14 DAY TRIAL // On Friday, mobile phone carrier Verizon Wireless announced its financial results for the second quarter of the ongoing year, and posted impressive increase in the wireless area.
The carrier announced service revenues up by 6.6 percent year-over-year during the three months period, and also posted data revenues up 22.2 percent for the time frame.
Moreover, the wireless carrier announced that they registered an operating income margin of 27.1 percent, along with Segment EBITDA margin on service revenues (non-GAAP) of 45.4 percent.
During the second quarter of the ongoing year, the wireless carrier added a number of 2.2 million customers, excluding acquisitions and adjustments. The net additions included 1.3 million retail postpaid net customer additions.
“Verizon Wireless delivered strong growth in revenues, retail customers and other connections, driven by increased smartphone penetration and increased retail postpaid ARPU (average monthly service revenue per user),” the company announced.
The wireless carrier ended the time frame with a number of 106.3 million total customers, 89.7 million of which were retail customers.
During the second quarter of 2011, Verizon Wireless registered retail postpaid churn of 0.89 percent, which was the lowest in the last three years.
The carrier ended the quarter with 36 percent of retail postpaid customer phone base using smartphones, an increase compared to the 32 percent registered during the previous quarter.
Verizon Wireless also expanded the 4G LTE service coverage. 102 markets across the country can benefit from the enhanced connectivity now, and should reach more than 175 markets across the country before the end of the year.
“In terms of earnings growth and the acceleration of revenue growth, this has been one of Verizon’s best quarters since the 2008 economic downturn,” said Chairman and CEO, Ivan Seidenberg.
“We expanded sequential margins in both our wireline and wireless businesses, and in the second half of the year we expect Verizon to build on this strong, positive momentum to continue to drive profitable, sustainable growth.”
Verizon posted total operating revenues of $27.5 billion for Q2 2011, marking an increase of 2.8 percent when compared to the same time frame a year ago.
The company also announced that its non-GAAP second-quarter 2011 total operating revenues went up by 6.3 percent since a year ago, and that this was the strongest quarter for consolidated revenue growth in 10 quarters.