Why did Verizon's operating profit plummet in Q4 2023?

Verizon's operating profit did not actually plummet in Q4 2023. On the contrary, the company's operating income for the quarter was $5.78 billion.

1. **Strategic Planning Review Impact**: Verizon disclosed a $5.8 billion goodwill write-down of its Business Group unit in Q4 2023, following a five-year strategic planning review of this unit. This move was influenced by declining secular trends, competitive pressures, and challenging macroeconomic conditions within the unit.
2. **Financial Projections Adjustment**: The goodwill write-down was a result of the company lowering its financial projections after the strategic review. This adjustment reflected the impact of secular declines and competitive pressures on the Business Group's revenue, which had shown a 3% year-over-year decline in the first nine months of 2023 due to lower demand for services by both small and large businesses.

In summary, Verizon's operating profit was affected by a strategic decision to write-down goodwill from its Business Group unit, reflecting broader industry challenges and the need for strategic adjustments. This does not imply a decline in operating income, which remained substantial at $5.78 billion for the quarter.