Verizon Communications Inc. reported financial and operational results for the third quarter of 2026, registering company benchmarks that executives attribute to the momentum of its ongoing multi-year transformation. The telecommunications giant posted its strongest third-quarter postpaid phone net additions in five years alongside its highest quarterly net account growth in over a decade.
During the quarter ending September 30, 2026, Verizon recorded 406,000 postpaid phone net additions, representing an increase of more than 820 percent compared to the same period in the previous year. The company also added 137,000 postpaid net accounts. Overall postpaid phone churn improved by four basis points year-over-year to 0.94 percent, while consumer postpaid phone churn similarly decreased by four basis points to 0.87 percent.
“Verizon delivered another record-breaking quarter. One year into our transformation, Verizon is fundamentally stronger — operationally, financially, and competitively,” said Dan Schulman, Verizon CEO. “By prioritizing customer-first offerings like Simplicity and our expanded loyalty program over heavy subsidies, we are winning loyal, high-value customers while expanding margins, reducing churn, and generating strong sustained cash flow. At the same time, technology leaders are choosing our fiber network to power the next generation of AI infrastructure. We are continuing to raise the bar and we are only one year into a multi-year growth story.”
Mobility and broadband service revenue reached approximately $23.5 billion, marking a 2.9 percent increase year-over-year. This performance continued a sequential acceleration from 2.8 percent growth in the second quarter and 1.6 percent in the first quarter of 2026. Total broadband net additions reached 314,000 for the quarter, consisting of 159,000 fixed wireless access additions and 155,000 fiber broadband additions. Verizon ended the quarter maintaining 17.4 million total broadband connections, with more than half of new fiber customers selecting download speeds of 1 gigabit or higher. The company reported it remains on track to exceed 32 million total fiber passings by year-end, heading toward a medium-term target of 40 million to 50 million passings.
Total operating revenue for the third quarter rose 1.5 percent year-over-year to $34.3 billion. Growth in mobility and broadband service revenue was partially offset by a 9.0 percent year-over-year decline in equipment revenue. Management attributed this decrease to lower upgrade volumes, driven by customers retaining their mobile devices for longer periods and a strategic corporate decision to reduce spending on device subsidies.
Consolidated net income reached $5.3 billion, a 5.2 percent increase from the third quarter of 2025, yielding a net income margin of 15.5 percent. Consolidated Adjusted EBITDA grew 8.0 percent year-over-year to $13.8 billion, marking the highest quarterly figure in company history. The consolidated Adjusted EBITDA margin expanded from 37.8 percent to 40.2 percent.
Earnings per share rose to $1.25, up 6.8 percent year-over-year, while Adjusted EPS reached $1.31, representing an 8.3 percent increase. Cash flow from operating activities totaled $11.5 billion for the quarter, a 2.2 percent increase over the previous year, supporting free cash flow of $7.8 billion, up 12.1 percent year-over-year.
For the first nine months of 2026, operating cash flow reached $29.9 billion compared to $28.0 billion in the same period of 2025. Free cash flow for the nine-month period stood at $18.0 billion, a 14.3 percent increase. Capital expenditures totaled $11.9 billion over the same nine months, supporting network infrastructure and expansion across mobility and broadband operations. Total unsecured debt stood at $136.1 billion at the close of the quarter, with net unsecured debt at $123.7 billion.
Capital returns to shareholders totaled $12.8 billion during the first nine months of the year, marking a 49.0 percent increase year-over-year. This figure comprised $8.8 billion in dividend payments and $4.0 billion in share repurchases, with the company maintaining its expectation to repurchase up to $4.5 billion in shares for the full year.
Driven by its third-quarter performance and operational momentum, Verizon raised its full-year 2026 guidance for the third consecutive quarter. The company now projects postpaid phone net additions between 1.1 million and 1.2 million, Adjusted EPS of $5.04 to $5.06, operating cash flow growth of 3.5 to 5.0 percent, and free cash flow growth approaching 12.0 percent year-over-year.
