Telecompaper

US operator Verizon reported first-quarter revenues of USD 26.6 billion, up 11.6 percent from a year earlier helped by its takeover of mobile operator Alltel in January. On a pro forma basis, revenues rose 3.3 percent on continued growth at Verizon Wireless. EPS edged up to 58 cents a share from 57 a year ago. Free cash flow rose by USD 1.5 billion year-on-year to USD 2.7 billion, after the company lowered capex to USD 3.7 billion from USD 4.2 billion last year. Wireless revenues rose 29.6 percent to USD 15.1 billion, and operating profit was up 31.2 percent to USD 4.27 billion. Excluding Alltel, the company added a net 1.3 million new mobile customers in the quarter, for a total 86.6 million, up 28.8 percent from a year earlier. Service ARPU decreased 0.3 percent from the same period a year ago, to USD 50.74, while data ARPU was up 20.8 percent to USD 14.16. Wireline revenues dropped 3.8 percent to USD 11.6 billion, and operating profit fell to USD 691 million from USD 1.04 billion a year earlier. The number of access lines in service fell 9.8 percent year-on-year to 35.197 million. Verizon added 299,000 net new Fios TV customers for a total 2.2 million at end-March, while the Fios internet base grew by 298,000 to almost 2.8 million. Broadband and video services drove consumer ARPU to USD 69.97 in the quarter, a 13.7 percent increase from a year ago. Overall the broadband customer base was up 7.8 percent from a year ago to 8.925 million.