EX-99.1 2 a2024q4exhibit991.htm EX-99.1 Document

Exhibit 99.1

verizon-logo.jpg

News Release

FOR IMMEDIATE RELEASE
Media contacts:
January 24, 2025Katie Magnotta
201-602-9235    
katie.magnotta@verizon.com
Jamie Serino
201-401-5460
jamie.serino@verizon.com


Verizon delivered strong customer growth and profitability in 2024

Company added nearly 1 million postpaid mobile and broadband
subscribers in fourth quarter, best quarterly result in more than a decade

Industry-leading total wireless service revenue
of $20.0 billion dollars in the fourth quarter

Key 2024 Highlights
•Delivered on financial guidance
•Revenue growth with strong operational results
•More than doubled wireless postpaid phone net additions compared to 2023
•Continued to take broadband market share with Fios and fixed wireless access
•Strong execution against capital allocation priorities, including strategic transactions
•Well-positioned with strong outlook for 2025


NEW YORK - Verizon Communications Inc. (NYSE, Nasdaq: VZ) today reported strong operational and financial results for the fourth-quarter and full-year 2024, further extending its industry leadership with new products and services that continued to resonate with customers. With solid momentum on its strategy to grow connections and strengthen customer relationships, the company delivered on its 2024 financial guidance, demonstrating strong performance and success across its three priorities of growing wireless service revenue, expanding adjusted EBITDA and generating strong free cash flow.
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"With innovations powered by the best network in the country, we are bringing the best experiences to our customers, in life and work. Customizable offerings like myPlan, myHome, Verizon Business Complete and Total Wireless feature the control, simplicity and value our customers expect," said Verizon Chairman and CEO Hans Vestberg. "It’s only going to get better this year and beyond, as we have continued to strengthen Verizon with the pending Frontier acquisition, new satellite partnerships, and ongoing AI enablement, which we expect will enhance and broaden our network for everybody we serve."
2024 Financial Highlights
Consolidated: Verizon delivers on 2024 financial guidance and extends industry leadership through operational excellence and customer focus

•Full-year 2024 earnings per share (EPS) of $4.14 compared to $2.75 for full-year 2023; adjusted EPS1, excluding special items, of $4.59 compared to full-year 2023 adjusted EPS1 of $4.71.
•Total operating revenue of $134.8 billion for full-year 2024, up 0.6 percent compared to full-year 2023.
•Full-year 2024 cash flow from operations totaled $36.9 billion compared to $37.5 billion in 2023. This result reflects higher cash taxes, as well as higher interest expense. Full-year cash flow from operations includes a one-time contribution of approximately $2.0 billion from Verizon’s tower transaction with Vertical Bridge and reflects fourth quarter severance payments related to our voluntary separation program of approximately $600 million.
•Full-year 2024 capital expenditures were $17.1 billion.
•Full-year 2024 free cash flow1 of $19.8 billion compared to $18.7 billion in full-year 2023.

4Q 2024 Highlights

Consolidated: Strong fourth-quarter performance results in revenue increases

•Earnings per share of $1.18 in fourth-quarter 2024 compared to EPS of $(0.64) in fourth-quarter 2023; adjusted EPS1, excluding special items, of $1.10 compared to $1.08 in fourth-quarter 2023.
•Fourth-quarter 2024 financial results reflected a pre-tax gain from special items of $477 million. This includes a mark-to-market adjustment for our pension and other post-employment benefit (OPEB) liabilities of $668 million, partially offset by amortization of intangible assets related to Tracfone and other acquisitions of $191 million.
•Total operating revenue of $35.7 billion in fourth-quarter 2024, up 1.6 percent compared to fourth-quarter 2023.
•Consolidated net income for fourth-quarter 2024 was $5.1 billion compared to a net loss of $2.6 billion in fourth-quarter 2023. Consolidated adjusted EBITDA1 was $11.9 billion in fourth-quarter 2024 compared to $11.7 billion in fourth-quarter 2023. This result was driven by wireless service revenue growth, partially offset by the impact of higher upgrade volumes and continued declines in Business wireline revenue.
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•Verizon's total unsecured debt as of the end of fourth-quarter 2024 was $117.9 billion, an $8.5 billion decrease compared to third-quarter 2024 and $10.6 billion lower year over year. The company's net unsecured debt1 at the end of fourth-quarter 2024 was $113.7 billion. At the end of fourth-quarter 2024, Verizon's ratio of unsecured debt to net income (LTM) was 6.6 times and net unsecured debt to consolidated adjusted EBITDA ratio1 was 2.3 times.

Mobility: Industry-leading wireless service revenue and double-digit growth in postpaid phone net adds

•Wireless service revenue2 grew sequentially for the 18th consecutive quarter. Total wireless service revenue2 in fourth-quarter 2024 was $20.0 billion, up 3.1 percent year over year, driven primarily by pricing actions implemented in recent quarters, sales of perks and add-on services and growth in fixed wireless access.
•Wireless equipment revenue of $7.5 billion in fourth-quarter 2024, up 0.6 percent compared to fourth-quarter 2023, predominantly due to increased upgrade volumes in the quarter.
•Total postpaid phone net additions of 568,000 in fourth-quarter 2024, up from 449,000 in fourth-quarter 2023.

Broadband: Verizon continued to take broadband market share with strong demand for best in class Fios and fixed wireless access offerings

•Broadband net additions of 408,000 in fourth-quarter 2024, continuing the quarterly pace of over 350,000 broadband net additions.
•Total fixed wireless access net additions of 373,000 in fourth-quarter 2024, growing the base to nearly 4.6 million fixed wireless subscribers. The company is well-positioned to achieve the next milestone of 8 to 9 million fixed wireless access subscribers by 2028.
•Fios internet net additions were 51,000 compared to 55,000 in fourth-quarter 2023.
•Total broadband connections grew to more than 12.3 million as of the end of fourth-quarter 2024, representing a 15.0 percent increase year over year.

Verizon Consumer: Positive net additions with strongest quarterly phone gross additions result in five years
•Total Verizon Consumer revenue in fourth-quarter 2024 was $27.6 billion, an increase of 2.2 percent year over year, predominantly driven by gains in service revenue.
•Wireless service revenue in fourth-quarter 2024 was $16.5 billion, up 3.0 percent year over year, primarily driven by growth in Consumer wireless postpaid average revenue per account (ARPA) from pricing actions and continued fixed wireless access adoption.
•Consumer wireless retail postpaid churn was 1.12 percent in fourth-quarter 2024, and wireless retail postpaid phone churn was 0.89 percent.
•Consumer ARPA of $139.77 in fourth-quarter 2024, an increase of 4.2 percent compared to fourth-quarter 2023.
•In fourth-quarter 2024, Consumer reported 426,000 wireless retail postpaid phone net additions, up 34.0 percent from fourth-quarter 2023. This improvement was driven by a 5.5 percent year over year increase in postpaid phone gross additions, which represented the strongest quarterly result for postpaid phone gross additions in five years.
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•Excluding the contribution from the company's second number offering, Consumer reported 82,000 wireless retail postpaid phone net additions for the year, meeting the goal of positive net additions for 2024, and 367,000 wireless retail postpaid phone net additions for fourth-quarter 2024.
•Excluding SafeLink, Verizon's brand offering access to government-sponsored connectivity benefits and programs, in fourth-quarter 2024 Consumer reported 65,000 wireless retail prepaid net additions compared to 263,000 net losses in fourth-quarter 2023.
•Consumer reported 216,000 fixed wireless net additions and 47,000 Fios Internet net additions in fourth-quarter 2024. Consumer Fios revenue was $2.9 billion in fourth-quarter 2024.
•In fourth-quarter 2024, Consumer operating income was $6.9 billion, a decrease of 1.9 percent year over year, and segment operating income margin was 25.1 percent, compared to 26.1 percent in fourth-quarter 2023. Segment EBITDA1 in fourth-quarter 2024 was $10.3 billion, a decrease of 0.4 percent year over year. Improvements in Consumer wireless service revenue were more than offset by increases in upgrade volumes and the impact of related promotions in the period. Segment EBITDA margin1 in fourth-quarter 2024 was 37.5 percent compared to 38.5 percent in fourth-quarter 2023.

Verizon Business: Strong wireless service revenue driven by continued wireless customer growth
•Business wireless service revenue in fourth-quarter 2024 was $3.5 billion, an increase of 3.4 percent year over year. This result was driven by continued strong net additions for both mobility and fixed wireless access, as well as benefits from pricing actions implemented in recent quarters.
•Total Verizon Business revenue was $7.5 billion in fourth-quarter 2024, a decrease of 1.5 percent year over year, as increases in wireless service revenue were more than offset by decreases in wireline revenue.
•Business reported 283,000 wireless retail postpaid net additions in fourth-quarter 2024. This result included 142,000 postpaid phone net additions. Our value proposition continued to resonate across all customer groups with particular strength in small and medium businesses.
•Business wireless retail postpaid churn was 1.45 percent in fourth-quarter 2024, and wireless retail postpaid phone churn was 1.09 percent.
•Business reported 157,000 fixed wireless net additions in fourth-quarter 2024.
•In fourth-quarter 2024, Verizon Business operating income was $594 million, an increase of 34.1 percent year over year, resulting in segment operating income margin of 7.9 percent, an increase from 5.8 percent in fourth-quarter 2023. Segment EBITDA1 in fourth-quarter 2024 was $1.7 billion, an increase of 3.0 percent year over year. The result was driven by wireless service revenue growth partially offset by wireline revenue declines. Segment EBITDA margin1 in fourth-quarter 2024 was 22.1 percent, an increase from 21.1 percent in fourth-quarter 2023.
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Outlook and guidance
The company does not provide a reconciliation for certain of the following adjusted (non-GAAP) forecasts because it cannot, without unreasonable effort, predict the special items that could arise, and the company is unable to address the probable significance of the unavailable information.
For 2025, Verizon expects the following:
•Total wireless service revenue growth2,3 of 2.0 percent to 2.8 percent.
•Adjusted EBITDA growth1 of 2.0 percent to 3.5 percent.
•Adjusted EPS1 growth of 0 to 3.0 percent.
•Cash flow from operations of $35.0 billion to $37.0 billion.
•Capital expenditures between $17.5 billion and $18.5 billion.
•Free cash flow1 of $17.5 billion to $18.5 billion.

1 Non-GAAP financial measure. See the accompanying schedules and www.verizon.com/about/investors for reconciliations of non-GAAP financial measures cited in this document to most directly comparable financial measures under generally accepted accounting principles (GAAP).
2 Total wireless service revenue represents the sum of Consumer and Business segments.
3 Reflects the reclassification of recurring device protection and insurance related plan revenues from other revenue into wireless service revenue beginning January 2025. Where applicable, historical results will be recast to conform to the updated presentation. Reclassified 2024 annual revenues were more than $2.9 billion.
Verizon Communications Inc. (NYSE, Nasdaq: VZ) powers and empowers how its millions of customers live, work and play, delivering on their demand for mobility, reliable network connectivity and security. Headquartered in New York City, serving countries worldwide and nearly all of the Fortune 500, Verizon generated revenues of $134.8 billion in 2024. Verizon’s world-class team never stops innovating to meet customers where they are today and equip them for the needs of tomorrow. For more, visit verizon.com or find a retail location at verizon.com/stores.

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Forward-looking statements
In this communication we have made forward-looking statements. These statements are based on our estimates and assumptions and are subject to risks and uncertainties. Forward-looking statements include the information concerning our possible or assumed future results of operations. Forward-looking statements also include those preceded or followed by the words “anticipates,” “assumes,” “believes,” “estimates,” “expects,” “forecasts,” “hopes,” “intends,” “plans,” “targets” or similar expressions. For those statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. We undertake no obligation to revise or publicly release the results of any revision to these forward-looking statements, except as required by law. Given these risks and uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. The following important factors, along with those discussed in our filings with the Securities and Exchange Commission (the “SEC”), could affect future results and could cause those results to differ materially from those expressed in the forward-looking statements: the effects of competition in the markets in which we operate, including the inability to successfully respond to competitive factors such as prices, promotional incentives and evolving consumer preferences; failure to take advantage of, or respond to competitors' use of, developments in technology, including artificial intelligence, and address changes in consumer demand; performance issues or delays in the deployment of our 5G network resulting in significant costs or a reduction in the anticipated benefits of the enhancement to our networks; the inability to implement our business strategy; adverse conditions in the U.S. and international economies, including inflation and changing interest rates in the markets in which we operate; cyberattacks impacting our networks or systems and any resulting financial or reputational impact; damage
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to our infrastructure or disruption of our operations from natural disasters, extreme weather conditions, acts of war, terrorist attacks or other hostile acts and any resulting financial or reputational impact; disruption of our key suppliers’ or vendors' provisioning of products or services, including as a result of geopolitical factors or the potential impacts of global climate change; material adverse changes in labor matters and any resulting financial or operational impact; damage to our reputation or brands; the impact of public health crises on our business, operations, employees and customers; changes in the regulatory environment in which we operate, including any increase in restrictions on our ability to operate our networks or businesses; allegations regarding the release of hazardous materials or pollutants into the environment from our, or our predecessors’, network assets and any related government investigations, regulatory developments, litigation, penalties and other liability, remediation and compliance costs, operational impacts or reputational damage; our high level of indebtedness; significant litigation and any resulting material expenses incurred in defending against lawsuits or paying awards or settlements; an adverse change in the ratings afforded our debt securities by nationally accredited ratings organizations or adverse conditions in the credit markets affecting the cost, including interest rates, and/or availability of further financing; significant increases in benefit plan costs or lower investment returns on plan assets; changes in tax laws or regulations, or in their interpretation, or challenges to our tax positions, resulting in additional tax expense or liabilities; changes in accounting assumptions that regulatory agencies, including the SEC, may require or that result from changes in the accounting rules or their application, which could result in an impact on earnings; and risks associated with mergers, acquisitions, divestitures and other strategic transactions, including our ability to consummate the proposed acquisition of Frontier Communications Parent, Inc. and obtain cost savings, synergies and other anticipated benefits within the expected time period or at all.
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Verizon Communications Inc.


Condensed Consolidated Statements of Income
(dollars in millions, except per share amounts)
Unaudited3 Mos. Ended 12/31/243 Mos. Ended 12/31/23%
Change		12 Mos. Ended 12/31/2412 Mos. Ended 12/31/23%
Change
Operating Revenues
Service revenues and other$28,166 $27,658 1.8$111,571 $109,652 1.8
Wireless equipment revenues7,515 7,472 0.623,217 24,322 (4.5)
Total Operating Revenues35,681 35,130 1.6134,788 133,974 0.6
Operating Expenses
Cost of services6,933 6,952 (0.3)27,997 28,100 (0.4)
Cost of wireless equipment8,581 8,230 4.326,100 26,787 (2.6)
Selling, general and administrative expense8,240 8,991 (8.4)34,113 32,745 4.2
Depreciation and amortization expense4,506 4,516 (0.2)17,892 17,624 1.5
Verizon Business Group goodwill impairment— 5,841 *— 5,841 *
Total Operating Expenses28,260 34,530 (18.2)106,102 111,097 (4.5)
Operating Income7,421 600 *28,686 22,877 25.4
Equity in losses of unconsolidated businesses(6)(11)(45.5)(53)(53)—
Other income (expense), net797 (807)*995 (313)*
Interest expense(1,644)(1,599)2.8(6,649)(5,524)20.4
Income (Loss) Before Provision For Income Taxes6,568 (1,817)*22,979 16,987 35.3
Provision for income taxes(1,454)(756)92.3(5,030)(4,892)2.8
Net Income (Loss)$5,114 $(2,573)*$17,949 $12,095 48.4
Net income attributable to noncontrolling interests$109 $132 (17.4)$443 $481 (7.9)
Net income (loss) attributable to Verizon5,005 (2,705)*17,506 11,614 50.7
Net Income (Loss)$5,114 $(2,573)*$17,949 $12,095 48.4
Basic Earnings Per Common Share
Net income (loss) attributable to Verizon$1.19 $(0.64)*$4.15 $2.76 50.4
Weighted-average shares outstanding (in millions)4,222 4,214 4,218 4,211 
Diluted Earnings Per Common Share(1)
Net income (loss) attributable to Verizon$1.18 $(0.64)*$4.14 $2.75 50.5
Weighted-average shares outstanding (in millions)4,227 4,214 4,223 4,215 
Footnotes:
(1)Where applicable, Diluted Earnings per Common Share includes the dilutive effect of shares issuable under our stock-based compensation plans, which represents the only potential dilution.
* Not meaningful



Verizon Communications Inc.


Condensed Consolidated Balance Sheets
(dollars in millions)
Unaudited12/31/2412/31/23$ Change
Assets
Current assets
Cash and cash equivalents$4,194 $2,065 $2,129 
Accounts receivable27,261 26,102 1,159 
Less Allowance for credit losses1,152 1,017 135 
Accounts receivable, net26,109 25,085 1,024 
Inventories2,247 2,057 190 
Prepaid expenses and other7,973 7,607 366 
Total current assets40,523 36,814 3,709 
Property, plant and equipment331,406 320,108 11,298 
Less Accumulated depreciation222,884 211,798 11,086 
Property, plant and equipment, net108,522 108,310 212 
Investments in unconsolidated businesses842 953 (111)
Wireless licenses156,613 155,667 946 
Goodwill22,841 22,843 (2)
Other intangible assets, net11,129 11,057 72 
Operating lease right-of-use assets24,472 24,726 (254)
Other assets19,769 19,885 (116)
Total assets$384,711 $380,255 $4,456 
Liabilities and Equity
Current liabilities
Debt maturing within one year$22,633 $12,973 $9,660 
Accounts payable and accrued liabilities23,374 23,453 (79)
Current operating lease liabilities4,415 4,266 149 
Other current liabilities14,349 12,531 1,818 
Total current liabilities64,771 53,223 11,548 
Long-term debt121,381 137,701 (16,320)
Employee benefit obligations11,997 13,189 (1,192)
Deferred income taxes46,732 45,781 951 
Non-current operating lease liabilities19,928 20,002 (74)
Other liabilities19,327 16,560 2,767 
Total long-term liabilities219,365 233,233 (13,868)
Equity
Common stock429 429 — 
Additional paid in capital13,466 13,631 (165)
Retained earnings89,110 82,915 6,195 
Accumulated other comprehensive loss(923)(1,380)457 
Common stock in treasury, at cost(3,583)(3,821)238 
Deferred compensation – employee stock ownership plans and other738 656 82 
Noncontrolling interests1,338 1,369 (31)
Total equity100,575 93,799 6,776 
Total liabilities and equity$384,711 $380,255 $4,456 







Verizon Communications Inc.


Consolidated - Selected Financial and Operating Statistics
(dollars in millions, except per share amounts)
Unaudited12/31/2412/31/23
Total debt$144,014 $150,674 
Unsecured debt$117,876 $128,491 
Net unsecured debt(1)
$113,682 $126,426 
Unsecured debt / Consolidated Net Income (LTM)6.6 x10.6 x
Net unsecured debt / Consolidated Adjusted EBITDA(1)(2)
2.3 x2.6 x
Common shares outstanding end of period (in millions)4,210 4,204 
Total employees (‘000)(3)
99.6 105.4 
Quarterly cash dividends declared per common share$0.6775 $0.6650 
Footnotes: 
(1)Non-GAAP financial measure.
(2)Consolidated Adjusted EBITDA excludes the effects of non-operational items and special items.
(3)Number of employees on a full-time equivalent basis.

Verizon Communications Inc.


Condensed Consolidated Statements of Cash Flows
(dollars in millions)
Unaudited12 Mos. Ended 12/31/2412 Mos. Ended 12/31/23$ Change
Cash Flows from Operating Activities
Net Income$17,949 $12,095 $5,854 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization expense17,892 17,624 268 
Employee retirement benefits(52)1,206 (1,258)
Deferred income taxes815 2,388 (1,573)
Provision for expected credit losses2,338 2,214 124 
Equity in losses of unconsolidated businesses, inclusive of dividends received75 84 (9)
Verizon Business Group goodwill impairment— 5,841 (5,841)
Changes in current assets and liabilities, net of effects from acquisition/disposition of businesses
(2,278)(267)(2,011)
Other, net173 (3,710)3,883 
Net cash provided by operating activities36,912 37,475 (563)
Cash Flows from Investing Activities
Capital expenditures (including capitalized software)(17,090)(18,767)1,677 
Cash paid related to acquisitions of businesses, net of cash acquired— (30)30 
Acquisitions of wireless licenses(900)(5,796)4,896 
Collateral receipts (payments) related to derivative contracts, net(712)880 (1,592)
Other, net28 281 (253)
Net cash used in investing activities(18,674)(23,432)4,758 
Cash Flows from Financing Activities
Proceeds from long-term borrowings3,146 2,018 1,128 
Proceeds from asset-backed long-term borrowings12,422 6,594 5,828 
Net proceeds from (repayments of) short-term commercial paper— (150)150 
Repayments of long-term borrowings and finance lease obligations(11,854)(6,181)(5,673)
Repayments of asset-backed long-term borrowings(8,490)(4,443)(4,047)
Dividends paid(11,249)(11,025)(224)
Other, net(1,075)(1,470)395 
Net cash used in financing activities(17,100)(14,657)(2,443)
Increase (decrease) in cash, cash equivalents and restricted cash1,138 (614)1,752 
Cash, cash equivalents and restricted cash, beginning of period3,497 4,111 (614)
Cash, cash equivalents and restricted cash, end of period$4,635 $3,497 $1,138 


Verizon Communications Inc.


Consumer - Selected Financial Results
(dollars in millions)
Unaudited3 Mos. Ended 12/31/243 Mos. Ended 12/31/23%
Change		12 Mos. Ended 12/31/2412 Mos. Ended 12/31/23%
Change
Operating Revenues
Service$19,414 $18,927 2.6$76,880 $74,874 2.7
Wireless equipment6,487 6,435 0.819,598 20,645 (5.1)
Other1,659 1,592 4.26,426 6,107 5.2
Total Operating Revenues27,560 26,954 2.2102,904 101,626 1.3
Operating Expenses
Cost of services4,518 4,362 3.618,072 17,580 2.8
Cost of wireless equipment7,227 6,877 5.121,259 21,827 (2.6)
Selling, general and administrative expense5,473 5,336 2.620,537 20,131 2.0
Depreciation and amortization expense3,438 3,344 2.813,552 13,077 3.6
Total Operating Expenses20,656 19,919 3.773,420 72,615 1.1
Operating Income$6,904 $7,035 (1.9)$29,484 $29,011 1.6
Operating Income Margin25.1 %26.1 %28.7 %28.5 %
Segment EBITDA(1)
$10,342 $10,379 (0.4)$43,036 $42,088 2.3
Segment EBITDA Margin(1)
37.5 %38.5 %41.8 %41.4 %
Footnotes:
(1) Non-GAAP financial measure.
The segment financial results and metrics above exclude the effects of special items (other than the effects of acquisition-related intangible asset amortization), which the Company’s chief operating decision maker does not consider in assessing segment performance.
Certain intersegment transactions with corporate entities have not been eliminated.
 

Verizon Communications Inc.


Consumer - Selected Operating Statistics
Unaudited12/31/2412/31/23% Change
Connections (‘000):
Wireless retail postpaid95,118 93,850 1.4
Wireless retail prepaid20,138 21,122 (4.7)
Total wireless retail 115,256 114,972 0.2
Wireless retail prepaid excl. SafeLink
18,843 18,851 —
Wireless retail postpaid phone75,048 74,720 0.4
Fios video 2,684 2,951 (9.0)
Fios internet7,135 6,976 2.3
Fixed wireless access (FWA) broadband2,714 1,866 45.4
Wireline broadband 7,300 7,190 1.5
Total broadband10,014 9,056 10.6
Unaudited3 Mos. Ended 12/31/243 Mos. Ended 12/31/23%
Change		12 Mos. Ended 12/31/2412 Mos. Ended 12/31/23%
Change
Gross Additions (‘000):
Wireless retail postpaid4,310 4,185 3.013,282 13,475 (1.4)
Wireless retail postpaid phone2,418 2,293 5.57,838 7,330 6.9
Net Additions Detail (‘000):
Wireless retail postpaid1,130 1,168 (3.3)1,345 2,044 (34.2)
Wireless retail prepaid(66)(289)77.2(975)(1,151)15.3
Total wireless retail1,064 879 21.0370 893 (58.6)
Wireless retail prepaid excl. SafeLink
65 (263)*2 (1,078)*
Wireless retail postpaid phone426 318 34.0341 (132)*
Fios video (60)(62)3.2(267)(283)5.7
Fios internet47 53 (11.3)159 236 (32.6)
FWA broadband216 231 (6.5)846 989 (14.5)
Wireline broadband 35 39 (10.3)110 174 (36.8)
Total broadband 251 270 (7.0)956 1,163 (17.8)
Churn Rate:
Wireless retail postpaid1.12 %1.08 %1.06 %1.03 %
Wireless retail postpaid phone0.89 %0.88 %0.84 %0.83 %
Wireless retail prepaid4.04 %4.55 %4.22 %4.37 %
Wireless retail prepaid excl. SafeLink
3.78 %3.94 %3.68 %3.80 %
Wireless retail1.64 %1.73 %1.62 %1.67 %
Revenue Statistics (in millions):
Wireless service revenue$16,521 $16,034 3.0$65,374 $63,358 3.2
Fios revenue$2,939 $2,942 (0.1)$11,647 $11,614 0.3

Verizon Communications Inc.


Consumer - Selected Operating Statistics (continued)
Unaudited3 Mos. Ended 12/31/243 Mos. Ended 12/31/23%
Change		12 Mos. Ended 12/31/2412 Mos. Ended 12/31/23%
Change
Other Wireless Statistics:
Wireless retail postpaid ARPA(1)
$139.77 $134.10 4.2$138.25 $132.36 4.4
Wireless retail postpaid upgrade rate
4.5 %4.4 %
Wireless retail postpaid accounts (‘000)(2)
32,794 32,990 (0.6)
Wireless retail postpaid connections per account(2)
2.90 2.84 2.1
Wireless retail prepaid ARPU(3)
$30.89 $31.87 (3.1)$30.92 $31.46 (1.7)
Wireless retail prepaid ARPU(3) excl. SafeLink
$32.34 $33.11 (2.3)$32.37 $32.82 (1.4)
Footnotes:
(1) Wireless retail postpaid ARPA - average service revenue per account from retail postpaid accounts.
(2) Statistics presented as of end of period.
(3) Wireless retail prepaid ARPU - average service revenue per unit from retail prepaid connections.
Where applicable, the operating results reflect certain adjustments, including those related to the 3G network shutdowns, migration activity among different types of devices and plans, customer profile changes, and adjustments in connection with mergers, acquisitions and divestitures.
Certain intersegment transactions with corporate entities have not been eliminated.
* Not meaningful


Verizon Communications Inc.


Business - Selected Financial Results
(dollars in millions)
Unaudited3 Mos. Ended 12/31/243 Mos. Ended 12/31/23%
Change		12 Mos. Ended 12/31/2412 Mos. Ended 12/31/23%
Change
Operating Revenues
Enterprise and Public Sector$3,548 $3,718 (4.6)$14,218 $15,076 (5.7)
Business Markets and Other3,438 3,318 3.613,099 12,715 3.0
Wholesale518 582 (11.0)2,214 2,331 (5.0)
Total Operating Revenues7,504 7,618 (1.5)29,531 30,122 (2.0)
Operating Expenses
Cost of services2,415 2,519 (4.1)9,742 10,180 (4.3)
Cost of wireless equipment1,354 1,353 0.14,841 4,959 (2.4)
Selling, general and administrative expense2,080 2,139 (2.8)8,583 8,429 1.8
Depreciation and amortization expense1,061 1,164 (8.8)4,307 4,488 (4.0)
Total Operating Expenses6,910 7,175 (3.7)27,473 28,056 (2.1)
Operating Income$594 $443 34.1$2,058 $2,066 (0.4)
Operating Income Margin7.9 %5.8 %7.0 %6.9 %
Segment EBITDA(1)
$1,655 $1,607 3.0$6,365 $6,554 (2.9)
Segment EBITDA Margin(1)
22.1 %21.1 %21.6 %21.8 %
Footnotes:
(1) Non-GAAP financial measure.
The segment financial results and metrics above exclude the effects of special items (other than the effects of acquisition-related intangible asset amortization), which the Company’s chief operating decision maker does not consider in assessing segment performance.
Certain intersegment transactions with corporate entities have not been eliminated.

Verizon Communications Inc.


Business - Selected Operating Statistics
Unaudited12/31/2412/31/23%
Change
Connections (‘000):
Wireless retail postpaid30,819 29,779 3.5
Wireless retail postpaid phone18,798 18,170 3.5
Fios video 54 61 (11.5)
Fios internet 401 385 4.2
FWA broadband1,854 1,201 54.4
Wireline broadband 459 460 (0.2)
Total broadband2,313 1,661 39.3
Unaudited3 Mos. Ended 12/31/243 Mos. Ended 12/31/23%
Change		12 Mos. Ended 12/31/2412 Mos. Ended 12/31/23%
Change
Gross Additions (‘000):
Wireless retail postpaid1,617 1,605 0.76,328 6,420 (1.4)
Wireless retail postpaid phone751 738 1.83,000 2,989 0.4
Net Additions Detail (‘000):
Wireless retail postpaid283 292 (3.1)1,010 1,242 (18.7)
Wireless retail postpaid phone142 131 8.4546 562 (2.8)
Fios video(2)(2)—(7)(6)(16.7)
Fios internet4 2 100.016 12 33.3
FWA broadband157 144 9.0622 547 13.7
Wireline broadband— (1)*(1)(8)87.5
Total broadband 157 143 9.8621 539 15.2
Churn Rate:
Wireless retail postpaid1.45 %1.48 %1.47 %1.48 %
Wireless retail postpaid phone1.09 %1.12 %1.11 %1.13 %
Revenue Statistics (in millions):
Wireless service revenue$3,477 $3,364 3.4$13,753 $13,372 2.8
Fios revenue$314 $312 0.6$1,252 $1,235 1.4
Other Operating Statistics:
Wireless retail postpaid upgrade rate2.8 %3.1 %
Footnotes:
Where applicable, the operating results reflect certain adjustments, including those related to the 3G network shutdowns, migration activity among different types of devices and plans, customer profile changes, and adjustments in connection with mergers, acquisitions and divestitures.
Certain intersegment transactions with corporate entities have not been eliminated.
* Not meaningful

Verizon Communications Inc.


Supplemental Information - Total Wireless Operating and Financial Statistics

The following supplemental schedule contains certain financial and operating metrics which reflect an aggregation of our Consumer and Business segments’ wireless results.
Unaudited12/31/2412/31/23% Change
Connections (‘000)
Retail postpaid125,937 123,629 1.9
Retail prepaid
20,138 21,122 (4.7)
Total retail146,075 144,751 0.9
Retail prepaid excl. SafeLink
18,843 18,851 —
Retail postpaid phone93,846 92,890 1.0
Unaudited3 Mos. Ended 12/31/243 Mos. Ended 12/31/23%
Change		12 Mos. Ended 12/31/2412 Mos. Ended 12/31/23%
Change
Net Additions Detail (‘000)
Retail postpaid phone568 449 26.5887 430 *
Retail postpaid1,413 1,460 (3.2)2,355 3,286 (28.3)
Retail prepaid(66)(289)77.2(975)(1,151)15.3
Total retail1,347 1,171 15.01,380 2,135 (35.4)
Retail prepaid excl. SafeLink65 (263)*2 (1,078)*
Account Statistics
Retail postpaid accounts (‘000)(1)
34,849 34,958 (0.3)
Retail postpaid connections per account(1)
3.61 3.54 2.0
Retail postpaid ARPA(2)
$162.62 $156.48 3.9$161.03 $154.84 4.0
Retail prepaid ARPU(3)
$30.89 $31.87 (3.1)$30.92 $31.46 (1.7)
Retail prepaid ARPU(3) excl. SafeLink
$32.34 $33.11 (2.3)$32.37 $32.82 (1.4)
Churn Detail
Retail postpaid phone0.93 %0.93 %0.89 %0.89 %
Retail postpaid1.20 %1.18 %1.16 %1.14 %
Retail prepaid4.04 %4.55 %4.22 %4.37 %
Retail prepaid excl. SafeLink
3.78 %3.94 %3.68 %3.80 %
Retail1.60 %1.67 %1.59 %1.63 %
Retail Postpaid Connection Statistics
Upgrade rate4.1 %4.1 %
Revenue Statistics (in millions)(4)
FWA revenue$611 $403 51.6$2,139 $1,302 64.3
Wireless service$19,998 $19,398 3.1$79,127 $76,730 3.1
Wireless equipment7,515 7,472 0.623,217 24,322 (4.5)
Wireless other1,697 1,575 7.76,544 6,083 7.6
Total Wireless$29,210 $28,445 2.7$108,888 $107,135 1.6
Footnotes:
(1) Statistics presented as of end of period.
(2) Wireless retail postpaid ARPA - average service revenue per account from retail postpaid accounts.
(3) Wireless retail prepaid ARPU - average service revenue per unit from retail prepaid connections.
(4) Intersegment transactions between Consumer or Business segment with corporate entities have not been eliminated.
Where applicable, the operating results reflect certain adjustments, including those related to the 3G network shutdowns, migration activity among different types of devices and plans, customer profile changes, and adjustments in connection with mergers, acquisitions and divestitures.
* Not meaningful

Verizon Communications Inc.
Non-GAAP Reconciliations - Consolidated Verizon
Consolidated EBITDA and Consolidated Adjusted EBITDA
(dollars in millions)
Unaudited3 Mos. Ended 12/31/243 Mos. Ended 9/30/243 Mos. Ended 6/30/243 Mos. Ended 3/31/243 Mos. Ended 12/31/233 Mos. Ended 9/30/233 Mos. Ended 6/30/233 Mos. Ended 3/31/23
Consolidated Net Income (Loss)$5,114 $3,411 $4,702 $4,722 $(2,573)$4,884 $4,766 $5,018 
  Add:
Provision for income taxes1,454 891 1,332 1,353 756 1,308 1,346 1,482 
Interest expense1,644 1,672 1,698 1,635 1,599 1,433 1,285 1,207 
Depreciation and amortization expense(1)
4,506 4,458 4,483 4,445 4,516 4,431 4,359 4,318 
Consolidated EBITDA$12,718 $10,432 $12,215 $12,155 $4,298 $12,056 $11,756 $12,025 
  Add/(subtract):
Other (income) expense, net(2)
$(797)$(72)$72 $(198)$807 $(170)$(210)$(114)
Equity in (earnings) losses of unconsolidated businesses6 24 14 9 11 18 33 (9)
Severance charges— 1,733 — — 296 — 237 — 
Asset and business rationalization— 374 — — 325 — 155 — 
Legacy legal matter— — — 106 — — — — 
Verizon Business Group goodwill impairment— — — — 5,841 — — — 
Legal settlement— — — — 100 — — — 
Business transformation costs— — — — — 176 — — 
Non-strategic business shutdown— — — — — 158 — — 
(791)2,059 86 (83)7,380 182 215 (123)
Consolidated Adjusted EBITDA$11,927 $12,491 $12,301 $12,072 $11,678 $12,238 $11,971 $11,902 
Footnotes:
(1) Includes Amortization of acquisition-related intangible assets and a portion of the Non-strategic business shutdown, where applicable.
(2) Includes Pension and benefits remeasurement adjustments, where applicable.




Verizon Communications Inc.
Consolidated EBITDA and Consolidated Adjusted EBITDA (LTM)
(dollars in millions)
Unaudited12 Mos. Ended 12/31/2412 Mos. Ended 12/31/23
Consolidated Net Income$17,949 $12,095 
  Add:
Provision for income taxes5,030 4,892 
Interest expense6,649 5,524 
Depreciation and amortization expense(1)
17,892 17,624 
Consolidated EBITDA$47,520 $40,135 
  Add/(subtract):
Other (income) expense, net(2)
$(995)$313 
Equity in losses of unconsolidated businesses
53 53 
Severance charges1,733 533 
Asset and business rationalization374 480 
Legacy legal matter106 — 
Verizon Business Group goodwill impairment— 5,841 
Legal settlement— 100 
Business transformation costs— 176 
Non-strategic business shutdown— 158 
1,271 7,654 
Consolidated Adjusted EBITDA$48,791 $47,789 
Footnotes:
(1) Includes Amortization of acquisition-related intangible assets and a portion of the Non-strategic business shutdown, where applicable.
(2) Includes Pension and benefits remeasurement adjustments, where applicable.

Verizon Communications Inc.
Net Unsecured Debt and Net Unsecured Debt to Consolidated Adjusted EBITDA Ratio
(dollars in millions)
Unaudited12/31/249/30/2412/31/23
Debt maturing within one year$22,633 $21,763 $12,973 
Long-term debt121,381 128,878 137,701 
Total Debt144,014 150,641 150,674 
Less Secured debt26,138 24,272 22,183 
Unsecured Debt117,876 126,369 128,491 
Less Cash and cash equivalents4,194 4,987 2,065 
Net Unsecured Debt
$113,682 $121,382 $126,426 
Consolidated Net Income (LTM)$17,949 $12,095 
Unsecured Debt to Consolidated Net Income Ratio6.6 x10.6 x
Consolidated Adjusted EBITDA (LTM)$48,791 $47,789 
Net Unsecured Debt to Consolidated Adjusted EBITDA Ratio2.3 x2.6 x

Adjusted Earnings per Common Share (Adjusted EPS)
(dollars in millions, except per share amounts)
Unaudited3 Mos. Ended 12/31/243 Mos. Ended 12/31/23
Pre-taxTaxAfter-Tax Pre-taxTaxAfter-Tax 
EPS$1.18 $(0.64)
Amortization of acquisition-related intangible assets$191 $(51)$140 0.03 $227 $(57)$170 0.04 
Severance, pension and benefits charges (credits)(668)165 (503)(0.12)1,288 (319)969 0.23 
Asset rationalization— — — — 325 (80)245 0.06 
Verizon Business Group goodwill impairment— — — — 5,841 (52)5,789 1.37 
Legal settlement— — — — 100 (25)75 0.02 
$(477)$114 $(363)$(0.09)$7,781 $(533)$7,248 $1.72 
Adjusted EPS$1.10 $1.08 
Footnote:
Adjusted EPS may not add due to rounding.
(dollars in millions, except per share amounts)
Unaudited12 Mos. Ended 12/31/2412 Mos. Ended 12/31/23
Pre-taxTaxAfter-Tax Pre-taxTaxAfter-Tax 
EPS$4.14 $2.75 
Amortization of acquisition-related intangible assets$817 $(208)$609 0.14 $865 $(219)$646 0.15 
Severance, pension and benefits charges1,201 (298)903 0.21 1,525 (378)1,147 0.27 
Asset and business rationalization374 (90)284 0.07 480 (113)367 0.09 
Legacy legal matter106 (27)79 0.02 — — — — 
Verizon Business Group goodwill impairment— — — — 5,841 (52)5,789 1.37 
Legal settlement— — — — 100 (25)75 0.02 
Business transformation costs— — — — 176 (45)131 0.03 
Non-strategic business shutdown— — — — 179 (83)96 0.02 
$2,498 $(623)$1,875 $0.44 $9,166 $(915)$8,251 $1.96 
Adjusted EPS$4.59 $4.71 
Footnote:
Adjusted EPS may not add due to rounding.


Verizon Communications Inc.
Free Cash Flow
(dollars in millions)
Unaudited12 Mos. Ended 12/31/2412 Mos. Ended 12/31/23
Net Cash Provided by Operating Activities$36,912 $37,475 
Capital expenditures (including capitalized software)(17,090)(18,767)
Free Cash Flow$19,822 $18,708 

Free Cash Flow Forecast
(dollars in millions)
Unaudited12 Mos. Ended 12/31/25
Net Cash Provided by Operating Activities Forecast$35,000 - 37,000
Capital expenditures forecast (including capitalized software)(17,500 - 18,500)
Free Cash Flow Forecast$17,500 - 18,500

Verizon Communications Inc.
Non-GAAP Reconciliations - Segments
Segment EBITDA and Segment EBITDA Margin
Consumer
(dollars in millions)
Unaudited3 Mos. Ended 12/31/243 Mos. Ended 12/31/2312 Mos. Ended 12/31/2412 Mos. Ended 12/31/23
Operating Income$6,904 $7,035 $29,484 $29,011 
Add Depreciation and amortization expense3,438 3,344 13,552 13,077 
Segment EBITDA$10,342 $10,379 $43,036 $42,088 
Year over year change %(0.4)%2.3 %
Total operating revenues$27,560 $26,954 $102,904 $101,626 
Operating Income Margin25.1 %26.1 %28.7 %28.5 %
Segment EBITDA Margin37.5 %38.5 %41.8 %41.4 %
Business
(dollars in millions)
Unaudited3 Mos. Ended 12/31/243 Mos. Ended 12/31/2312 Mos. Ended 12/31/2412 Mos. Ended 12/31/23
Operating Income$594 $443 $2,058 $2,066 
Add Depreciation and amortization expense1,061 1,164 4,307 4,488 
Segment EBITDA$1,655 $1,607 $6,365 $6,554 
Year over year change %3.0 %(2.9)%
Total operating revenues$7,504 $7,618 $29,531 $30,122 
Operating Income Margin7.9 %5.8 %7.0 %6.9 %
Segment EBITDA Margin22.1 %21.1 %21.6 %21.8 %