Q4 2025 Verizon Communications Inc Earnings Call

January 30, 2026

Listen, only mode and the call will be open for questions following the presentation.

Today's conference is being recorded if you have any objections, you may disconnect at this time.

I would now like to turn the call over to Mr. Brady Connor senior, vice president, investor relations.

Thanks, Brad. Good morning and Welcome to our fourth quarter 2025 earnings call. I'm Brady Connor. And on the call with me this morning is our chief executive officer Dan Schulman and Tony skiadas are CFO.

Additionally, I'd like to introduce our new head of investor relations calling ostrosky. She will be assuming the role on a go forward basis.

Before we begin, I'd like to point you to our Safe Harbor statement, which can be found in the earnings presentation and on our investor relations website.

Our comments this morning, may include 4 looking statements, which are subject to risks and uncertainties factors that may affect future results are discussed in our FCC filings. This presentation also contains non-gaap Financial measures and you can find reconciliations of these measures in the materials on our website with that. I'll turn it over to Dan.

Thanks, Brady, and thanks for all of your service to Verizon over the years. And to me, personally over these past 100 days. I'll miss working with you.

And Colleen, welcome to the Verizon team. We are so lucky to have you and thanks to everyone on the call for joining us this morning.

we have a tremendous amount of information to share with you from our fourth quarter results, our Frontier acquisition, our renewed mvno relationship with Comcast and Charter and of course our 2026 guidance including an update on our Capital, allocation plans,

I mean you go to dive into each of those topics.

The first I want to acknowledge the network outage that impacted our customers earlier this month.

We did not meet the standard of Excellence, our customers expect.

And that we expect of ourselves.

We let our customers down.

The Verizon brand was built on Superior Network quality and reliability.

And I'm committed to relentlessly working to deliver the service that our customers expect and deserve each and every day.

We saw that resilience in action this past week under difficult circumstances.

In response to the winter storm. I want to thank our technicians cyber Crews. And Retail teams who have battled the ice and snow to serve our customers and keep them connected, we maintained seamless connectivity across the most heavily impacted regions.

Speaker #1: To relentlessly work to deliver the service that our customers expect and deserve each and every day. We saw that resilience in action this past week, under difficult circumstances.

Daniel Schulman: To relentlessly working to deliver the service that our customers expect and deserve each and every day. We saw that resilience in action this past week under difficult circumstances. In response to the winter storm, I want to thank our technicians, fiber crews, and retail teams who have battled the ice and snow to serve our customers and keep them connected. We maintained seamless connectivity across the most heavily impacted regions. Last quarter, I said that we would transform our company in a fiscally responsible manner, with a clear focus on driving shareholder value. That volume growth and profitability growth can and will go hand in hand, and that they can happen simultaneously. And as I talk to you today, I am more convinced of that than ever. Our transformation will be driven by bold and meaningful actions to affect what is essentially a turnaround story.

Last quarter. I said that we would transform our company in a fiscally responsible manner with a clear focus on driving shareholder value.

Speaker #1: In response to the winter storm, I want to thank our technicians, cyber crews, and retail teams who have battled the ice and snow to serve our customers and keep them connected.

That volume growth and profitability growth can and will go hand in hand and that they can happen simultaneously.

And as I talked to you today, I am more convinced of that than ever.

Speaker #1: We maintained seamless connectivity across the most heavily impacted regions. Last quarter, I said that we would transform our company in a fiscally responsible manner.

Our transformation will be driven by bold and meaningful actions to affect what is essentially a turnaround story.

We are already a leaner more efficient and intense organization.

Speaker #1: With a clear focus on driving shareholder value, that volume growth and profitability growth can and will go hand in hand, and that they can happen simultaneously.

We are bringing in Talent with new skill sets to complement our Workforce.

Speaker #1: And as I talked to you today, I am more convinced of that than ever. Our transformation will be driven by bold and meaningful actions to affect what is essentially a turnaround story.

Every single year, we will become more efficient, more agile, more outcomes oriented and our speed of decision-making and product deployment, will meaningfully increase.

We are creating a new Verizon 1. That does not settle for anything less than being the best.

Speaker #1: We are already a leaner, more efficient, and intense organization. We are bringing in talent with new skill sets to complement our workforce. Every single year, we will become more efficient, more agile, more outcomes-oriented, and our speed of decision-making and product deployment will meaningfully increase.

Daniel Schulman: We are already a leaner, more efficient, and intense organization. We are bringing in talent with new skill sets to complement our workforce. Every single year, we will become more efficient, more agile, more outcomes-oriented, and our speed of decision-making and product deployment will meaningfully increase. We are creating a new Verizon, one that does not settle for anything less than being the best. So far, I am very impressed with the reaction of our workforce as they begin to truly embrace, feel, and drive the level of commitment that is needed to transform our culture. That attitude is fully required from every single member of the Verizon team.

We are already a leaner, more efficient, and intense organization. We are bringing in talent with new skill sets to complement our workforce. Every single year, we will become more efficient, more agile, more outcomes-oriented, and our speed of decision-making and product deployment will meaningfully increase. We are creating a new Verizon, one that does not settle for anything less than being the best. So far, I am very impressed with the reaction of our workforce as they begin to truly embrace, feel, and drive the level of commitment that is needed to transform our culture. That attitude is fully required from every single member of the Verizon team.

So far, I am very impressed with the reaction of our Workforce as they begin to truly embrace.

Feel and drive the level of commitment that is needed to transform our culture.

That attitude is fully required from every single member of the Verizon team.

Speaker #1: We are creating a new horizon, one that does not settle for anything less than being the best. So far, I am very impressed with the reaction of our workforce as they begin to truly embrace, feel, and drive the level of commitment that is needed to transform our culture.

There's no question that Verizon is at a critical inflection point and there is no doubt that we must radically shift our culture towards the goal of delighting, our customers and building a brand that stands for trust.

So that we can deliver for our shareholders.

Speaker #1: That attitude is fully required from every single member of the Verizon team. There is no question that Verizon is at a critical inflection point, and there is no doubt that we must radically shift our culture towards the goal of delighting our customers and building a brand that stands for trust so that we can deliver for our shareholders.

The prevailing attitude inside Verizon is that we are now going to play to win and we will never again, be content to be the hunting ground, where our competitors take our share and our customers.

Daniel Schulman: There is no question that Verizon is at a critical inflection point, and there is no doubt that we must radically shift our culture towards the goal of delighting our customers and building a brand that stands for trust, so that we can deliver for our shareholders. The prevailing attitude inside Verizon is that we are now going to play to win, and we will never again be content to be the hunting ground where our competitors take our share and our customers. These last 100 days have been full of change and a renewed sense of excitement about our future, and I expect that intensity to continue and grow. We moved quickly to rightsize our organization by aggressively removing pockets of underperformance, eliminating redundant organizational structures, reducing layers of hierarchy, and cutting resources not focused on our priorities with both our full-time employees and contractors.

There is no question that Verizon is at a critical inflection point, and there is no doubt that we must radically shift our culture towards the goal of delighting our customers and building a brand that stands for trust, so that we can deliver for our shareholders. The prevailing attitude inside Verizon is that we are now going to play to win, and we will never again be content to be the hunting ground where our competitors take our share and our customers. These last 100 days have been full of change and a renewed sense of excitement about our future, and I expect that intensity to continue and grow. We moved quickly to rightsize our organization by aggressively removing pockets of underperformance, eliminating redundant organizational structures, reducing layers of hierarchy, and cutting resources not focused on our priorities with both our full-time employees and contractors.

These last 100 days have been full of change and are renewed sense of excitement about our future.

We move quickly to right-size our organization.

By aggressively removing pockets of underperformance.

Speaker #1: The prevailing attitude inside Verizon is that we are now going to play to win, and we will never again be content to be the hunting ground where our competitors take our share and our customers.

Eliminating redundant organizational structures.

Reducing layers of hierarchy and cutting resources not focused on our priorities.

With both our full-time employees and contractors.

Speaker #1: These last 100 days have been full of change and a renewed sense of excitement about our future. And I expect that intensity to continue and grow.

We are building an in-ear work chest of 5 billion dollars and Opex savings.

Speaker #1: We move quickly to right-size our organization by aggressively removing pockets of underperformance, eliminating redundant organizational structures, reducing layers of hierarchy, and cutting resources not focused on our priorities.

With a substantial portion realized by headcount reductions alongside marketing efficiencies real estate. Rationalization contract, renegotiations and more

Speaker #1: With both our full-time employees and contractors, we are building an in-year war chest of $5 billion in OPEX savings, with a substantial portion realized by headcount reductions, alongside marketing efficiencies, real estate rationalization, contract renegotiations, and more.

Daniel Schulman: We are building an in-year war chest of $5 billion in OpEx savings, with a substantial portion realized by headcount reductions alongside marketing efficiencies, real estate rationalization, contract renegotiations, and more. This will allow us to be more agile and reinvest in our business for growth and loyalty, and this is just the beginning of the efficiencies we are uncovering in both our OpEx and CapEx. We aim to be the most efficient telecom company in our industry. As we continue to reduce complexity, eliminate structural inefficiencies, divest non-core assets, and deploy automation at scale, we will enable a growing stream of cost savings, providing us with ever more operational flexibility to invest for growth and provide meaningful and increasing returns for our shareholders. Make no mistake, our number one priority is to invest in our business to drive our future growth.

We are building an in-year war chest of $5 billion in OpEx savings, with a substantial portion realized by headcount reductions alongside marketing efficiencies, real estate rationalization, contract renegotiations, and more. This will allow us to be more agile and reinvest in our business for growth and loyalty, and this is just the beginning of the efficiencies we are uncovering in both our OpEx and CapEx. We aim to be the most efficient telecom company in our industry. As we continue to reduce complexity, eliminate structural inefficiencies, divest non-core assets, and deploy automation at scale, we will enable a growing stream of cost savings, providing us with ever more operational flexibility to invest for growth and provide meaningful and increasing returns for our shareholders. Make no mistake, our number one priority is to invest in our business to drive our future growth.

This will allow us to be more agile and reinvest in our business for growth and loyalty. And this is just the beginning of the efficiencies, we are uncovering in both our Opex and capex.

We aim to be the most efficient Telecom company in our industry.

as we continue to reduce complexity,

Eliminate structural inefficiencies, that vest non-core assets and deploy automation at scale.

Speaker #1: This will allow us to be more agile and reinvest in our business for growth and loyalty, and this is just the beginning of the efficiencies we are uncovering.

Speaker #1: In both our OPEX and CAPEX, we aim to be the most efficient telecom company in our industry. As we continue to reduce complexity, eliminate structural inefficiencies, divest non-core assets, and deploy automation at scale, we will enable a growing stream of cost savings, providing us with ever more operational flexibility to invest for growth and provide meaningful and increasing returns for our shareholders.

We will enable a growing stream of cost-savings, providing us with ever more operational. Flexibility to invest for growth and provide meaningful and increasing returns for our shareholders.

Make no mistake. Our number 1 priority is to invest in our business to drive our future growth.

No company ever cost cut its way to Greatness.

We are examining every dollar of Opex and capex. To ensure it is being spent on initiatives that will drive customer loyalty and brand Trust.

however, when we invest,

The bar will be high.

Speaker #1: Make no mistake, our number one priority is to invest in our business to drive our future growth. No company ever cost-cut its way to greatness.

We will only do so when we know it drives growth Delights, our customers and delivers for shareholders, there is nothing more important than that.

Daniel Schulman: No company ever cost-cut its way to greatness. We are examining every dollar of OpEx and CapEx to ensure it is being spent on initiatives that will drive customer loyalty and brand trust. However, when we invest, the bar will be high. We will only do so when we know it drives growth, delights our customers, and delivers for shareholders. There is nothing more important than that. Our financial success will rely on subscriber growth driven by convergence, a value-based pricing strategy, superior value-added services, and a fully revamped end-to-end customer experience. We will not rely on empty price increases to drive short-term revenue and earnings. That is not a sustainable financial model, nor an engine of long-term growth. I strongly believe that Verizon, and possibly our industry, is only scratching the surface of meaningful increases in bottom-line performance.

No company ever cost-cut its way to greatness. We are examining every dollar of OpEx and CapEx to ensure it is being spent on initiatives that will drive customer loyalty and brand trust. However, when we invest, the bar will be high. We will only do so when we know it drives growth, delights our customers, and delivers for shareholders. There is nothing more important than that. Our financial success will rely on subscriber growth driven by convergence, a value-based pricing strategy, superior value-added services, and a fully revamped end-to-end customer experience. We will not rely on empty price increases to drive short-term revenue and earnings. That is not a sustainable financial model, nor an engine of long-term growth. I strongly believe that Verizon, and possibly our industry, is only scratching the surface of meaningful increases in bottom-line performance.

Speaker #1: We are examining every dollar of OPEX and CAPEX to ensure it is being spent on initiatives that will drive customer loyalty and brand trust.

Our financial success will rely on subscriber. Growth driven by convergence a value. Based pricing strategy, Superior value, added services, and a fully revamped End to End customer experience.

Speaker #1: However, when we invest, the bar will be high. We will only do so when we know it drives growth, delights our customers, and delivers for shareholders.

We will not rely on empty price, increases to drive short-term revenue and earnings.

That is not a sustainable financial model, nor an engine of long-term growth.

Speaker #1: There is nothing more important than that. Our financial success will rely on subscriber growth driven by convergence, a value-based pricing strategy, superior value-added services, and a fully revamped end-to-end customer experience.

I strongly believe that Verizon and possibly our industry is only scratching the surface of meaningful increases in bottom line performance.

We begin to see initial glimmers of our actions play out in our fourth quarter results.

Speaker #1: We will not rely on empty price increases to drive short-term revenue and earnings. That is not a sustainable financial model, nor an engine of long-term growth.

We were disciplined and we performed. Well in the market achieving more than 1 million mobility and Broadband net adds, our highest reported quarterly net ads since 2019

Speaker #1: I strongly believe that Verizon, and possibly our industry, is only scratching the surface of meaningful increases in bottom-line performance. We began to see initial glimmers of our actions play out in our fourth quarter results.

or simultaneously writing better business than we did in the fourth quarter of last year.

Daniel Schulman: We began to see initial glimmers of our actions play out in our fourth quarter results. We were disciplined, and we performed well in the market, achieving more than 1 million mobility and broadband net adds, our highest reported quarterly net adds since 2019, while simultaneously writing better business than we did in the fourth quarter of last year. Importantly, we added 616,000 postpaid phone net adds, with 551,000 from consumer, our highest postpaid phone net adds in the last 5 years, all while delivering on our 2025 financial guidance. I think by now it's clear, we are not satisfied with ceding market share to our competitors. Our fourth quarter results show that we can compete effectively and win when we move with speed and consistency.

We began to see initial glimmers of our actions play out in our fourth quarter results. We were disciplined, and we performed well in the market, achieving more than 1 million mobility and broadband net adds, our highest reported quarterly net adds since 2019, while simultaneously writing better business than we did in the fourth quarter of last year. Importantly, we added 616,000 postpaid phone net adds, with 551,000 from consumer, our highest postpaid phone net adds in the last 5 years, all while delivering on our 2025 financial guidance. I think by now it's clear, we are not satisfied with ceding market share to our competitors. Our fourth quarter results show that we can compete effectively and win when we move with speed and consistency.

Importantly, we added 616,000 post-paid phone, net ads with 551,000 from consumer.

Speaker #1: We were disciplined, and we performed well in the market, achieving more than $1 million mobility and broadband net adds—our highest reported quarterly net adds since 2019—while simultaneously writing better business than we did in the fourth quarter of last year.

Our highest postpaid phone. Net adds is the Last 5 Years, all while delivering on our 2025 Financial guidance.

I think by now it's clear we are not satisfied with seating market, share to our competitors.

Speaker #1: Importantly, we added $616,000 post-paid phone net adds. With $551,000 from consumer, our highest post-paid phone net adds in the last five years all while delivering on our 2025 financial guidance.

Our fourth quarter results show that we can compete effectively and win when we move with speed and consistency.

Very early stages of our transformation.

Competing with many of our existing and blunt tools.

Speaker #1: I think by now it's clear we are not satisfied with ceding market share to our competitors. Our fourth quarter results show that we can compete effectively and win when we move with speed and consistency.

Our execution in the fourth quarter was critical to establishing a strong Baseline and momentum as we enter 2026

Before Tony reviews, our fourth quarter results, and our 2026 guidance.

There are a few topics I want to briefly cover.

Speaker #1: While we are still in the very early stages of our transformation, and we are still predominantly competing with many of our existing and blunt tools, our execution in the fourth quarter was critical to establishing a strong baseline and momentum as we enter 2026.

Daniel Schulman: While we are still in the very early stages of our transformation, and we are still predominantly competing with many of our existing and blunt tools, our execution in Q4 was critical to establishing a strong baseline and momentum as we enter 2026. Before Tony reviews our Q4 results and our 2026 guidance, there are a few topics I want to briefly cover. First, and obviously crucial to our converged future, is the closing of our Frontier acquisition. We now have over 30 million fiber passings, with a huge cross-sell opportunity, as we are significantly under-penetrated with our wireless services in Frontier markets. I want to thank the entire Frontier team for their focus and execution over the past 18 months.

While we are still in the very early stages of our transformation, and we are still predominantly competing with many of our existing and blunt tools, our execution in Q4 was critical to establishing a strong baseline and momentum as we enter 2026. Before Tony reviews our Q4 results and our 2026 guidance, there are a few topics I want to briefly cover. First, and obviously crucial to our converged future, is the closing of our Frontier acquisition. We now have over 30 million fiber passings, with a huge cross-sell opportunity, as we are significantly under-penetrated with our wireless services in Frontier markets. I want to thank the entire Frontier team for their focus and execution over the past 18 months.

First and obviously crucial to our converged. Future is the closing of our Frontier acquisition.

We now have over 30 million fiber passings with a huge cross sale opportunity.

As we are significantly under penetrated with our wireless services in Frontier markets.

Speaker #1: Before Tony reviews our fourth quarter results and our 2026 guidance, there are a few topics I want to briefly cover. First, and obviously crucial to our converged future, is the closing of our Frontier acquisition.

I want to thank the entire Frontier team for their focus and execution over the past 18 months.

We intend to continue our fiber buildout.

Adding at least 2 million fiber passings this year.

Speaker #1: We now have over 30 million fiber passings with a huge cross-sell opportunity as we are significantly underpenetrated with our wireless services and Frontier markets.

With our goal to reach, 40 to 50 million fiber passings over the medium-term.

At the same time we are aggressively driving efficiency through our integration.

Speaker #1: I want to thank the entire Frontier team for their focus and execution over the past 18 months. We intend to continue our fiber build-up, adding at least 2 million fiber passings this year with our goal to reach 40 to 50 million fiber passings over the medium term.

We now expect to realize, over 1 billion of run rate. Operating cost synergies by 2028.

Double our initial estimate.

Daniel Schulman: We intend to continue our fiber build-out, adding at least 2 million fiber passings this year, with our goal to reach 40 to 50 million fiber passings over the medium term. At the same time, we are aggressively driving efficiency through our integration. We now expect to realize over $1 billion of run rate operating cost synergies by 2028, double our initial estimate. These savings will be derived from network integration, third-party contract efficiencies, and go-to-market savings across marketing and advertising. The combination of our assets creates a powerful force in the market, and we intend to aggressively seize incremental net adds and share of both mobility and broadband services within Frontier markets. I'm also very pleased to announce that we have completed a comprehensive long-term agreement with Comcast and Charter to continue our partnership.

We intend to continue our fiber build-out, adding at least 2 million fiber passings this year, with our goal to reach 40 to 50 million fiber passings over the medium term. At the same time, we are aggressively driving efficiency through our integration. We now expect to realize over $1 billion of run rate operating cost synergies by 2028, double our initial estimate. These savings will be derived from network integration, third-party contract efficiencies, and go-to-market savings across marketing and advertising. The combination of our assets creates a powerful force in the market, and we intend to aggressively seize incremental net adds and share of both mobility and broadband services within Frontier markets. I'm also very pleased to announce that we have completed a comprehensive long-term agreement with Comcast and Charter to continue our partnership.

These savings will be derived from Network integration.

Third-party contract efficiencies and go to market savings across marketing and advertising.

The combination of our assets creates a powerful force in the market.

Speaker #1: At the same time, we are aggressively driving efficiency through our integration. We now expect to realize over $1 billion of run-rate operating cost synergies by 2028, double our initial estimate.

And we intend to aggressively seize incremental, net ads.

And share of both mobility and Broadband services, within Frontier markets.

Speaker #1: These savings will be derived from network integration, third-party contract efficiencies, and go-to-market savings across marketing and advertising. The combination of our assets creates a powerful force in the market, and we intend to aggressively seize incremental net adds and share of both mobility and broadband services within Frontier markets.

I'm also very pleased to announce that we have completed a comprehensive long-term agreement with Comcast and Charter to continue our partnership.

We obviously can't reveal any of the details, but each of us agrees. The partnership is on very solid footing financially operationally and strategically

It is in a creative deal that ensures their customers remain on the best network.

Speaker #1: I'm also very pleased to announce that we have completed a comprehensive long-term agreement with Comcast and Charter to continue our partnership. We obviously can't reveal any of the details, but each of us agrees the partnership is on very solid footing.

Finally, we are targeting the launch of our new value proposition in the first half of this year.

We are in deep market research with a very sophisticated conjoin analysis.

Daniel Schulman: We obviously can't reveal any of the details, but each of us agrees the partnership is on very solid footing, financially, operationally, and strategically. It is an accretive deal that ensures their customers remain on the best network. Finally, we are targeting the launch of our new value proposition in the first half of this year. We are in deep market research with a very sophisticated conjoined analysis that is providing us with detailed customer feedback, projected market dynamics, and associated financial and operational metrics. I'm encouraged to say that the feedback is quite positive. Obviously, all of you and our competitors want the details. The good news is we have them, and we are now in the fine-tuning stage of our value proposition work.

We obviously can't reveal any of the details, but each of us agrees the partnership is on very solid footing, financially, operationally, and strategically. It is an accretive deal that ensures their customers remain on the best network. Finally, we are targeting the launch of our new value proposition in the first half of this year. We are in deep market research with a very sophisticated conjoined analysis that is providing us with detailed customer feedback, projected market dynamics, and associated financial and operational metrics. I'm encouraged to say that the feedback is quite positive. Obviously, all of you and our competitors want the details. The good news is we have them, and we are now in the fine-tuning stage of our value proposition work.

That is providing us with detailed customer feedback.

Projected market dynamics and Associated financial and operational metrics.

Speaker #1: Financially, operationally, and strategically, it is a creative deal that ensures their customers remain on the best network. Finally, we are targeting the launch of our new value proposition in the first half of this year.

I'm encouraged to say that the feedback is quite positive.

Obviously, all of you and our competitors want the details.

The good news is we have them and we are now in the fine-tuning stage of our value proposition work.

Speaker #1: We are in deep market research with a very sophisticated conjoint analysis that is providing us with detailed customer feedback, projected market dynamics, and associated financial and operational metrics.

We are not going to show our hand until the day. We launched our guidance, incorporates our view of how the new value proposition will impact our volumes and financials based on significant Market, input and data analytics.

Speaker #1: I'm encouraged to say that the feedback is quite positive. Obviously, all of you and our competitors want the details. The good news is we have them, and we are now in the fine-tuning stage of our value proposition work.

We are driving a customer obsessed culture, deep into the organization.

We are reducing complexity eliminating, the things customers hate and removing pain points to make it easier to do business with us.

Speaker #1: We are not going to show our hand until the day we launch, but our guidance incorporates our view of how the new value proposition will impact our volumes and financials, based on significant market input and data analytics.

Daniel Schulman: We are not going to show our hand until the day we launch, but our guidance incorporates our view of how the new value proposition will impact our volumes and financials based on significant market input and data analytics. We are driving a customer-obsessed culture deep into the organization. We are reducing complexity, eliminating the things customers hate, and removing pain points to make it easier to do business with us. To do this successfully and efficiently, we are determined to be an AI-first company, deploying AI at scale. We will use AI to optimize our operations and fundamentally reshape the customer experience. We are leveraging it to simplify offers, personalize interactions, and reduce churn through smart, consistent marketing. By using predictive models, we can anticipate customer pain points before they happen, allowing us to solve problems proactively.

We are not going to show our hand until the day we launch, but our guidance incorporates our view of how the new value proposition will impact our volumes and financials based on significant market input and data analytics. We are driving a customer-obsessed culture deep into the organization. We are reducing complexity, eliminating the things customers hate, and removing pain points to make it easier to do business with us. To do this successfully and efficiently, we are determined to be an AI-first company, deploying AI at scale. We will use AI to optimize our operations and fundamentally reshape the customer experience. We are leveraging it to simplify offers, personalize interactions, and reduce churn through smart, consistent marketing. By using predictive models, we can anticipate customer pain points before they happen, allowing us to solve problems proactively.

To do this successfully and efficiently.

We are determined to be an AI first company deploying AI at scale.

We will use AI to optimize our operations and fundamentally reshape the customer experience.

Speaker #1: We are driving a customer-obsessed culture deep into the organization, we are reducing complexity, eliminating the things customers hate, and removing pain points to make it easier to do business with us.

We are leveraging it to simplify offers.

Personalized interactions.

And reduce churn through smart consistent marketing.

Speaker #1: To do this successfully and efficiently, we are determined to be an AI-first company, deploying AI at scale. We will use AI to optimize our operations and fundamentally reshape the customer experience.

by using predictive models, we can anticipate customer pain points before they happen, allowing us to solve problems proactively,

We will use our data and AI capabilities to not just massively improve our efficiency and customer satisfaction.

Speaker #1: We are leveraging it to simplify offers, personalize interactions, and reduce churn through smart, consistent marketing. By using predictive models, we can anticipate customer pain points before they happen, allowing us to solve problems proactively.

But to redefine our value propositions and deliver hyper personalized experiences.

Eventually, every individual customer will have a tailored proposition.

Beyond these internal efforts. We are unlocking new revenue streams by reimagining our existing assets.

Speaker #1: We will use our data and AI capabilities to not just massively improve our efficiency and customer satisfaction, but to redefine our value propositions, and deliver hyper-personalized experiences.

Daniel Schulman: We will use our data and AI capabilities to not just massively improve our efficiency and customer satisfaction, but to redefine our value propositions and deliver hyper-personalized experiences. Eventually, every individual customer will have a tailored proposition. Beyond these internal efforts, we are unlocking new revenue streams by reimagining our existing assets, leveraging our deep fiber footprint and distributed network facilities to enable AI at scale for our enterprise customers, including hyperscalers. I'm proud of what we have accomplished in the last 100 days. We have a financial and operational plan that is truly transformative and appropriately conservative. Our 2026 guidance is significantly more robust than our recent performance, and it reflects the beginning of our turnaround. With that, let me turn it over to Tony, who will cover our Q4 and full year 2025 results and outline our 2026 financial guidance.

We will use our data and AI capabilities to not just massively improve our efficiency and customer satisfaction, but to redefine our value propositions and deliver hyper-personalized experiences. Eventually, every individual customer will have a tailored proposition. Beyond these internal efforts, we are unlocking new revenue streams by reimagining our existing assets, leveraging our deep fiber footprint and distributed network facilities to enable AI at scale for our enterprise customers, including hyperscalers. I'm proud of what we have accomplished in the last 100 days. We have a financial and operational plan that is truly transformative and appropriately conservative. Our 2026 guidance is significantly more robust than our recent performance, and it reflects the beginning of our turnaround. With that, let me turn it over to Tony, who will cover our Q4 and full year 2025 results and outline our 2026 financial guidance.

Leveraging, our deep fiber, footprint and distributed Network facilities to enable AI at scale. For our Enterprise customers, including hyperscalers.

I'm proud of what we have accomplished in the last 1, 100 days.

Speaker #1: Eventually, every individual customer will have a tailored proposition. Beyond these internal efforts, we are unlocking new revenue streams by reimagining Our existing assets , leveraging our deep fiber footprint and distributed network facilities to enable AI at scale for our entities .

We have a financial and operational plan that is truly transformative and appropriately conservative.

Our 2026 guidance is.

Significantly more robust than our recent performance.

And it reflects the beginning of our turnaround.

Speaker #1: To enable AI at scale for our enterprise customers, including hyperscalers. I'm proud of what we have accomplished in the last 100 days.

With that, let me turn it over to Tony who will cover our fourth quarter and full year 2025 results and outline our 2026 Financial guidance.

Thanks Dan and good morning.

Speaker #1: We have a financial and operational plan that is truly transformative and appropriately conservative. Our 2026 guidance is significantly more robust than our recent performance, and it reflects the beginning of our turnaround.

We finished 2025 with strong operational momentum while also achieving our full year Financial guidance.

Speaker #1: With that, let me turn it over to Tony, who will cover our fourth quarter and full year 2025 results and outline our 2026 financial guidance.

In the fourth quarter, we added over 1 million net ads across mobility and Broadband. Our highest reported quarterly volumes in 6 years.

Tony Skiadas: Thanks, Dan, and good morning. We finished 2025 with strong operational momentum while also achieving our full year financial guidance. This includes our previously raised guidance for Adjusted EBITDA, Adjusted EPS, and Free Cash Flow. In the fourth quarter, we added over 1 million net adds across mobility and broadband, our highest reported quarterly volumes in six years. We ended the year funding growth, delivering high-quality net adds across mobility and broadband with healthy customer lifetime values. We accomplished this while taking decisive steps to transform our cost structure, ensuring that we have the necessary flexibility to invest in our customers and business going forward. Q4 postpaid phone net adds were 616,000. This was our best net add quarter in six years as our offers resonated in the market. Our consumer team executed exceptionally well across the holiday season, especially with new-to-Verizon sales.

We ended the year funding growth delivering high quality net ads across mobility and Broadband with healthy customer lifetime values.

Speaker #1: Thanks .

Speaker #2: Dan , and good morning . We finished 2025 with strong operational momentum while also achieving our full year financial guidance . This includes our previously raised guidance for adjusted EBITDA , adjusted EPs and free cash flow in the fourth quarter .

We accomplished this while taking decisive steps to transform, our cost structure, ensuring that we have the necessary flexibility to invest in our customers and business going forward.

Quarter postpaid, phone, net ads were 616,000.

Speaker #2: We added over 1 million net adds across mobility and broadband , our highest reported quarterly volumes in six years . We ended the year funding growth , delivering high quality net adds across mobility and broadband , with healthy customer lifetime values .

This was our best net. Add quarter in 6 years as our offers resonated in the market.

Our consumer team executed exceptionally well across the holiday season, especially with new to Verizon sales.

Speaker #2: We accomplished this while taking decisive steps to transform our cost structure, ensuring that we have the necessary flexibility to invest in our customers and business going forward.

Consumer postpaid phone. Net adds a 551,000 were driven by strong demand as we leveraged our financial strength and flexibility to fund growth opportunities.

In our business segments. We continue to see growth in the small and medium business and Enterprise sectors.

Speaker #2: Fourth quarter postpaid phone net adds were 616,000 . This was our best net add quarter in six years as our offers resonated in the market .

Public sector results were impacted by residual disconnects from government efficiency efforts as well as the federal government shutdown.

Speaker #2: Our consumer team executed exceptionally well across the season holiday , especially with new to Verizon sales , consumer postpaid phone net adds of 551,000 were driven by strong demand .

However, public sector performance improved from the prior quarter.

Tony Skiadas: Consumer postpaid phone net adds of 551,000 were driven by strong demand as we leveraged our financial strength and flexibility to fund growth opportunities. In our business segment, we continued to see growth in the small and medium business and enterprise sectors. Public sector results were impacted by residual disconnects from government efficiency efforts, as well as the federal government shutdown. However, public sector performance improved from the prior quarter. With the vast majority of these related disconnects behind us, we expect to see further improvements in public sector wireless volumes across the first half of 2026. Postpaid phone churn remained elevated in the quarter, largely from prior pricing actions as well as competition. Churn remains a pivotal opportunity in 2026, and we expect our investment in the customer, as well as increased convergence opportunities, to benefit retention over the next few quarters.

Consumer postpaid phone net adds of 551,000 were driven by strong demand as we leveraged our financial strength and flexibility to fund growth opportunities. In our business segment, we continued to see growth in the small and medium business and enterprise sectors. Public sector results were impacted by residual disconnects from government efficiency efforts, as well as the federal government shutdown. However, public sector performance improved from the prior quarter. With the vast majority of these related disconnects behind us, we expect to see further improvements in public sector wireless volumes across the first half of 2026. Postpaid phone churn remained elevated in the quarter, largely from prior pricing actions as well as competition. Churn remains a pivotal opportunity in 2026, and we expect our investment in the customer, as well as increased convergence opportunities, to benefit retention over the next few quarters.

With a vast majority of these related. Disconnects behind us. We expect to see further improvements in public sector Wireless volumes across the first half of 2026.

Speaker #2: As we leveraged our financial strength and flexibility to fund growth opportunities in our business segment , we continue to see growth in the small and medium business and enterprise sectors .

Postpaid, phone insurance remain elevated in the quarter largely from prior pricing actions as well as competition.

Speaker #2: Public sector results were impacted by residual disconnects from government efficiency efforts , as well as the federal government shutdown . However , public sector performance improved from the prior quarter , with the vast majority of these related disconnects behind us .

Charm remains a pivotal opportunity in 2026 and we expect our investment in the customer, as well as increase convergence opportunities to benefit retention over the next few quarters.

In core prepaid, we continue to take share.

Fourth quarter, net ads were 109,000, our sixth consecutive quarter of positive customer growth.

Speaker #2: We expect to see further improvements in public sector wireless volumes across the first half of 2026 . Postpaid phone churn remained elevated in the quarter , largely from prior pricing actions , as well as competition .

Our visible and total Wireless Brands continue their strong performance.

Speaker #2: remains a pivotal Churn opportunity in 2026 , and we expect our investment in the customer as well as increased convergence opportunities to benefit retention over the next few quarters .

We finished the year with over 2,000, total Wireless stores across the country and we have good momentum with our key Brands. Going into 2026, moving to broadband. We also continue to take meaningful, share.

Tony Skiadas: In core prepaid, we continued to take share. Fourth quarter net adds were 109,000, our sixth consecutive quarter of positive customer growth. Our Visible and Total Wireless brands continued their strong performance. We finished the year with over 2,000 Total Wireless stores across the country, and we have good momentum with our key brands going into 2026. Moving to broadband, we also continued to take meaningful share. Fourth quarter net adds were 372,000, our highest of the year, reflecting strong customer demand across both fixed wireless access and fiber. Fixed wireless access net adds were 319,000. The quarter-over-quarter improvement was driven by our consumer segment and reflects the innovation and expansion around the product offering. Fios Internet delivered 67,000 net adds, our highest fourth quarter net additions since 2020.

In core prepaid, we continued to take share. Fourth quarter net adds were 109,000, our sixth consecutive quarter of positive customer growth. Our Visible and Total Wireless brands continued their strong performance. We finished the year with over 2,000 Total Wireless stores across the country, and we have good momentum with our key brands going into 2026. Moving to broadband, we also continued to take meaningful share. Fourth quarter net adds were 372,000, our highest of the year, reflecting strong customer demand across both fixed wireless access and fiber. Fixed wireless access net adds were 319,000. The quarter-over-quarter improvement was driven by our consumer segment and reflects the innovation and expansion around the product offering. Fios Internet delivered 67,000 net adds, our highest fourth quarter net additions since 2020.

Speaker #2: Prepaid , we In core continued to take share . Fourth quarter net adds were 109,000 , our sixth consecutive quarter of positive customer growth .

Fourth quarter, net ads were 372,000, our highest of the Year, reflecting strong, customer demand, across both fixed, wireless access and fiber.

Fixed wireless access. Net ads were 319,000.

Speaker #2: Our Visible and Total Wireless brands continue their strong performance. We finished the year with over 2,000 Total Wireless stores across the country, and we have good momentum with our key brands going into 2026, moving to broadband.

The quarter over, quarter Improvement was driven by our consumer segments and reflects the Innovation and expansion around the product offering.

Files internet delivered 67,000. Net adds our highest fourth quarter. Net addition since 2020.

Speaker #2: We also continue to take meaningful share. Fourth quarter net adds were 372,000, our highest of the year, reflecting strong customer demand across both fixed wireless access and fiber fixed wireless access.

Files continues to be the gold standard for Broadband connectivity.

We are excited to grow a fiber footprint through different tier acquisition and the Tillman partnership.

Speaker #2: adds Net were 319,000 . The quarter over quarter . Improvement was driven by our consumer segment and reflects the innovation and expansion around the product offering .

Frontier delivered, an exceptional performance in the fourth quarter generating, 125,000 fiber, net, additions representing a 29% increase over the prior year.

Speaker #2: Fios internet delivered 67,000 net adds . Our highest fourth quarter net additions since 2020 . Fios continues to be the gold standard for broadband connectivity .

Tony Skiadas: Fios continues to be the gold standard for broadband connectivity. We are excited to grow our fiber footprint through the Frontier acquisition and the Tillman partnership. Frontier delivered an exceptional performance in the fourth quarter, generating 125,000 fiber net additions, representing a 29% increase over the prior year. This momentum was supported by strong operational pace. Frontier deployed approximately 1.3 million new fiber passings in 2025, bringing their footprint to more than 9 million fiber passings. We are incredibly pleased to have Frontier in our portfolio, and we're excited about the long-term growth potential these assets provide. When we combined Frontier, FWA, and Fiber, net adds were almost 1.9 million for 2025, resulting in over 16.3 million connections.

Fios continues to be the gold standard for broadband connectivity. We are excited to grow our fiber footprint through the Frontier acquisition and the Tillman partnership. Frontier delivered an exceptional performance in the fourth quarter, generating 125,000 fiber net additions, representing a 29% increase over the prior year. This momentum was supported by strong operational pace. Frontier deployed approximately 1.3 million new fiber passings in 2025, bringing their footprint to more than 9 million fiber passings. We are incredibly pleased to have Frontier in our portfolio, and we're excited about the long-term growth potential these assets provide. When we combined Frontier, FWA, and Fiber, net adds were almost 1.9 million for 2025, resulting in over 16.3 million connections.

This momentum was supported by a strong, operational Pace, Frontier deployed approximately 1.3 million new fiber passings in 2025 bringing their footprint to more than 9 million fiber passings.

Speaker #2: We are excited to grow fiber footprint through the Frontier acquisition and the Tillman partnership. Frontier delivered an exceptional performance in the fourth quarter, generating 125,000 fiber net additions, representing a 29% increase over the prior year.

We are incredibly pleased to have Frontier in our portfolio and we're excited about the long-term growth potential of these assets provide.

When we combine Frontier fwa and fiber that adds were almost 1.9 million for 2025 resulting in over 16.3 million connections.

Speaker #2: This momentum was supported by a strong operational pace . Frontier deployed approximately 1.3 million new fiber passings in 2025 , bringing their footprint more to than 9 million fiber passings .

while we are in the initial stages of our strategic transformation, our execution is already yielding significant progress across both mobility and Broadband platforms

Speaker #2: We are incredibly pleased to have frontier in our portfolio , and about the excited long term growth potential of these assets , provide when we combine frontier and Fiber net adds were almost 1.9 million for 2025 , resulting in over 16.3 million connections .

Turning to our financial results. We delivered on all of our 2025 Financial guidance, even as we undertook a change in strategy in the fourth quarter,

this reflects the strength and resiliency of our business and provides a good jumping off point for 2026.

Wireless service revenue for the full year of grew 2%.

Tony Skiadas: While we are in the initial stages of our strategic transformation, our execution is already yielding significant progress across both mobility and broadband platforms. Turning to our financial results, we delivered on all of our 2025 financial guidance, even as we undertook a change in strategy in Q4. This reflects the strength and resiliency of our business and provides a good jumping-off point for 2026. Wireless service revenue for the full year grew 2%. The Q4 performance reflects an increased emphasis on disciplined, volume-based growth. As the revenue benefits of a volume-based growth model scale across 2026, we will continue to rely on growth from areas such as FWA, perks, premium mix, and prepaid to help offset continued promo amortization pressures, as well as lapping last year's price increases. I'm proud of our team's efforts to meaningfully reduce our cost structure.

While we are in the initial stages of our strategic transformation, our execution is already yielding significant progress across both mobility and broadband platforms. Turning to our financial results, we delivered on all of our 2025 financial guidance, even as we undertook a change in strategy in Q4. This reflects the strength and resiliency of our business and provides a good jumping-off point for 2026. Wireless service revenue for the full year grew 2%. The Q4 performance reflects an increased emphasis on disciplined, volume-based growth. As the revenue benefits of a volume-based growth model scale across 2026, we will continue to rely on growth from areas such as FWA, perks, premium mix, and prepaid to help offset continued promo amortization pressures, as well as lapping last year's price increases. I'm proud of our team's efforts to meaningfully reduce our cost structure.

fourth quarter performance, reflects it increased emphasis on disciplined volume-based growth

Speaker #2: While we are in the initial stages of our strategic transformation , our execution is already yielding significant progress across both mobility and broadband platforms .

as the revenue benefits of a volume-based growth model scale across 2026. We will continue to rely on growth from areas such as fwa.

Perks.

Speaker #2: Turning to our financial results, we delivered on all of our 2025 financial guidance, even as we undertook a change in strategy in the fourth quarter.

Premium mix and prepaid to help offset continued promo amortization pressures as well as lapping last year's price increases.

Speaker #2: This reflects the strength and resiliency of our business and provides a good jumping off point for 2026 . Wireless service revenue for the full year grew 2% .

I'm proud of our team's efforts to meaningfully reduce our cost structure.

To create flexibility to invest in the customer while also delivering strong financial results.

Speaker #2: The fourth quarter performance reflects an increased emphasis on disciplined, volume-based growth, as the revenue benefits of a volume-based growth model.

For the quarter.

Speaker #2: Scale across 2026 . We will continue to rely on growth from areas such as FWA perks , premium mix and prepaid to help offset continued promo amortization pressures , as well as lapping last year's price increases .

4 year adjusted ibida, which we expect to be industry-leading with fifty billion dollars.

This was an increase of 1.2 billion or 2.5% from the prior year and within our guided range.

Speaker #2: I'm proud of our team's efforts to meaningfully reduce our cost structure. Our goal is to create flexibility to invest in the customer, while also delivering strong financial results.

Adjusted EPS for the fourth quarter was a19 bringing the full year number to 4 dollars.

Tony Skiadas: Our goal is to create flexibility to invest in the customer while also delivering strong financial results. Consolidated Adjusted EBITDA was $11.9 billion for the quarter. Full year Adjusted EBITDA, which we expect to be industry-leading, was $50 billion. This was an increase of $1.2 billion or 2.5% from the prior year and within our guided range. Adjusted EPS for the fourth quarter was $1.09, bringing the full year number to $4.71. The 2025 growth of 2.6% from the prior year was driven primarily by the strength in Adjusted EBITDA. Our cash generation remains a key strength for Verizon. Cash flow from operating activities was $37.1 billion for the full year, up year-over-year, even with stronger volume growth....

Our goal is to create flexibility to invest in the customer while also delivering strong financial results. Consolidated Adjusted EBITDA was $11.9 billion for the quarter. Full year Adjusted EBITDA, which we expect to be industry-leading, was $50 billion. This was an increase of $1.2 billion or 2.5% from the prior year and within our guided range. Adjusted EPS for the fourth quarter was $1.09, bringing the full year number to $4.71. The 2025 growth of 2.6% from the prior year was driven primarily by the strength in Adjusted EBITDA. Our cash generation remains a key strength for Verizon. Cash flow from operating activities was $37.1 billion for the full year, up year-over-year, even with stronger volume growth....

The 2025 growth of 2.6% from the prior year was driven primarily by the strength in adjusted IA.

Speaker #2: Consolidated adjusted EBITDA was $11.9 billion for the quarter . Full year adjusted EBITDA , which we expect to be industry leading , was $50 billion .

Our cash generation remains a key strength for Verizon.

Cash flow from operating activities, was 37.1 billion for the full year up year-over-year even with stronger volume growth.

Speaker #2: This was an increase of 1.2 billion , or 2.5% , from the prior year . our guided within range , adjusted EPs for the fourth quarter was $1.09 , bringing the full year number to $4.71 .

Year, total of 17 billion.

we delivered on all of our growth initiatives across seaband and those builds

The team has done a great job, finding efficiencies across mobility and Broadband with more to come in 2026.

Speaker #2: The 2025 growth of 2.6% from the prior year was driven primarily by the strength in adjusted EBITDA. Our cash generation remains a key strength for Verizon. Cash flow from operating activities was $37.1 billion for the full year, up year over year.

As of today, our CB band buildout is about 90%, complete and covers approximately, 300 million pops.

Tony Skiadas: CapEx for the full year totaled $17 billion. We delivered on all of our growth initiatives across C-Band and Fios builds. The team has done a great job finding efficiencies across mobility and broadband, with more to come in 2026. As of today, our C-Band build-out is about 90% complete and covers approximately 300 million POPs. Additionally, we exceeded our Fios build targets for the year. For the full year 2025, we generated $20.1 billion in free cash flow, which we anticipate will once again be industry-leading. Net unsecured debt at the end of 2025 was $110.1 billion, a $3.6 billion improvement year over year.

CapEx for the full year totaled $17 billion. We delivered on all of our growth initiatives across C-Band and Fios builds. The team has done a great job finding efficiencies across mobility and broadband, with more to come in 2026. As of today, our C-Band build-out is about 90% complete and covers approximately 300 million POPs. Additionally, we exceeded our Fios build targets for the year. For the full year 2025, we generated $20.1 billion in free cash flow, which we anticipate will once again be industry-leading. Net unsecured debt at the end of 2025 was $110.1 billion, a $3.6 billion improvement year over year.

Speaker #2: With stronger volume growth, CapEx for the full year totaled $17 billion. We delivered on all of our growth initiatives across C-Band and Fios builds.

Additionally, we exceeded our files. Bill targets for the year, for the full year. 2025. We generated 20.1 billion dollars in free cash flow, which we anticipate will once again be industry-leading.

Speaker #2: The team has done a great job finding efficiencies across mobility and broadband , with more to come 2026 . in As of today , our C-band buildout is about 90% complete and covers approximately 300 million Pops .

Net unsecured debt. At the end of 2025 was 110.1 billion, a 3.6 billion Improvement year-over-year.

We continue to make meaningful, reductions to our debt throughout the year resulting, in our net unsecured debt to Consolidated adjusted ebit. Ratio ending at 2.2 times as of the end of 2025,

Speaker #2: Additionally , we exceeded our Fios build targets for the year . For the full year 2025 , we generated $20.1 billion in free cash flow , which we anticipate will once again be industry leading net unsecured debt .

this represents our second quarter in a row that we were inside of our leverage Target prior to the frontier closing.

Speaker #2: At the end of 2025 was $110.1 billion . A $3.6 billion improvement year over continue We year to make meaningful reductions to our debt throughout the year , resulting in our net unsecured debt to consolidated adjusted EBITDA ratio ending at 2.2 times as of the end of 2025 .

Additionally, we had 1.3 billion in discretionary, pension contributions during 2025, which resulted in the pension being fully funded as of the end of the fourth quarter.

Tony Skiadas: We continued to make meaningful reductions to our debt throughout the year, resulting in our net unsecured debt to consolidated Adjusted EBITDA ratio ending at 2.2 times as of the end of 2025. This represents our second quarter in a row that we were inside of our leverage target prior to the Frontier closing. Additionally, we had $1.3 billion in discretionary pension contributions during 2025, which resulted in the pension being fully funded as of the end of Q4. Funding for the Frontier transaction was completed in Q4. Both the amount we needed to raise for Frontier and the rates we achieved came in favorable to our original expectations.

We continued to make meaningful reductions to our debt throughout the year, resulting in our net unsecured debt to consolidated Adjusted EBITDA ratio ending at 2.2 times as of the end of 2025. This represents our second quarter in a row that we were inside of our leverage target prior to the Frontier closing. Additionally, we had $1.3 billion in discretionary pension contributions during 2025, which resulted in the pension being fully funded as of the end of Q4. Funding for the Frontier transaction was completed in Q4. Both the amount we needed to raise for Frontier and the rates we achieved came in favorable to our original expectations.

Funding for the frontier. Transaction was completed in the fourth quarter.

Both the amount we needed to raise for Frontier and the rates we achieved came in favorable to our original expectations.

Speaker #2: This represents our second quarter in a row that we were inside of our leverage target prior to the frontier closing Additionally , . had discretionary pension 1.3 billion in contributions during 2025 , which resulted in the pension being fully funded as of the end of the fourth quarter .

By the end of January, we will have paid down approximately 5.7 billion of Frontiers debt since closing. On the 20th. Moving quickly to realize benefits from the strength of our balance sheet.

As we indicated before we expect our unsecured, leverage ratio to increase by approximately 0.25 times. Once Frontiers ibida contributions are factored in

Speaker #2: Funding for the Frontier transaction was completed in the fourth quarter. Both the amount we needed to raise for Frontier and the rates we achieved came in favorable to our original expectations.

Looking ahead, 2026 represents an exciting opportunity for Verizon.

Our guidance reflects the impact of the Bold actions, we have taken recently.

Tony Skiadas: By the end of January, we will have paid down approximately $5.7 billion of Frontier's debt since closing on the twentieth, moving quickly to realize benefits from the strength of our balance sheet. As we indicated before, we expect our unsecured leverage ratio to increase by approximately 0.25 times once Frontier's EBITDA contributions are factored in. Looking ahead, 2026 represents an exciting opportunity for Verizon. Our guidance reflects the impact of the bold actions we have taken recently. We expect to deliver performance that is a step function improvement from our recent historical trends across our key metrics. We're taking actions to ensure we have the financial flexibility to invest in the customer, drive improvements in postpaid phone net adds, and expand our broadband base. Our guidance reflects the beginning of our transformation.

By the end of January, we will have paid down approximately $5.7 billion of Frontier's debt since closing on the twentieth, moving quickly to realize benefits from the strength of our balance sheet. As we indicated before, we expect our unsecured leverage ratio to increase by approximately 0.25 times once Frontier's EBITDA contributions are factored in. Looking ahead, 2026 represents an exciting opportunity for Verizon. Our guidance reflects the impact of the bold actions we have taken recently. We expect to deliver performance that is a step function improvement from our recent historical trends across our key metrics. We're taking actions to ensure we have the financial flexibility to invest in the customer, drive improvements in postpaid phone net adds, and expand our broadband base. Our guidance reflects the beginning of our transformation.

Speaker #2: By the end of January , we will have paid down approximately 5.7 billion of Frontier's debt since closing on the 20th , moving quickly to realize benefits from the our strength of balance sheet .

We expect to deliver performance. That is a step function improvement from our recent historical Trends across our key metrics.

We're taking actions to ensure. We have the financial flexibility to invest in the customer.

Speaker #2: As we indicated before , we expect our unsecured leverage ratio to increase by approximately 0.25 times once Frontier's EBITDA contributions are factored in .

Drive improvements and post-paid phone, net ads and expand our Broadband base.

Our guidance for Flex, the beginning of our transformation.

For the first time we're guiding to our Consolidated post-paid phone, net ads.

Speaker #2: Looking ahead, 2026 represents an exciting opportunity for Verizon. Our guidance reflects the impact of the bold actions we have taken recently.

We expect to deliver approximately 2 to 3 times, our 2025 total.

Speaker #2: We expect to deliver performance that is a step function our improvement from recent key metrics across our historical trends . We're taking actions to ensure we have the financial flexibility to invest in the customer drive , improvements in postpaid phone net adds , and expand our broadband base .

Targeting a range of 750,000 to 1 million post-paid phone. Net adds in 2026.

Our 2026 Financial guidance includes Frontier from January 20th to the closing date of the acquisition.

Speaker #2: Our guidance reflects the beginning of our transformation . For the first time , we're guiding to our consolidated postpaid phone net adds . We expect to deliver approximately 2 to 3 times our 2025 total , targeting a range of 750,000 to 1 million postpaid phone net adds in 2026 .

Tony Skiadas: For the first time, we're guiding to our consolidated postpaid phone net adds. We expect to deliver approximately 2 to 3 times our 2025 total, targeting a range of 750,000 to 1 million postpaid phone net adds in 2026. Our 2026 financial guidance includes Frontier from 20 January, the closing date of the acquisition. As we work towards driving sustainable and disciplined volume-based revenue growth, we anticipate that 2026 will be a transitional year for revenue as we lap prior year price increases, absorb promotional amortization, and await the benefits from churn reduction and increased volumes. We are guiding to 2 to 3% mobility and broadband service revenue growth, which equates to approximately $93 billion. We expect wireless service revenue growth to be approximately flat in 2026.

For the first time, we're guiding to our consolidated postpaid phone net adds. We expect to deliver approximately 2 to 3 times our 2025 total, targeting a range of 750,000 to 1 million postpaid phone net adds in 2026. Our 2026 financial guidance includes Frontier from 20 January, the closing date of the acquisition. As we work towards driving sustainable and disciplined volume-based revenue growth, we anticipate that 2026 will be a transitional year for revenue as we lap prior year price increases, absorb promotional amortization, and await the benefits from churn reduction and increased volumes. We are guiding to 2 to 3% mobility and broadband service revenue growth, which equates to approximately $93 billion. We expect wireless service revenue growth to be approximately flat in 2026.

As we work towards driving, sustainable and disciplined volume-based Revenue growth, we anticipate that 2026 will be a transitional year for Revenue as we lap prior year, price increases absorb promotional amortization and await the benefits from turn reduction and increased volumes.

We are guiding to 2 to 3 percent mobility and broadband service Revenue growth which equates to approximately 93 billion.

Speaker #2: Our 2026 financial guidance includes frontier from January 20th , the closing date of the acquisition . As we work towards driving sustainable and disciplined volume based revenue growth , we anticipate that 2026 will be a transitional year for revenue as we lap prior year price increases , absorb promotional amortization and await the benefits from churn reduction and increased volumes guiding .

We expect wireless service Revenue growth to be approximately flat in 2026.

having Broadband in our service Revenue guidance, reflects the importance of both mobility and Broadband as key growth drivers in the future,

We have streamlined, our organizational structure and are conducting a rigorous bottom-up review of our entire cost base.

Over the last 100 days. We have implemented. Several actions that would deliver multi-billion dollar benefits in 2026.

Speaker #2: 2 to 3% mobility to are We broadband service revenue growth , which equates to approximately $93 billion . We expect wireless service revenue growth to be approximately flat in 2026 .

Including our reduction in Workforce, as well as acid and business. Rationalization efforts.

Tony Skiadas: Having broadband in our service revenue guidance reflects the importance of both mobility and broadband as key growth drivers in the future. We have streamlined our organizational structure and are conducting a rigorous bottoms-up review of our entire cost base. Over the last 100 days, we have implemented several actions that will deliver multibillion-dollar benefits in 2026, including a reduction in workforce, as well as asset and business rationalization efforts. The work on our cost structure will continue in 2026 as we simplify operations, deliver Frontier synergies, and exit low-margin businesses. As Dan mentioned, we have line of sight to delivering $5 billion of operating expense savings in 2026. We are reinvesting a portion of these savings to drive a higher quality revenue profile, which in turn creates a more profitable and stable foundation for sustainable long-term growth.

Having broadband in our service revenue guidance reflects the importance of both mobility and broadband as key growth drivers in the future. We have streamlined our organizational structure and are conducting a rigorous bottoms-up review of our entire cost base. Over the last 100 days, we have implemented several actions that will deliver multibillion-dollar benefits in 2026, including a reduction in workforce, as well as asset and business rationalization efforts. The work on our cost structure will continue in 2026 as we simplify operations, deliver Frontier synergies, and exit low-margin businesses. As Dan mentioned, we have line of sight to delivering $5 billion of operating expense savings in 2026. We are reinvesting a portion of these savings to drive a higher quality revenue profile, which in turn creates a more profitable and stable foundation for sustainable long-term growth.

Speaker #2: Having broadband in our service revenue guidance reflects the importance of both mobility and broadband as key growth drivers in the future . We have streamlined our organizational structure and are conducting a rigorous bottoms up review of our entire cost base over the last hundred days , we have implemented several actions that will deliver multibillion dollar benefits in 2026 , including a reduction in workforce as well as asset and business rationalization efforts .

The work on our cost structure, will continue in 2026. As we simplify operations, deliver Frontier synergies and exit, low Market businesses.

As Dan mentioned, we have line of sight to delivering 5 billion dollars of operating expense Savings in 2026.

Higher quality Revenue profile, which in turn creates a more profitable and stable foundation for sustainable long-term growth.

Speaker #2: The work on our cost structure will continue in 2026 as we simplify operations , deliver frontier synergies and exit low margin businesses . As Dan mentioned , we have line of sight to delivering $5 billion of operating expense savings in 2026 .

Based on our anticipated Revenue performance, combined with the strength of our cost. Efficiencies, we expect adjusted EPS to be in the range of $4.90 to $4.95 for the full year or year-over-year growth of 4 to 5%.

This represents a significant acceleration compared to our recent historical performance.

Speaker #2: Savings to these, we are reinvesting a portion to drive a quality revenue profile, which in turn creates a more profitable and stable foundation for sustainable, long-term growth.

While we are not guiding on adjusted Eva, we do expect adjusted Eva to grow at a faster rate than adjusted eps.

Tony Skiadas: Based on our anticipated revenue performance, combined with the strength of our cost efficiencies, we expect Adjusted EPS to be in the range of $4.90 to 4.95 for the full year, or year-over-year growth of 4% to 5%. This represents a significant acceleration compared to our recent historical performance. While we are not guiding on Adjusted EBITDA, we do expect Adjusted EBITDA to grow at a faster rate than Adjusted EPS. Our 2026 CapEx spending is expected to be in the range of $16 to 16.5 billion, a combined improvement of $4 billion from Verizon and Frontier's capital expenditures from 2025. We are bringing the same rigor to our capital expenditures as we are to our P&L, while not sacrificing any of our network excellence for mobility and broadband.

Based on our anticipated revenue performance, combined with the strength of our cost efficiencies, we expect Adjusted EPS to be in the range of $4.90 to 4.95 for the full year, or year-over-year growth of 4% to 5%. This represents a significant acceleration compared to our recent historical performance. While we are not guiding on Adjusted EBITDA, we do expect Adjusted EBITDA to grow at a faster rate than Adjusted EPS. Our 2026 CapEx spending is expected to be in the range of $16 to 16.5 billion, a combined improvement of $4 billion from Verizon and Frontier's capital expenditures from 2025. We are bringing the same rigor to our capital expenditures as we are to our P&L, while not sacrificing any of our network excellence for mobility and broadband.

Speaker #2: Based on our anticipated revenue performance , combined with the strength of our cost efficiencies , we expect adjusted EPs to be in the range of $4.90 to $4.95 for the full year or year over year growth of 4 to 5% .

Our 2026 capex spending is expected to be in the range of 16 to 16.5 billion, a combined Improvement of 4 billion dollars from Verizon and Frontiers Capital expenditures from 2025.

Speaker #2: This represents a significant acceleration compared to our recent historical performance. While we are not guiding on adjusted EBITDA, we do expect adjusted EBITDA to grow at a faster rate than adjusted EPS.

We are bringing the same rigor to our Capital expenditures as we are to our p&l while not sacrificing any of our Network Excellence for mobility and broadband.

The efficiency work that helped us come in below. Our 2025 capex range has only just begun.

Speaker #2: Our 2026 CapEx spending is expected to be in the range of $16 to $16.5 billion, a combined improvement of $4 billion from Verizon and Frontier's capital expenditures from 2025.

in addition, our cban bill will be substantially complete in 2026 and any initiatives outside of mobility and Broadband are being aggressively rationalized

Speaker #2: We are bringing the same rigor to our capital expenditures as we are to our P&L, while not sacrificing any of our network excellence for mobility and broadband.

We expect free cash flow to be 21.5 billion or more growing approximately 7% or more which will Mark our highest free cash flow generated since 2020.

Tony Skiadas: The efficiency work that helped us come in below our 2025 CapEx range has only just begun. In addition, our C-Band build will be substantially complete in 2026, and any initiatives outside of mobility and broadband are being aggressively rationalized. We expect free cash flow to be $21.5 billion or more, growing approximately 7% or more, which will mark our highest free cash flow generated since 2020. As we communicated at the announcement of the Frontier acquisition, we anticipated the inclusion of Frontier's results to be cash flow dilutive in 2026, given the investments being made to expand the fiber footprint. However, because of the work being done to streamline our cost structure,...

The efficiency work that helped us come in below our 2025 CapEx range has only just begun. In addition, our C-Band build will be substantially complete in 2026, and any initiatives outside of mobility and broadband are being aggressively rationalized. We expect free cash flow to be $21.5 billion or more, growing approximately 7% or more, which will mark our highest free cash flow generated since 2020. As we communicated at the announcement of the Frontier acquisition, we anticipated the inclusion of Frontier's results to be cash flow dilutive in 2026, given the investments being made to expand the fiber footprint. However, because of the work being done to streamline our cost structure,...

Speaker #2: The efficiency work that helped us come in below our 2025 CapEx range has only just begun. In addition, our C-band bill will be substantially complete in 2026, and any initiatives outside of mobility and broadband are being aggressively rationalized.

As we communicated at the announcement of the frontier acquisition, we anticipated the inclusion of Frontiers results to be cash flow dilutive in 2026 given the Investments being made to expand the fiber footprint.

Speaker #2: We expect free cash flow to be $21.5 billion or more, growing approximately 7% or more, which will mark our highest free cash flow generated since 2020.

However, because of the work being done to streamline our cost structure, grow, adjusted EPs, and drive capex. Efficiencies. We are now in a position to grow our free cash flow in 2026, even with the inclusion of Frontier and our investments in the customer.

Speaker #2: As we communicated at the announcement of the Frontier acquisition, we anticipated the inclusion of Frontier's results to be cash flow dilutive in 2026.

Our strong free cash flow generation. Enables us to execute on our Capital allocation priorities, including strategic Investments and paying down debt.

We expect to return to our Target. Leverage range of 2.0 2.25 times in the 2027 time frame.

Speaker #2: Given investments the being made to expand fiber the footprint . However , because of the work being done to streamline our cost structure , grow adjusted EPs and drive CapEx efficiencies , we are now in a position to grow our free cash flow in 2026 .

Tony Skiadas: Grow Adjusted EPS and drive CapEx efficiencies; we are now in a position to grow our Free Cash Flow in 2026, even with the inclusion of Frontier and our investments in the customer. Our strong Free Cash Flow generation enables us to execute on our capital allocation priorities, including strategic investments and paying down debt. We expect to return to our target leverage range of 2.0 to 2.25 times in the 2027 timeframe. To summarize, we delivered strong volumes in Q4, delivered on our 2025 financial guidance, and we have a plan for 2026 that accelerates our trajectory. I will now hand the call over to Dan to discuss more on our 2026 capital allocation priorities.

Grow Adjusted EPS and drive CapEx efficiencies; we are now in a position to grow our Free Cash Flow in 2026, even with the inclusion of Frontier and our investments in the customer. Our strong Free Cash Flow generation enables us to execute on our capital allocation priorities, including strategic investments and paying down debt. We expect to return to our target leverage range of 2.0 to 2.25 times in the 2027 timeframe. To summarize, we delivered strong volumes in Q4, delivered on our 2025 financial guidance, and we have a plan for 2026 that accelerates our trajectory. I will now hand the call over to Dan to discuss more on our 2026 capital allocation priorities.

To summarize, we delivered strong volumes in the fourth quarter delivered, on our 2025 Financial guidance. And we have a plan for 2026 that accelerates our trajectory.

Speaker #2: Even with the inclusion of our Frontier and Customer, our strong free cash flow generation enables us to execute on our capital allocation priorities, including strategic investments and paying down debt.

I will now hand the call over to Dan to discuss more on our 2026 Capital allocation priorities.

Speaker #2: We expect to return to our target leverage range of 2.0 to 2.25 times in the 2027 time frame . To summarize , we delivered strong volumes in the fourth quarter , delivered on our 2025 financial guidance , and we have a plan for 2026 that accelerates our trajectory .

Thanks, Tony, our 2026 guidance. Reflects our conviction that this year is not just the time of transition, but of measurable and improved performance that will only accelerate as we go into 2027 and 2028.

Our guidance for our adjusted EPS growth, our free cash flow growth and our postpaid phone net at Targets.

Our all significantly above historic trends for Verizon

Speaker #2: I will now hand the call over to Dan to more on discuss our 2026 capital allocation priorities .

Daniel Schulman: Thanks, Tony. Our 2026 guidance reflects our conviction that this year is not just a time of transition, but of measurable and improved performance that will only accelerate as we go into 2027 and 2028. Our guidance for our adjusted EPS growth, our free cash flow growth, and our postpaid phone net add targets are all significantly above historic trends for Verizon. For instance, our guidance for adjusted EPS growth of 4 to 5% represents a meaningful acceleration, increasing our growth rate by more than 70% at the midpoint of our guide compared to 2025. It is also significantly better than our 5-year historical average adjusted EPS growth rate of approximately -1%. Also, our guidance for free cash flow of $21.5 billion or more is expected to be our highest performance since 2020.

For instance, our guidance for adjusted EPS growth of 4 to 5%.

Speaker #1: Thanks , Tony . Our 2026 guidance reflects our conviction that this year is not just a time of transition , but of measurable and improved performance that will only accelerate as we go into 2027 and 2028 .

Represents a meaningful acceleration.

Increasing our growth rate by More than 70% at the midpoint of our guide compared to 2025.

Speaker #1: Our guidance for our adjusted EPS growth, our free cash flow growth, and our postpaid phone net add targets are all significantly above historic trends for Verizon.

Speaker #1: For instance, our guidance for adjusted EPS growth of 4 to 5% represents a meaningful acceleration, increasing our growth rate by more than 70% at the midpoint of our guide.

It is also significantly better than our 5-year, historical, average adjusted EPS growth rate of approximately negative 1%. Also our guidance for free cash flow of 21.5 billion, dollars or more is expected to be our highest performance since 2020.

The guided growth rate of approximately 7% or more.

Speaker #1: Compared to 2025 , it is also significantly better than our five year historical average . Adjusted growth EPs rate of approximately negative 1% .

Eclipses are average free cash flow. Growth rate of approximately negative 1% over the last 5 years.

We are targeting a range of 750,000 to 1 million postpaid phone net ads.

Speaker #1: Also , our guidance for free cash flow of $21.5 billion or more is expected to be our highest performance since 2020 . The guided growth rate of approximately 7% or more eclipses our average free cash flow rate growth of approximately negative 1% over the last five years .

Approximately 2 to 3 times, our 2025 total and the highest. Since 2021.

Daniel Schulman: The guided growth rate of approximately 7% or more eclipses our average Free Cash Flow growth rate of approximately -1% over the last five years. We are targeting a range of 750,000 to 1 million postpaid phone net adds, approximately 2 to 3 times our 2025 total, and the highest since 2021. With Frontier, we expect our mobility and broadband service revenues to grow 2 to 3%, even as we lap billions of dollars of price increases from last year that we will not repeat. I want to close by discussing our capital allocation strategy. Our framework remains unchanged. However, we are also making meaningful improvements in our capital allocation to shareholders while maintaining significant flexibility. We will be much more deliberate in how we allocate our capital spend across four key priorities.

The guided growth rate of approximately 7% or more eclipses our average Free Cash Flow growth rate of approximately -1% over the last five years. We are targeting a range of 750,000 to 1 million postpaid phone net adds, approximately 2 to 3 times our 2025 total, and the highest since 2021. With Frontier, we expect our mobility and broadband service revenues to grow 2 to 3%, even as we lap billions of dollars of price increases from last year that we will not repeat. I want to close by discussing our capital allocation strategy. Our framework remains unchanged. However, we are also making meaningful improvements in our capital allocation to shareholders while maintaining significant flexibility. We will be much more deliberate in how we allocate our capital spend across four key priorities.

with Frontier, we expect our mobility and broadband service revenues, to grow, 2 to 3%,

Even as we lap billions of dollars of price increases from last year that we will not repeat.

I want to close by discussing our Capital allocation strategy.

Speaker #1: We are targeting a range of 750,000 to 1 million. Postpaid phone net adds are approximately 2 to 3 times our 2025 total, and the highest since 2021. With Frontier, we expect our mobility and broadband service revenues to grow.

We will be much more deliberate in how we allocate our Capital spend across 4 key priorities.

Speaker #1: 2% to 3%, even as we lap billions of dollars of price increases from last year that we will not repeat. I want to close by discussing our capital allocation strategy.

Our first priority is to invest in our business.

We simply won't be satisfied without delighting our customers investing in our employees and delivering for our shareholders.

Speaker #1: Our framework remains unchanged . However , we are also making meaningful improvements in our capital allocation to shareholders while maintaining significant flexibility . We will be in how allocate capital our we deliberate spend across four key priorities .

We will continue to invest to maintain and improve the network Excellence. Our customers expect.

Importantly, we are applying the same rigor towards capex as we are on Opex efficiencies.

Daniel Schulman: Our first priority is to invest in our business. We simply won't be satisfied without delighting our customers, investing in our employees, and delivering for our shareholders. We will continue to invest to maintain and improve the network excellence our customers expect. Importantly, we are applying the same rigor towards CapEx as we are on OpEx efficiencies. As Tony mentioned earlier, we expect CapEx to be in a range of $16 to 16.5 billion for 2026. Our investment is focused squarely on our growth areas. In mobility, we are focused on the completion of our C-Band build-out and increasing our investments to assure our track record of unparalleled reliability. In broadband, we are focused on achieving our goal to reach 40 to 50 million fiber passings over the medium term. Second is our commitment to our dividend. That commitment is ironclad.

Our first priority is to invest in our business. We simply won't be satisfied without delighting our customers, investing in our employees, and delivering for our shareholders. We will continue to invest to maintain and improve the network excellence our customers expect. Importantly, we are applying the same rigor towards CapEx as we are on OpEx efficiencies. As Tony mentioned earlier, we expect CapEx to be in a range of $16 to 16.5 billion for 2026. Our investment is focused squarely on our growth areas. In mobility, we are focused on the completion of our C-Band build-out and increasing our investments to assure our track record of unparalleled reliability. In broadband, we are focused on achieving our goal to reach 40 to 50 million fiber passings over the medium term. Second is our commitment to our dividend. That commitment is ironclad.

Speaker #1: Our first priority is to invest in our business. We simply won't be satisfied without delighting our customers, investing in our employees, and delivering for our shareholders.

As Tony mentioned earlier, we expect capex to be in the range of 16 to 16.5 billion dollars for 2026.

Our investment is focused squarely on our growth areas.

Speaker #1: We will continue to invest to maintain and improve the network excellence our customers expect. Importantly, we are applying the same rigor towards CapEx as we are on OpEx efficiencies.

In Mobility, we are focused on the completion of our CB band buildout.

And increasing our investments to ensure our track record of unparalleled reliability.

Speaker #1: As Tony mentioned earlier , we expect CapEx to be in the range of 16 to $16.5 billion for 2026 . Our investment is focused squarely on our growth areas in mobility .

In Broadband, we are focused on achieving our goal to reach 40 to 50 million fiber passings over the medium-term.

Second Is our commitment to our dividend.

That commitment is Ironclad.

Speaker #1: We focused on the completion of our C-band buildout and increasing our investments to assure our track record of unparalleled reliability in broadband.

We are pleased to announce that we are pulling forward. Our annual dividend increase to the first dividend Declaration of the year.

Speaker #1: We are focused on achieving our goal to reach 40 to 50 million fiber passings over the medium term. Second is our commitment to our dividend— that commitment is ironclad.

Today, the board declared a dividend payable in May which represents an annualized increase of 7 cents a 2.5% per share, increase from our prior annual dividend rate.

This marks our 20th consecutive year of dividend increases.

Speaker #1: We are pleased to announce that we are pulling forward our annual dividend increase to the first dividend declaration of the year . Today , the board declared a dividend payable in May , which represents an annualized increase of $0.07 , a 2.5% per share increase from our prior annual dividend rate .

Daniel Schulman: We are pleased to announce that we are pulling forward our annual dividend increase to the first dividend declaration of the year. Today, the board declared a dividend payable in May, which represents an annualized increase of $0.07, a 2.5% per share increase from our prior annual dividend rate. This marks our 20th consecutive year of dividend increases, and our goal is to put the board in a position to continue to increase our dividend per our track record. Third, is maintaining a strong balance sheet. We remain committed to paying down debt and achieving our long-term net unsecured leverage target of 2.0 to 2.25 times within the 2027 timeframe. We have a strong balance sheet with significant financial capacity and flexibility for strategic investments. Fourth, is returning cash to shareholders.

We are pleased to announce that we are pulling forward our annual dividend increase to the first dividend declaration of the year. Today, the board declared a dividend payable in May, which represents an annualized increase of $0.07, a 2.5% per share increase from our prior annual dividend rate. This marks our 20th consecutive year of dividend increases, and our goal is to put the board in a position to continue to increase our dividend per our track record. Third, is maintaining a strong balance sheet. We remain committed to paying down debt and achieving our long-term net unsecured leverage target of 2.0 to 2.25 times within the 2027 timeframe. We have a strong balance sheet with significant financial capacity and flexibility for strategic investments. Fourth, is returning cash to shareholders.

our goal is to put the board in a position to continue to increase our dividend per our track record

Third is maintaining a strong balance sheet.

We remain committed to paying down debt and a long-term net unsecured. Leverage, Target of 2.0 to 2.25 times within the 2027 time frame.

Speaker #1: This marks our 20th consecutive year of dividend increases , and our goal is to put the board in a position to continue to increase our dividend , per our track record .

We have a strong about sheet with significant financial capacity, and flexibility for strategic Investments.

Speaker #1: Third is maintaining a strong balance sheet . We remain committed to paying down debt and achieving our long term net unsecured leverage target of 2.0 to 2.25 times within the 2027 timeframe .

4 is returning cash to shareholders.

I am pleased to announce that our board has authorized up to 25 billion dollars of shared repurchases, which we expect to complete over the next 3 years.

With at least 3 billion of repurchases in 2026.

Speaker #1: We have a strong balance sheet with significant financial capacity and flexibility for strategic investments . Fourth is returning cash to shareholders . I am pleased to announce that our board has authorized up to $25 billion of share repurchases , which we expect to complete over the next three years with at least 3 billion of repurchases in 2026 .

This plan, underscores our confidence in the strength of our business.

Our cash flow generation and our dedication to driving meaningful shareholder returns.

Daniel Schulman: I am pleased to announce that our board has authorized up to $25 billion of share repurchases, which we expect to complete over the next three years, with at least $3 billion of repurchases in 2026. This plan underscores our confidence in the strength of our business, our cash flow generation, and our dedication to driving meaningful shareholder returns. Consistent with our growth profile and cash flow generation, we expect to significantly increase our total return of capital to shareholders over the next three years. This is a defining time for Verizon. We have lots of hard work ahead of us. We know we are only at the beginning of our transformation, and it will take time, and it won't always be a straight line.

I am pleased to announce that our board has authorized up to $25 billion of share repurchases, which we expect to complete over the next three years, with at least $3 billion of repurchases in 2026. This plan underscores our confidence in the strength of our business, our cash flow generation, and our dedication to driving meaningful shareholder returns. Consistent with our growth profile and cash flow generation, we expect to significantly increase our total return of capital to shareholders over the next three years. This is a defining time for Verizon. We have lots of hard work ahead of us. We know we are only at the beginning of our transformation, and it will take time, and it won't always be a straight line.

Consistent with our growth profile and cash flow generation.

We expect to significantly increase our total return of capital to shareholders over the next 3 years.

This is a defining time for Verizon.

Speaker #1: This plan underscores our confidence in the strength of our business , our cash flow and our meaningful generation , to driving dedication shareholder returns consistent with our growth profile and cash flow generation .

We have lots of hard work ahead of us.

We know we are only at the beginning of our transformation and I will take time and it won't always be a straight line.

But we have a clear and doable plan for 2026.

Speaker #1: We expect to significantly increase our total return of capital to shareholders over the next three years . This is a defining time for Verizon .

A value proposition that we believe will resonate with customers.

Momentum from the fourth quarter with volumes that we haven't seen in 5 plus years.

Speaker #1: have We lots of hard work ahead of us . We know we are only at the beginning of our transformation will take , and it time and it won't always be a straight line .

And a financial plan. That is significantly more robust than any in recent history.

With the room for us to continue to improve as we go through the year and into 2027.

Speaker #1: we have But a clear and doable plan for 2026 . A value proposition that we believe will resonate with customers momentum from the fourth quarter , with volumes that we haven't seen in five plus years and a financial plan that is significantly more robust than any in recent history .

Daniel Schulman: But we have a clear and doable plan for 2026, a value proposition that we believe will resonate with customers, momentum from the Q4, with volumes that we haven't seen in 5+ years, and a financial plan that is significantly more robust than any in recent history, with room for us to continue to improve as we go through the year and into 2027. Our targets reflect a step function change in our performance trajectory. The board has been clear that my mandate is to not only deliver for our customers, but also for our shareholders. We are heads down and focused and ready to show the world that a fiscally responsible Verizon is playing to win. We look forward to your questions.

But we have a clear and doable plan for 2026, a value proposition that we believe will resonate with customers, momentum from the Q4, with volumes that we haven't seen in 5+ years, and a financial plan that is significantly more robust than any in recent history, with room for us to continue to improve as we go through the year and into 2027. Our targets reflect a step function change in our performance trajectory. The board has been clear that my mandate is to not only deliver for our customers, but also for our shareholders. We are heads down and focused and ready to show the world that a fiscally responsible Verizon is playing to win. We look forward to your questions.

our targets reflect a step function change in our performance trajectory

the board has been clear that my mandate is to not only deliver for our customers.

But also for our shareholders.

Speaker #1: to continue to With the room for us improve as we go through the year and into 2027 . Our targets reflect a step function change in our performance trajectory .

We are heads down focused and ready to show the world that a fiscally responsible Verizon explained to win.

We look forward to your questions.

Yeah Brad. We're ready for questions.

Thank you. We will now begin the question and answer session.

Speaker #1: board The has been clear that my mandate is to not only deliver for our customers , but also for our shareholders . We are heads down , focused and ready to show the world that a fiscally responsible Verizon is playing to win .

If you would like to ask a question, please press star 1 on your touchtone phone.

Required to introduce your question.

Speaker #1: We look forward to your questions

Speaker #1: .

If at any point your question has been answered or you would like to withdraw your request. You may remove Yourself by pressing star 2,

Speaker #3: Brad , we're Yeah , questions ready for .

1 moment, please for the first question.

Speaker #4: you . Thank We will now begin the question and answer session . If you would like to ask a question , please press star one on your touch tone phone .

Tony Skiadas: Yeah, Brad, we're ready for questions.

The first question will come from Michael engh of Goldman Sachs. Please go ahead.

Operator: Thank you. We will now begin the question and answer session. If you would like to ask a question, please press star one on your touchtone phone. Please unmute your phone and record your name clearly when prompted. Your name is required to introduce your question. If at any point your question has been answered or you would like to withdraw your request, you may remove yourself by pressing star two. One moment, please, for the first question. The first question will come from Michael Ng of Goldman Sachs. Please go ahead.

Operator: Thank you. We will now begin the question and answer session. If you would like to ask a question, please press star one on your touchtone phone. Please unmute your phone and record your name clearly when prompted. Your name is required to introduce your question. If at any point your question has been a\nswered or you would like to withdraw your request, you may remove yourself by pressing star two. One moment, please, for the first question. The first question will come from Michael Ng of Goldman Sachs. Please go ahead.

Speaker #4: Please unmute your phone and record your name clearly when prompted . Your name is required to introduce your question . If at any question has answered or you would like to withdraw your been point your request , you may remove yourself by pressing star two .

Speaker #4: One moment please . For the first question . The first question will come from Michael Ng of Goldman Sachs . Please go ahead .

Hi, good morning, thank you so much for the question. I just have 2 if I could. Um, first, it was really encouraging to see this strong uh, outlook for postpaid phones, um, in 2026. Um, would you talk a little bit about the the Investments needed to drive that subscriber growth? Um, will we see the improvements more on the, on the turn rates? Or will it be more marketing and promotions to drive growth ads? Uh and then I have a quick follow-up. Thank you.

Speaker #5: Hi . Good morning . Thank you so much for the question . I just have two . If I could first , it was really encouraging to see this strong outlook for postpaid phones in 2026 .

Thank you. Maybe I'll start uh and then Tony can come in if he's got any additional color to add.

Michael Ng: Hi, good morning. Thank you so much for the question. I just have two, if I could. First, it was really encouraging to see this strong outlook for postpaid phones in 2026. Would you talk a little bit about the investments needed to drive that subscriber growth? Will we see the improvements more on the churn rates, or will it be more marketing and promotions to drive gross adds? And then I have a quick follow-up. Thank you.

Speaker #5: Would you talk a little bit about the investments needed to drive that subscriber growth ? Will we see the improvements more on the on the churn rates , or will it be more marketing and promotions to drive gross ads ?

Um, but if I just take a step back, you know, we delivered 616,000 posts made phone edits in, uh, in Q4.

um, and we did that and what I thought was a very fiscally responsible manner,

Speaker #5: And then I have a quick follow up . Thank you .

Just no actions on our core based pricing.

Speaker #1: I think maybe I'll start on the Tony can come in if he's got any additional color to add . If I just take a back , step you know , we delivered 616,000 .

Daniel Schulman: I think maybe I'll start, and then Tony can come in if he's got any additional color to add. But if I just take a step back, you know, we delivered 616,000 postpaid phone net adds in Q4. We did that in what I thought was a very fiscally responsible manner. Took no action on our quarter-based pricing. You know, we went into the ring, we offered a set of promotions. We were consistent in that, and the market reaction was excellent to that. We met every single day. We looked at what was happening in the market. We made changes where we needed to, and I felt really good about how the team executed against that.

Speaker #1: phone Postpaid net adds in in Q4 , and we did that in what I thought was a very fiscally responsible manner with no action on our core base pricing .

You know, we went into the ring, we offered to set up promotions, we were consistent in that. Uh, and the market reaction, uh, was excellent, uh, to that we met every single day. Uh, we looked at what was happening in the market, we made changes where we needed to, uh, and I felt really good about how the team executed against that.

As I looked to next year, you know, we're targeting.

Speaker #1: You know , we went into the ring , we offered a set of promotions . We were consistent in that . And the market reaction was excellent to that .

750,000 to a million uh postpaid, the phone, net ads.

That is 2 to 3 times what we did last year.

Speaker #1: We met every single day. We looked at what was happening in the market. We made changes where we needed to. I felt really good about how the team executed against that.

Speaker #1: As I look to next year, you know, we're targeting 750,000 to 1 million postpaid phone net adds. That is 2 to 3 times what we did last year.

Daniel Schulman: As I look to next year, you know, we're targeting 750,000 to 1,000,000 postpaid phone net adds. That is 2 to 3 times what we did last year, but that's only about 10 to 15% of the net new to the industry. So I think that's a very doable target for us in year one of our transition. We don't need to overutilize promotions or pricing to achieve those targets. There's absolutely no need, in my mind, for that to happen. If we reduce churn by five basis points, we are already halfway to our target. And think about some of the things that we're doing, like our churn is driven by price increases without corresponding value, and we've already said in our remarks that we're not gonna do that.

As I look to next year, you know, we're targeting 750,000 to 1,000,000 postpaid phone net adds. That is 2 to 3 times what we did last year, but that's only about 10 to 15% of the net new to the industry. So I think that's a very doable target for us in year one of our transition. We don't need to overutilize promotions or pricing to achieve those targets. There's absolutely no need, in my mind, for that to happen. If we reduce churn by five basis points, we are already halfway to our target. And think about some of the things that we're doing, like our churn is driven by price increases without corresponding value, and we've already said in our remarks that we're not gonna do that.

Speaker #1: But that's only about 10 to 15% of the net the new to industry . So I that's think a very target for us in year one of our transition .

But that's only about 10 to 15% of the net new to the industry. So I think that's a very doable Target for us in year 1 of our transition. We don't need the over-utilized promotions or pricing to achieve those targets. Uh, it was absolutely no need uh, in my mind for that to happen. If we reduce churn by 5 bits, we are already halfway to our Target and think about some of the things that we're doing, like our churn is driven by price increases without corresponding value.

Speaker #1: We don't need to overutilize promotions or pricing to achieve those targets. There's absolutely no need, in my mind, for that to happen.

And we've already said in our remarks that we're not going to do that. Um,

Speaker #1: If we reduce churn by five bips , we are already halfway to our target and think about some of the things that we're doing , like our churn is driven by price increases without corresponding value , and we've already said in our remarks that we're not going to do that , by the way , that is exactly the right thing for us to go and do .

by the way, that is exactly the right thing for us to go. And do, although that puts about 180 basis points of pressure on our revenues, uh, for this year that what happens is when we raise rates without corresponding value, our churn rate goes up and right now, our churn over the last 3 years has gone up by 25 basis points.

Every single basis point is 9,000, uh, net ads.

Speaker #1: Although that puts about 180 basis points of pressure on our revenues for this year . But what happens is when we raise rates without corresponding value , our churn rate goes up .

Daniel Schulman: By the way, that is exactly the right thing for us to go and do. Although that puts about 180 basis points of pressure on our revenues for this year, what happens is when we raise rates without corresponding value, our churn rate goes up. Right now, our churn over the last three years has gone up by 25 basis points. Every single basis point is 90,000 net adds. 25 basis points times 90,000 is about 2.25 million net adds that we've lost. Obviously, not all of it because of price increases, but that would generate $3 billion-plus revenues a year for us. So we're not gonna go do that going forward, and that should help churn. Second, we're gonna be investing in our overall customer experience.

By the way, that is exactly the right thing for us to go and do. Although that puts about 180 basis points of pressure on our revenues for this year, what happens is when we raise rates without corresponding value, our churn rate goes up. Right now, our churn over the last three years has gone up by 25 basis points. Every single basis point is 90,000 net adds. 25 basis points times 90,000 is about 2.25 million net adds that we've lost. Obviously, not all of it because of price increases, but that would generate $3 billion-plus revenues a year for us. So we're not gonna go do that going forward, and that should help churn. Second, we're gonna be investing in our overall customer experience.

Speaker #1: And right now, our churn over the last three years has gone up by 25 basis points. Every single basis point is $90,000.

25 basis points times 90,000 is about 2.25 million net adds that we've lost obviously not all of it because the price increases but that would generate 3 billion plus revenues um a year uh for us. And so we're not going to go do that going forward. And that should help churn

Speaker #1: Net adds 90,000 25 basis points , times is about 2.25 million . Net adds that we've lost . Obviously not all of it , because of price increases , but that would generate 3 billion plus revenues a year for us .

Second, we're going to be investing in our overall customer experience, you know, we have a large amount.

Of flexibility with the 5 billion dollars of Opex savings that we have.

we're going to be able to be, um,

To compete in the market.

Speaker #1: And so we're not going to go do that going forward. And that should help churn. Second, we're going to be investing in our overall customer experience.

Invest in improving our end-to-end customer experience.

and the third thing they have is we're going to Leverage

Speaker #1: You know , we have a large amount of flexibility with the $5 billion of opex savings that we have . We're going to be able to be to compete in the market , invest in improving our end to end customer experience .

strongly all the convergence opportunities we have.

Daniel Schulman: You know, we have a large amount of flexibility with the $5 billion of OpEx savings that we have. We're gonna be able to compete in the market, invest in improving our end-to-end customer experience. And the third thing we have is we're gonna leverage strongly all the convergence opportunities we have. You know, we did 1.2 million of fixed wireless net adds last year, and we entered 2026 with more capacity in our network to do fixed wireless access than we did when we started 2025. Obviously, Frontier is a huge opportunity for us in net adds as well. We're significantly under-penetrated in Frontier markets on wireless, and when we bundle together, we see a 40% reduction in churn versus standalone mobility.

You know, we have a large amount of flexibility with the $5 billion of OpEx savings that we have. We're gonna be able to compete in the market, invest in improving our end-to-end customer experience. And the third thing we have is we're gonna leverage strongly all the convergence opportunities we have. You know, we did 1.2 million of fixed wireless net adds last year, and we entered 2026 with more capacity in our network to do fixed wireless access than we did when we started 2025. Obviously, Frontier is a huge opportunity for us in net adds as well. We're significantly under-penetrated in Frontier markets on wireless, and when we bundle together, we see a 40% reduction in churn versus standalone mobility.

You know, we did 1.2 million of fixed Wireless, net adds, uh, last year, and we enter 2026 with more capacity in our Network to do 5, uh, fix wire wireless access. Then we did when we started 2025,

Speaker #1: And then we're going to, the third thing we have is leverage strongly all the convergence opportunities we have. You know, we did 1.2 million of fixed net wireless adds last year, and enter 2026 with network more—we do have more fixed capacity in our wireless wireless access than we did when we started 2025.

Obviously Frontier is a huge opportunity for us in net ads as well. We're significantly underpenetrated in Frontier markets on wireless and when we bundle together we see a 40% reduction in churn versus standalone mobility and so

Speaker #1: Obviously , frontier is a huge opportunity for us in net adds as well . We're significantly under in frontier markets on wireless , and when we bundle together , we see a 40% reduction in churn versus standalone mobility .

you know, our goal over time is to win our share of new uh to Market net ads when responsibly in a manner that

Speaker #1: And so , you know , our goal over time is to win our share of new to market net adds , win responsibly in a manner that .

To improve our overall value. Proposition leveraging convergence.

Daniel Schulman: And so, you know, our goal over time is to win our share of new to market net adds, win responsibly in a manner that sustainably grows our top line and allows us to drive shareholder value. And so I think you're going to see a combination of us spending a lot to improve our overall value proposition, leveraging convergence, seeing churn go down, and then, you know, being appropriately aggressive where we need to in the market. But this is not going to be anything on price or a lot of promotional expense. This is about investing in our customers.

And so, you know, our goal over time is to win our share of new to market net adds, win responsibly in a manner that sustainably grows our top line and allows us to drive shareholder value. And so I think you're going to see a combination of us spending a lot to improve our overall value proposition, leveraging convergence, seeing churn go down, and then, you know, being appropriately aggressive where we need to in the market. But this is not going to be anything on price or a lot of promotional expense. This is about investing in our customers.

Speaker #1: Sustainably grows our top line and allows us to drive shareholder value . And so I think you're going to see a combination us of spending a lot to improve overall value our proposition , leveraging convergence , seeing churn down go being appropriately where we aggressive need to in the market .

Seeing turn go down and then, you know, being appropriately aggressive where we need to uh, in the market. But this is not going to be anything on price or a lot of promotional uh, expense. This is about investing in our customers.

Speaker #1: But this is not going to be anything on price or a lot of promotional expense. This is about investing in our customers.

Speaker #5: Great . Dan , thank you for all that . That was all very clear and comprehensive . Appreciate that . And then just on the on the follow up , you know , I think you guys raised the the fiber Passings outlook to 40 to 50 million over the medium term .

Great. Uh, Dan, thank you for all that. That was all very clear and and comprehensive appreciate that. Um, and then just on the, on the follow-up. Um, you know, I, I, I think you guys, uh, raised the, the fiber passing Outlook to 40 to 50 million over the media term. I think the old Target was 35 to 40. Uh, so could you just talk a little bit about, um, whether you saw more opportunities in footprint opportunities to go out of footprint, uh, any thoughts there would be great. Uh, thank you again.

Yeah.

Michael Ng: Great. Dan, thank you for all that. That was all very clear and comprehensive. Appreciate that. And then just on the follow-up, you know, I think you guys raised the fiber passings outlook to 40 to 50 million over the medium term. I think the old target was 35 to 40.

well, first of all, we're really pleased um with the closing of the frontier acquisition um you know our partnership with Tillman

Speaker #5: I think the target was 35 to 40 . So could you just talk a little bit about whether you saw more opportunities in footprint , opportunities to go out of footprint Any ?

You know required story, which is going to help us with them to use you know as we pass those um uh passings as well.

Speaker #5: thoughts ? There would be great . Thank you again .

Speaker #1: Yeah . Well , first of all , we're really pleased with the closing of the frontier acquisition . You know , our partnership with Tillman .

Daniel Schulman: Yeah.

Michael Ng: So could you just talk a little bit about whether you saw more opportunities in footprint, opportunities to go out of footprint? Any thoughts there would be great. Thank you again.

And the more I look at convergence the more optimistic I am. That that's going to be a major part of our our future. So we want to double down on that. We want to, you know, get to at least 40 or 50 million.

Speaker #1: You know , we acquired starry , which is going to help us with Mdus . You know , as we pass those passings as well .

Daniel Schulman: Yeah. Well, first of all, we're really pleased with the closing of the Frontier acquisition. You know, our partnership with Tillman, you know, we acquired Starry, which is going to help us with MDUs, you know, as we pass those passings as well. And the more I look at convergence, the more optimistic I am that that's going to be a major part of our future. So we want to double down on that. We want to, you know, get to at least 40 or 50 million fiber passings. We said in our CapEx guidance that we'll do at least 2 million organically. You know, obviously, we'll look at the possibility of, you know, both inorganic and partnerships. You know, that is something we're always looking at.

Speaker #1: more I And the look at convergence , the more optimistic I am that that's going to be a major part of our future .

Speaker #1: So we want to double down on it . We want to , you know , get to at least 40 or 50 million fiber passings you our said in guidance that we'll do CapEx at least 2 million organically .

Speaker #1: You know , obviously , we'll look at the possibility of , you know , both inorganic and partnerships . You know , that is something we're at .

Speaker #1: We have plenty of capacity and flexibility on our balance sheet to do any one of those acquisitions, and other things that we might consider.

Fiber passing who said, in our capex, guidance that we'll do at least 2 million organically, you know, obviously, we'll look, uh, at the possibility of, you know, both inorganic and Partnerships. You know, that, uh, is something we're always looking at. We have plenty of capacity and flexibility on our balance sheet, um, to do any 1 of those Acquisitions and and other things, uh, that we might consider and so, you know, um, the combination of what we're seeing uh, at Frontier and what we can do internally uh, here at Verizon leads me to be comfortable with that 40 to 50 million.

Great, thanks, Mike. Um, Brad. We're ready for the next question.

Speaker #1: And so, you know, the combination of what we're seeing at Frontier and what we can do internally here at Verizon leads me to be comfortable with that $40 to $50 million.

The next question will come from Ben swinburne of Morgan Stanley. Please go ahead.

Daniel Schulman: We have plenty of capacity and flexibility, on our balance sheet, to do any one of those acquisitions and, and other things, that we might consider. And so, you know, the combination of what we're seeing, at Frontier and what we can do internally, here at Verizon leads me to be comfortable with that $40 to 50 million.

We have plenty of capacity and flexibility, on our balance sheet, to do any one of those acquisitions and, and other things, that we might consider. And so, you know, the combination of what we're seeing, at Frontier and what we can do internally, here at Verizon leads me to be comfortable with that $40 to 50 million.

Speaker #3: Great . Thanks , Mike . Brad , ready for the next question ?

Speaker #4: The next question will come from Ben Swinburne of Morgan Stanley. Please go ahead.

Speaker #6: Thanks . Good morning . Dan , you talked through some of the strategies around go to market , but I guess I'm just wondering if you could talk about how your thinking about customer lifetime values as you move forward relative to the It's probably past ?

Tony Skiadas: Great. Thanks, Mike. Brady, we're ready for the next question.

Operator: The next question will come from Ben Swinburne of Morgan Stanley. Please go ahead.

Speaker #6: some concern out there that clvs will be lower for Verizon , if not the industry in 26 and 27 versus the last several years .

Thanks. Good morning. Um, Dan you talked through some of the strategies around go to market. But I guess I'm just wondering how if you could talk about how you're thinking about customer lifetime values, as you move forward relative to the past, it was probably some concern out there that CVS will be lower you know for Verizon if not the industry in 26 and 27 versus the last several years. So what is Verizon doing to make sure it's it's bringing on, you know, high value customers as it takes us more aggressive posture um and I just wanted to ask maybe for Tony on capex you mentioned capex efficiencies. Looks like you're taking a couple billion roughly out of kind of the

Ben Swinburne: Thanks. Good morning. Dan, you talked through some of the strategies around go-to-market, but I guess I'm just wondering how, if you could talk about how you're thinking about customer lifetime values as you move forward relative to the past. There's probably some concern out there that CLVs will be lower, you know, for Verizon, if not the industry, in 2026 and 2027 versus the last several years. So what, what is Verizon doing to make sure it's, it's bringing on, you know, high-value customers as it takes this more aggressive posture? And I just wanted to ask, maybe for Tony, on CapEx. You mentioned CapEx efficiencies. Looks like you're taking $2 billion, roughly, out of kind of the previous run rate. You said no impact to revenue.

Speaker #6: Where does Verizon doing to make sure it's it's on high value bringing customers as it aggressive takes us more posture . And I just wanted to for Tony on CapEx , you ask maybe mentioned CapEx efficiencies , it looks like you're taking a couple billion roughly out of the previous run rate .

Previous run rate, you said no impact to revenue. Just could you talk a little bit about where you found all this capex opportunity? That's not going to uh impact, you know, the business. If anything might help the business grow faster. Thanks so much.

Speaker #6: You said no impact to revenue . Just could you talk a little bit about where you found all this CapEx opportunity ? That's not going to impact the business , if anything might help the grow business faster ?

Yeah, I guess I'll start and then turn it over to you as attorney and I can add on the capex side too. So I have some thoughts on that. Um,

uh, so on on LTV

Um yeah. I was really pleased not only with the uh, number

Speaker #6: Thanks so much .

Speaker #1: I guess I'll start turn it over to you . Tony and then and I can add CapEx on the side too . So I have some thoughts on that .

Ben Swinburne: Just could you talk a little bit about where you found all this CapEx opportunity that's not going to impact, you know, the business, if anything, might help the business grow faster? Thanks so much.

Just could you talk a little bit about where you found all this CapEx opportunity that's not going to impact, you know, the business, if anything, might help the business grow faster? Thanks so much.

Speaker #1: So on on LTV , you know , I was really pleased not only with the number of net adds that we added in Q4 , but the quality of the business .

Uh, of, uh, net, uh, ads that we added in Q4. But the quality of the business that we had a lot of new new Verizon as, you know, new to Verizon is, you know, our highest, um, LTV uh, value and

LTV is?

Daniel Schulman: Yeah, I guess I'll start and then turn it over to you, Tony, and I can add on the CapEx side, too, so I have some thoughts on that too. So on LTV, you know, I was really pleased not only with the number of net adds that we added in Q4, but the quality of the business. That we had a lot of new to Verizon, as you know, new to Verizon is, you know, our highest LTV value. And LTV is driven by a number of things. One of the biggest things is, you know, churn. And to me, we have a, you know, large opportunity to address churn. I think it's one of the biggest opportunities sets we have.

Speaker #1: We had a lot of new the Verizon , as you know , new Verizon is , you know , our highest LTV value and LTV is driven by a number of things .

Uh driven by a number of things but 1 of the biggest things is, you know. Sure. Um and to me we have a

You know, large opportunity to address Sharon. I think it's 1 of the biggest, um, opportunities that we have. As I mentioned, you know, on the

Speaker #1: One of the biggest things is , you know , firm . And to have me , we a large opportunity to address churn .

Speaker #1: I think it's one of the biggest opportunity sets we have . As I mentioned , you know , on the pricing side , there are four reasons why people leave us .

Pricing side. There are 4 reasons why people leave us its price increases without corresponding value. That's just irritates our customers. And we've seen the churn uh rise as a result of that and we've stopped doing that and we're going to start adding value to it.

Speaker #1: It's price increases without corresponding value. That irritates our customers, and we've seen the churn rise as a result of that. And we've stopped doing that.

Second is friction, uh, in the, uh, in the process. Whether it's onboarding the billing on the call or customer service

Speaker #1: we're going to And start adding value to it . Second is friction in the in the process , whether it's onboarding the billing , when they call our customer service , that needs to be flawless , and we need to reduce complexity and we need to address that .

Daniel Schulman: As I mentioned, you know, on the pricing side, there are four reasons why people leave us. It's price increases without corresponding value. That just irritates our customers, and we've seen the churn rise as a result of that, and we've stopped doing that, and we're going to start adding value to it. Second is friction in the process, whether it's onboarding, the billing, when they call our customer service, that needs to be flawless, and we need to reduce complexity, and we need to address that. And we already have initiatives underway to address each and every one of those things. And then there's price perception and competitive density. And, you know, we want to be very rational and very fiscally responsible when it comes to promotional activity.

As I mentioned, you know, on the pricing side, there are four reasons why people leave us. It's price increases without corresponding value. That just irritates our customers, and we've seen the churn rise as a result of that, and we've stopped doing that, and we're going to start adding value to it. Second is friction in the process, whether it's onboarding, the billing, when they call our customer service, that needs to be flawless, and we need to reduce complexity, and we need to address that. And we already have initiatives underway to address each and every one of those things. And then there's price perception and competitive density. And, you know, we want to be very rational and very fiscally responsible when it comes to promotional activity.

Speaker #1: And we already have initiatives underway to address each and every one of those things . And then there's the price perception and competitive intensity .

That that needs to be Flawless and we need to reduce complexity and we need to address that. And we already have uh initiatives underway to address each and every uh 1 of those things. And then there's price perception and competitive intensity and you know, we want to uh be very rational. Um and very fiscally responsible when it comes to promotional activity. Again. I think you know, we are targeting a

Speaker #1: And you know , we want to be very rational and very fiscally responsible when it comes to promotional activity . Again , I think , you know , we are targeting a very reasonable number our given momentum and given , you know , the the the percentage of net new to the market .

Very reasonable number, uh, given our momentum, uh, and given, you know, the the percentage of the net new uh, to the market. And so, I think we're going to be able to to uh, move after our targets.

Speaker #1: And so, I think we're going to be able to move after our targets in a fiscally responsible way without the stepping up on the promotional side. I think we're going to be able to lower churn if we— we have a lot of opportunity there.

Daniel Schulman: Again, I think, you know, we are targeting a very reasonable number, given our momentum, and given, you know, the percentage of the net new to the market. And so I think we're going to be able to move after our targets... responsible way without stepping up on the promotional side. I think we're going to be able to lower churn. I think we have a lot of opportunity there. And then as I look at convergence, that combination of having an ARPU associated with your broadband service and an ARPU with your mobility at much lower churn rate is a higher LTV for us as well. And when we sell broadband, the majority of our customers have our mobility solution with that, too. We're really pleased with the attach rate on that as well.

Again, I think, you know, we are targeting a very reasonable number, given our momentum, and given, you know, the percentage of the net new to the market. And so I think we're going to be able to move after our targets... responsible way without stepping up on the promotional side. I think we're going to be able to lower churn. I think we have a lot of opportunity there. And then as I look at convergence, that combination of having an ARPU associated with your broadband service and an ARPU with your mobility at much lower churn rate is a higher LTV for us as well. And when we sell broadband, the majority of our customers have our mobility solution with that, too. We're really pleased with the attach rate on that as well.

Speaker #1: And as I look at convergence , that combination of having an rpu associated with your broadband service and an ERP with your mobility at much lower churn rate , is higher LTV for us as well .

Speaker #1: And when we sell broadband , the majority of our customers have our mobility solution . With that too . We're really pleased with the attach rate on that as well .

Speaker #1: And so, I'm hopeful that LTVs go up this year as we act responsibly and we reduce churn. Churn will be a key lever for that.

The fiscally responsible way without uh, stepping up on the promotional side, I think we're going to be able to lower churn, I think we have a lot of opportunity there. And then, as I look at convergence that combination, uh, uh, having an rpu associated with your broadband service, and our food with your Mobility, at much lower churn, rate is a higher lpv for us as well. And when we sell Broadband, the majority of our customers have our Mobility solution with that too. We're really pleased with the attach rate, uh, on that as well. And so I I'm hopeful that uh, ltvs um, go up um, this year as we uh, act responsibly and uh, we reduce churn will be a key lever for that.

Speaker #3: And .

Speaker #2: Ben , good morning . On your question on CapEx , as we said in the in the prepared remarks , our first priority is to invest in guidance that we business .

Speaker #2: hasn't And the changed . the gave That at 16 to 16.5 is all in and sufficient to address all of the growth initiatives that we have in the business .

Daniel Schulman: And so I'm hopeful that LTVs go up this year as we act responsibly and we reduce churn. Churn will be a key lever for that.

And so I'm hopeful that LTVs go up this year as we act responsibly and we reduce churn. Churn will be a key lever for that.

And, uh, been good morning on your question, on capex, as we said, in the, uh, in the prepared remarks, our first priority is to invest in the business that hasn't changed. And, and the guidance that we gave at 16 to 16 and a half is all in and, and sufficient, uh, to address, uh, all of the growth initiatives that we have in the business. And we're going to continue to invest in the ran, the wireless ran, you know, we talked about 90% of our plan sites, have CB band and we

Speaker #2: And we're going to continue to invest in the RAM, the wireless RAM. And we talked about 90% of our planned sites have C-band, and we expect to be substantially complete with our C-band build here in 2026.

Tony Skiadas: And, Ben, good morning. On your question on CapEx, as we said in the prepared remarks, our first priority is to invest in the business. That hasn't changed. The guidance that we gave at $16 to 16.5 is all in and, and sufficient to address all of the growth initiatives that we have in the business. We're going to continue to invest in the RAN, the wireless RAN. We talked about 90% of our plant sites have C-band, and we expect to be substantially complete with our C-band build here in 2026. The remaining C-band additions, just for some color, are mostly on small cells, where lower CapEx is, is required. Then from a fiber perspective, you know, we're not slowing down, not slowing down.

Speaker #2: And the remaining C-band additions just for some color , are small mostly on cells . We're lower . CapEx is is required , and then from a fiber perspective , you know , we're not slowing down , not slowing down .

Speaker #2: touched on this . Dan we'll continue to You know , fiber build pace , at least 2 million prems past , which is at least a combined base pace of both Horizon and frontier from from last year .

Speaker #2: And 40 to 50 million passings over time, we have the partnership as well that can—we can scale and build our standards to at a very good economics.

Speaker #2: then And in terms of , you know , our CapEx spend relative to history here , you know , we really have narrowed our focus to mobility and broadband .

Tony Skiadas: Dan touched on this. You know, we'll continue the fiber build pace at least 2 million premises passed, which is at least the combined base pace of both Verizon and Frontier from last year, and 40 to 50 million passings over time. We have the Tillman partnership as well that we can scale and build to our standards at very good economics. And then in terms of, you know, our CapEx spend relative to history here, you know, we really have narrowed our focus to mobility and broadband. And as we said earlier, you know, we're applying the same rigor to CapEx as we are to OpEx. And non-core areas that are not aligned to growth, including legacy areas, are being significantly reduced or and/or eliminated.

Dan touched on this. You know, we'll continue the fiber build pace at least 2 million premises passed, which is at least the combined base pace of both Verizon and Frontier from last year, and 40 to 50 million passings over time. We have the Tillman partnership as well that we can scale and build to our standards at very good economics. And then in terms of, you know, our CapEx spend relative to history here, you know, we really have narrowed our focus to mobility and broadband. And as we said earlier, you know, we're applying the same rigor to CapEx as we are to OpEx. And non-core areas that are not aligned to growth, including legacy areas, are being significantly reduced or and/or eliminated.

Speaker #2: And as we said earlier , you know , we're applying the same rigor to CapEx as we are to OpEx . And non-core areas that are not aligned to growth , including legacy areas , are being significantly reduced or and or eliminated .

Expect to be substantially complete uh with our cban build here in 2026 and the remaining cban additions just for some color are mostly on small cells. Uh we're lower capex is uh is required. Uh, and then from a fiber perspective, uh, you know, we're not slowing down that not slowing down Dan touched on this, you know, we'll continue to fiber Bill pace and at least 2 million PS past uh which is, at least a combined base uh pace of both Horizon and Frontier from uh from last year uh and 40 to 50 million passing. Uh, over time we have the the Tillman partnership as well that can uh uh we can scale and and and builds to our standards at at very good economics. Um, and then, in terms of, you know, our capex spend uh relative to history here, you know, we really have narrowed our Focus to mobility and broadband. And as as we said earlier, you know we're applying the same regard to capex as we are to Opex and are non-core areas that are not aligned to growth including Legacy areas.

Speaker #2: includes And that areas such as , you know , business , wireline , non-directional products , technology , as well , wholesale legacy copper and voice platforms , and even projects with too long of a payback .

Speaker #2: So, you know, the team's done a great job in finding unit cost efficiency, as we build both in wireless and in fiber.

Are being significantly reduced or Andor eliminated. And that includes areas such as you know, business wiring non-directional products uh technology as well. Uh wholesale Legacy copper and voice platforms and and even projects with uh too long of a payback. So you know the team's done a great job in finding unit cost efficiency as we build both in Wireless and in fiber you know cost per pass Etc so there's a lot of good work being there and that helps us get to a lower uh capex envelope but we're

Speaker #2: You know , cost per passed , etc. . So there's a lot of good work being there . And that helps us get to a lower CapEx envelope .

Very focused on uh being very efficient uh with their Capital deployment this year.

Speaker #2: very focused But we're on being very efficient with our capital deployment this year .

Speaker #1: Yeah , little bit . just a I thought it excellence comprehensive . and network across broadband The Answer . mobility was pretty is foundational for us .

Tony Skiadas: And that includes areas such as, you know, business wireline, nondirectional products, technology as well, wholesale, legacy copper and voice platforms, and even projects with too long of a payback. So, you know, the team's done a great job in finding unit cost efficiency as we build, both in wireless and in fiber. We have costs per prem pass, et cetera. So there's a lot of good work being there, and that helps us get to a lower CapEx envelope. But we're very focused on being very efficient with our capital deployment this year.

And that includes areas such as, you know, business wireline, nondirectional products, technology as well, wholesale, legacy copper and voice platforms, and even projects with too long of a payback. So, you know, the team's done a great job in finding unit cost efficiency as we build, both in wireless and in fiber. We have costs per prem pass, et cetera. So there's a lot of good work being there, and that helps us get to a lower CapEx envelope. But we're very focused on being very efficient with our capital deployment this year.

Yeah, it was just a little bit. I thought that was pretty comprehensive answer. The network Excellence across mobility and Broadband is foundational for us and we will not compromise on that. Uh, 1 Eyota. Um,

Speaker #1: And we will not compromise on that one iota . Took 16 to 16.5 billion . Yeah . You know I may be old fashioned , but that's a lot of money .

Took 16 to 16.5 billion? Yeah.

Speaker #1: know , You when I think of $1 billion , I think of a lot of money . When I think of 16 to 16.5 billion , it's a tremendous amount of money .

Speaker #1: Honestly , I don't know if we need all 16 to 16.5 billion for our CapEx projects , but I think it's a responsible number to have there Tony .

Daniel Schulman: Yeah, maybe just build a little bit. I thought that was a pretty comprehensive answer. The network excellence across mobility and broadband is foundational for us, and we will not compromise on that, one iota. Look, $16 to 16.5 billion? Yeah. You know, I may be old-fashioned, but that's a lot of money, you know? When I think of $1 billion, I think of a lot of money. When I think of $16 to 16.5 billion, it's a tremendous amount of money. Honestly, I don't know if we need all $16 to 16.5 billion for our CapEx projects, but I think it's a responsible number to have there. As Tony said, there are a lot of things that we spent pretty heavily on in the last couple of years.

Speaker #1: As said, there are a lot of things that we spent pretty heavily on in the last couple of years. There, predominantly, complete or almost done with all of our nationwide 5G Advanced standalone features as well.

Speaker #1: And so I feel really good about this CapEx envelope . We'll be able to do all the things we need to go do .

Speaker #1: as And Tony said , we're not going to invest in places where we're losing money right now . As I mentioned , I think last quarter , we have a number places of where added all up and we're losing 1 billion to 1 billion and a half dollars a year in margin , like we are either going to sunset those , retire those or divest those things , and there's for us no need to continually in places .

You know, I may be old fashioned, but that's a lot of money, you know, I when I think of a billion dollars, I think of a lot of money when I think of 16 to 16.5 billion, it's a tremendous amount of money. Um, honestly, I don't know if we need all 16 to 16 and a half billion, uh, for our capex, uh, projects. But I think it's a responsible, uh, number to have their, uh, as Tony said, there are a lot of things that we, uh, spent um, pretty heavily on, uh, in the last couple years, they're predominantly complete. We're almost done with all our Nationwide 5G Advanced Standalone features um as well. Um, and so I feel really good about this uh capex envelope will be able to do all the things we need to go do and as Tony said, we're not going to invest in places where we're losing money right now. As as I mentioned, I think last quarter we have a number of places where you can you add it all up and we're losing a billion to a billion and a half, uh, dollars a year in margin like

Daniel Schulman: They're predominantly complete. We're almost done with all of our nationwide 5G Advanced standalone features, as well. And so I feel really good about this, CapEx envelope. We'll be able to do all the things we need to go do. And as Tony said, we're not going to invest in places where we're losing money right now. As, as I mentioned, I think last quarter, we have a number of places where you add it all up, and we're losing $1 billion to $1.5 billion a year in margin. Like, we're either going to sunset those, retire those, or divest, those things, and there's no need for us to continually invest in places where we're just going to lose money, forever on that. And so, I think the team did a great job here, frankly.

They're predominantly complete. We're almost done with all of our nationwide 5G Advanced standalone features, as well. And so I feel really good about this, CapEx envelope. We'll be able to do all the things we need to go do. And as Tony said, we're not going to invest in places where we're losing money right now. As, as I mentioned, I think last quarter, we have a number of places where you add it all up, and we're losing $1 billion to $1.5 billion a year in margin. Like, we're either going to sunset those, retire those, or divest, those things, and there's no need for us to continually invest in places where we're just going to lose money, forever on that. And so, I think the team did a great job here, frankly.

Speaker #1: invest We're just going to lose money forever on that . And so I think the team did a great job here . Frankly , this is one of the easier places where we were able to look aggressively at our CapEx you .

At these levels.

Speaker #1: You know, I—And we'll think, feel really comfortable at these levels.

Thank you both great. Yeah, thanks Ben Brad. We're ready for the next question.

Speaker #6: Thank you both .

Speaker #3: Yeah . Thanks , Ben . Brad , we're ready for the next question .

The next question will come from John hudlicky.

Speaker #4: next The question will come from John of UBS . Please go ahead .

Speaker #7: Great . Thanks and good morning , everyone . Maybe two questions if I could . Maybe first for Tony , any piece parts or components you could give us on the the flat service revenue growth and the ability or the organic EBITDA growth on a consolidated basis on the service revenue side , you know , there's a lot of moving parts .

Daniel Schulman: This is one of the easier places where we were able to look aggressively at our CapEx and, you know, I think we'll feel really comfortable at these levels.

This is one of the easier places where we were able to look aggressively at our CapEx and, you know, I think we'll feel really comfortable at these levels.

Uh, great thanks and good morning everyone. Uh, maybe 2 questions if I could maybe first for Tony. Um, any these parts or components you could give us on the the the flat service Revenue growth and Mobility or or the organic Eva dog growth on a Consolidated basis on the service Revenue side, you know,

Speaker #7: You got better subscriber growth, probably nice wholesale growth, but there's probably a higher promo and more than we saw last year.

Speaker #7: But so any color there on that or the organic EBITDA growth would be great . And then for Dan , he gave us a volume on the on the postpaid phone side .

John Hodulik: Thank you both.

Ben Swinburne: Thank you both.

Tony Skiadas: Great. Yeah, thanks, Ben. Brady, we're ready for the next question.

Operator: The next question will come from John Hodulik of UBS. Please go ahead.

There's a lot of moving Parts you got better. Subscriber growth. Probably nice, wholesale growth. But there's probably higher promo amort, uh, than we saw last year. But so any color there on that or, or or the organic TV, dog growth would be great. And then for Dan, he gave us some volumes on the, uh, on the postpaid phone side. Um,

Speaker #7: What about the broadband side ? Any color you can give us on sort of what to expect from and volumes this year , certainly as it relates to both fiber and fixed wireless would be great .

John Hodulik: Great, thanks, and good morning, everyone. Maybe two questions, if I could. Maybe first for Tony. Any key parts or components you can give us on the flat service revenue growth and mobility or the organic EBITDA growth on a consolidated basis? On the service revenue side, you know, there's a lot of moving parts. You got better subscriber growth, nice wholesale growth, but there's probably a higher promo amort than we saw last year. But so any color there on that or the organic EBITDA growth would be great. And then for Dan, you gave us a volume on the postpaid phone side. What about the broadband side?

what about the Broadband side? Do you have any color you can give us on sort of what to expect in Broad in volumes this year? It certainly is as it relates to both fiber and fixed Wireless would be great. Thanks.

Speaker #7: Thanks .

Speaker #2: Okay . Hey , John . So I'll start on the revenue and EBITDA . So on the revenue side , you know , we guided to 2 to 3% mobile and service revenue broadband growth .

Speaker #2: And you know , right after we frontier , in closed we were market with with competitive offers . There to attract frontier customers to the Verizon network .

Speaker #2: And experience , as Dan mentioned , we see strong convergence opportunities , particularly where we under index in those frontier markets . And we do see convergence improving our churn profile .

Okay. Hey John. So I I'll start on the revenue and e. But uh, uh, so we on the revenue side, you know? We guided the 2 to 3% uh, mobility and broadband, service Revenue growth. And, you know, right after we closed Frontier, we were in Market with, uh, with competitive offers their, uh, to attract a frontier customers to the Verizon network and experience. Uh, as Dan mentioned, we see strong, uh, convergence opportunities, particularly where we under index, uh, in those Frontier markets, uh, and we do see convergence in

John Hodulik: You know, any color you can give us on sort of what to expect in broadband volumes this year, certainly as it relates to both fiber and fixed wireless, would be great. Thanks.

You know, any color you can give us on sort of what to expect in broadband volumes this year, certainly as it relates to both fiber and fixed wireless, would be great. Thanks.

Speaker #2: As we said , you know , in terms of revenue composition , we expect to have flat wireless service revenue in 2026 as we lap , you know , prior year price increases .

Speaker #2: As Dan mentioned , about 180 basis points or so of of headwind , you know , absorb the ongoing program amortization . So that's continuing and work towards driving sustainable volume based revenues and doing that in a very disciplined way to give additional context , maybe some assumptions in the revenue guide in terms of tailwinds , obviously , on the mobility side , we we said we expect volume growth of 750,000 to 1 million postpaid phone net adds .

Tony Skiadas: Okay. Hey, John. So I'll start on the revenue and EBITDA. On the revenue side, you know, we guided to 2 to 3% mobility and broadband service revenue growth. And, you know, right after we closed Frontier, we were in market with competitive offers there to attract Frontier customers to the Verizon network and experience. As Dan mentioned, we see strong convergence opportunities, particularly where we under index in those Frontier markets, and we do see conversions improving our churn profile.

Speaker #2: And good that's the focus business . And we're writing there . We also have areas like perks and step ups . We continue to see growth in customers , taking perks as well as step ups to to premium plans .

Tony Skiadas: As we said, you know, in terms of revenue composition, we expect to have flat wireless service revenue in 2026 as we lap, you know, prior year price increases, as Dan mentioned, about 180 basis points or so of headwind, you know, absorb the ongoing promo amortization, so that's continuing, and work towards driving sustainable, volume-based, revenues, and doing that in a very disciplined way. To give additional context, maybe some assumptions, in the revenue guide, in terms of tailwinds, obviously, on the mobility side, we said, we said we expect volume growth of 750,000 to 1 million postpaid phone net adds, and we're writing good business, and that's the focus there. We also have areas like perks and step ups.

As we said, you know, in terms of revenue composition, we expect to have flat wireless service revenue in 2026 as we lap, you know, prior year price increases, as Dan mentioned, about 180 basis points or so of headwind, you know, absorb the ongoing promo amortization, so that's continuing, and work towards driving sustainable, volume-based, revenues, and doing that in a very disciplined way. To give additional context, maybe some assumptions, in the revenue guide, in terms of tailwinds, obviously, on the mobility side, we said, we said we expect volume growth of 750,000 to 1 million postpaid phone net adds, and we're writing good business, and that's the focus there. We also have areas like perks and step ups.

Speaker #2: And then on broadband , you know , continued volume growth in both FWA and fiber , including frontier , you know , put frontier on almost 500,000 net adds this past year .

Improving our term profile. A as we said, you know, in terms of Revenue composition, we expect to have flat wireless service Revenue in 2026 as we lap, you know, uh, prior year price increases as Dan mentioned about 180 basis points or so, of of of headwind, you know, absorb the ongoing promotion. So that's continuing and work towards driving sustainable, uh, volume based, uh, revenues and, and doing that in a very disciplined way, uh, to give additional context, maybe some assumptions, uh, in the revenue guide. Uh, in terms of Tailwind, obviously, on the mobility side, we set we said we expect volume growth of, uh, 750,000 to 1 million post-paid phone, net ads. And we're writing, good business, and that's the focus there. Uh, we also have areas like perks and step-ups, we continue to see growth in customers, taking perks, as well as step-ups to, uh, to premium plans and then on broadband, you know, continued volume growth in both fwa and fiber including uh, Frontier.

Speaker #2: So we have now , you know , combined 16 million , over 16 million broadband subs in the base . And that includes a little over 10.5 million fiber customers then also , you .

Speaker #2: know , And prepaid or prepaid continues to business perform well . Straight quarters of volume growth has translated into also revenue growth in terms of headwinds , I mentioned promo amortization and that pressure will continue to be a headwind in 2026 .

Tony Skiadas: We continue to see growth in customers taking perks as well as step ups to, to premium plans. And then on broadband, you know, continued volume growth in both FWA and fiber, including, Frontier. Now, Frontier put on almost, 500,000 net adds this past year. So we have now, you know, combined 16 million, over 16 million broadband subs in the base, and that includes a little over 10.5 million fiber customers. And then also, you know, prepaid, our prepaid business continues to perform well. Six straight quarters of volume growth has translated also into revenue growth. In terms of headwinds, I mentioned pro amortization, and that pressure will continue to be a headwind in 2026, and we're still lapping, as Dan mentioned, pricing actions, from 2025, and we'll, you know, we'll work our way through it.

We continue to see growth in customers taking perks as well as step ups to, to premium plans. And then on broadband, you know, continued volume growth in both FWA and fiber, including, Frontier. Now, Frontier put on almost, 500,000 net adds this past year. So we have now, you know, combined 16 million, over 16 million broadband subs in the base, and that includes a little over 10.5 million fiber customers. And then also, you know, prepaid, our prepaid business continues to perform well. Six straight quarters of volume growth has translated also into revenue growth. In terms of headwinds, I mentioned pro amortization, and that pressure will continue to be a headwind in 2026, and we're still lapping, as Dan mentioned, pricing actions, from 2025, and we'll, you know, we'll work our way through it.

You know, Frontier put on almost 500,000. Uh, net adds this past year. So we have now, you know, combined 16 million over 16 million Broadband Subs in the base and that includes a little over 10 and a half million fiber customers. And then also, you know, prepaid or prepaid business continues to perform well dick straight quarters of volume growth has translated also into Revenue growth in terms of headwinds I mentioned programmation uh and that pressure will continue and be a headwind in 2020.

Speaker #2: And we're still lapping , as Dan mentioned , pricing actions from 2025 . And , you know , we'll work our way through it .

Speaker #2: But as we said , you know , 2026 is going to be a transitional year revenue for as we push on volume based growth across both mobility and broadband and setting up for a stronger revenue profile , exiting 2026 and doing it in a very fiscally responsible way .

Speaker #2: So that's on the revenue , on the EBITDA . While we didn't guide on the EBITDA , I can certainly share some additional context for you .

Speaker #2: Obviously , it starts with revenue growth that I just described . Frontier brings a substantial EBITDA contribution contribution with it as well . And in the prepared remarks , we said we expect EBITDA to grow at a faster rate than adjusted EPs .

26. And we're still laughing as Dan mentioned, pricing actions uh, from 2025. And we're, you know, we'll work our way through it. But as we said, you know, 20126 is going to be a transitional year for Revenue, as we push on volume based growth, both mobility and broadband. And, and and setting up for a stronger, Revenue profile, exiting, uh, 2026 and doing it in, in the very fiscally responsible way. So, that's on the revenue on the IBA. Uh, while we didn't guide on the IBA, I can certainly share some additional context for you. Obviously, it starts with the revenue growth that I just described uh Frontier. Uh brings a substantial e bit of contribution contribution with it as well.

Speaker #2: When you factor in the frontier acquisition related interest expense , that's about $1 billion and the depreciation and amortization from the asset base , asset base that we acquired , which is about a billion and a half dollars .

Tony Skiadas: But as we said, you know, 2026 is going to be a transitional year for revenue as we push on volume-based growth across both mobility and broadband, and setting up for a stronger revenue profile exiting 2026 and doing it in a very fiscally responsible way. So that's on the revenue. On the EBITDA, while we didn't guide on the EBITDA, I can certainly share some additional context for you. Obviously, it starts with the revenue growth that I just described. Frontier brings a substantial EBITDA contribution with it as well. And in the prepared remarks, we said we expect EBITDA to grow at a faster rate than Adjusted EPS.

But as we said, you know, 2026 is going to be a transitional year for revenue as we push on volume-based growth across both mobility and broadband, and setting up for a stronger revenue profile exiting 2026 and doing it in a very fiscally responsible way. So that's on the revenue. On the EBITDA, while we didn't guide on the EBITDA, I can certainly share some additional context for you. Obviously, it starts with the revenue growth that I just described. Frontier brings a substantial EBITDA contribution with it as well. And in the prepared remarks, we said we expect EBITDA to grow at a faster rate than Adjusted EPS.

Speaker #2: So when you look at the EBITDA , it's in acceleration , in EBITDA growth rate and great operating leverage . And then , you know , when you look from a cost perspective , underneath that we mentioned that we're carefully examining all areas of our cost structure to run leaner and be more agile .

And in the prepared remarks, we said we expect ebita to grow at a faster rate uh, than adjusted EPS, uh, when you factor in the frontier, uh, acquisition related interest expense, that's about a billion dollars and the depreciation amor from the asset base asset base that we acquired, which about, is about a billion and a half dollars. So, when when you look at the ibida, it's an acceleration in the ibida growth rate and and great operating Leverage

and then, you know, when you, when you look underneath that from a cost transformation perspective, uh, we mentioned that we're carefully examining uh

Speaker #2: And you know , we have 5 billion of cost transformation in our plans for 2026 . And that work is already well underway .

Speaker #2: Whether it's the , you know , continued decommissioning of legacy elements in the network , including copper , and you think about the legacy areas as well as frontier , whether it's customer experience and addressing customer pain points and reducing call volumes or on the IT side in terms of rationalizing platforms and including AI enablement on the side , workforce we reduced our workforce by 13,000 in the fourth quarter , 80% of which were off payroll in Q4 , with the remainder coming off payroll in the first quarter .

Areas uh of our cost structure to run leaner uh and be more agile. And you know we have 5 billion of cost transformation in our plans uh for 2026 and that work is already well underway.

Tony Skiadas: When you factor in the Frontier acquisition-related interest expense, that's about $1 billion, and the depreciation and amortization from the asset base, asset base that we acquired, which is about $1.5 billion. So when you look at the EBITDA, it's an acceleration in the EBITDA growth rate and great operating leverage. And then, you know, when you look underneath that from a cost transformation perspective, we mentioned that we're carefully examining all areas of our cost structure to run leaner, and be more agile. And, you know, we have $5 billion of cost transformation in our plans for 2026, and that work is already well underway.

When you factor in the Frontier acquisition-related interest expense, that's about $1 billion, and the depreciation and amortization from the asset base, asset base that we acquired, which is about $1.5 billion. So when you look at the EBITDA, it's an acceleration in the EBITDA growth rate and great operating leverage. And then, you know, when you look underneath that from a cost transformation perspective, we mentioned that we're carefully examining all areas of our cost structure to run leaner, and be more agile. And, you know, we have $5 billion of cost transformation in our plans for 2026, and that work is already well underway.

Speaker #2: And then we mentioned the frontier integration , and we said we expect two times the operating expense run rate synergies . So at least $1 billion of synergies will those 2028 .

Speaker #2: synergies by And ramp up as we execute on our work . And integration when you think about the EBITDA and the cost reduction actions that we have in place , it allows us to do of a number things .

Tony Skiadas: Whether it's the, you know, continued decommission of the legacy elements in the network, including copper, and you think about the legacy areas as well in Frontier, whether it's customer experience, and addressing customer pain points and reducing call volumes, or on the IT side, in terms of rationalizing platforms and including AI enablement. On the workforce side, we reduced our workforce by 13,000 in Q4, 80% of which were off payroll in Q4, with the remainder coming off payroll in Q1. And then we mentioned the Frontier integration, and we said we expect two times the operating expense run rate synergy, so at least $1 billion of synergies by 2028. And those synergies will ramp as we execute on our integration work.

Which Roth payroll in Q4, uh, with the remainder coming off, payroll in the first quarter. And then we mentioned the frontier integration. And we said we expect 2 times the operating expense run rate, Synergy. So at least a billion dollars of of synergies by 2028, and those synergies will ramp

Whether it's the, you know, continued decommission of the legacy elements in the network, including copper, and you think about the legacy areas as well in Frontier, whether it's customer experience, and addressing customer pain points and reducing call volumes, or on the IT side, in terms of rationalizing platforms and including AI enablement. On the workforce side, we reduced our workforce by 13,000 in Q4, 80% of which were off payroll in Q4, with the remainder coming off payroll in Q1. And then we mentioned the Frontier integration, and we said we expect two times the operating expense run rate synergy, so at least $1 billion of synergies by 2028. And those synergies will ramp as we execute on our integration work.

Speaker #2: You know , first , run more efficiently . The second thing , allows us to it absorb the for transitional year revenue . It also allows us to invest in the customer experience and return a significant amount of capital to shareholders .

uh as we execute on our integration work and and when you think about the IBA and the cost reduction actions that we have in place that allows us to do a number of things, you know, first run more efficiently

Uh, the second thing is, it allows us to absorb the transitional year for Revenue.

Speaker #2: So, we see a great path for both EBITDA and EPS growth. And I'll hand it to Dan.

Speaker #1: Yeah , it's hard , hard to expand on that . Very comprehensive answer . I'll just say this , I think all of this kind of hangs together and integrated whole , in my view , but one of the reasons why we have such high churn rate , one of the reasons why we've been losing share over the last several years is because we keep raising our pricing without corresponding value that , and is the primary .

It also allows us to invest in the customer experience and return a significant amount of capital, uh, to shareholders. So we see a great path for both ibida and uh, and EPS growth. And I'll hand this to Dan. Yeah, it's hard to hard to expand on that, very comprehensive answer. I I'll just say this. I think all of this kind of hangs together in an integrated all in in my view but

Tony Skiadas: And when you think about the EBITDA and the cost reduction actions that we have in place, it allows us to do a number of things. You know, first, run more efficiently. The second thing, it allows us to absorb the transitional year for revenue. It also allows us to invest in the customer experience and return a significant amount of capital to shareholders. So we see a great path for both EBITDA and EPS growth. And I'll hand it to Dan.

And when you think about the EBITDA and the cost reduction actions that we have in place, it allows us to do a number of things. You know, first, run more efficiently. The second thing, it allows us to absorb the transitional year for revenue. It also allows us to invest in the customer experience and return a significant amount of capital to shareholders. So we see a great path for both EBITDA and EPS growth. And I'll hand it to Dan.

1 of the reasons why we have such high churn rate, 1 of the reasons why we've been losing share, uh, over the last several years is because we keep raising

Speaker #1: Reason why our customers churn . And , you know , the number one rule of , you know , getting out of a hole is stop digging .

Our pricing without corresponding value. And that is the primary, uh,

Speaker #1: you know , we're And , just not going to do that again . And if we did just do what we were doing in previous years , we would you know , have guided to 4 to 5% revenue instead of 2 to 3 .

Daniel Schulman: You know, it's hard to expand on that. It's a very comprehensive answer. I'll just say this. I think all of this kind of hangs together in an integrated whole, in my view. One of the reasons why we have such high churn rate, one of the reasons why we've been losing share over the last several years, is because we keep raising our pricing without corresponding value, and that is the primary reason why our customers churn. You know, the number one rule of getting out of a hole is stop digging. You know, we're just not going to do that again.

Speaker #1: But then, at the end of the year, we would have had another couple of billion of things. We have to lap and higher churn rate, and we would be deeper in the hole.

Speaker #1: And so our view is as we go into 2027 at 180 basis points of headwind goes away for us . We start now to have volumes based revenues coming in .

Um, reason why our customers churn and, you know, the number 1 rule of, you know, getting out of a hole, um, is stop digging. Um, and you know, we're just not going to do that again. And um, if we did just do what we were doing in previous years. You know, we would have guided to 4 to 5% uh Revenue instead of uh 2 to 3. Um but then at the end of the year, we would have had another couple of billion of things we have to lap and higher churn rate and would be deeper in the hole.

so, um,

you is as we go into 2027,

Speaker #1: You know , we do 750 to 1 million net post paid as well as , you , continue know to aggressively move in our broadband and convergence plays .

goes away for us.

Speaker #1: You know , you'll have 7 billion , several billion dollars of revenues coming in there . And so that's how you create sustainable long term revenue growth .

Daniel Schulman: And, if we did just do what we were doing in previous years, you know, we would have guided to 4 to 5% revenue instead of 2 to 3%. But then at the end of the year, we would have had another couple of $1 billion things we have to lap and a higher churn rate, and we would be deeper in the hole. And so, our view is, as we go into 2027, that 180 basis points of headwind goes away for us. We start now to have volumes-based revenues coming in. You know, we do 750 to 1 million net postpaid, as well as, you know, continue to aggressively move in our broadband and convergence plays.

And, if we did just do what we were doing in previous years, you know, we would have guided to 4 to 5% revenue instead of 2 to 3%. But then at the end of the year, we would have had another couple of $1 billion things we have to lap and a higher churn rate, and we would be deeper in the hole. And so, our view is, as we go into 2027, that 180 basis points of headwind goes away for us. We start now to have volumes-based revenues coming in. You know, we do 750 to 1 million net postpaid, as well as, you know, continue to aggressively move in our broadband and convergence plays.

Speaker #1: And then when you combine that on top of us being ever more efficient every year , and you know , we're looking at 5 billion this year .

Speaker #1: And we see billions more as we look forward into 2027 and 2028. We're just at the beginning of our efficiency journey. And then we're buying back shares.

We start now to have volumes based revenues coming in. You know, we do 750 to a million net posts, uh, paid, uh, as well as, uh, uh, you know, continue, uh, to aggressively move, uh, in our Broadband, uh, and convergence place. You know, you'll have 70 Bill, several billion dollars of revenues coming in there. And so, that's how you create sustainable, long-term Revenue growth. And then when you combine that on top of us being ever more efficient every year,

Speaker #1: And you can really see that you have both top line and adjusted EPS growth. That, you know, sets us up for having a delighted customer base because we're doing the right thing.

Speaker #1: And hopefully a delighted shareholder base because we're creating a model that can create sustainable , long term growth , both and the line line bottom top on the .

And you know we're looking at 5 billion um this year and we see billions more as we look forward into 2027 and 2028. We're just at the beginning of our efficiency journey and then we're buying back shares and you can really see that you have both Top Line and adjusted EPS growth that you know, it sets this up for having a a

Daniel Schulman: You know, you have several billion dollars of revenues coming in there. So that's how you create sustainable long-term revenue growth. And then when you combine that on top of us being ever more efficient every year, and, you know, we're looking at $5 billion this year, and we see billions more as we look forward into 2027 and 2028. We're just at the beginning of our efficiency journey, and then we're buying back shares, and you can really see that you have both top line and Adjusted EPS growth that, you know, it sets us up for having a delighted customer base because we're doing the right thing, and hopefully, a delighted shareholder base, because we're creating a model that can create sustainable long-term growth, both on the top line, and the bottom line.

You know, you have several billion dollars of revenues coming in there. So that's how you create sustainable long-term revenue growth. And then when you combine that on top of us being ever more efficient every year, and, you know, we're looking at $5 billion this year, and we see billions more as we look forward into 2027 and 2028. We're just at the beginning of our efficiency journey, and then we're buying back shares, and you can really see that you have both top line and Adjusted EPS growth that, you know, it sets us up for having a delighted customer base because we're doing the right thing, and hopefully, a delighted shareholder base, because we're creating a model that can create sustainable long-term growth, both on the top line, and the bottom line.

Speaker #7: Thanks guys .

Speaker #3: Yeah , good . Hey , Brad , we're ready for the next question .

Speaker #1: Last one .

Speaker #3: Yep . Last last .

Speaker #4: One. Your last question will come from Michael Rollins of Citigroup. Please go ahead, sir.

Delighted customer base because we're doing the right thing and hopefully, a delighted shareholder base because we're creating a model that can create sustainable long-term growth. Both on the top line, uh, and the bottom line.

Thanks guys.

Speaker #7: Thanks . Good morning . And welcome . Want to express my thanks to Brady and welcome Colleen . Dan , you've been very clear about the problems that come from empty price increases .

Yeah, good. Hey, um Brad. We're ready for the next question. Last 1? Yep.

Last last. Last. Last question, question.

Your last question will come from Michael Rollins of Citigroup. Please go ahead, sir.

Speaker #7: And I'm curious if you could discuss the opportunity for the alternative just given the maturation of industry penetration rates , do you see opportunities for Verizon and or the industry to inject more value into these services to capture better arpus over time and there a that is an sense , if opportunity when Verizon can go after that .

Thanks uh good morning. And I also just want to express my thanks to Brady and welcome Colleen.

Speaker #7: And then just secondly , on the cost side , you know just talking think you were , Tony , I different about the layers of getting savings .

Michael Rollins: Thanks, guys.

John Hodulik: Thanks, guys.

Tony Skiadas: Yeah, good. Hey, Brady, we're ready for the next question.

Uh, yeah. You've been very clear about the problems that come from MD, price increases and I'm curious. If you could discuss the opportunity for the alternative, just give them the maturation. Of the industry penetration rates, do you see opportunities for Verizon and or the industry to inject more value into these services to capture better RPMs over time? And, and is there a sense? If, if that is an opportunity,

Speaker #7: Can you discuss what Verizon has identified for savings after 2026 , specifically for 27 and 28 , as you're looking to continue to fund the top line strategy as well as the new capital allocation targets that were set today , thanks .

Daniel Schulman: Last one.

Tony Skiadas: Yep, last one.

Operator: Your last question. Your last question will come from Michael Rollins of Citigroup. Please go ahead, sir.

Michael Rollins: Thanks. Good morning, and I also just want to express my thanks to Brady and welcome Colleen. Dan, you've been very clear about the problems that come from empty price increases, and I'm curious if you could discuss the opportunity for the alternative. Just given the maturation of industry penetration rates, do you see opportunities for Verizon and or the industry to inject more value into these services to capture better ARPU's over time? And is there a sense, if that is an opportunity, when Verizon can go after that? And then just secondly, on the cost side, you know, Tony, I think you were just talking about the different layers of getting savings.

Speaker #1: Well , because I love as much revenues , I'm going to jump on that look , I see kind of three waves of efficiency .

When Verizon can go after that and then just secondly on the cost side um you know uh Tony. I think you were just talking about the different layers of of getting savings. Um can you discuss what Verizon has identified for savings after 2026 specifically for 27 and 28 as you're looking to continue to fund the Topline strategy as well as uh the new capital, allocation targets that were set today. Thanks.

uh,

Speaker #1: know , You the first wave is basically you know , what we talked about today on the call take out pockets of underperformance , structural inefficiencies , unnecessary layering of management structures , take people off of the places where we are no longer focused going forward .

well, because I love cost, uh, as as much as I do, uh, revenues. I'm gonna jump on that look

Um, I see kind of 3 waves.

basically, you know what we talked about today on the call

Speaker #1: was , you know , That the first the second wave is take complexity out of our business . And that's about , you know , looking at the customer promise that we have the value proposition that we have .

Michael Rollins: Can you discuss what Verizon has identified for savings after 2026, specifically for 2027 and 2028, as you're looking to continue to fund the top line strategy as well as the new capital allocation targets that were set today? Thanks.

Take out pockets of underperformance. Structural inefficiencies,

Can you discuss what Verizon has identified for savings after 2026, specifically for 2027 and 2028, as you're looking to continue to fund the top line strategy as well as the new capital allocation targets that were set today? Thanks.

Speaker #1: And complexity as a ton of cost internally to us . And so we're going to go heavy at this end to end customer experience at our value proposition .

Daniel Schulman: Well, because I love costs as much as I do revenues, I'm gonna jump on that. Look, I see kind of three waves of efficiency. You know, the first wave is basically, you know, what we talked about today on the call, take out pockets of underperformance, structural inefficiencies, unnecessary layering of management structures, take people off of the places where we are no longer focused going forward. That was, you know, the first wave. The second wave is take complexity out of our business, and that's about, you know, looking at the customer promise that we have, the value proposition that we have. And complexity adds a ton of cost internally to us.

Speaker #1: And it's going to be around simplicity and reducing complexity , because that's really important . And the third thing is when you take out your complexity , you know , then you automate , you know , your processes that are left .

Unnecessary layering of management structures. Take people off of the places where we are no longer focused, uh, going forward that that was, you know, the first the second wave is take complexity out of our business. Um, and that's about, you know, looking at the customer promise that we have, the value proposition that we have, uh, and complexity.

Speaker #1: And so there there are three waves that we have identified that we understand quite well . And that we're very comfortable with on the on values based kind of I call it pricing in .

Speaker #1: Can you add more value it ? into I think the answer to that , is yes . that is the answer . But it comes with brand trust .

As a ton of costs uh, internally, uh, to us. And so we're going to go heavy at this end and customer experience that our value proposition and it's going to be around Simplicity uh and uh, reducing complexity because that's really important. And then, the third thing is when you take out your complexity, you know, then you automate, you know, uh, your processes, um, that are left. And so there there are 3 ways that we have identified that we understand quite well. Um, and that we're very uh, comfortable with

Speaker #1: so And , you know , everything we are trying to do this year . We have a three year plan . You we've know , got very concrete metrics for the 12 months .

um, on the um,

Daniel Schulman: We're going to go heavy at this end-to-end customer experience, at our value proposition, and it's going to be around simplicity, and reducing complexity, because that's really important. And then the third thing is when you take out your complexity, you know, then you automate, you know, your processes, that are left. And so there are three waves that we have identified, that we understand quite well, and that we're very comfortable with. On the values-based, kind of how I call it, pricing, and can you add more value into it? I think the answer to that, Mike, is yes. I think that is the answer, but it comes with brand trust. And so, you know, everything we are trying to do this year, we have a three-year plan.

We're going to go heavy at this end-to-end customer experience, at our value proposition, and it's going to be around simplicity, and reducing complexity, because that's really important. And then the third thing is when you take out your complexity, you know, then you automate, you know, your processes, that are left. And so there are three waves that we have identified, that we understand quite well, and that we're very comfortable with. On the values-based, kind of how I call it, pricing, and can you add more value into it? I think the answer to that, Mike, is yes. I think that is the answer, but it comes with brand trust. And so, you know, everything we are trying to do this year, we have a three-year plan.

Speaker #1: And I know what we want to do. And then I actually have a vision for where we want to be in three years from now as well.

Speaker #1: But the first thing is stop doing things . Customers hate . It doesn't not rocket science on that End to 60 . end up experience again , not rocket science , but hard to do that .

Um, values based kind of I call it pricing and can you add more value into it? I think the answer to that I guess. Yes, I think that is the answer but it comes with brand trust. Um and so you know everything we are trying to do this year. We have a 3 year plan. Yeah. We've got some very

Speaker #1: And then you start to regain trust . And when you start to regain can start to put either promises or incremental value in it , then like that we I , I'm not saying don't do price increases .

Speaker #1: I'm we will not do price increases without value , but I do think that there are lots of places where we can add value .

Concrete metrics for 12 months and I know what we want to do and then I actually have a vision for where we want to be uh in 3 years from now as well. But the first thing is stop doing things customers. Hate doesn't not not rocket science uh on that fix the end to end um experience again, not rocket science but hard to do uh, on that.

Speaker #1: Honestly , I think some of the broadband stuff that we're doing , you know , where you're putting gig plus out there , that's real value to customers .

Speaker #1: And so I think there are areas where there is value that we should be able to capture through the appropriate pricing , but we're not going to capture temporary value short term value at the risk of upsetting our customers and increasing our churn again , that defeats the purpose of long term sustainable growth .

Daniel Schulman: You know, we've got some very concrete metrics for the 12 months, and I know what we want to do, and then I actually have a vision for where we want to be in 3 years from now as well. But the first thing is stop doing things customers hate. It's not rocket science on that. Fix the end-to-end experience. Again, not rocket science, but hard to do on that. And then you start to regain trust, and when you start to regain trust, then you can start to put either promises or incremental value in it. Then, like, I'm not saying that we don't do price increases. I'm saying we will not do price increases without value. But I do think that there are lots of places where we can add value.

You know, we've got some very concrete metrics for the 12 months, and I know what we want to do, and then I actually have a vision for where we want to be in 3 years from now as well. But the first thing is stop doing things customers hate. It's not rocket science on that. Fix the end-to-end experience. Again, not rocket science, but hard to do on that. And then you start to regain trust, and when you start to regain trust, then you can start to put either promises or incremental value in it. Then, like, I'm not saying that we don't do price increases. I'm saying we will not do price increases without value. But I do think that there are lots of places where we can add value.

And then you start to regain trust and when you start to regain trust and you can start to put either promises or incremental value in it then like I I'm not saying that we don't do price increases, I'm saying we will not do price increases without value but I do think that there are lots of places where we can add value, honestly. I think some of the Broadband stuff that we're doing, you know, where you're putting a gig plus out there, that's real value, uh, to customers. And so I think there are areas where there

Speaker #1: And that is what this transformation is all about.

There is value that we should be able to capture through the appropriate, uh, pricing. Um but we're not going to

Speaker #3: Perfect . Great way to end , Brad . That's all the time we have today . And thanks , everybody for being on the call .

Capture temporary value short-term value at the risk of, upsetting our customers, and increasing our churn again, that defeats the purpose of long-term sustainable growth. Uh, and that is what this transformation uh, is all about.

Daniel Schulman: Honestly, I think some of the broadband stuff that we're doing, you know, where you're putting a gig plus out there, that's real value to customers. And so I think there are areas where there is value that we should be able to capture through the appropriate pricing, but we're not going to capture temporary value, short term value, at the risk of upsetting our customers and increasing our churn. Again, that defeats the purpose of long-term sustainable growth, and that is what this transformation is all about.

Honestly, I think some of the broadband stuff that we're doing, you know, where you're putting a gig plus out there, that's real value to customers. And so I think there are areas where there is value that we should be able to capture through the appropriate pricing, but we're not going to capture temporary value, short term value, at the risk of upsetting our customers and increasing our churn. Again, that defeats the purpose of long-term sustainable growth, and that is what this transformation is all about.

Perfect, great way to end Brad. That's all the time we have today and uh, thanks for everybody, for being on the call.

This concludes the conference call for today.

Thank you for your participation and for using Verizon conferencing services.

you may now disconnect

Tony Skiadas: Perfect. Great way to end. Brad, that's all the time we have today, and, thanks for everybody for being on the call.

Operator: This concludes the conference call for today. Thank you for your participation and for using Verizon Conferencing Services. You may now disconnect.

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