UPDATE: Verizon Posts Higher Q2 Profit

Verizon Communications

reported a strong rise in its second-quarter profit. The New York-based company reported a quarterly profit of $4.21 billion, or $1.01 per share, versus a year-ago profit of $2.25 billion, or $0.78 per share. The latest quarter results included an after-tax gain of $0.10 per share related to the sale of 700 MHz A Block spectrum licenses. Excluding special items, Verizon's earnings rose to $0.91 per share from $0.73 per share. Its revenue climbed 5.7% to $31.48 billion. However, analysts were estimating a profit of $0.90 per share on revenue of $31.12 billion. Total revenue in wireless segment rose 7.5% to $21.5 billion, while wireline revenue gained 0.3% to $9.8 billion. Verizon added more than 1.4 million retail net wireless customers in the second quarter, compared to 941,000 net additions in the year-ago period. It also added 139,000 net new wireline FiOS Internet connections and 100,000 net new FiOS Video connections in the quarter. Chairman and CEO Lowell McAdam said: "Verizon's second-quarter results continue to demonstrate our ability to deliver strong customer growth, with equally strong financial performance, in a dynamic and competitive environment.” Verizon reaffirmed its FY14 consolidated top-line growth of 4%. Verizon shares dropped 0.18% to $50.61 in pre-market trading.