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Verizon reports sustained customer growth and migration to 4G in 4Q

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BENGALURU – Verizon Communications Inc. (Verizon) announced today that wireless customer growth remained strong throughout fourth-quarter 2014.



The company reported sustained, strong customer demand for 4G smartphones and tablets, as it drove retail postpaid gross additions that were higher both sequentially and year over year. Customer phone upgrades approached 10 per cent, higher than the 9.5 per cent previously expected, as upgrade volumes trended higher as December progressed.



Verizon expects first-quarter 2015 wireless margins to return to historical levels. As previously announced, the company will report that the fourth-quarter impacts of strong customer volumes, together with its promotional offers, put short-term pressure on its wireless segment EBITDA and EBITDA service margin (non-GAAP, based on earnings before interest, taxes, depreciation and amortization).



In fourth-quarter 2014, Verizon says that it maintained a disciplined market approach focused on high-quality customers. Churn was elevated both sequentially and year over year as a result of the highly competitive quarter. The company also focused on accelerating upgrades of high-quality customers to 4G smartphones on its ‘More Everything’ shared data plans on the nation’s most reliable 4G LTE wireless network.



In wireline, the company reiterated its commitment to achieve full-year expansion of the wireline segment EBITDA margin (non-GAAP).

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