Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
Verizon's Q3 FY2025 profits jumped nearly 50% as a $1.7 billion decline in severance-related costs lifted margins, while Consumer momentum and cash flow strength provided a solid foundation.
Revenue
$33.82B
+1.47% YoY
EPS (Diluted)
$1.17
+50.00% YoY
Operating Income
$8.11B
+36.77% YoY
Source: SEC XBRL
Verizon Communications (VZ) reported Q3 FY2025 revenue of $33.82B, up 1.5% year over year. Operating margin was 24.0%, up 6.2 points from 17.8% a year earlier. VZ's fiscal Q3 FY2025 corresponds to calendar Q3 2025.
Last 4 quarters: 2 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 1.30 | 1.30 | Miss -0.2% |
| Mar 2026 | 1.28 | 1.23 | Beat +3.8% |
| Dec 2025 | 1.09 | 1.09 | Beat +0.4% |
| Sep 2025This filing | 1.21 | 1.22 | Miss -1.2% |
Adjusted (non-GAAP) EPS of $1.21 versus the $1.22 analyst consensus — a -1.2% miss for Sep 2025. Analyst consensus is quoted on the adjusted (non-GAAP) basis the street uses. GAAP diluted EPS for this quarter was $1.17.
2 reported segments · SEC XBRL
Segment revenue totals $33.25B; with $574M of reconciling items (corporate, unallocated and eliminations) it ties to the $33.82B of consolidated revenue on the income statement.
Profit above is reported as operating income, the measure VZ itself discloses in this filing. Each company chooses its own measure here, so these margins are not comparable with another company's.
Compiled by AI from 10-Q Item 2 of this filing
Selling, general and administrative expense fell $1.95 billion, primarily due to $1.7 billion in severance charges in the prior year that did not recur, along with $185 million in asset rationalization charges.
Source: 10-Q Item 2 MD&A
Verizon estimates the One Big Beautiful Bill Act will decrease 2025 cash income tax liability and increase deferred tax liability by $2.0–$2.3 billion, with no material impact on its effective tax rate.
Source: 10-Q Item 2 MD&A
Management flagged potential material future impacts from evolving tariffs and government workforce reductions, noting already-visible negative effects on public sector business.
Source: 10-Q Item 2 MD&A
Total broadband connections reached 10.6 million, up 8.5% year-over-year, with fixed wireless access connections surging 28% to 3.2 million.
Source: 10-Q Item 2 MD&A
2025 capital expenditures are expected to be within or below the range of $17.5 billion to $18.5 billion, with $12.3 billion spent through the first nine months.
Source: 10-Q Item 2 MD&A
Compiled by AI from 10-Q Item 2 of this filing · 0 high, 5 medium, 0 low
The Consumer segment generates 78.5% of total segment revenue, making overall results highly sensitive to any softening in wireless subscriber growth, churn, or ARPA trends.
Source: 10-Q Item 2 MD&A
The Business segment's revenues declined 2.8% year-over-year, pressured by government budget cuts and competitive dynamics. Continued weakness could offset consumer gains.
Source: 10-Q Item 2 MD&A
With average debt of $146.6 billion and an effective interest rate of 5.0%, rising rates or credit market disruptions could increase already-significant interest expenses ($1.66 billion this quarter).
Source: 10-Q Item 2 MD&A
Cost of wireless equipment rose 7.2% due to a mix shift toward higher-priced devices, compressing margins. Persistent inflation or aggressive device subsidies could erode profitability.
Source: 10-Q Item 2 MD&A
New tariffs and government efficiency initiatives introduce operational and cost risks; while immaterial to date, the company warns future impacts could be material, especially for supply chain and public sector sales.
Source: 10-Q Item 2 MD&A
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 33.82 $B | 33.33 $B | +1.47% |
Operating Income $B | 8.11 $B | 5.93 $B | +36.77% |
Net Income $B | 4.95 $B | 3.31 $B | +49.73% |
EPS (Basic) $ | 1.17 $ | 0.78 $ | +50.00% |
EPS (Diluted) $ | 1.17 $ | 0.78 $ | +50.00% |
SG&A Expense $B | 7.75 $B | 9.71 $B | -20.13% |
Answers draw on this SEC filing and the data on this page
In Q2 FY2026, Verizon reported operating revenue of $34.25B (down 0.7% YoY) and net income of $3.84B (down 23.3% YoY), impacted by lower wireless equipment upgrades and $1.34B in combined restructuring and asset disposition charges.
Verizon delivered steady Q1 FY2026 growth with revenue up 2.9% YoY to $34.4B and net income rising 3.4% to $5.0B, while a significant jump in cash and a large investing outflow signal a major acquisition or spectrum investment during the quarter.
Verizon delivered modest revenue growth of 2.5% to $138.2B in FY2025, but net income declined 4.3% to $17.2B, while operating cash flow remained strong at $37.1B and cash balances surged 354% to $19.0B.
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