Net Profit Margin
since 2005
Calculation
Verizon Communications Inc., net profit margin, long-term trends, calculation
| Net profit margin | = | 100 | × | Net income attributable to Verizon1 | ÷ | Operating revenues1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2025 | 12.43% | = | 100 | × | 17,174) | ÷ | 138,191) |
| Dec 31, 2024 | 12.99% | = | 100 | × | 17,506) | ÷ | 134,788) |
| Dec 31, 2023 | 8.67% | = | 100 | × | 11,614) | ÷ | 133,974) |
| Dec 31, 2022 | 15.53% | = | 100 | × | 21,256) | ÷ | 136,835) |
| Dec 31, 2021 | 16.51% | = | 100 | × | 22,065) | ÷ | 133,613) |
| Dec 31, 2020 | 13.88% | = | 100 | × | 17,801) | ÷ | 128,292) |
| Dec 31, 2019 | 14.61% | = | 100 | × | 19,265) | ÷ | 131,868) |
| Dec 31, 2018 | 11.87% | = | 100 | × | 15,528) | ÷ | 130,863) |
| Dec 31, 2017 | 23.88% | = | 100 | × | 30,101) | ÷ | 126,034) |
| Dec 31, 2016 | 10.42% | = | 100 | × | 13,127) | ÷ | 125,980) |
| Dec 31, 2015 | 13.58% | = | 100 | × | 17,879) | ÷ | 131,620) |
| Dec 31, 2014 | 7.57% | = | 100 | × | 9,625) | ÷ | 127,079) |
| Dec 31, 2013 | 9.54% | = | 100 | × | 11,497) | ÷ | 120,550) |
| Dec 31, 2012 | 0.76% | = | 100 | × | 875) | ÷ | 115,846) |
| Dec 31, 2011 | 2.17% | = | 100 | × | 2,404) | ÷ | 110,875) |
| Dec 31, 2010 | 2.39% | = | 100 | × | 2,549) | ÷ | 106,565) |
| Dec 31, 2009 | 3.39% | = | 100 | × | 3,651) | ÷ | 107,808) |
| Dec 31, 2008 | 6.60% | = | 100 | × | 6,428) | ÷ | 97,354) |
| Dec 31, 2007 | 5.91% | = | 100 | × | 5,521) | ÷ | 93,469) |
| Dec 31, 2006 | 7.03% | = | 100 | × | 6,197) | ÷ | 88,144) |
| Dec 31, 2005 | 9.85% | = | 100 | × | 7,397) | ÷ | 75,112) |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in millions
The net profit margin exhibited considerable fluctuation over the period from 2005 to 2025. Initial years showed a generally decreasing trend, followed by a period of volatility and then a more recent stabilization with some renewed fluctuation. A detailed examination reveals distinct phases in the company’s profitability.
- Initial Decline (2005-2009)
- From 2005 to 2009, the net profit margin experienced a consistent decline, moving from 9.85% to 3.39%. This suggests increasing cost pressures or decreasing revenue growth relative to costs during this timeframe. The most significant drop occurred between 2008 and 2009.
- Period of Low Margins (2010-2012)
- The years 2010 through 2012 were characterized by particularly low net profit margins, bottoming out at 0.76% in 2012. This indicates a period of significant challenges in converting revenue into profit. While operating revenues continued to increase, net income remained relatively stagnant or declined.
- Significant Improvement & Volatility (2013-2018)
- A substantial increase in net profit margin was observed in 2013, reaching 9.54%, followed by further growth to a peak of 23.88% in 2017. This period reflects a significant improvement in profitability, potentially driven by cost control measures, successful product launches, or favorable market conditions. However, the margin decreased considerably in 2018, falling to 11.87%, indicating a loss of some of the gains achieved.
- Recent Trends (2019-2025)
- From 2019 to 2021, the net profit margin remained relatively strong, fluctuating between 13.88% and 16.51%. A decline to 8.67% was observed in 2022, followed by a recovery to 12.99% and 12.43% in 2023 and 2024 respectively. The most recent value for 2025 shows a slight increase to 12.43%, suggesting a degree of stabilization, although continued volatility is apparent.
Overall, the net profit margin demonstrates a complex pattern. While the company experienced periods of significant profitability, particularly in the mid-2010s, it also faced challenges resulting in substantially lower margins. The recent trend suggests a return to more moderate, but fluctuating, profitability levels.
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Comparison to Competitors
Verizon Communications Inc., net profit margin, long-term trends, comparison to competitors
| Verizon Communications Inc. | AT&T Inc. | T-Mobile US Inc. | |
|---|---|---|---|
| Dec 31, 2025 | 12.43% | 17.47% | 12.45% |
| Dec 31, 2024 | 12.99% | 8.95% | 13.93% |
| Dec 31, 2023 | 8.67% | 11.76% | 10.59% |
| Dec 31, 2022 | 15.53% | -7.06% | 3.25% |
| Dec 31, 2021 | 16.51% | 11.89% | 3.77% |
| Dec 31, 2020 | 13.88% | -3.01% | 4.48% |
| Dec 31, 2019 | 14.61% | 7.67% | 7.71% |
| Dec 31, 2018 | 11.87% | 11.34% | 6.67% |
| Dec 31, 2017 | 23.88% | 18.34% | 11.17% |
| Dec 31, 2016 | 10.42% | 7.92% | 3.92% |
| Dec 31, 2015 | 13.58% | 9.09% | 2.29% |
| Dec 31, 2014 | 7.57% | 4.70% | 0.84% |
| Dec 31, 2013 | 9.54% | 14.17% | 0.14% |
| Dec 31, 2012 | 0.76% | 5.70% | — |
| Dec 31, 2011 | 2.17% | 3.11% | — |
| Dec 31, 2010 | 2.39% | 15.98% | — |
| Dec 31, 2009 | 3.39% | 10.19% | — |
| Dec 31, 2008 | 6.60% | 10.37% | — |
| Dec 31, 2007 | 5.91% | 10.05% | — |
| Dec 31, 2006 | 7.03% | 11.67% | — |
| Dec 31, 2005 | 9.85% | 10.91% | — |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Telecommunication Services)
Verizon Communications Inc., net profit margin, long-term trends, comparison to sector (telecommunication services)
| Verizon Communications Inc. | Telecommunication Services | |
|---|---|---|
| Dec 31, 2025 | 12.43% | 14.23% |
| Dec 31, 2024 | 12.99% | 11.75% |
| Dec 31, 2023 | 8.67% | 10.25% |
| Dec 31, 2022 | 15.53% | 4.54% |
| Dec 31, 2021 | 16.51% | 11.81% |
| Dec 31, 2020 | 13.88% | 4.26% |
| Dec 31, 2019 | 14.61% | 10.23% |
| Dec 31, 2018 | 11.87% | 10.95% |
| Dec 31, 2017 | 23.88% | 19.59% |
| Dec 31, 2016 | 10.42% | 8.43% |
| Dec 31, 2015 | 13.58% | 10.29% |
| Dec 31, 2014 | 7.57% | 5.57% |
| Dec 31, 2013 | 9.54% | 10.88% |
| Dec 31, 2012 | 0.76% | 3.35% |
| Dec 31, 2011 | 2.17% | 2.67% |
| Dec 31, 2010 | 2.39% | 9.71% |
| Dec 31, 2009 | 3.39% | 7.01% |
| Dec 31, 2008 | 6.60% | 8.72% |
| Dec 31, 2007 | 5.91% | 8.23% |
| Dec 31, 2006 | 7.03% | 8.96% |
| Dec 31, 2005 | 9.85% | 10.24% |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Communication Services)
Verizon Communications Inc., net profit margin, long-term trends, comparison to industry (communication services)
| Verizon Communications Inc. | Communication Services | |
|---|---|---|
| Dec 31, 2025 | 12.43% | 23.45% |
| Dec 31, 2024 | 12.99% | 20.96% |
| Dec 31, 2023 | 8.67% | 16.67% |
| Dec 31, 2022 | 15.53% | 11.45% |
| Dec 31, 2021 | 16.51% | 18.71% |
| Dec 31, 2020 | 13.88% | 11.52% |
| Dec 31, 2019 | 14.61% | 14.63% |
| Dec 31, 2018 | 11.87% | 16.43% |
| Dec 31, 2017 | 23.88% | 19.83% |
| Dec 31, 2016 | 10.42% | 12.81% |
| Dec 31, 2015 | 13.58% | 12.78% |
| Dec 31, 2014 | 7.57% | 10.11% |
| Dec 31, 2013 | 9.54% | 12.57% |
| Dec 31, 2012 | 0.76% | 7.58% |
| Dec 31, 2011 | 2.17% | 6.73% |
| Dec 31, 2010 | 2.39% | 11.43% |
| Dec 31, 2009 | 3.39% | 9.07% |
| Dec 31, 2008 | 6.60% | 9.66% |
| Dec 31, 2007 | 5.91% | 9.78% |
| Dec 31, 2006 | 7.03% | 10.17% |
| Dec 31, 2005 | 9.85% | 9.53% |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).