Verizon shares dip amid decline in phone subscribers
Verizon Communications (VZ) reported better-than-expected first-quarter earnings and revenue, but its stock slipped in premarket trading Tuesday due to a steeper-than-forecast decline in phone subscribers.
Verizon posted adjusted earnings per share (EPS) of $1.19 on operating revenue of $33.49 billion. Analysts polled by Visible Alpha expected $1.15 and $33.33 billion, respectively, News.Az reports, citing foreign media.
The company reported retail postpaid phone net losses of 289,000 subscribers. Analysts were expecting a net loss of about 218,000 subscribers.
Last month, Verizon Chief Revenue Officer Frank Boulben said at a conference that new subscriber figures in the quarter were "probably going to be soft," although he affirmed the company's forecast for wireless service revenue to grow by 2% to 2.8% this year.
Shares dropped 3.5% immediately after the report. They entered the day up about 7% this year.
Verizon affirmed its full-year guidance, as the telecommunications giant said it "remains confident" in its ability to meet its full-year goals, though the current forecasts do not "reflect any assumptions regarding the potential impacts of the evolving tariff environment."
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