Verizon has posted robust financial and operational results for the second quarter of 2025, with total operating revenue rising 5.2 percent year-over-year to $34.5 billion. Wireless service revenue — a core performance metric — increased 2.2 percent to $20.9 billion, reinforcing Verizon’s leadership in the U.S. wireless market.
Consumer revenue rose 6.9 percent to $26.6 billion, supported by increased wireless service revenue and improved postpaid subscriber additions. Verizon Business revenue totaled $7.3 billion, representing a slight decline of 0.3 percent compared to the same period last year.
Verizon Chairman and CEO Hans Vestberg said: “Our unmatched and award-winning network combined with our financial strength enables us to continually innovate and enhance our products and services, empowering how people live, work and play.”
Driven by sustained customer momentum and operational efficiency, Verizon raised its full-year outlook for adjusted EBITDA, adjusted earnings per share (EPS), and free cash flow. Contributing factors include continued customer growth, recognition for network performance, and the rollout of AI-powered customer service enhancements.
Challenges
Despite reporting strong financial performance in Q2 2025, Verizon continues to face several challenges. Consumer wireless retail postpaid phone losses, though reduced from the prior year, still amounted to 51,000 net losses, indicating ongoing churn issues. Additionally, the Consumer segment’s operating income margin declined to 28.7 percent from 30.5 percent year-over-year, and its EBITDA margin also dropped to 42.1 percent from 44.1 percent, reflecting rising costs or pressure on profitability.
In the Business segment, total revenue slightly declined by 0.3 percent despite gains in operating income and EBITDA, suggesting difficulty in maintaining top-line growth. Verizon also contends with a high debt burden — total unsecured debt rose to $119.4 billion, and the net unsecured debt-to-adjusted EBITDA ratio stood at 2.3 times.
Broadband Growth Accelerates
Verizon continued to build momentum in its broadband segment, reporting 293,000 net broadband additions in Q2 2025. This growth reflects strong demand for both fixed wireless access (FWA) and Fios offerings. The company added 278,000 FWA subscribers in the quarter, bringing its total FWA customer base to over 5.1 million. Verizon remains on track to reach 8 to 9 million FWA subscribers by 2028.
Total broadband connections climbed to over 12.9 million, marking a 12.2 percent year-over-year increase. Verizon also aims to expand its Fios footprint with a target of 650,000 new passings in 2025, aligning with its strategy to offer greater internet access flexibility and choice.
Across mobility and broadband, Verizon added more than 300,000 net subscribers during the quarter. Verizon Business added 65,000 postpaid net subscribers, including 42,000 phone users. In the Consumer segment, the company reported a net loss of 51,000 wireless retail postpaid phone subscribers — an improvement from the 109,000 losses recorded a year earlier — and added 50,000 core prepaid subscribers, compared to a loss of 12,000 in Q2-2024.
Disciplined Capital Investment
Verizon reported capital expenditures (including capitalized software) of $7.953 billion for the first half of 2025, down slightly from $8.071 billion in the same period last year. For the full year, Verizon expects to invest between $17.5 billion and $18.5 billion in capital expenditures.
These investments will support the continued expansion of Verizon’s 5G infrastructure, FWA deployments, and Fios fiber network. The capital allocation strategy underscores Verizon’s focus on maintaining network leadership and delivering reliable, high-performance connectivity services. The company also reaffirmed its commitment to disciplined investment and free cash flow optimization, with projections of free cash flow reaching between $19.5 billion and $20.5 billion in 2025.
Baburajan Kizhakedath