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Verizon Communications posted net income of US$4.3 billion in the first quarter of 2008, up 14.1 percent from a year earlier, driven by customer demand for its mobile voice and fiber-based Internet and television services.
Verizon on Monday reported revenue of $23.8 billion, up 5.5 percent from the first quarter of 2007. Earnings per share were $0.57, or $0.61 not including one-time charges. That met expectations of analysts polled by Thomson Financial.
"Results for the first quarter were strong and demonstrate we weathered the economic uncertainty," Doreen Tobin, Verizon's chief financial officer, said during a conference call. "We have built positive momentum in all key growth areas."
The company trumpeted the performance of mobile telephone and fiber-based Fios products.
Verizon's mobile phone revenue was $11.7 billion, up 13.2 percent from the first quarter of 2007. The company reported 1.5 million net customer additions during the quarter, which ended March 31.
Mobile data revenue was up 48.9 percent over 2007, totalling $2.3 billion, Verizon said in a news release.
Verizon is in position to increase mobile revenue, Tobin said. The company won a nearly nationwide block of wireless spectrum, plus 102 licenses for individual markets around the country, in the recently completed 700MHz auctions at the U.S. Federal Communications Commission. The company increased its wireless spectrum inventory by about 60 percent in the auctions, Tobin said.
Verizon's Fios product line added a net of 263,000 television customers. The company had 1.2 million Fios TV customers at the end of the quarter, and it has added 850,000 Fios TV customers since the end of the first quarter of 2007.
The company added a net of 266,000 broadband connections, with 262,000 of the additions coming from Fios as opposed to the older DSL (Digital Subscriber Line) technology. Verizon now delivers 8.5 million broadband connections, with 1.8 million of them Fios. The number of broadband connections has increased nearly 15 percent over the first quarter of 2007.