Verizon Q1 EPS Tops View

(RTTNews) - Telecom giant Verizon Communications Inc. (VZ) Tuesday reported its first-quarter attributable profit that increased from the prior year and topped Wall Street estimates, supported by nearly 4 percent growth in revenues.

The results reflected customer growth in key wireless and broadband markets, strong earnings and increased cash flow.

Net income attributable to the company increased to $4.219 billion from $3.947 billion in the same quarter last year.

Earnings per share fell to $1.02 from $1.15 due to higher share count in the just concluded quarter. The prior-year results included non-operational gains related to Verizon's acquisition of full ownership of Verizon Wireless in February 2014. Adjusted earnings per share totaled $0.84 last year.

On average, 25 analysts polled by Thomson Reuters expected the company to report earnings of $0.95 per share for the quarter. Analysts' estimates typically exclude special items.

Total operating revenues rose 3.8 percent to $32.0 billion from $30.82 billion. Excluding first-quarter 2014 revenues from a business that has been sold, the comparable growth rate would have been 4.2 percent. Wall Street expected revenues of $32.27 billion for the quarter.

Wireless revenues increased 6.9 percent to $22.3 billion. The business added 565,000 net retail postpaid connections in the quarter, up 4.8 percent from last year, and retail postpaid churn was 1.03 percent, compared to 1.07 percent last year.

Average Revenue Per Account or ARPA was $156.14, compared to $159.67 last year.

In the Wireline business, consumer revenues rose 4 percent to $4.0 billion, with FiOS revenues representing 78 percent of the total. FiOS revenues climbed 10.2 percent to $3.4 billion.

Looking ahead, Verizon continues to expect full-year 2015 capital expenditures to range between $17.5 billion and $18.0 billion.

VZ closed up around 1 percent on Monday.