Verizon's 4Q Earnings: What to Expect and Key Metrics to Watch

Verizon Communications Inc. (NYSE: VZ) is set to report its fourth-quarter 2024 earnings on Friday, January 24, 2025. The company will present its results on a webcast beginning at 8:30 a.m. Eastern Time. As investors await the earnings release, it's essential to consider the key metrics and trends that could impact Verizon's performance.



Analysts' expectations for Verizon's fourth-quarter earnings and revenue have been revised in recent weeks. The consensus EPS estimate for the quarter has been revised down by 0.2% over the last 30 days to $1.07 per share, indicating a year-over-year decline of 10.1%. Revenue estimates have been revised down by 1.2% to $34.82 billion, indicating a year-over-year decline of 1.2%. These revisions suggest that analysts have become less confident in Verizon's earnings and revenue performance for the quarter.



Despite the downward revisions, Verizon's stock price has outperformed the broader market and its peers in the telecommunications sector over the past month. Shares of Verizon have returned +4.2% versus the Zacks S&P 500 composite's +0.6% change. This positive performance can be attributed to Verizon's strong earnings report and positive outlook for the coming year.

As investors await Verizon's earnings report, they should focus on several key metrics that analysts are projecting for the quarter. These metrics include:

1. Operating revenues - Consumer: Analysts predict this metric to reach $26.45 billion, indicating a change of -1.2% from the prior-year quarter.
2. Operating revenues - Business: The estimate points to $7.82 billion, suggesting a change of -1% from the year-ago quarter.
3. Operating revenues - Consumer - Service: The average prediction is $19.09 billion, indicating a change of +3.5% from the prior-year quarter.
4. Operating revenues - Consumer - Wireless equipment: The estimate is $5.85 billion, suggesting a change of -10.4% year over year.
5. Business - Wireless - Net subscribers additions - Retail postpaid phones: Analysts expect this metric to reach 138.52 thousand, in contrast to the year-ago figure of 176 thousand.
6. Consumer - Fios video connections: The estimate is 2,948.19 thousand, compared to the year-ago figure of 3,234 thousand.
7. Consumer - Fios Internet connections: The collective assessment points to an estimated 6,960.14 thousand, in contrast to the year-ago figure of 6,740 thousand.
8. Consumer - Wireless total retail connections: The estimate is 114,870.90 thousand, compared to the company-reported 114,520 thousand in the same quarter of the previous year.
9. Consumer - Wireless retail postpaid Connection: The estimate is 93,155.35 thousand, in contrast to the year-ago figure of 91,856 thousand.
10. Consumer - Wireless retail prepaid connections: The estimate is 21,715.55 thousand, compared to the company-reported 22,664 thousand in the same quarter last year.
11. Consumer - Wireless Retail postpaid ARPA: The estimate is $133.10, in contrast to the year-ago figure of $128.02.
12. Business - Wireless - Net subscribers additions - Retail postpaid: The estimate is 390.67 thousand, compared to the company-reported 455 thousand in the same quarter last year.

Investors should pay close attention to these key metrics, as they can provide valuable insights into Verizon's performance and potential future trends. Additionally, investors should consider the broader market conditions and Verizon's competitive landscape when evaluating the company's earnings report.

In conclusion, Verizon's fourth-quarter earnings report is an essential event for investors, as it can provide valuable insights into the company's performance and potential future trends. By focusing on the key metrics and trends discussed in this article, investors can make more informed decisions about their investments in Verizon Communications Inc.