Verizon fourth quarter earnings fall in need of analyst expectations
Verizon this morning reported adjusted fourth quarter earnings of 86 cents per share, on income of $32.three billion.
On the earnings facet, that falls in need of what Wall Road analysts had anticipated — EPS of 89 cents per share and $32.1 billion in income. That additionally marks a 5.6 p.c income decline from the fourth quarter of 2015.
Verizon mentioned it added 591,000 postpaid wi-fi subscribers throughout This autumn, in comparison with the 726,000 predicted by analysts.
“We’re positioning Verizon for future development and continued sustainable shareholder worth,” mentioned Chairman and CEO Lowell McAdam within the earnings launch. “Within the fourth quarter we expanded our buyer base in extremely aggressive wi-fi and broadband markets. … We enter 2017 with confidence, primarily based on our investments in next-generation networks and the brand new capabilities we’ve acquired. Our aim is to proceed to earn our clients’ loyalty day by day in a quickly increasing mobile-first digital world.”
The digital media facet (led by AOL, which owns TechCrunch) noticed $532 million in income, minus site visitors acquisition prices. That’s down 5 p.c year-over-year, though Verizon attributes this partly to “a income elevate in fourth-quarter 2015 associated to AOL’s Microsoft deal.” Verizon additionally says that its Web of Issues income grew 21 p.c (minus acquisitions) to $243 million.
As for the introduced Yahoo acquisition, Verizon merely says it “continues to work with Yahoo to evaluate the impression of knowledge breaches.” Yahoo revealed yesterday that the anticipated deadline of the deal had been pushed again to the second quarter of 2017 attributable to two separate revelations of main hacks . (The Securities and Alternate Fee is reportedly investigating why it took Yahoo so lengthy to reveal these hacks.)
Verizon additionally confirmed yesterday that it had laid off 155 workers engaged on its cell video service Go90. The staff from subscription video service Vessel (acquired by Verizon final fall) has been charged with rebuilding the app.
As of seven:42am Japanese time, Verizon inventory was down 1.7 p.c in pre-market buying and selling.