What caused VZ's Q2 2024 earnings miss?

Verizon's Q2 2024 earnings miss was not caused by revenue-related issues, but rather by higher operating expenses and interest costs. Here's a detailed analysis:

1. **Revenue Performance**: Verizon's total operating revenue for Q2 2024, was $32.8 billion. This represents a slight increase from the previous year, indicating that the revenue miss was not due to a decline in sales.

2. **Expense Factors**: The company's earnings per share (EPS) for the quarter was $1.09. This represents a decrease from the previous year, primarily due to higher operating expenses and interest costs. This suggests that the cost side of Verizon's operations was the main driver behind the earnings miss.
3. **Operating Expenses and Interest Costs**: The increase in operating expenses and interest costs led to a decrease in net income from $5.018 billion to $4.722 billion year-over-year. This indicates that if not for these additional costs, Verizon's earnings would have been in line with expectations.
4. **Strategic Initiatives**: Verizon's strategic initiatives, such as investing in new network architecture and technologies, and the deployment of new 4G and 5G networks, could have contributed to the higher operating expenses. These investments are crucial for maintaining a competitive edge in the telecommunications sector but can impact short-term profitability.

In conclusion, Verizon's Q2 2024 earnings miss was primarily caused by higher operating expenses and interest costs, despite the company's revenue remaining stable. These increased costs led to a decrease in net income, resulting in an earnings miss.