Verizon Reports Q4 2024 Results: Sales Beat Estimates
Key Highlights:
* Revenue: $35.7 billion, up 1.6% YoY, exceeding analyst estimates by 1%
* Non-GAAP EPS: $1.10, in line with analyst expectations
* Adjusted EBITDA: $11.93 billion, slightly below analyst estimates by 1%
* Free Cash Flow Margin: 15%, an improvement from 11.6% in Q4 2023
Company Overview:
Verizon (NYSE: VZ) is a telecommunications giant offering wireless, cable, and satellite services. With a vast infrastructure and strong customer base, the company faces challenges from shifting consumer habits.
Sales Growth:
Verizon's revenue growth has been modest in recent years, trailing industry peers. However, analysts predict 2% revenue growth over the next 12 months.
Free Cash Flow:
Verizon's impressive cash profitability provides it with flexibility for reinvestment or shareholder returns. The company's free cash flow margin has averaged 14.3% over the last two years, exceeding the sector average.
Q4 2024 Results Analysis:
Overall, Verizon's Q4 results were largely in line with expectations. Revenue beat estimates, while EBITDA fell slightly short. The market remained neutral on the stock's performance.
Investment Implications:
This single quarter's results do not provide a comprehensive view of Verizon's long-term prospects. Investors seeking further insight should consider the company's overall business quality and valuation in conjunction with these earnings.