Vladimír Urbánek (Kurzy.cz)
World markets  |  October 18, 2012 15:01:33

Verizon profitability in Q3 grew thanks to the use of smart phones

Profitability of U.S. Verizon, which is the second largest U.S. telecommunications companies in Q3 of this year rose to 50% compared to 49% achieved in 2Q12. Market while counting with a slight decrease to 48.5%. This improvement is mainly under management growth in client spending due to an increased rate of use of smart phones and the associated increase in the data transfer and income from this segment.

Verizon 3Q gained 1.54 million new customers, which significantly exceeded market expectations set at an average of only 901 to 000th More smartphones means more data transfer thanks to downloaded music and movies, which showed growth above the average monthly cost of an average customer by 6.5% to $ 145.4. More revenue wireless division to overcome the slump in sales of fixed lines.

Verizon 3Q reported gross profit excluding some items of less than 20% to 64 cents per share. Net profit grew by 16% to 1,59 mld.USD. Total revenues in Q3 grew by 3.9% to 29 mld.USD. Presented results were largely in line with expectations.
Revenue Division landlines declined by 2.3% to 9.9 mld.USD.
Capital expenditure 9M this year declined by about 9% to 11.3 mld.USD. At the end of the year should be slightly below last year's final level amounting to 16.2 mld.USD.

Verizon 3Q sold a total of 6.8 million smartphones, which raised the ratio of the total to 53% compared to 39% in 3Q11.
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