Verizon Communications today released its second quarter earnings report. The U.S. telecom company managed to meet Wall Street's expectations, posting a $0.73 earnings per share - a 14% increase over the second quarter of 2012. The earnings came on revenues of $29.8 billion, a 4.3% increase over the second quarter of 2012.
Of particular not is Verizon's continued subscriber increases. During the second quarter of 2013, the company added 1 million mobile subscribers, with 64% of their total contract subscribers now using smartphones - a 3% increase just from the first quarter of 2013. Verizon is expected to roll out new pricing and upgrade plans later this fall, which could fuel even more subscriber growth.
"Verizon’s consistent strategic investments in wireless, FiOS and global networks drove strong financial performance in the first half of 2013," said Lowell McAdam, CEO of Verizon. "Having posted double-digit earnings growth in five of the last six quarters, we are focused on continuing to provide the best portfolio of products on the most reliable networks; capturing incremental revenue growth in broadband, video and cloud services; and sustaining our earnings and cash-flow momentum."
In light of these most recent results, Verizon has increased its spending guidance from $16.2 billion to "between $16.4 billion and $16.6 billion for all of 2013. The company stated that it expects higher demand for wireless data, and that it will begin rolling out its advanced wireless services (AWS) spectrum during the second half of the year.