Verizon Slips: Revenue Misses, Year Growth View Below Consensus – Tech Trader

Verizon added 72,000 net new FiOS internet connections and 26,000 new FiOS video connections in the quarter to reach 6.8 million and 5.8 million, respectively.

Verizon Communications Inc. (VZ) is set to release its second-quarter 2015 results before the open of the trading session on Tuesday, July 21. The company posted revenues of $32.2 billion on earnings per share of $1.04.

Verizon is extending assurance and certainty – the hallmarks of its services – to its pricing by informing customers now that, after the promotional two-year period, the monthly price for the triple-play bundle will increase by $20.

Verizon has doubled down on wireless services – it bought out Vodafone’s 45% stake in their US joint venture, Verizon Wireless, in early 2014 for $130 billion – while selling off landline assets. The service will include some free sponsored content and will be offered through a mobile application, which Verizon Wireless customers can look forward to having pre-installed on devices soon!

Chairman and chief executive Lowell McAdam said: “Verizon has delivered another quarter of strong financial and operational results, based on consistent network reliability and superior value that continues to attract new customers”. Verizon’s wireless EBITDA margins are already the best in the industry, at mid-40% levels, ahead of AT&T (roughly 40%) and Sprint and T-Mobile (under 30%). Customer 4G devices now make up about 73 percent of the company’s retail postpaid connections base.

Verizon revised its revenue outlook, saying it expects a higher annual growth rate in third-quarter of 2015 than in second-quarter 2015. However, growth of the wireless carrier giant Verizon slowed since past year when they netted 1.4 million additions.

Revenues in the global enterprise business fell 6.4 percent to $3.2 billion, while the global wholesale business contracted 4.5 percent to $1.5 billion.

In the first quarter, the company had added 90,000 new pay TV customers.

“As the year goes on it will progress”, Shammo said.

Verizon Communications (NYSE:VZ)’s stock had its “sell” rating restated by equities researchers at Macquarie in a research report issued on Tuesday, MarketBeat.Com reports.

Verizon reported 1.1 million net retail postpaid adds during the quarter and a postpaid churn rate of 0.9%, which was the lowest percentage in three years. For the full year, the company estimates consolidated revenue growth of at least 3.0 percent. “I will tell you, as far as the number of genres they take, it’s less than what we had anticipated”, he said, before adding that while that will “put pressure on the top line”, down the road it will “improve profitability from a programming perspective”.