Verizon just released its fiscal Q2 2012 earnings, and they’re about as solid as many have come to expect from the telecom company. It reported diluted earnings of $0.64 per share (that’s up 12.3% year-over-year) on revenues of $28.6 billion (up 3.7% year-over-year). Verizon’s operating income also jumped considerably over last year: $5.7 billion, up from $4.9 billion in Q2 2011.
As it turns out, analyst expectations were almost right on the money — the consensus as reported by Bloomberg was for earnings of $0.64 per share on revenues of $28.5 billion.
Verizon pegs a considerable chunk of that success on the performance of its wireless business, which among other things added a net total of 1.2 million customers to their already considerable subscriber base, with 888,000 of them locking into contracts with the carrier.The company’s wireless division also pulled in some hefty data revenues over the past three months — $6.9 billion to be precise, an 18.5% jump over their Q2 2011 figures.
We’ll soon see how those figures change now that Verizon has decided to only offer their shared data plans to their new customers, but it’s hard to see them going anywhere but up. The company also reported that 50% of their postpaid customer phone base are now using smartphones (compared to 47% last quarter), and with the holiday shopping season on the horizon, Verizon Wireless is poised to make a killing.
Of course, Verizon does much more than sling and support cell phones. The company’s wireline division only managed to pull in $9.9 billion in revenues during the past quarter, down from the $10.2 billion Verizon reported in the year-ago quarter. That said, consumer revenues were up 2.5% over last quarter, and the average revenue generated from the company’s FIOS customers swelled to $149/customer this quarter. Not too shabby, considering Verizon picked up “134,000 net new FiOS Internet connections and 120,000 net new FiOS Video connections” in Q2.