Archive: April, 2009
Verizon Reveals 1Q Earnings
Today, New York City-based Verizon Communications revealed its first quarter earnings. Despite the nation’s weak economic status, Verizon’s earnings and revenue increased during 2009’s first quarter (1Q), producing an impressive cash flow. FiOS, wireless, and strategic business services experienced high sales in the first quarter.
Up 1.8% from 57 cents per share to 58 cents per share, Verizon announced an increased earnings per share (EPS) for 1Q 2009. Up 3.3% from 61 cents per share to 63 cents per share, 2009’s first quarter earnings grew as well.
Compared with 2008’s 1Q results, Verizon’s complete operating revenues increased 11.6% to $26.6 billion. Much of the growth can be attributed to the company’s acquisition of Alltel Corporation. Revenue increased 3.3%, based on a pro forma basis.
Up 19%, or $1 billion, cash flows from operations reached $6.4 billion for the first quarter of 2009. Up $1.5 billion, free cash flow totaled $2.7 billion, with capital expenditures reaching $3.7 billion during 1Q 2009.
"Our business groups executed with excellence in the first quarter," said Verizon Chairman and CEO Ivan Seidenberg. "Our operational and financial discipline produced continued revenue and earnings growth, as well as an expansion of our already strong operating cash flows. A highlight of the quarter was our successful completion of the Alltel acquisition. We quickly began integration efforts, and we are aggressively pursuing synergies."
In regards to Verizon’s FiOS TV service, during the first quarter:
- Verizon increased its FiOS TV customer base by 299,000 new subscribers. That’s an 83.8% increase, compared to 1Q 2008.
- Verizon expanded its sales penetration of FiOS TV from 18.7% to 22.9% of potential subscribers.
- Verizon increased its FiOS Internet subscriber base by 298,000 new customers. That’s a 55.5% increase, compared to 1Q 2008.
- Verizon expanded its sales penetration of FiOS Internet from 23% to 26.8% of potential subscribers.
Verizon Extends Remote DVR Control
New York City-based Verizon Communications announced plans to extend its free remote-management service to a larger network of wireless devices. In addition, Verizon will provide all FiOS television DVR subscribers with an Internet-based remote DVR management service.
With the addition of these services, Verizon FiOS TV customers with active lifestyles will be able to manage DVR recordings remotely. According to Verizon officials, subscribers will be able to “remotely review, change or add recording requests, delete recorded programs, browse and search TV and video-on-demand listings, set parental controls, and more.”
FiOS TV Home Media DVR subscribers can now control their DVRs using any wireless device. To take advantage of this feature, customers must have a cell phone with an active data plan subscription.
Programming can be recorded in both standard and high definition (HD), and can be enjoyed on more than five television sets in the home – simultaneously. FiOS TV Home Media DVR partnered with Media Manager, a program that provides subscribers with access to music and photos from their home computers. This content can be displayed on any television or theater system in the home.
In January 2009, Verizon’s free remote DVR control service was introduced to FiOS TV Media Manager customers. Customers utilized the service by visiting www.verizon.com/fiostvcentral on a home computer or wireless handset.
According to Shawn Strickland, Vice President of FiOS Products for Verizon, “we’ve had a tremendous, positive customer response to the freedom, flexibility, and control that our remote DVR management service provides.”
The advanced two-way technology of Verizon’s all-fiber network allows the telecom company to continuously improve the interactive elements of its services, Strickland suggested. According to a TCMnet report from January 2009, Verizon FiOS TV provides no less than 100 HD TV channels in every market that it serves.
Verizon and ESPN360.com
Verizon and ESPN360.com have teamed-up to present American soccer fans with full coverage of the quarterfinals, semifinals, and final Union of European Football Associations (UEFA) Champions League games.
Featuring live competitions between various European soccer teams, the UEFA Champions League tournament will be available on the Internet, exclusively on ESPN360.com. The network provides TV-quality resolution of sports content online, including coverage of the world’s most popular sport- soccer! Verizon FiOS Internet subscribers can enjoy the world-class soccer matches at no additional cost, as part of Verizon’s Online extensive entertainment line-up.
"ESPN360.com's more than 3,000 live sporting events every year, delivered over Verizon's fast, reliable broadband networks, create the ultimate online sports-watching experience" stated Shawn Strickland, Vice President of Verizon’s Marketing Division. "Now our broadband customers also can enjoy some of the best soccer competition in the world as teams from across Europe battle for the 2009 Champions League title."
ESPN360.com allows viewers to enjoy UEFA Champions League coverage from various locations, including the home, the workplace, and even the road! Since many modern flat-screen televisions support broadband connections, ESPN360.com’s UEFA Champions League coverage is accessible on select TV sets. With a broadband Internet connection, soccer fans can enjoy UEFA matches from virtually anywhere.
ESPN360.com offers live coverage of up to 20 events, simultaneously! With an intuitive interface, subscribers have the ultimate control over their online sports-viewing experience. ESPN360.com provides dependable, TV-quality video streaming, and the option to fast-forward, pause, and rewind live programming.
"With ESPN360.com, Verizon customers have access to a lineup of top global soccer, no matter where they are," stated Damon Phillips, Vice President of ESPN360.com. "It's just one example of how a service like ESPN360.com serves the displaced and underserved fan, 365 days a year.
Verizon Foundation Supports PBS Frontline Project
Since 2000, New York City-based Verizon Communications has worked to improve literacy, healthcare, education, and family safety through the Verizon Foundation. The organization has invested more than $400 million in programs that address social issues including domestic violence and technology education.
In 2009, the Verizon Foundation will spend $1 million in a partnership with PBS Frontline to address the following question: how has technology changed our lives? “Digital Nation: Life on the Virtual Frontier” will be a multi-platform project, featuring a TV national broadcast (due in early 2010), education outreach programs, and a website providing video reports and stories submitted by users.
According to Patrick Gaston, President of the Verizon Foundation, “Frontline, one of the most trusted sources in this country for news and information, is embarking on an ambitious project that will both report on how technology has changed life in America and will use technology to create a living demonstration and dialog about our digital nation.”
“Digital Nation: Life on the Virtual Frontier” will explore the Internet’s influence on education, while examining how social media (such as Facebook, Myspace, Twitter) has altered the way that people interact. In addition, Internet safety and privacy will be addressed.
"This concept captured our interest at all levels - from its relationship to our core business where the advancement and applications of technology are critical, to its alignment with our philanthropic efforts to use technology to improve education and ensure Internet safety,” added Gaston.
"The sweeping magnitude and speed with which digital media permeated nearly every facet of our culture prompts us to take a long, hard look at the implications," said Frontline Executive Producer, David Fanning. "An initiative of this scope would not have been possible without the Verizon Foundation's commitment to exploring these issues and its generous financial support."