Verizon Communications (VZ)

Verizon reported on 26 October 2026 that it added 406,000 postpaid phone customers in the third quarter, more than nine times as many as a year earlier 1. Postpaid customers pay a monthly bill, and the company called it its strongest third quarter on that measure in five years 1. Revenue rose 1.5 percent to $34.3 billion, and net income rose 5.2 percent to $5.3 billion 1.

Verizon credits simpler plans such as Simplicity and a bigger loyalty program, used in place of heavy phone subsidies, and said its promotional cost of winning a customer fell 41 percent 1. Equipment revenue fell 9.0 percent because customers keep their phones longer and Verizon chose to spend less on subsidies 1. Churn, the share of phone customers who leave each month, improved to 0.94 percent 1.

The company raised its 2026 outlook for the third straight quarter and now expects 1.1 million to 1.2 million postpaid phone net additions for the year 1. It also signed an agreement valued at more than $2 billion with Amazon Web Services to help scale computing for AI workloads 115.

The open question is home internet over the cell network, where quarterly additions fell to 159,000 from 261,000 116. Chief executive Dan Schulman answered on the results call with a millimeter wave plan to bring 1-gigabit speeds to 10 million to 15 million more city locations, Light Reading reported 16.

Verizon Wireless began operating in April 2000 as a partnership of Bell Atlantic and Vodafone, and Verizon bought Vodafone's 45 percent share in 2014 to own it outright 13. Verizon then bought AOL in June 2015 and the operating business of Yahoo in June 2017, a bet on digital content and advertising 13.

Revenue fell to $128.3 billion in 2020 from $131.9 billion in 2019 10. The annual report blamed the pandemic: fewer phones were sold as customers kept devices longer, and roaming and overage fees fell as travel stopped and fees were waived 10.

In February 2021 Verizon won C-Band licenses, mid-band airwaves that carry fast mobile data over a useful range, and paid $45.5 billion for them 11. It also owed about $7.5 billion to the former users of the band for clearing it 2.

Verizon then left media, selling Verizon Media, the AOL and Yahoo business, to an affiliate of Apollo Global Management on 1 September 2021 11. The unit had brought in $5.3 billion of revenue that year under Verizon's ownership 11. In November 2021 Verizon bought Tracfone, until then the largest reseller of its network, for about $3.6 billion in cash and 57.6 million Verizon shares 11.

Revenue reached $133.6 billion in 2021 and $136.8 billion in 2022, then slipped to $134.0 billion in 2023, mainly because fewer phones were sold 1112. Consumer postpaid phone lines shrank in both 2022 and 2023, as more customers left than joined 12.

In the fourth quarter of 2023 Verizon wrote down $5.8 billion of goodwill in its Business unit 12. Goodwill is the premium once paid for businesses it bought, and the write-down followed a finding that the unit was worth less than its book value 12. Net income fell to $12.1 billion that year from $21.7 billion 12.

Revenue grew to $134.8 billion in 2024 and $138.2 billion in 2025, led by consumers 2. The annual report credits perks, the premium myPlan offerings, price rises and a 26 percent larger base of home internet customers on the cell network, while the Business unit's revenue fell 1.6 percent 2. In December 2024 Verizon handed the rights to operate more than 6,000 of its towers to Vertical Bridge for an upfront $2.8 billion 2.

On 4 October 2025 the board made Dan Schulman, a director since 2018 and PayPal's chief executive from 2015 to 2023, chief executive in place of Hans Vestberg 4. In the fourth quarter Verizon announced plans to cut more than 13,000 positions, and it recorded $1.7 billion of severance charges for 2025 2. Net income for 2025 was $17.6 billion 2.

On 20 January 2026 Verizon completed its purchase of Frontier Communications, paying about $9.4 billion in cash, net of cash acquired, and taking on about $12.9 billion of Frontier's debt 2. The deal widened its fiber network to 31 states and Washington DC 2.

Wireless service for consumers

Most of Verizon's money comes from phone and data plans sold to households, either on a monthly bill (postpaid) or paid in advance (prepaid) 2. The Consumer segment brought in $106.8 billion in 2025, about 77 percent of all revenue 2.

Across both segments Verizon served about 94.5 million postpaid phone connections at the end of September 1. Average monthly service revenue per postpaid account slipped to $168.08 in the third quarter from $171.27 a year earlier 1.

The new Simplicity plan, launched in June, costs $30 a month per line at its promotional price and $45 later, with autopay, Droid Life reported 20. It includes 10GB of hotspot data, roaming in Canada and Mexico and satellite texting 20.

In RootMetrics' tests over the first half of 2026, Verizon scored 98.4 overall against 98.3 for AT&T and 97.3 for T-Mobile, Light Reading reported 17. T-Mobile was faster, with a median download speed of 392 megabits a second against 302 for Verizon 17.

AT&T, a national rival, added 379,000 postpaid phones in the same quarter with monthly churn of 0.92 percent 14.

Prepaid and value brands

Core prepaid connections, which leave out the SafeLink brand, stood at about 19.3 million at the end of September 1. Verizon launched Visible in 2018, an app-run brand on its network with plans from $25 to $45 a month, BGR reported 21. Under Tracfone sit Straight Talk, sold with Walmart since 2009, and Total Wireless, which opened its 2,000th store in 2026 21.

Home internet, fiber and fixed wireless

Verizon sells home internet over its own fiber, including the Fios network, and over the cell network, which the filings call fixed wireless access, using radio signals instead of cables 2. It counted 17.4 million broadband connections after the third quarter: about 11.1 million on fiber, up 44.2 percent with Frontier, and about 6.4 million on fixed wireless 1.

In the quarter fiber added 155,000 customers and fixed wireless 159,000 1. The Frontier purchase added $712 million of fiber revenue in the second quarter alone 3. AT&T added 442,000 fiber customers in its third quarter, and the annual report names cable companies among Verizon's broadband rivals 142.

Verizon Business

The Business segment sells phone service, networks, security and internet links to companies and governments 2. It brought in $29.1 billion in 2025, about 21 percent of revenue: $13.5 billion from large enterprises and the public sector, $13.6 billion from smaller businesses and $2.0 billion from wholesale 2. In the third quarter its revenue rose 2.6 percent to $7.0 billion and its operating income rose 19.4 percent 1.

Its AI Connect line sells network capacity for AI work: in November 2025 Verizon agreed to build new long-haul fiber routes between Amazon Web Services data centers 23. In June 2026 it agreed to put its international wireline business into a joint company with BT Group 6.

Networks, plants and airwaves

Verizon's gross investment in property, plant and equipment was about $338 billion at the end of 2025, 78.9 percent of it network equipment such as cable, poles, towers and switches 2. It owns the land and buildings of substantially all its switching centers 2.

Its airwaves run from low bands to C-Band and millimeter wave, licensed by the FCC 2. In 2026 it bought licenses from UScellular for $1.0 billion and won AWS-3 licenses in 82 markets for $3.16 billion at an FCC auction 318. Capital spending was $11.9 billion in the first nine months of 2026 1.

The people

Dan Schulman runs the company, with Anthony Skiadas as chief financial officer, Kyle Malady leading Verizon Business and Alfonso Villanueva Rodriguez leading Consumer on an interim basis 2. Verizon had about 89,900 full-time equivalent employees at the end of 2025, and unions represented about 27 percent of them 2. In March 2026 union members extended the East contracts with the CWA and IBEW until 3 August 2030 3.

The rivals

Verizon competes with AT&T and T-Mobile US nationally and with cable companies such as Comcast and Charter, which resell wireless service 2. SpaceX aims to secure at least 80,000 US cell sites on a path toward a fourth nationwide carrier, Bloomberg reported in October 22.

Current problems

On 14 January 2026 a network outage left customers without service for up to 10 hours, and Verizon offered $20 credits to 1.5 million of them, Fortune reported 19. Those credits weighed on postpaid revenue in the first quarter 3.

Reports that old lead-sheathed copper cables may harm health or the environment have brought government investigations and lawsuits, the annual report says 2. Debt stood at $166.2 billion at the end of September, and interest expense rose 17.2 percent in the quarter 1.

The umbrella, in words

The main brands are Verizon itself, Visible, Total Wireless, Straight Talk and Tracfone 21. The annual report's list of principal subsidiaries includes Cellco Partnership, which does business as Verizon Wireless, the regional phone companies such as Verizon New York Inc., and MCI Communications Services LLC 9. Frontier Communications Parent became a wholly owned subsidiary on 20 January 2026 5.

Agreed: under the BT deal Verizon would own 50 percent of the joint company and pay $625 million in cash, subject to regulators 6. Agreed: the AI Connect contracts with Amazon Web Services 231.

Verizon has one class of common stock with one vote a share, about 4.18 billion shares in March 2026, and no controlling founder 8. The proxy lists The Vanguard Group at 8.4 percent, BlackRock at 8.3 percent and State Street at 5.2 percent, each from its own Schedule 13G 8. Vanguard filed in March 2026 that after an internal realignment it no longer reports more than five percent as one holder 8.

For 2026 Verizon now expects free cash flow, cash from operations less capital spending, to grow close to 12.0 percent, up from its earlier 9.0 to 10.0 percent 1. It expects capital spending of $16.0 billion to $16.5 billion, including spending tied to AI Connect contracts 1.

The company forecasts mobility and broadband service revenue growth of about 4.0 percent in the fourth quarter and the upper half of 2.5 to 3.0 percent for the year 1. It expects to buy back up to $4.5 billion of its own shares in 2026, under a $25 billion program the board approved on 30 January 2026 12.

Verizon expects its fiber to pass more than 32 million homes and businesses by the end of 2026, and it targets 40 to 50 million over the medium term 1. Schulman said the first millimeter wave home internet rollouts begin in the fourth quarter of 2026 and run into 2027, Light Reading reported 16.

The BT joint company still needs regulatory approvals and other closing conditions 6. On 14 May 2026 Verizon agreed in principle with AT&T and T-Mobile to form a joint company that pools spectrum so satellites can reach phones in dead zones 3. Definitive agreements are still to be negotiated 3.

In July 2026 the board extended Schulman's initial term from the end of 2027 to 31 December 2028 7. He is to receive a long-term incentive award with a target value of at least $25 million in the first three months of 2027 7.

Schulman called the company "only one year into a multi-year growth story" and credited Simplicity and the expanded loyalty program for its customer gains 1. The union contracts covering workers who joined with Frontier run to various dates from 2026 through 2030 2.

Past

Verizon Communications' revenue grew from $126 billion in fiscal 2016 to $138 billion in fiscal 2025, up 1% a year, rising in 7 of 9 years with a deepest fall of 3% from fiscal 2019 to fiscal 2020. Net income was positive in all 10 of those years. Over the three fiscal years to 2025, the diluted share count grew about 0.2% a year, and dividends and buybacks returned about 30% of operating cash flow. Officers and directors filed 15 sales, 10 of them under scheduled plans, and 0 purchases of their own stock in the year to 2026-10-14. The grade's past tense reads 6.4 of 10. 12

Present

For the fiscal year ended 2025-12-31, Verizon reported revenue of $138 billion and profit of $17 billion. Return on equity was about 16 cents of profit for every dollar of shareholders' money; leverage was about 74 cents owed per dollar of assets; and the share count grew 0.2% over the year. Revenue of $138 billion ranks in the top 4% by size among 19 companies in its industry family; a net margin of 12.4% ranks in the top 34%; revenue growth of 0.3% a year over the last three filed years ranks in the bottom 24%. The chief executive is Daniel H. Schulman, filing under that title since 2025-10-21 for 12 months; the 20 officers and directors have been on the record a median of 5.7 years; 17 officer or director changes were reported since 2023-10-21 against 20 people in charge now. The grade's present tense reads 4.5 of 10. 21

Future

A quarterly report for the quarter ending 2026-09-30 is due by 2026-11-09 under the SEC's rules. An annual report for the fiscal year ending 2026-12-31 is due by 2027-03-01 under the SEC's rules. Cash of $19 billion against debt of $140 billion leaves negative 29.8% of assets as net cash, in the bottom 33% of its family; cash from operations less capital spending is 26.9% of revenue, in the top 13%. Revenue grew 0.3% a year over the last three filed years against 1% over all 10, slowing; the newest year grew 2.5%; capital spending grew negative 2.1% a year. The grade's future tense reads 4.8 of 10. 312

How the company operates

Service and Other accounted for 82% of revenue and Product for 18% in fiscal 2025. Verizon Consumer Group generated $106.81 billion and Verizon Business Group $29.07 billion in fiscal 2025. Both product lines grew against the year before. 241

New moves

On 2026-10-20, Verizon filed a Form S-4 merger or exchange registration, marking a merger or exchange offer registered. On 2026-09-29, an officer or director change was reported on Form 8-K. On 2026-10-10, SpaceX agreed to buy Grain Management's nationwide 800 MHz licences for satellite airwaves; Verizon is adjacent to this event as competitors in the sector face potential disruption from SpaceX's Starlink phone plans. On 2026-10-18, CoinDesk reported that Verizon objected to the SEC's tokenized stock framework as Broadcom and Verizon raised issuer concerns about an OKX-ICE listing. On 2026-10-09, CNBC top news reported Verizon stock headed for its worst day since 2002 as SpaceX's U. S. network plans pressured telecoms, and MarketWatch top stories reported SpaceX's Starlink Mobile plans pressuring AT&T, Verizon and T-Mobile shares. 356