8-KEarnings & ResultsExhibits & Filings

VERIZON COMMUNICATIONS INC 8-K Report, Financial Results (Jan 24, 2023)

Filed January 24, 2023For Securities:VZ

Summary

Verizon Communications Inc. filed an 8-K on January 24, 2023, to provide investors with its fourth quarter and full-year 2022 financial and operating results. The report primarily directs readers to attached exhibits, including a press release, financial tables, and commentary, which contain both GAAP and non-GAAP financial information. Investors should note Verizon's extensive use of non-GAAP measures to provide a clearer view of operational performance and trends, such as EBITDA, Adjusted EBITDA, Adjusted Earnings Per Share (EPS), and Free Cash Flow. The company emphasizes that these non-GAAP measures are intended to supplement, not replace, GAAP reporting and may not be directly comparable to other companies.

Key Highlights

  • 1The 8-K filing on January 24, 2023, serves as a notification that Verizon has released its Q4 and full-year 2022 financial results.
  • 2Key financial and operating results are detailed in attached Exhibits 99.1 (press release and financial tables) and 99.2 (commentary).
  • 3Verizon extensively utilizes non-GAAP financial measures, including EBITDA, Adjusted EBITDA, Segment EBITDA, Adjusted EPS, and Free Cash Flow, to offer insights into performance and trends.
  • 4The company explains its rationale for using these non-GAAP measures, stating they enhance understanding of operational performance, comparability with peers, and business trends by excluding certain items.
  • 5Reconciliations between GAAP and non-GAAP measures are provided within the accompanying schedules, as referenced in the filing.
  • 6Verizon has not provided reconciliations for certain future-oriented non-GAAP measures (e.g., Consolidated Adjusted EBITDA Forecast, Adjusted EPS Forecast) due to the unpredictable nature of future special items.
  • 7The filing also defines non-GAAP measures like Net Unsecured Debt and the Net Unsecured Debt to Consolidated Adjusted EBITDA Ratio, relevant for assessing debt servicing capabilities.

Frequently Asked Questions

This 8-K filing serves to officially announce and provide access to Verizon's financial and operating results for the fourth quarter and the full fiscal year 2022. It directs investors to more detailed information presented in an attached press release, financial tables, and commentary.

Non-GAAP financial measures are metrics that are not calculated according to Generally Accepted Accounting Principles (GAAP). Verizon uses them, such as Adjusted EBITDA and Adjusted EPS, to provide investors with a clearer view of its operational performance and underlying business trends. They are intended to exclude the impact of certain items that may not be indicative of ongoing operations, thus facilitating better comparability with prior periods and competitors.

The specific financial and operating results for Q4 and full-year 2022 are contained within the exhibits attached to this 8-K filing. These include a press release and financial tables (Exhibit 99.1) and a detailed commentary (Exhibit 99.2).

Yes, Verizon provides forecasts for some non-GAAP measures, such as Consolidated Adjusted EBITDA Forecast and Adjusted EPS Forecast. However, they state that reconciliations to GAAP are not provided for these forecasts because it's not possible without unreasonable effort to predict the future 'special items' that would impact such reconciliations.