Verizon Communications Inc.'s (VZ) CEO Hans Vestberg on Q1 2022 Results - Earnings Call Transcript

Verizon Communications Inc. (NYSE:VZ) Q1 2022 Earnings Conference Call April 22, 2022 8:30 AM ET

Company Participants

Brady Connor – Senior Vice President-Investor Relations

Hans Vestberg – Chairman and Chief Executive Officer

Matt Ellis – Chief Financial Officer

Conference Call Participants

John Hodulik – UBS

Brett Feldman – Goldman Sachs

Philip Cusick – JPMorgan

Simon Flannery – Morgan Stanley

David Barden – Bank of America

Michael Rollins – Citi

Craig Moffett – MoffettNathanson

Doug Mitchelson – Credit Suisse

Bryan Kraft – Deutsche Bank

Operator

Good morning, and welcome to the Verizon First Quarter 2022 Earnings Conference Call. At this time all participants have been placed in a listen-only mode and the floor will be open up for questions following the presentation. [Operator Instructions] Today’s conference is being recorded. If you have any objections, you may disconnect at this time.

It is now my pleasure to turn over the call to your host, Mr. Brady Connor, Senior Vice President, Investor Relations.

Brady Connor

Thanks, Angela. Good morning and welcome to our first quarter earnings conference call. This is Brady Connor, and I’m here with our Chairman and Chief Executive Officer, Hans Vestberg; and Matt Ellis, our Chief Financial Officer. As a reminder, our earnings release, financial and operating information and the presentation slides are available on our Investor Relations website. A replay and transcript of this call will also be made available on our website.

Before we get started, I’d like to draw your attention to our safe harbor statement on Slide 2. Information in this presentation contains statements about expected future events and financial results that are forward-looking and subject to risks and uncertainties. Discussion of factors that may affect future results is contained in Verizon’s filings with the SEC, which are available on our website. This presentation contains certain non-GAAP financial measures. Reconciliations of these non-GAAP measures to the most directly comparable GAAP measures are included in the financial materials posted on our website.

Now let’s take a look at consolidated earnings for the first quarter. In the first quarter, we reported earnings of $1.09 per share on a GAAP basis. Reported first quarter earnings include a pretax loss from special items of approximately $1.5 billion. This includes a pretax loss of approximately $1.2 billion from early debt redemption costs. In addition, the impact of amortization of intangible assets related to TracFone and other acquisitions was $238 million. Excluding the effects of these special items, adjusted earnings per share was $1.35 in the first quarter.