Verizon Reports Q1 Results in Line With Expectations, Affirm Guidance

Verizon Communications (VZ) on Monday reported first-quarter results that were roughly in line with analyst expectations, with the company also affirming its growth projections for fiscal 2024.

The telecommunications giant reported $32.98 billion in total revenue, just under analyst estimates compiled by Visible Alpha of $33.2 billion. However, Verizon did report a slight profit beat, posting net income of $4.72 billion, topping projections of $4.61 billion. Diluted earnings per share (EPS) of $1.09 matched estimates.

After rising in premarket trading following the results, Verizon shares were down 2.2% to $39.60 as of 10 a.m. ET Monday.

“Our performance in the first quarter sets us up for a successful 2024,” Verizon Chief Executive Officer (CEO) Hans Vestberg said in a statement. “We are on track to meet our financial guidance and to deliver positive Consumer postpaid phone net adds for the year.”

Revenue from Verizon’s consumer services, which includes wireless phone service and broadband internet, rose slightly year-over year as the company said higher prices and flexible plans offset lower equipment sales volumes and fewer phone upgrades.

The company said the first-quarter performance keeps it on track to meet its prior full-year guidance of wireless revenue growth of 2% to 3.5%, and adjusted EPS of $4.50 to $4.70.

In another sign of the introduction of artificial intelligence (AI) to the business and tech worlds, Verizon said in an infographic accompanying Monday’s earnings that over the rest of this year it plans to continue “enabling AI at scale” to improve Verizon’s business and customer service.

Verizon kicks off a busy week of earnings, with a number of Verizon’s rivals reporting earnings later this week, including AT&T (T) on Wednesday and T-Mobile (TMUS) on Thursday.

UPDATE—April 22, 2024: This article was updated to include the latest share price information.