Verizon Wireless has recently released its earnings report for the second quarter of this year, and it appears that its decision to launch an unlimited data plan has paid off, allowing the carrier to gain 358,000 net postpaid phone customers. Along the way, the Big Red also managed to surpass expectations set by analysts -- its 358,000 net postpaid phone additions comfortably beats the 75,000 set by Wells Fargo, while the 614,000 total postpaid net adds it posted for the most recent quarter also outperformed the 112,000 also projected by Wells Fargo.
Its results for Q2 2017, in terms of postpaid phone customers, mark a significant improvement as compared to its performance during the first three months of this year, wherein it lost 289,000 postpaid net phone customers. While it did launch its unlimited data plan back in February early this year, the damage may have already been done. Still, Verizon Wireless was expected to lose almost 400,000 customers during Q1 2017 before it debuted its unlimited offering.
Apart from posting an impressive number of postpaid phone user additions, Verizon Wireless also took the opportunity to point out how well its network is handling the increased traffic brought on by those who signed up for its unlimited data plan. As explained by Matt Ellis, the chief financial officer of the company, recent studies conducted by various third party testers indicate that the Big Red continues to perform well, especially in terms of connection speed and overall quality of the network.
Ellis might have referred to the report recently released by RootMetrics. In that report, Verizon Wireless was named as the best carrier overall among the Big Four (which also include AT&T, T-Mobile, and Sprint).
According to its latest quarterly report, Verizon Wireless also recorded total wireless revenue of $21.3 billion (beating analysts’ expectations of $20.8 billion), and registered a wireless service revenue of $15.6 billion. For Q2 2017, the Big Red’s average revenue per account (ARPA) was $134.89, which just fell short of the $135.80 projected by Wells Fargo.
Source: Washington Post