Telecom Lead America: Verizon Communications’ Q4 2012 revenue has increased 5.7 percent to $30.05 billion.
Verizon Communications posted a $1.93 billion Q4 loss on pension liabilities and superstorm Sandy-related charges.
For full-year 2012, Verizon’s revenues reached $115.8 billion, up 4.5 percent as compared with 2011.
In fourth-quarter 2012, Verizon saw year-over-year revenue increases across all strategic growth areas: 8.5 percent for Verizon Wireless service revenues, 15.7 percent for FiOS revenues and 5.3 percent for strategic enterprise services.
Its wireless service revenue grew 8.5 percent year-over-year in 4Q 2012. Growth in retail service revenues was 8.4 percent.
The wireless major added 2.2 million connections.
Verizon’s 4G LTE service is available to more than 273 million people in 476 markets across the U.S.
Verizon Communications posted $1.93 billion quarterly loss on pension liabilities and superstorm Sandy-related charges.
“Verizon seized growth opportunities in the fourth quarter to cap a year of solid progress across the entire business,” said Lowell McAdam, Verizon chairman and CEO. “We delivered a total return of 13.2 percent to shareholders in 2012, and we enter 2013 ready to accelerate the momentum we’ve achieved and create significant shareholder value in the years to come.”
Capital expenditures (Capex) were $16.2 billion in 2012, including $135 million in companywide capital related to Superstorm Sandy recovery efforts, and totaled about $70 million less than in 2011.
Wireless Business
Verizon’s income from wireless business touched $20.0 billion in fourth-quarter 2012, up 9.5 percent year over year. Service revenues in the quarter totaled $16.4 billion, up 8.5 percent year over year. Retail service revenues grew 8.4 percent year over year, to $15.8 billion.
For full-year 2012, total revenues were $75.9 billion, up 8.1 percent over full-year 2011, and service revenues were $63.7 billion in 2012, up 7.7 percent year over year.
Retail postpaid ARPA (average revenue per account) grew 6.6 percent over fourth-quarter 2011, to $146.80 per month.
Verizon Wireless added 2.2 million net retail connections in the fourth quarter, including a record-high 2.1 million retail postpaid net connections.
Verizon Wireless had 35.1 million retail postpaid accounts in the fourth quarter, a 1.4 percent increase over the fourth quarter 2011, and an average of 2.6 connections per account, up 4.3 percent year over year.
At year-end 2012, smartphones accounted for more than 58 percent of the Verizon Wireless retail postpaid customer phone base, up from 53 percent at the end of third-quarter 2012.
Retail postpaid churn was 0.95 percent in the fourth quarter and retail churn was 1.24 percent, both up 1 basis point year over year.
Wireline Business
In Fourth-quarter 2012 operating revenues of Verizon’s wireline business were $10.0 billion, down 1.5 percent compared with fourth-quarter 2011. Consumer revenues grew 4.1 percent compared with fourth-quarter 2011.
Consumer ARPU for wireline services increased to $105.63 in fourth-quarter 2012, up 9.5 percent compared with fourth-quarter 2011.
ARPU for FiOS customers continues to be more than $150. FiOS services produced about 68 percent of consumer wireline revenues in fourth-quarter 2012. About two-thirds of FiOS consumer customers have purchased a “triple play” of phone, Internet and video services.
Global Enterprise Business
Global enterprise revenues reached $3.8 billion in the quarter, down 2.1 percent compared with fourth-quarter 2011. Sales of strategic services increased 5.3 percent compared with fourth-quarter 2011 and represented 54 percent of global enterprise revenues.
