Verizon Earns $3.9B as Data Usage Jumps
Verizon Wireless added 501,000 net contract subscribers during the quarter, giving it 93 million total retail customers, a 5.2 percent increase over last year. (See Verizon Earns $3.9B in Q1).
The wireless operator said that 47 percent of customers now own smartphones, 9.1 percent of which were Long Term Evolution (LTE)–capable. That helped to boost data revenues 21 percent, to $6.6 billion. ARPU also grew 3.6 percent, to $55.43, on the higher-margin phones, and Verizon said that the average contract customer is spending $23.80 per month on data, up 16 percent from last year.
Verizon earned 59 cents a share on revenues of $28.2 billion. A year earlier it reported a profit of $3.26 billion or 51 cents a share on revenues of $27 billion.
Analysts polled by FactSet expected a profit of 58 cents per share on revenues of $28.2 billion.
Shares of Verizon are up $0.34 (0.9 percent) to $38 in pre-market trading Thursday.
— Sarah Reedy, Senior Reporter, Light Reading Mobile