Verizon has reported operating revenue of $32.9 billion (+4 percent) and net income of $5.4 billion (+25.4 percent) during the first quarter of 2021.
Verizon said its financial performance reflects its success in the 5G business. Verizon did not reveal its 5G subscriber base or ARPU from 5G mobile business.
Verizon Communications lost 178,000 wireless phone subscribers in the first quarter as it battled intense competition from T-Mobile US and AT&T to attract customers.
Verizon’s capital expenditures were $4.5 billion, including approximately $40 million of C-Band related items. Capital expenditures support the growth in traffic on the 4G LTE network and the expansion of the 5G Ultra Wideband and nationwide networks.
Verizon said capital spending will be in the range of $17.5 billion to $18.5 billion, including the further expansion of 5G mmWave in new and existing markets, the densification of the 4G LTE wireless network to manage future traffic demands and the deployment of the fiber infrastructure.
Verizon Network Leadership
# C-Band auction more than doubled existing mid-band spectrum holdings nationwide
# C-Band equipment deliveries are underway and deployment has begun
# Tower agreements with Crown Castle and SBA will accelerate installation of C-Band equipment
# On track to deliver 2021 mmWave cell site guidance
# 5G available in over 2,700 markets
# 5G Home Internet expansion, now available in 30 markets
# 5G Business Internet is currently available in 23 markets
Expenditures related to the deployment of the company’s C-Band 5G network will be in addition to this amount, and are expected to be approximately $10 billion over three years, with $2 billion to $3 billion expected in 2021, Verizon said.
Verizon today said achieved its goal of $10 billion in cumulative cash savings at the end of first-quarter 2021, ahead of its target. Verizon will continue to create additional savings opportunities going forward through ongoing cost efficiency activities.
Verizon Chairman and CEO Hans Vestberg said: “This year began with a transformative milestone for our company with our success in the recent C-Band spectrum auction. We continue to strengthen our networks, execute on our Network-as-a-Service strategy.”
Verizon paid approximately $45 billion for the FCC for spectrum won at the recently completed C-Band auction. The company raised $12 billion in fourth-quarter 2020, and more than $31 billion in March 2021 to finance this purchase.
Verizon said its unsecured debt balance increased by $42.9 billion to $147.6 billion in first-quarter 2021, and the company’s net unsecured debt increased by $39.7 billion year over year to $137.4 billion.