Verizon 2006 quarter 1 results up slightly

[Barry]

Verizon reported strong financial and operational results for the first quarter 2006. Verizon Wireless continued to lead the industry in profitable growth and customer loyalty, and Verizon's wireline business sustained industry-leading levels of broadband customer growth and, after the completion of the MCI merger, greatly expanded its global presence in business and government markets.

For the first quarter 2006, Verizon reported earnings of $1.6 billion, or 56 cents per diluted share, compared with $1.8 billion, or 63 cents per share, in the first quarter 2005. Reported earnings in the first quarter 2006 reflect 4 cents per share in special items for employee relocations and merger integration costs, the early extinguishment of debt, and the cumulative effect of an accounting change. Before these special items (non-GAAP), Verizon's earnings were 60 cents per share in the first quarter 2006.

Consolidated operating revenues in the first quarter 2006 were $22.7 billion, a 25.1 percent increase compared with the first quarter 2005; consolidated total operating expenses were $18.9 billion, a 27.6 percent increase compared with the first quarter 2005; and consolidated operating income was $3.9 billion, a 14.0 percent increase compared with the first quarter 2005. Reported results include MCI subsequent to the close of the merger on Jan. 6, 2006.

Verizon Wireless added 1.7 million net new customers in the first quarter 2006, for a total of 53.0 million customers nationwide, representing a 16.7 percent increase from the first quarter last year. At the end of the first quarter 2006, the company was the fastest growing in the industry in terms of customers, adding a net of 7.6 million new customers in the past 12 months.

Verizon Wireless continued to set new records for the company and the industry for low customer churn, a key measure of customer loyalty. For the first quarter 2006, total churn was a record-low 1.18 percent, and churn among the company's retail postpaid customers was 0.92 percent, another record.

_________________
Start Posting for Cool Prizes!