Verizon’s Wireline Earnings Increased in 4Q14
Verizon’s wireline EBITDA (earnings before interest, tax, depreciation, and amortization) increased ~4.3% year-over-year to reach ~$2.3 billion in 4Q14.
Verizon is selling profitable wireline assets to Frontier Communications In the previous part of this series, we learned about Verizon’s (VZ) agreement to sell its wireline assets in three states to…
Verizon (VZ) signed an agreement for the sale of its wireline assets in Florida, California, and Texas to Frontier Communications (FTR).
Strategic services are gaining significance in Verizon’s enterprise segment. Strategic services benefit wireline telecommunication companies.
According to Verizon, growth in Quantum services contributed to the year-over-year increase in FiOS revenues in the consumer wireline segment in 4Q14.
FiOS’s contribution to Verizon’s consumer wireline revenues evenly increased from ~73% in 4Q13 to ~77% in 4Q14.
Verizon’s wireline revenues continued their declining trend in 4Q14. The company’s wireline division has three large sub-segments.
Companies are insistent on share buybacks, as they reduce the float or outstanding shares, thereby boosting EPS.
IBM’s (IBM) strategic growth initiatives that encompass big data and business analytics, cloud computing, and mobile and social business have registered positive growth.
In August 2013, IBM (IBM) unveiled its POWER 8 family of processors.
IBM expects that dollar appreciation will impact its revenues by more than 6% in 2015.
In February 2014, IBM announced integration of its high-end POWER Systems servers for hosting and developing applications on SoftLayer cloud infrastructure.
According to Gartner, IBM (IBM) with a market cap of approximately $160 billion is a market leader in the middleware and software space.
In 4Q14, IBM (IBM) returned $1.2 billion to shareholders with $1.1 billion in dividends and $0.1 billion in share repurchases.
IBM’s revenue declined across every reported unit and geographical region in 4Q14.
In 2014, IBM’s (IBM) cloud-related technologies generated revenues of $7 billion, a 60% increase on a year-over-year basis.
IBM’s global technology and global business services together form the global services segment.
IBM’s (IBM) software business encompasses a middleware and operating systems division.
In 4Q14 and fiscal year 2014, IBM’s (IBM) system and technology division revenues stood at $2.4 billion and $10 billion, a decline of 39% and 23%, respectively.
IBM’s (IBM) system and technology division is the segment that has suffered the most decline in 4Q14.
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