Verizon (VZ) Q3 2026 Earnings Call: Guidance Raised as Subscriber Growth Accelerates
Source Tradingkey
Key Takeaways
- Verizon added 406,000 postpaid phone customers in Q3 2026, up 820% year over year and its strongest third-quarter result in five years. Postpaid net account additions reached 137,000, the best quarterly performance in more than a decade.
- Total revenue increased 1.5% year over year to $34.3 billion. Mobility and broadband service revenue grew 2.9%, while equipment revenue fell 9% as upgrade volumes declined by more than 20%.
- Adjusted EBITDA rose 8% to $13.8 billion. The adjusted EBITDA margin expanded 240 basis points to 40.2%, the highest reported by the company.
- Adjusted EPS increased 8.3% to $1.31. Q3 free cash flow reached $7.8 billion, up more than 12% and the highest quarterly level since 2020.
- Verizon raised its 2026 outlook for postpaid phone net additions, adjusted EPS growth and free cash flow growth. Management also expects Q4 mobility and broadband service revenue growth of approximately 4%.
- AI Connect signed contracts reached approximately $4 billion, including a dark fiber agreement with Amazon Web Services valued at more than $2 billion. Management expects revenue contributions to begin in 2027.
Key Financial Data
| Metric | Q3 2026 result | Change / context |
|---|---|---|
| Total revenue | $34.3 billion | Up 1.5% year over year |
| Wireless service revenue | More than $20.9 billion | Management expects year-over-year growth in Q4 |
| Mobility and broadband service revenue growth | 2.9% | Improved from 2.8% in Q2 and 1.6% in Q1 |
| Equipment revenue | — | Down 9% year over year due to lower upgrades |
| Adjusted EBITDA | $13.8 billion | Up 8% year over year |
| Adjusted EBITDA margin | 40.2% | Up 240 basis points year over year |
| Adjusted EPS | $1.31 | Up 8.3% year over year |
| Q3 free cash flow | $7.8 billion | Up more than 12% year over year |
| Nine-month operating cash flow | $29.9 billion | Up nearly 7% year over year |
| Nine-month free cash flow | $18.0 billion | Up 14.3% year over year |
| Nine-month capital expenditure | $11.9 billion | Full-year guidance remains $16.0 billion–$16.5 billion |
| Net unsecured debt / adjusted EBITDA | 2.3x | Improved by 0.2x from Q2 |
Business and Operating Performance
Mobility
Disclaimer: For information purposes only. Past performance is not indicative of future results.
Recommended Articles
Fed decision, US inflation and Middle East tensions take centre stage. Explore the US dollar, gold and AUD/USD outlook for Australian traders.
One week could decide what your stocks, your Bitcoin (BTC), and your dollars are worth by Christmas. From Wednesday to Friday, the Federal Reserve meets, inflation data lands, and $11 billion in Bitco
Bitcoin (BTC) and gold are the two worst-performing major assets of 2026, down 7.3% and 7.5%, according to Creative Planning strategist Charlie Bilello. He says no calendar year in his records has put
West Texas Intermediate (WTI) fell as low as $101.69 on Sunday night after President Donald Trump ruled out an immediate Iran strike. The dip leaves US oil above $100 and about 53% higher than before
Big tech earnings arrive this week, with Microsoft, Alphabet, and Amazon all releasing quarterly reports.In their latest quarters, Google Cloud grew 82%, Azure 42%, and Amazon Web Services (AWS) 37%,
