Verizon Communications Inc. (VZ) announced modest revenue growth and a drop in profit for its first quarter, but reaffirmed its financial forecast for fiscal 2024. The news led to a 1.3% increase in the company's pre-market trading value on the New York Stock Exchange, seeing shares rise to $41.00.
The telecom giant continues to predict an adjusted earnings per share (EPS) for 2024 in the range of $4.50 to $4.70. On average, analysts project that the company will deliver an EPS of $4.58, as per data compiled by Thomson Reuters. These projections typically exclude any unusual or one-time items.
Verizon also anticipates an adjusted EBITDA growth between 1.0% to 3.0%, and an overall growth in total wireless service revenue from 2.0% to 3.5%.
Hans Vestberg, Chairman and CEO of Verizon, stated that the company's first-quarter performance has set a solid foundation for a successful 2024. He added that their fixed wireless customer base is continuing to expand rapidly, asserting that their industry-leading network is unbeatable.
According to its first-quarter financials, Verizon's earnings fell compared to last year but surpassed Wall Street predictions. The company reported earnings of $4.72 billion or $1.09 per share, down from the $5.02 billion or $1.17 per share recorded during the same period last year.
Adjusted earnings stood at $1.15 per share for the quarter, a slight decrease from $1.20 per share the previous year. However, this figure exceeded analysts' expectations of $1.12 per share.
Verizon's revenue rose marginally by 0.2% to $32.98 billion from $32.91 billion in the previous year.
