Verizon Makes Good on Its Revenue Growth Promise

Verizon's (NYSE: VZ) third quarter was its chance to prove what it's been saying for several quarters now is true. Management said it expected service revenue, which decreased for the 11th straight quarter in the second quarter, would start to show improvements in the second half of this year.

Sure enough, Verizon showed an improvement in its service revenue, climbing about 1.4% sequentially in the third quarter from the second quarter low. The turnaround was helped by a net addition of 274,000 postpaid phone subscribers. That's the second straight quarter where Verizon has added postpaid phone subscribers after several quarters of declining results.

The trend coincides with Verizon's decision to join competitors like T-Mobile (NASDAQ: TMUS) and Sprint (NYSE: S) in offering an unlimited wireless data plan. Management also noted it expects the trend to continue in the fourth quarter.

Source: Fool.com