Verizon said its capital expenditures (Capex) in first-half 2022 were $10.5 billion, including C-Band spending of $2.8 billion.
The Capex of Verizon was $8.71 billion in the first half of 2021 indicating that the market leader tried to spend in building 5G network across the United States.
Capital spending, excluding C-Band, will be in the range of $16.5 billion to $17.5 billion for 2022, says Verizon. Additional expenditures related to the deployment of the company’s C-Band 5G network are expected to be in the range of $5 billion to $6 billion, Verizon said.
Verizon Network and Market Leadership
• Customers are adopting 5G at a rapid rate, with 47 percent of the Consumer postpaid phone customer base now on 5G
• More than 135M POPs now covered by 5G Ultra Wideband on C-Band spectrum; at least 175M POPs expected to be covered by year-end 2022
• C-Band usage up 233 percent Q-o-Q
• Deploying 5G Ultra Wideband on 100 MHz of C-Band (up from 60 MHz) in many markets several months ahead of schedule
• Expanded Fios availability to an additional 150,000 homes in 2Q; on track to achieve 550,000 incremental homes open for sale in 2022
Verizon Consumer reported 215,000 postpaid phone net losses, due to an increase in churn and a drop in phone gross additions. Consumer ended second-quarter 2022 with nearly half of its wireless phone customers having 5G-capable devices, Verizon said.
Verizon reported total revenue of $33.8 billion in Q2, relatively flat from second-quarter 2021 and net income of $5.3 billion, a decrease of 10.7 percent from second-quarter 2021, and adjusted EBITDA of $11.9 billion, down 2.6 percent year over year.
Verizon Consumer revenue was $25.6 billion (+9.1 percent), while Business revenue was $7.6 billion (–1.8 percent). Verizon Wireless service revenue was $18.4 billion (+9.1 percent) showing that its investment in 5G network has started generating returns to its topline. Verizon said wireless retail postpaid ARPA has increased by 2.4 percent to $124.16 for the April-June quarter.
Verizon said broadband net additions were 268,000, including 256,000 fixed wireless net additions. Total broadband net additions increased 39,000 from first-quarter 2022, and fixed wireless net additions increased 62,000 from first-quarter 2022.
Verizon’s wireless service revenue rose 9.1 percent to $18.4 billion despite retail postpaid churn of 1.03 percent, and retail postpaid phone churn of 0.81 percent.
“We are determined to improve our operational and financial performance for the second half of the year,” said Verizon Chairman and CEO Hans Vestberg. “With our network-as-a-service foundation, our new consumer mobility plans, and recent pricing actions, we are being deliberate in our decisions to improve our profitable growth opportunities.”
