Led by sharp gains in both FiOS and its wireless business, Verizon Communications (NYSE:VZ) revealed stronger-than-expected second-quarter earnings on Thursday, however a slight miss on the top line pushed its shares lower in early trade.
The New York-based communications giant reported net income of $5.2 billion, or 78 cents a share, compared with a year-earlier profit of $4.3 billion, or 64 cents.
Excluding one-time items, Verizon said it earned 73 cents, topping average analyst estimates in a Thomson Reuters poll by a penny.
“Verizon's consistent strategic investments in wireless, FiOS and global networks drove strong financial performance in the first half of 2013,” Verizon CEO Lowell McAdam said in a statement. "We are focused on continuing to provide the best portfolio of products on the most reliable networks."
In its wireline group, FiOS saw a 14.7% year-over-year increase in revenues, booking 161,000 FiOS Internet and 140,000 FiOS video net additions.
Verizon Wireless, which it jointly owns with Vodafone (NYSE:VOD), reported an 8.3% increase in service revenues as retail postpaid net additions of 941,000, up 6% year-over-year, topped the 836,500 analysts on average had been predicting.
Total revenue for the three-month period grew 4.3% to $29.79 billion, up from $28.55 billion a year ago but narrowly below the Street’s view of $29.83 billion.
Shares of Verizon slumped about 1% in early trade to $50.30.