Verizon on Tuesday indicated that its Capex related spending will touch nearly $10 billion in the second half of 2018.
Verizon said its capital expenditure (Capex) for 2018 will be at the lower end of the range of $17 to $17.8 billion, including the launch of 5G.
Verizon’s capital expenditures in the second quarter were $3.3 billion, bringing first-half capital spending to $7.8 billion.
Verizon posted revenues of $32.2 billion (+5.4 percent) with EBITDA of $11 billion with Adjusted EBITDA margin of 36.8 percent, and operating income margin of 20.5 percent in the second quarter of 2018.
Verizon revenue
Wireless — $22.4 billion(+5.5 percent)
Wireline — $7.5 billion (–3.4 percent)
Oath — $1.9 billion
Telematics — $241 million
Adjusted earnings included a charge for product realignment of $658 million, mainly related to the discontinuation of Verizon’s go90 platform and related content, severance charges of $339 million, and acquisition charges of $120 million, primarily pertaining to Oath.
Verizon CEO Lowell McAdam said: “Our financial and operating results for the first half of 2018 were strong, as evidenced by service revenue, earnings and operating cash flow growth delivered in a highly competitive marketplace.”
Verizon added 531,000 retail post-paid connections, including 398,000 post-paid smartphone connections in Q2.
The net addition of 531,000 includes phone additions of 199,000, tablet losses of 37,000 and 369,000 other connected devices additions, primarily wearables. Verizon added 398,000 post-paid smartphone connections to its network.
Verizon said 0.75 percent was the retail post-paid phone churn, the fifth consecutive period of retail post-paid phone churn at 0.80 percent or better.
Verizon added 43,000 Fios Internet connections assisting the telecom operator in achieving 2.3 percent growth in Fios revenue. Verizon lost 37,000 Fios Video connections in second-quarter 2018 amid pressures from cord-cutting of video bundles.
