Verizon Communications (VZ) - Get Verizon Communications Inc. Report posted weaker-than-expected first-quarter earnings Thursday and said it expects to see "consistent" revenue in 2017 as its wireless service business improves.
Verizon said adjusted earnings for the three months ended in March fell more than 10% to 95 cents a share, missing analysts' forecasts of 96 cents. Revenue for the period fell 7.3% to $29.8 billion, Verizon said, again shy of the consensus forecast of around $30.57 billion.
"Our first-quarter results again demonstrated that customers value a high-quality network experience," said CEO Lowell McAdam. "To build on our loyal customer base and the third-party recognition we have received for network leadership, we extended our wireless and fiber network capabilities, began offering an unlimited pricing option and expanded our opportunities in new markets. We're executing on strategies to capture future growth and create long-term shareholder value."
Verizon said it sees 2017 revenue to be "fairly consistent with 2016" and that full-year capital spending would be in the range of $16.8 billion to $17.5 billion.
The earnings top an active -- although not always positive -- quarter for the carrier, which reluctantly launched an unlimited wireless service, announced the ill-received rebranding of its digital businesses under the Oath brand and opted not to acquire spectrum licenses in a government auction.
Verizon shares closed at $48.94 in New York Wednesday after falling 0.57% on the session, extending their three-month decline to around 6.5% against a 3.4% gain for the benchmark Dow Jones Industrial Average. Shares were indicated as much as 1.8% lower in premarket trading following the release.