“Verizon will no longer be a hunting ground for our competitors,” CEO Dan Schulman declared—then backed the words with numbers.
The company closed 2025 on a rare high note for big U.S. carriers: more than 1 million total net additions across mobility and broadband in the fourth quarter, its strongest quarterly volumes since 2019. That surge, driven by holiday device promos, aggressive bundle offers and the freshly closed Frontier deal, is the centerpiece of a broader strategy Schulman says will turn Verizon’s fortunes around in 2026.
You can read Verizon’s full release here: Verizon press release.
Numbers that matter
- Postpaid phone net additions: 616,000 in Q4 — the best quarter since 2019. This beat analyst expectations handily and tripped markets: Verizon shares jumped sharply on the news.
- Total broadband adds: 372,000 in Q4, including 319,000 fixed wireless access (FWA) additions.
- Revenue and profit: Q4 operating revenue of $36.4 billion; 2025 consolidated revenue of $138.2 billion. Adjusted EPS for full-year 2025 was $4.71 (GAAP EPS $4.06).
- Balance sheet and cash: Free cash flow of $20.1 billion in 2025; Verizon expects at least $21.5 billion in free cash flow for 2026.
For 2026 the company set an ambitious play: 750,000 to 1.0 million retail postpaid phone net additions, adjusted EPS of $4.90–$4.95, and service revenue growth of roughly 2–3% (about $93 billion). Capital spending is guided down slightly to $16.0–$16.5 billion, while the company promises at least 2.0 million fiber passings next year.
Why Frontier and promos matter
The Frontier acquisition, which closed January 20, immediately scales Verizon’s fiber footprint to “over 30 million homes and businesses,” the company says, and expands its convergence play: selling wireless and high-speed home internet together. That convergence is what helped Verizon pull customers during the holiday blitz—promotions like multi-line pricing and bundled discounts made switching more attractive.
Promos were crucial. Analysts and reporters noted that temporary device deals and aggressive four-lines-for-$100 offers helped Verizon poach subscribers during the peak shopping season, lifting equipment revenue (up more than 9% year over year in Q4) even as elevated equipment costs pressured margins. In short: the volume machine is humming, but some margin pressure is baked in because device promos and supply dynamics remain a factor.
The industry reaction has been loud. Rivals are watching carrier bundles and perks closely—especially after recent service and perks stumbles at other operators. For context on competitor turbulence, see the recent report about T‑Mobile customers and perk changes.
The trade-offs: job cuts, debt and growth choices
Schulman has reshaped the company quickly since taking the reins: reorganizations and more than 13,000 job cuts were announced as part of a push to make Verizon leaner and faster. That belt-tightening shows up in the guidance: Verizon expects to generate stronger free cash flow while trimming capex slightly and leaning into fiber investment where it sees the highest return.
But Verizon’s balance sheet carries heavier unsecured debt than a year ago—$131.1 billion at the end of Q4 2025—so the company faces a balancing act between growth investments, debt management and returning capital to shareholders.
Bigger picture: telecoms, bundles and a dash of AI
Carriers have shifted from pure-network bragging to product bundles, and fiber ownership is now a competitive moat. Verizon’s expanded fiber base—plus its large fixed wireless access footprint (now over 16.3 million connections including Frontier assets)—gives it more levers to tie customers into multi-product relationships.
At the same time, the sector is experimenting with AI and digital automation to improve customer experience and reduce costs. The technology race outside of network upgrades—into AI-powered customer service, smarter plan recommendations and faster issue resolution—is another battleground where carriers will try to differentiate. For one example of rapid AI feature rollout in big tech ecosystems, see how agentic AI booking features are rolling into consumer apps.
What investors and customers should watch (without a neat summary tag)
Expect the next few quarters to test whether Verizon can sustain volume-driven growth while protecting margins: 2026 guidance assumes a material step-up in phone net additions and free cash flow. Watch equipment costs, churn trends after promotions end, and how quickly Verizon can convert Frontier passings into profitable fiber subscribers. Also keep an eye on whether rival promos escalate in response—price wars would be the fast way to compress margins across the industry.
Verizon has signaled a willingness to move fast—cutting costs, leaning on bundles and smashing together fixed and mobile assets. The quarter showed that the tactics can produce results. The question now is whether they produce durable, profitable growth.