NEW YORK, July 24, 2026, 10:07 EDT — U.S. markets open.
- Shares gained about 2.4% to $44.86 in early New York trading.
- Postpaid phone additions reached 184,000, versus the 103,900 FactSet consensus.
- Phone upgrades fell 26.5%, while quarterly free cash flow rose 24.4%.
Verizon Communications Inc. NYSE:VZ shares rose 2.4% to $44.86 in early Friday trade. The carrier added 184,000 postpaid phone subscribers and raised its 2026 guidance.
The stronger signal sat below revenue. Verizon produced net phone growth while upgrades fell 26.5% to 3.3 million.
Equipment revenue dropped nearly 20%, reflecting longer device lives and lower subsidy spending. Yet phone additions improved by 193,000 from last year’s 9,000 loss.
That mix points to less subsidy-heavy growth, not simply faster growth. Adjusted EBITDA rose 7.2% to $13.7 billion, while margin widened 300 basis points.
Quarterly free cash flow climbed 24.4% to $6.4 billion. Mobility and broadband service revenue grew just 2.8%.
Total revenue fell 0.7% to $34.3 billion, below the $35.16 billion LSEG consensus. Adjusted earnings of $1.30 a share beat the $1.27 estimate.
The quarter’s operating leverage is visible in Verizon’s reported comparisons.
| Metric | Second quarter 2026 | Comparison |
|---|---|---|
| Postpaid phone net additions | 184,000 | Loss of 9,000 in Q2 2025 |
| Wireless postpaid upgrades | 3.3 million | Down 26.5% year on year |
| Mobility and broadband service revenue | $23.4 billion | Up 2.8% |
| Adjusted EBITDA | $13.7 billion | Up 7.2% |
| Adjusted EBITDA margin | 40.1% | Up 300 basis points |
| Free cash flow | $6.4 billion | Up 24.4% |
| Total revenue | $34.3 billion | Down 0.7% |
Adjusted EBITDA and free cash flow are non-GAAP measures.
AT&T Inc. NYSE:T added 432,000 postpaid phones and posted 0.86% phone churn. Verizon’s phone churn was 0.92%, down five basis points from March.
T-Mobile US Inc. NASDAQ:TMUS added 277,000 postpaid accounts, a broader measure. It expects about 250,000 account additions in the third quarter.
“We are gaining subscribers and earning long-term retention based on real value rather than subsidized promotions,” Chief Executive Dan Schulman said. The quarter offers one data point supporting that claim. Verizon
Verizon lifted adjusted EPS guidance to $4.99-$5.04 from $4.95-$4.99. It now expects free cash flow growth of 9%-10%.
The company also raised its 2026 buyback target to as much as $4.5 billion. Net unsecured debt fell to $128.7 billion from $130.1 billion in March.
Risks remain. Revenue missed consensus, and phone churn still trailed AT&T. Equipment revenue fell sharply, while net unsecured debt stood at $128.7 billion.
Company guidance calls for service growth near 3% in the third quarter. It targets about 4% in the fourth. Holding churn while reaching those rates is the next test.
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