Verizon's Q2 2014 numbers are out, and they look a lot like they normally do. More money and more customers. Verizon brought in about $31.5 billion in revenue for the quarter, which is about a 5.7% increase year over year. Their operating income was $7.7 billion, which is a 17.2% increase over Q2 2013. We're used to seeing Verizon bring in big numbers but seeing a double digit increase in operating income is pretty amazing for Big Red.
Additionally, Verizon Wireless added about 1.4 million new connections. Now that doesn't mean new customers, but new lines. And since Verizon is really getting into the tablet game now, I'm sure there are plenty of people on Verizon that have more than one line of service now. In fact, 1.15 million of those new connections were LTE-enabled Tablets. Pretty amazing right? It's important to point out though, that the most of those Tablet owners were probably current Verizon customers, as they can add a tablet to their plan for just $10/month.
What is the most surprising, is the net phone additions. In Q2 2013, Verizon added about 940,000. However in Q2 2014, they were no where near that. Only about 304,000 net phone additions. Which shows us that the smartphone market has begun to plateau. Well this and the fact that Samsung's numbers didn't grow as much as they thought it would after Q2 2014 earnings. Which is a big reason why we are seeing carriers bringing plenty of Tablet choices to their portfolio. Verizon now has about a dozen tablets available, and all are available on Verizon EDGE as well.
While the net phone additions look pretty low, Verizon still had an amazing quarter. I mean getting over a million new tablet users on your network in just 3 months is nothing to sneeze at, and neither is the $31.5 billion that they raked in that quarter. We should be seeing just about everyone else's second quarter earnings this week or within the next few weeks. It'll be interesting to see how AT&T, Sprint and T-Mobile compare to Verizon and if they also saw a decline in smartphone sales.