Verizon (VZ) Q1 2026 earnings summary

Executive summary

• Achieved 2.9% total revenue growth to $34.4B in Q1 2026, with record adjusted EBITDA of $13.4B (up 6.7%) and adjusted EPS of $1.28 (up 7.6%), and first positive Q1 postpaid phone net adds since 2013, improving by over 340,000 year-over-year to 55,000.

• Transformation program and integration of Frontier Communications are driving improved customer retention, lower churn, reduced costs, and $1B+ in run rate operating cost synergies by 2028.

• Raised 2026 guidance for adjusted EPS growth to 5%-6% ($4.95-$4.99) and postpaid phone net adds to the upper half of the 750,000-1M range.

• Frontier and Starry acquisitions are accelerating broadband and converged offerings, with Frontier results included from January 20, 2026.

• Launched a 10-stream transformation program focused on AI, customer experience, and efficiency.

Financial highlights

• Total operating revenue rose 2.9% year-over-year to $34.4B; consolidated net income increased 3.3% to $5.1B.

• Adjusted EPS was $1.28, up 7.6% year-over-year; diluted EPS increased 4.3% to $1.20.

• Free cash flow reached $3.8B, up 4% year-over-year; cash flow from operations was $8.0B, up 2.6%.

• Consolidated adjusted EBITDA was $13.4B, up 6.7% year-over-year, with a margin of 38.9%.

• Capital expenditures were $4.2B for the quarter, on track for $16B-$16.5B full-year guidance.

Outlook and guidance

• Raised adjusted EPS growth guidance to 5%-6% for 2026 ($4.95-$4.99).

• Postpaid phone net adds expected in the upper half of the 750,000-1M range.

• Mobility and broadband service revenue growth guided at 2%-3% for the year (~$93B), with Q1 as the low point.

• Free cash flow guidance maintained at approximately 7% or more growth, targeting $21.5B+ for the year.

• Capital expenditures projected at $16.0B-$16.5B.