Verizon Communications Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>Verizon Communications Inc. has submitted its 2023 annual report (10-K) detailing its financial performance and operations.</b>

AI Summary

VERIZON COMMUNICATIONS INC (VZ) filed a Annual Report (10-K) with the SEC on February 9, 2024. Verizon Communications Inc. filed its annual report on Form 10-K for the fiscal year ended December 31, 2023. The filing covers the period from January 1, 2023, to December 31, 2023. The company's principal business is Telephone Communications (No Radio Telephone) under SIC code 4813. Verizon Communications Inc. is incorporated in Delaware. The filing was submitted on February 9, 2024.

Why It Matters

For investors and stakeholders tracking VERIZON COMMUNICATIONS INC, this filing contains several important signals. This 10-K filing provides a comprehensive overview of Verizon's financial health, operational strategies, and risk factors for the fiscal year 2023, crucial for investors and stakeholders to assess the company's current standing and future prospects. As a major player in the telecommunications industry, Verizon's annual report offers insights into market trends, competitive landscape, and regulatory environment affecting the sector.

Risk Assessment

Risk Level: medium — VERIZON COMMUNICATIONS INC shows moderate risk based on this filing. The company operates in a highly competitive and rapidly evolving telecommunications industry, facing challenges from technological advancements and other major carriers, which could impact its market share and profitability.

Analyst Insight

Investors should review the detailed financial statements and risk factors in the 10-K to understand Verizon's performance and strategic positioning in the telecommunications market.

Key Numbers

• 2023-12-31 — Fiscal Year End (FISCAL YEAR END)
• 2024-02-09 — Filing Date (FILED AS OF DATE)
• 156 — Public Document Count (PUBLIC DOCUMENT COUNT)
• 001-08606 — SEC File Number (SEC FILE NUMBER)

Key Players & Entities

• VERIZON COMMUNICATIONS INC (company) — COMPANY CONFORMED NAME
• 2023-12-31 (date) — CONFORMED PERIOD OF REPORT
• 2024-02-09 (date) — FILED AS OF DATE
• 0000732712 (company) — CENTRAL INDEX KEY
• 4813 (industry) — STANDARD INDUSTRIAL CLASSIFICATION
• DE (jurisdiction) — STATE OF INCORPORATION
• 1095 AVENUE OF THE AMERICAS (address) — BUSINESS ADDRESS
• NEW YORK (location) — BUSINESS ADDRESS CITY

Forward-Looking Statements

• Verizon will likely refinance its 2024 maturing debt, including the 4.073% Notes, in the near term. (VERIZON COMMUNICATIONS INC) — high confidence, target: 2024-12-31
• The cost of Verizon's future debt issuances may be higher than some of its existing low-interest notes due to current market conditions. (VERIZON COMMUNICATIONS INC) — medium confidence, target: 2025-12-31

FAQ

Industry Context

Verizon Communications Inc. operates within the telecommunications industry, a sector characterized by rapid technological advancements, significant capital expenditures, and intense competition.

Regulatory Implications

As a telecommunications provider, Verizon is subject to various regulations from bodies like the FCC (Federal Communications Commission) concerning service provision, spectrum allocation, and consumer protection.

What Investors Should Do

1. Analyze Verizon's revenue streams and growth segments for FY2023.
2. Examine the company's debt structure and liquidity position as detailed in the financial statements.
3. Review the identified risk factors to understand potential challenges and mitigation strategies.

Key Dates

• 2023-12-31: Fiscal Year End — Marks the end of the reporting period for the 10-K filing.
• 2024-02-09: Filing Date — Date Verizon Communications Inc. submitted its 10-K report to the SEC.

Year-Over-Year Comparison

This filing is the annual 10-K report for the fiscal year ended December 31, 2023, providing updated financial and operational information compared to previous filings.

Key Financial Figures

• $0.10 — ich Registered Common Stock, par value $0.10 VZ New York Stock Exchange Common Stoc
• $101.6 b — 3, the Consumer segment's revenues were $101.6 billion, representing approximately 76% o
• $30.1 b — 3, the Business segment's revenues were $30.1 billion, representing approximately 22% o
• $15.1 b — erprise and Public Sector revenues were $15.1 billion, representing approximately 50% o
• $12.7 b — usiness Markets and Other revenues were $12.7 billion, representing approximately 42% o
• $2.3 b — omers. In 2023, Wholesale revenues were $2.3 billion, representing approximately 8% of

Filing Documents

• vz-20231231.htm (10-K) — 3746KB
• a2023q410-kxexhibit4g.htm (EX-4.G) — 245KB
• a2023q410-kxexhibit21.htm (EX-21) — 15KB
• a2023q410-kxexhibit23.htm (EX-23) — 5KB
• a2023q410-kxexhibit24.htm (EX-24) — 55KB
• a2023q410-kxexhibit311.htm (EX-31.1) — 10KB
• a2023q410-kxexhibit312.htm (EX-31.2) — 11KB
• a2023q410-kxexhibit321.htm (EX-32.1) — 5KB
• a2023q410-kxexhibit322.htm (EX-32.2) — 6KB
• a2023q410-kxexhibit97.htm (EX-97) — 50KB
• vz-20231231_g1.jpg (GRAPHIC) — 100KB
• vz-20231231_g2.jpg (GRAPHIC) — 20KB
• vz-20231231_g3.jpg (GRAPHIC) — 18KB
• vz-20231231_g4.jpg (GRAPHIC) — 16KB
• vz-20231231_g5.jpg (GRAPHIC) — 21KB
• vz-20231231_g6.jpg (GRAPHIC) — 19KB
• vz-20231231_g7.jpg (GRAPHIC) — 15KB
• vz-20231231_g8.jpg (GRAPHIC) — 15KB
• vz-20231231_g9.jpg (GRAPHIC) — 12KB
• 0000732712-24-000010.txt (&nbsp;) — 21706KB
• vz-20231231.xsd (EX-101.SCH) — 121KB
• vz-20231231_cal.xml (EX-101.CAL) — 172KB
• vz-20231231_def.xml (EX-101.DEF) — 717KB
• vz-20231231_lab.xml (EX-101.LAB) — 1489KB
• vz-20231231_pre.xml (EX-101.PRE) — 1068KB
• vz-20231231_htm.xml (XML) — 4269KB

Business

Item 1. Business 4

Risk Factors

Item 1A. Risk Factors 13

Unresolved Staff Comments

Item 1B. Unresolved Staff Comments 18

Cybersecurity

Item 1C. Cybersecurity 18

Properties

Item 2. Properties 20

Legal Proceedings

Item 3. Legal Proceedings 20

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 20 PART II

Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 21

[Reserved]

Item 6. [Reserved] 21

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 22

Quantitative and Qualitative Disclosures About Market Risk

Item 7A. Quantitative and Qualitative Disclosures About Market Risk 47

Financial Statements and Supplementary Data

Item 8. Financial Statements and Supplementary Data 50

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 104

Controls and Procedures

Item 9A. Controls and Procedures 104

Other Information

Item 9B. Other Information 105

Disclosure Regarding Foreign Jurisdictions that Prevent Inspections

Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 105 PART III

Directors, Executive Officers and Corporate Governance

Item 10. Directors, Executive Officers and Corporate Governance 105

Executive Compensation

Item 11. Executive Compensation 105

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 106

Certain Relationships and Related Transactions, and Director Independence

Item 13. Certain Relationships and Related Transactions, and Director Independence 106

Principal Accounting Fees and Services

Item 14. Principal Accounting Fees and Services 106 PART IV

Exhibits and Financial Statement Schedules

Item 15. Exhibits and Financial Statement Schedules 107

Form 10-K Summary

Item 16. Form 10-K Summary 111

Signatures

Signatures 111 Certifications Table of Contents PART I

Business

Item 1. Business General Verizon Communications Inc. (the Company) is a holding company that, acting through its subsidiaries (together with the Company, collectively, Verizon), is one of the world's leading providers of communications, technology, information and entertainment products and services to consumers, businesses and government entities. With a presence around the world, we offer data, video and voice services and solutions on our networks and platforms that are designed to meet customers' demand for mobility, reliable network connectivity and security. Our principal executive offices are located at 1095 Avenue of the Americas, New York, New York 10036 (telephone number 212-395-1000). We have two reportable segments that we operate and manage as strategic business units - Verizon Consumer Group (Consumer) and Verizon Business Group (Business). Verizon Consumer Group Our Consumer segment provides consumer-focused wireless and wireline communications services and products. Our wireless services are provided across one of the most extensive wireless networks in the United States (U.S.) under the Verizon family of brands and through wholesale and other arrangements. We also provide fixed wireless access (FWA) broadband through our fifth-generation (5G) or fourth-generation (4G) Long-Term Evolution (LTE) networks as an alternative to traditional landline internet access. Our wireline services are provided in nine states in the Mid-Atlantic and Northeastern U.S., as well as Washington D.C., over our 100% fiber-optic network through our Verizon Fios product portfolio and over a traditional copper-based network to customers who are not served by Fios. In 2023, the Consumer segment's revenues were $101.6 billion, representing approximately 76% of Verizon's consolidated revenues. As of December 31, 2023, Consumer had approximately 115 million wireless retail connections (including FWA), of which 82% are postpaid connections. In addition, at December 31