Verizon (VZ) Q2 2026 earnings summary

Executive summary

• Achieved record Q2 2026 results with strong growth in key metrics, robust wireless and broadband customer growth, and raised full-year guidance for the second consecutive quarter.

• Transformation initiatives and operational discipline led to improved customer metrics, lower churn, and higher quality net adds.

• Launched new customer-centric offerings, including loyalty programs, Simplicity wireless plan, and converged plans.

• Announced a joint venture with BT Group for international wireline assets and a $1B+ Google dark fiber deal, with more AI infrastructure contracts expected.

• Generated over 1 million mobility and broadband net additions in the first half of 2026, more than double the prior year.

Financial highlights

• Mobility and broadband service revenue grew 2.8% year-over-year to $23.4B in Q2 2026.

• Adjusted EBITDA rose 7.2% year-over-year to $13.7B, a record level with a 40.1% margin.

• Adjusted EPS increased 6.6% year-over-year to $1.30; full-year adjusted EPS guidance raised to 6%-7% growth.

• Free cash flow for Q2 was $6.4B, up 24.4% year-over-year; first-half free cash flow was $10.2B, up 16.0%.

• Total Q2 revenue was $34.3B, down 0.7% year-over-year, mainly due to a 20% drop in equipment revenue.

Outlook and guidance

• Mobility and broadband service revenue growth for 2026 expected at 2.5%-3%, accelerating to ~4% in Q4.

• Adjusted EPS guidance for 2026 raised to $4.99–$5.04, representing 6%-7% year-over-year growth.

• Free cash flow guidance raised to $21.5B or more, representing 9%-10% growth.

• Retail postpaid phone net additions expected in the upper half of 750,000–1.0 million range.

• AI infrastructure revenue to begin contributing in 2027, providing a new growth vector.