US telecoms giant Verizon Communications has reported consolidated operating revenues of USD31.984 billion for the first three months of 2015, an increase of 3.8% from USD30.818 billion in the year-ago period. The firm’s wireless operations contributed total turnover of USD22.328 billion, up by 6.9% year-on-year, while total operating revenue from the wireline business fell 2.0% from USD9.662 billion in 1Q14 to USD9.469 billion twelve months later. Consolidated operating income grew 11.2% year-on-year to USD7.960 billion in the first quarter of 2015, driven by ‘continued effective cost management’, while net income for the three-month period totalled USD4.338 billion, a decrease of 27.5% compared to USD5.986 billion in Q1 2014.
Verizon Wireless saw its retail mobile subscriber base grow 5.1% to 108.582 million as of 31 March 2015, including 102.637 million retail post-paid customers, representing a year-on-year rise of 5.5%. Smartphones constituted 79.9% of Verizon Wireless’ post-paid user base at the end of 1Q15, up from 72.3% a year before. The company revealed that 4G devices now constitute around 70% of the retail post-paid base, up from 49% a year ago, with the 4G LTE network handling about 86% of total wireless data traffic in the first quarter of 2015. ‘Verizon is off to a strong start in 2015 with another quarter of profitable growth,’ said the firm’s chairman and CEO Lowell McAdam, adding: ‘We expanded our base of customers seeking a premium experience, and we grew revenues, earnings and cash flow during a quarter in which we also took significant steps to sharpen our strategic focus. We are confident in our ability to maintain momentum and continue to add value for customers and shareholders.’