Verizon

VZ Q1 2024 Earnings

Reported Apr 22, 2024 at 7:01 AM ET · SEC Source

Q1 24 EPS

$1.15

BEAT +2.68%

Est. $1.12

Q1 24 Revenue

$32.98B

MISS 0.78%

Est. $33.24B

vs S&P Since Q1 24

-6.4%

TRAILING MARKET

VZ +37.9% vs S&P +44.2%

Market Reaction

Did VZ Beat Earnings? Q1 2024 Results

Verizon delivered a mixed but broadly reassuring first quarter, posting adjusted EPS of $1.15 against a consensus estimate of $1.12, a 2.68% beat, while revenue of $32.98 billion came in just 0.78% below expectations and grew a modest 0.2% year over … Read more Verizon delivered a mixed but broadly reassuring first quarter, posting adjusted EPS of $1.15 against a consensus estimate of $1.12, a 2.68% beat, while revenue of $32.98 billion came in just 0.78% below expectations and grew a modest 0.2% year over year. The headline earnings strength was notable given the headwinds Verizon faced, including a $106 million legacy legal charge and $221 million in Tracfone-related intangible amortization that dragged adjusted EPS down from $1.20 a year ago. The real engine of the quarter was wireless service revenue, which climbed 3.3% year over year to $19.51 billion, fueled by premium plan adoption and a rapidly scaling fixed wireless access business that saw revenue surge 77.3% to $452 million. Consumer postpaid phone net losses narrowed sharply to 158,000, the best first quarter since 2018, a trend that Verizon's management believes will flip positive for the full year. With questions about long-term growth lingering, the company reaffirmed full-year adjusted EPS guidance of $4.50 to $4.70 and wireless service revenue growth of 2% to 3.5%.

Key Takeaways

  • Wireless service revenue growth of 3.3% driven by pricing actions and premium plan adoption
  • Fixed wireless access subscriber base growth to 3.4 million, with FWA revenue up 77.3% YoY
  • Consumer postpaid phone gross additions up 5.3% YoY driven by myPlan success
  • Lower wireless equipment upgrade volumes reduced costs
  • Consumer segment EBITDA margin expansion to 42.6% from 41.5%
  • Consolidated adjusted EBITDA growth to $12.1 billion from $11.9 billion
24/7 Wall St

VZ YoY Financials

Q1 2024 vs Q1 2023, source: SEC Filings

24/7 Wall St

VZ Revenue by Segment

With YoY comparisons, source: SEC Filings

Q4 23 Q4 24

“Our strong results show that our team is delivering. Our performance in the first quarter sets us up for a successful 2024.”

— Hans Vestberg, Q1 2024 Earnings Press Release