Verizon (VZ) Stock Surges as Premium Plans Fuel Stellar Q2 Earnings & Raised Forecasts

Verizon just flexed its telecom muscle—and Wall Street's eating it up.

Premium subscribers = profit rocket fuel

The carrier's high-margin plans didn't just beat expectations—they smashed through like a 5G signal through wet tissue paper. Now management's hiking guidance while rivals scramble to keep up.

Show me the money (literally)

Upgraded forecasts suggest the cash cow's still got legs—though let's see how long until the next 'network improvement fee' magically appears on your bill.

One thing's clear: in the zero-sum game of telecom, Verizon's decided your wallet belongs to them.

TLDR

• Q2 adjusted EPS of $1.22 beat analyst consensus of $1.18
• Revenue grew 5.2% YoY to $34.5 billion, topping forecasts
• Net income reached $5.1 billion; consumer revenue rose 6.9%
• Wireless and broadband drove growth, despite mixed postpaid metrics
• Verizon raised 2025 free cash flow and EPS guidance

Verizon Communications Inc. (NYSE: VZ) stock was trading at $42.25, up 3.45% as of writing, after the company reported stronger-than-expected Q2 earnings for the quarter ended June 30, 2025.

Verizon Communications Inc. (VZ)

Adjusted earnings per share (EPS) came in at $1.22, exceeding the analyst estimate of $1.18 and last year’s $1.15. Revenue ROSE 5.2% year-over-year to $34.5 billion, beating the $33.74 billion forecast.

Revenue Drivers and Segment Performance

Wireless service revenue totaled $20.9 billion, up 2.2% year-over-year, supported by streaming add-ons such as Netflix. Verizon Consumer revenue rose 6.9% to $26.6 billion, while Verizon Business revenue declined slightly by 0.3% to $7.3 billion. Total broadband net additions hit 293,000, down from 391,000 last year, though the company ended the quarter with 12.9 million broadband customers, up 12.2% year-over-year.

Verizon Communications, $VZ, Q2-25. Results:

📊 Adj. EPS: $1.22 🟢
💰 Revenue: $34.50B 🟢
📈 Net Income: $5.12B
🔎 Wireless equipment revenue surged 25%, driving revenue growth pic.twitter.com/GKSpNs2MEB

— EarningsTime (@Earnings_Time) July 21, 2025

Verizon’s postpaid phone net losses stood at 9,000, short of analysts’ expectations for a 13,000 gain. Verizon Business added 65,000 postpaid connections. Consumer segment net losses were 51,000 compared to 109,000 last year. The company added 50,000 prepaid wireless retail customers, reversing a 12,000 loss from a year ago.

Profit Margins and Cash Flow

Net income rose to $5.1 billion, up from $4.7 billion a year ago. Consumer EBITDA margin declined 200 basis points to 42.1%, while the business segment margin improved by 130 basis points to 22.9%. Company-wide adjusted EBITDA grew to $12.8 billion from $12.3 billion year-over-year. Free cash FLOW fell slightly to $5.2 billion from $5.8 billion.

Verizon attributes this performance to strategic initiatives like its three-year price lock, free phone offers, and AI-enhanced customer support, which improved retention and acquisition metrics.

FY25 Outlook and Analyst Sentiment

Verizon reaffirmed its 2.0%-2.8% wireless service revenue growth outlook for FY25. It narrowed its adjusted EPS forecast from $4.59-$4.73 to $4.64-$4.73, compared to the consensus of $4.68. Free cash Flow is now projected at $19.5 billion to $20.5 billion, up from $17.5 billion-$18.5 billion. Operating cash flow was revised to $37-$39 billion.

Verizon did not include assumptions about its pending acquisition of Frontier Communications (NASDAQ: FYBR) in its guidance. The company is targeting 8–9 million fixed wireless subscribers in the next phase of expansion.

Stock Performance

Verizon shares have declined 5.6% this quarter but are up 2.1% year-to-date. Total returns as of July 21 show a one-year gain of 9.24%, with five-year returns at 2.29% versus the S&P 500’s 94.43%.