Verizon Communications (VZ) reported first-quarter earnings that exceeded Wall Street estimates, despite a decrease from the previous year. The company’s stock price rose as wireless service revenue surpassed expectations. Despite facing a 4% decline in adjusted earnings to $1.15 per share for the quarter ending March 31, Verizon saw an increase in revenue by 0.2% to $33 billion, up from $32.9 billion a year earlier.
Analysts had projected Verizon earnings of $1.12 per share on revenue of $33.2 billion, indicating that the company outperformed expectations. Wireless service revenue was a key driver of growth, climbing 3.3% to $19.5 billion, surpassing estimates of $18.67 billion. Verizon’s ability to increase wireless service revenue was attributed to recent price hikes that were implemented despite the usual seasonal weakness seen in Q1.
Although Verizon lost 68,000 postpaid phone customers during the quarter, it was an improvement from analysts’ expectations of a loss of 92,000 subscribers
