Verizon(US:VZ)2026-01-30 11:30Financial Performance - Total operating revenue for 2025 was $138.2 billion, up from $134.8 billion in 2024, with Q4 2025 revenue at $36.4 billion[7]. - Adjusted EPS for 2025 was $4.71, with Q4 2025 adjusted EPS at $1.09, reflecting strong performance[7]. - Net income attributable to Verizon for the twelve months ended December 31, 2025, was $17,174 million, a decrease of 1.9% from $17,506 million in 2024[20]. - Consolidated net income for the quarter was $2,448 million, reflecting a decrease from $5,114 million in the same quarter last year[47]. - Adjusted EPS for the 12 months ended December 31, 2025, was $4.71, compared to $4.59 for the same period in 2024, reflecting a year-over-year increase of 2.6%[53]. Cash Flow and Debt - Cash flow from operating activities was $37.1 billion in 2025, compared to $36.9 billion in 2024, with free cash flow at $20.1 billion[7]. - Free Cash Flow for the 12 months ended December 31, 2025, was $20,126 million, compared to $19,822 million in 2024, indicating a growth of 1.5% year-over-year[54]. - Total debt rose to $158,150 million as of December 31, 2025, up from $144,014 million in the previous year[23]. - Net Unsecured Debt decreased to $110,053 million as of December 31, 2025, compared to $113,682 million in 2024, resulting in a Net Unsecured Debt to Consolidated Adjusted EBITDA Ratio of 2.2x, down from 2.3x[51]. Capital Expenditures - Capital expenditures for 2026 are projected to be between $16.0 billion and $16.5 billion, including a fiber build pace of at least 2.0 million passings[15]. - Capital expenditures for the twelve months ended December 31, 2025, were $17,011 million, slightly lower than $17,090 million in 2024[25]. Customer Growth and Service Revenue - Verizon reported over 1 million total net additions across mobility and broadband in Q4 2025, the highest since 2019, including 616,000 postpaid phone net additions[3]. - For 2026, Verizon expects retail postpaid phone net additions of 750,000 to 1.0 million, and mobility and broadband service revenue growth of 2.0% to 3.0%[15]. - Wireless retail postpaid connections reached 95,678, a 0.6% increase from 95,118 in the previous year[30]. - Fixed wireless access (FWA) broadband connections grew by 25.5% to 3,407 from 2,714 year-over-year[30]. - Wireless service revenue for the quarter reached $3,589 million, a 0.5% increase from $3,572 million[38]. Operating Income and Expenses - Operating income decreased by 32.6% to $5,004 million for the three months ended December 31, 2025, down from $7,421 million in the same period last year[20]. - Total operating expenses increased by 4.3% to $21,539 million for the three months ended December 31, 2025, from $20,656 million in the same period of 2024[27]. - Operating Income for the Business segment for the 12 months ended December 31, 2025, increased to $2,532 million from $2,058 million in 2024, marking a significant growth[57]. Employee and Asset Changes - The number of employees decreased to 89.9 thousand as of December 31, 2025, down from 99.6 thousand in the previous year[23]. - Total assets increased by $19,547 million to $404,258 million as of December 31, 2025, compared to $384,711 million as of December 31, 2024[22]. - Cash and cash equivalents increased significantly by $14,854 million to $19,048 million as of December 31, 2025, compared to $4,194 million in 2024[22]. Business Segment Performance - Total operating revenues for the Business segment decreased by 1.8% to $7,366 million for the three months ended December 31, 2025, compared to $7,504 million in the same period of 2024[36]. - Operating income for the Business segment increased by 23.0% to $2,532 million for the twelve months ended December 31, 2025, compared to $2,058 million in the previous year[36]. - Segment EBITDA margin for the Business segment improved to 22.9% for the twelve months ended December 31, 2025, up from 21.6% in the prior year[36]. Future Projections - Verizon anticipates adjusted EPS of $4.90 to $4.95 for 2026, representing a year-over-year growth of 4.0% to 5.0%[15]. - Free cash flow for 2026 is expected to be $21.5 billion or more, marking a growth of approximately 7.0% from 2025[15]. - The forecast for Free Cash Flow for the 12 months ending December 31, 2026, is projected to be $21,500 million, representing a growth forecast of 6.8%[55].