Verizon Wireless's Q1 2014 results see $21 billion in revenue and 539,000 postpaid subscribers

Verizon's first quarter results are in, and mirroring rival AT&T, they saw some rather impressive growth. Verizon as a whole saw $30 billion in revenue, but even with their substantial non-cellular businesses, Verizon Wireless accounted for a whopping $20.9 billion of that income. That's an increase of nearly 7% from this quarter last year, though growth through their retail outlets was slightly lower.

The wireless business has proven profitable for Verizon, with a profit margin of 35%. That too is an increase, up from 32.9% year-over-year. That's $7.3 billion, for those keeping track at home. The jump comes in no small part thanks to Verizon's $130 billion purchase of the remaining 45% share of Verizon Wireless that was held by Vodafone.

Much of that increase revenue and profit comes thanks to the 549,000 new subscribers Verizon Wireless added this year, with 539,000 of those signing up for traditional post-paid contracts. That's not quite as many new customers as AT&T, though Verizon Wireless had both higher revenue and earnings. Verizon ended the quarter with 97.3 million subscribers, 72% of whom were using smartphones.

Source: Verizon Wireless

Derek Kessler

Derek Kessler is Special Projects Manager for Mobile Nations. He's been writing about tech since 2009, has far more phones than is considered humane, still carries a torch for Palm, and got a Tesla because it was the biggest gadget he could find. You can follow him on Twitter at @derekakessler.

  • Damn! That's impressive.
  • And they tell us they can't afford to keep data plan prices lower or allow for unlimited data...I think this clearly shows they CAN afford quite a bit.
  • Cell site capacity is at 80% per RCR Wireless News, with WiFi offloading, 92% would be the total without it. If unlimited data were placed on all networks, my guess is services wouldn't work based on that data. -future of cell phone providers will be small cells, as they run more efficiently. Maybe we'll see what happens then ;)
  • They very well may not be able too. As this is only revenue side we have no idea what there operating cost are, nor do we know what the keep to continue expanding there network. Not that I personally think that they couldn't offer better prices or unlimited plans. Just saying that one cannot make those claims with just the information given.
  • They gave us the profit margin too, so we do know their costs. They are making 35% profit.
  • I totally missed that sentence lol. So question still remains though what the profit is used for, if its just for profit alone not meant to go back into the company in anyway (highly unlikely). Then I would say yeah start pressing for unlimited plans. Not to mention cheaper plans cuz that's a lot of money.
  • Verizon is publicly traded company and the investors main concern is profit. If there were nor any profits being made the company would lose its investors. Same as At&t, T-mobile and even Microsoft
  • While that is true. I stand by the concept of having 2mil customers at 50$ each as opposed to 1mil at 100. I would rather my customers know there not getting bent over and make the same amount by just providing service to more. Obviously Verizon and at&t do not ascribe to that line of business. They go for how much can we charge before people get angry and leave. In my opinion that is lol.
  • The revenue would be the same. The profit would not. There are costs associated with each new customer. You can look up marginal rate of return if you are interested in learning more.
  • I want a 1020 on T Mobile
  • So get one then.
  • So buy one. I have a 1520 on tmo just fine.
  • I am guessing mass exodus of people leaving Sprint for T-Mobile, AT&T and Verizon.
  • That is already happening. Check your local craigslist and see how many phones for sale are locked to Sprint.
  • All I have to say is I love Verizon as my carrier. $160/month for three lines of service with Edge, allowing me to upgrade whenever I want and 10GB of data, unlimited talk and text, and never a dropped data session or voice call like I constantly had on T-Mobile. I will never switch again. :)
  • So you pay 160$ for 3 lines and are happy with it. Boy you have rates in the US. I pay £18 with 1 month contract with unlimited calls and text and 3gb internet. they brain washed you nicely!
  • Edge is shit. 0.2mbps and you're happy?
  • I believe had is taking about the Verizon Edge upgrade program. Correct me if I'm wrong. Posted via Windows Phone Central App
  • Edge isn't referring to the data speed, it's the program that allows you to switch to a new phone more often.
  • not sure if serious or joking....
  • I feel the exact same way about T-Mobile, but pay much less. See, I can give useless personal information too...
  • On at&t I pay $122 for three lines. 10GB data at LTE speeds, unlimited minutes and text. This is the share plan package they have. You still happy?
  • I can't believe there is still such growth for post paid plans. Don't people realize how much they are paying?
  • It's the ease and service that you pay for. It's not only about numbers.
  • I think there's also a stigma about prepaid. There's a thought that your service & phone selection may not be as good. There's also plain loyalty. If your dad has been on Verizon forever and now he's going to get you your own line, you'll probably be on Verizon as well.
  • Loyalty to a company? Kid's got some bad parents.
  • The word "new" should be added to the headline before the approx. half-mil. subscribers are mentioned, in the interests of clarity. :-)
  • Good for them but if this is so good, why are they against net neutrality? This isn't enough earnings?
  • I love Verizon as our carrier. Best signal and amazing customer service. I'll pay extra for great service and treatment.
  • I can't wait to hear what sprint have to say. Probably a whopping lost of x amount of dollars and subscribers
  • I pay $40/month CAN for unlimited phone, text and data on a 4G network with no contract. I paid for my phone outright cause I didn't want a contact.
  • I wonder how much of that revenue they'll actually pay taxes on. Most likely very little if at all
  • I bet its not WP that's growing them, where I live IF Verizon stores displays a WP device, it's a very low-end scuffed-up sorry thing seemingly there turn people off...
  • So T-Mobile horse and pony show isn't even putting a strach in the big two pockets
  • This is the first quarter Verizon's EVER posted a loss in subscriber gains, so tmo is kinda putting the pressure on, yes. May 1 is tmo's earnings call, expect to see 1.3 mil + net subs.
  • Saw Verizon post a deal on Twitter. $160/month for 4 lines and 10GB of data. I asked how I could get in on that when I called them. I pay $240 for 2 smartphones, and basic phone, and 8GB. He said I had to get on the edge plan and get new phones and make the payments so my bill would be about the same as it is now. Makes NO sense. I got mad at the rep. Why can't I pay $160 and not get new phones? Working with AT&T to see what they can do. Really want a lumia 1520. T-Mobile isn't in my area so that's not an option. Posted via the WPC App for Android!