Verizon Communications today revealed that the telecom network operator has slashed its Capex (capital expenditure) during the third quarter of 2016.
Wireless Capex of Verizon fell 5.1 percent to $2,771 million, while wireline Capex of Verizon dipped 13.8 percent to $1,036 million in Q3 2016.
Verizon also said consolidated capital spending for 2016 will be at the low end of the range of $17.2 billion to $17.7 billion in 2016.
Verizon Communications said its operating revenues in third-quarter fell 6.7 percent to $30.9 billion.
Excluding third-quarter 2015 revenues from since-divested local landline businesses, operating revenues would have declined 2.9 percent, said Verizon.
Verizon’s operating income was $6.5 billion, and operating income margin was 21.1 percent. EBITDA totaled $10.5 billion, and the consolidated EBITDA margin was 33.9 percent.
Verizon IoT revenue
Verizon’s IoT revenues, led by telematics, increased 24 percent to $217 million. In August, Verizon signed a deal to acquire Fleetmatics, a provider of fleet and mobile workforce management solutions. In September, Verizon acquired Sensity Systems, adding to Verizon’s suite of smart city solutions.
Verizon’s 4G network
Verizon launched LTE Advanced in more than 460 markets. The company is advancing its software-defined network (SDN) architecture, building a next-generation fiber network in Boston and aggressively densifying its wireless network. Verizon aims to be the first company to launch a 5G fixed wireless broadband solution in the United States.
Verizon had 113.7 million wireless retail connections (+2.6 percent). Verizon generated $22.1 billion revenues (–3.9 percent) from wireless business.
Verizon had wireline revenue of $7.8 billion (–2.3 percent). Verizon’s Fios services revenue grew 4.4 percent to $2.8 billion. Verizon added a net of 90,000 Fios Internet connections and 36,000 Fios Video connections.
Approximately 16 percent of the company’s Fios Internet base has opted for speeds of 100 megabits per second or higher, compared with 11 percent in second-quarter 2016. Customer demand for Custom TV remains strong and is consistent with prior quarters.
Baburajan K
[email protected]
