play fiber optic provider in US, plans to have its largest carrier in the world... 2026 coverage 10 million homes by 2026, which will significantly strengthen Verizon's position in fixed broadband.
Verizon despite slight variations in some indicators, confirms that it remains the industry leader. Steady revenue growth, expansion in the fibre market and an exciting outlook for the year 2025 is a good sign of a company that remains strong in a competitive environment.
What is your opinion of Verizon?
In the end, I didn't invest in Verizon and I've been actively following it for a long time. it's a steady dividend payer though, so it may be interesting to some.
I've had Verizon on my watchlist for a while, but the company hasn't interested me much.
We'll see how the company does this year, I'm e in the red, but I have a pretty decent dividend coming in, so I'll keep holding.
The dividend is fine, but the stock has performed terribly poorly. You can see in the chart above that the stock is not growing at all.