Summary
Verizon Communications Inc. (VZ) announced a significant operational restructuring, reorganizing its business into two new reportable segments, branded as Verizon 2.0: the Verizon Consumer Group and the Verizon Business Group. This change moves away from the previous Wireless and Wireline segments to better reflect strategic business units. The Verizon Consumer Group will focus on wireless and wireline services for individual customers, while the Verizon Business Group will cater to various business sizes (Global Enterprise, Small and Medium Business, Public Sector and Other) and wholesale partners with a comprehensive suite of communication, networking, security, and managed services. To aid investor understanding, Verizon is providing updated, unaudited historical financial and operating data that recasts results for these new segments for the nine quarters ending March 31, 2019, and the three fiscal years ending December 31, 2018. This historical recast is intended to provide a clearer view of performance under the new structure, although consolidated Verizon results remain unchanged from prior reporting. The company has made this information available through exhibits to the 8-K filing and on its investor relations website.
Key Highlights
- 1Verizon has reorganized its operating structure into two new reportable segments: Verizon Consumer Group and Verizon Business Group, effective April 1, 2019.
- 2The new segments replace the previous Wireless and Wireline reporting structure, aiming to better align with strategic business unit management.
- 3Verizon Consumer Group will focus on services for individual customers, including wireless and wireline offerings.
- 4Verizon Business Group will serve a broad range of customers including Global Enterprise, Small and Medium Business, Public Sector, and Wholesale markets with diverse communication and IT solutions.
- 5Unaudited historical financial and operating information for the new segments (nine quarters ending March 31, 2019, and three fiscal years ending December 31, 2018) is being provided for investor convenience.
- 6This historical recast is intended to allow for better analysis of performance under the new segment structure, with consolidated Verizon results remaining unchanged.
- 7The updated information is accessible via the 8-K filing's exhibits and Verizon's investor website.