The number one U.S. wireless carrier just posted its quarterly results on Thursday and Wall Street was thrilled with the results. Shares rallied 3.6% in pre market trading.
The company revealed that it added 614,000 subscribers who pay a monthly bill, including tablet customers. Although this was 1,000 less than the year ago quarter, it was higher than the 115,000 that JPMorgan expected and higher than the consensus estimates of 70,000.
Verizon also added 358,000 phone only subscribers while in the same period last year, the number was 86,000 net additions.
According to analyst Jonathan Chaplin of New Street Research, the subscriber numbers for Verizon in the quarter were “very strong.” However, Chaplin also is cautious and noted, “we remain cautious on Verizon equity given what we regard as unsustainable margins and returns in a competitive market.”
For the quarter, Verizon also reported net income of $4.36 billion or $1.07 per share. Earnings were 96 cents per share, excluding items. This was in line with the 96 cents that the Street expected. Revenue was $30.55 billion, which came in ahead of the $29.91 billion expected.
Disclaimer: We have no position in Verizon Communications Inc. (NYSE: VZ) and have not been compensated for this article.