威訊通訊 (VZ) 2024 Q1 法說會逐字稿

Good morning, and welcome to the Verizon First Quarter 2024 Earnings Conference Call. (Operator Instructions) Today's conference is being recorded. If you have any objections, you may disconnect at this time. It is now my pleasure to turn the call over to your host, Mr. Brady Connor, Senior Vice President, Investor Relations.

各位早安，歡迎參加 Verizon 2024 年第一季財報電話會議。（接線員指示）今天的會議將被錄音。如您有任何異議，您可於此時中斷連線。現在我很榮幸將電話會議交給本次會議主持人——投資人關係資深副總裁 Brady Connor 先生。

Thanks, Brad. Good morning, everyone, and welcome to our First Quarter Earnings Conference Call. I'm Brady Connor, and I'm joined by our Chairman and Chief Executive Officer, Hans Vestberg; as well as our Chief Financial Officer, Tony Skiadas.

謝謝你，Brad。各位早安，歡迎參加我們的第一季財報電話會議。我是 Brady Connor，與我一同出席的有董事長暨執行長 Hans Vestberg，以及財務長 Tony Skiadas。

Before we begin, I'd like to draw your attention to our safe harbor statement, which can be found on Slide 2 of the presentation. Information in this presentation contains statements about expected future events and financial results that are forward-looking and subject to risks and uncertainties. Discussion of factors that may affect future results is contained in Verizon's filings with the SEC, which are available on our Investor Relations website. This presentation contains certain non-GAAP financial measures. Reconciliations of these non-GAAP measures to the most directly comparable GAAP measures are included in the financial materials posted on our website.

在開始之前，我想請各位注意我們的「安全港」聲明，可在簡報第 2 頁找到。本簡報所含資訊包含對預期未來事件與財務結果的陳述，屬於前瞻性陳述，並受風險與不確定性影響。可能影響未來結果之因素的討論載於 Verizon 向美國證券交易委員會（SEC）提交的文件中，並可於我們的投資人關係網站取得。本簡報亦包含若干非 GAAP 財務衡量指標。這些非 GAAP 指標與最直接可比之 GAAP 指標的調節表，已收錄於我們網站上發布的財務資料中。

Earlier this morning, we posted to our Investor Relations website a detailed review of our first quarter results. You'll find additional details in the earnings materials on our website.

今天稍早，我們已在投資人關係網站上發布第一季業績的詳細回顧。您可在我們網站的財報資料中找到更多細節。

With that, I'll turn the call over to Hans.

接下來，我把電話交給 Hans。

Thank you, Brady. Good morning, everyone, and welcome to our first quarter 2024 earnings call. I'm pleased to report that we have started the year with a solid momentum, building on the progress we made throughout 2023. Our results this quarter further validate that our strategy is working and position us well for a profitable growth this year. Our execution in the first quarter keeps us on track towards our full year 2024 guidance as we continue to deliver against our key financial metrics.

謝謝你，Brady。各位早安，歡迎參加我們 2024 年第一季財報電話會議。我很高興報告，我們以穩健的動能展開新的一年，並延續 2023 年全年所取得的進展。本季的結果進一步驗證我們的策略正在奏效，並使我們在今年實現獲利性成長方面處於有利位置。我們在第一季的執行表現，使我們持續朝 2024 年全年財測指引邁進，同時持續交付我們的關鍵財務指標。

We grew wireless service revenue and adjusted EBITDA and generated solid free cash flow. Operational excellence is our priority. Our team is delivering. We have the right strategy, and we're working to keep this progress up quarter by quarter.

我們的無線服務營收與調整後 EBITDA 均成長，並產生穩健的自由現金流。營運卓越是我們的優先事項。我們的團隊正在交付成果。我們有正確的策略，並努力在每一季持續維持這股進展。

It has been a busy quarter across our business. We produced big moments at the Super Bowl, published our first consumer connections report, achieved milestones in our C-band rollout, added new members to our leadership team, published our annual ESG report, accomplished many goals with Citizen Verizon and completed a pension transaction that increases our financial flexibility. Verizon has a differentiated position in the industry. We have the highest quality customer base in Consumer and Business, the largest adjusted EBITDA and a great team that knows how to execute our strategy.

本季我們的業務相當忙碌。我們在超級盃打造了重要時刻，發布了首份消費者連線報告，在 C 頻段部署上達成里程碑，為領導團隊增添新成員，發布年度 ESG 報告，透過 Citizen Verizon 達成多項目標，並完成一筆提升財務彈性的退休金交易。Verizon 在產業中具備差異化定位。我們在消費者與企業端擁有最高品質的客戶基礎、最大的調整後 EBITDA，以及一支懂得如何執行策略的優秀團隊。

Turning to our first quarter results. Wireless service revenue growth climbed to 3.3%. Our revenue performance, combined with our work on cost efficiency programs, translated to a $12.1 billion adjusted EBITDA. That's a year-over-year growth of 1.4%. We generated $2.7 billion in free cash flow, and we expect free cash flow to build throughout the year, similar to 2023.

接著談第一季業績。無線服務營收成長攀升至 3.3%。我們的營收表現，加上成本效率計畫的推進，帶動調整後 EBITDA 達 121 億美元，年增 1.4%。我們產生 27 億美元自由現金流，並預期自由現金流將在全年逐步提升，與 2023 年類似。

Our core products on mobility, broadband and private networks are at the center of people's lives and businesses. Connectivity is only becoming more vital with each passing day. And our investments and world-class network ensure that our customers can depend on us to deliver the reliable, high-quality experience they deserve.

我們在行動通訊、寬頻與私有網路等核心產品，位於人們生活與企業營運的中心。連線能力正隨著每一天變得更加關鍵。而我們的投資與世界級網路，確保客戶能夠依賴我們，提供他們應得的可靠、高品質體驗。

Now let me go into some specifics about this quarter. Our Consumer team is executing extremely well. Despite taking further pricing action this quarter, our postpaid phone net adds performance improved year-over-year, evidence of how our differentiated value proposition is resonating with customers.

現在我來談談本季的一些具體情況。我們的消費者團隊執行得非常出色。儘管本季我們進一步採取價格調整措施，我們的後付費手機淨增表現仍較去年同期改善，顯示我們差異化的價值主張正引起客戶共鳴。

Our net loss of 158,000 is more than 100,000 net adds better than our first quarter performance in 2023. This achievement was fueled by continued momentum in postpaid phone gross adds, which grew more than 5% year-over-year. We mitigated churn impacts from pricing actions through laser-focused retention efforts and the strength of our value proposition.

我們淨減 158,000 戶，較 2023 年第一季表現改善超過 100,000 戶。這項成果來自後付費手機總新增（gross adds）動能持續，年增超過 5%。我們透過高度聚焦的留存作為，以及價值主張的強勁力道，降低價格調整對流失率的影響。

These results represented Verizon Consumer Group's strongest first quarter postpaid phone net adds performance since 2018. Our targeted and segmented go-to-market approach, combined with myPlan and its exclusive perks, is clearly working. With myPlan, we are building a recurring revenue stream out of perks and services. These incentives, like our popular Netflix plus Max bundle, add value and deepen our customer relationships. We know our customers extremely well and tailor our offerings to their needs.

這些結果代表 Verizon Consumer Group 自 2018 年以來最強的第一季後付費手機淨增表現。我們以目標客群與分眾化的上市策略，結合 myPlan 及其獨家福利，顯然正在奏效。透過 myPlan，我們正把福利與服務打造為可重複的經常性營收來源。這些誘因（例如廣受歡迎的 Netflix 加 Max 組合方案）能提升價值並深化客戶關係。我們非常了解客戶，並依其需求量身打造方案。

We're bringing the same proven approach to our prepaid business. Within the quarter, we established our new value market leadership team, bringing experts to execute our plans with speed and discipline. While there is still work to be done, we're seeing early signs of progress in Visible and Total By Verizon. In February, we stopped processing new affordable connectivity program activations, which caused headwinds for our SafeLink brand. The ACP may shut down. But Verizon is committed to providing households with access to high-quality connectivity and reliable home Internet without data caps and does not believe that income should be a barrier to access.

我們也將同樣經驗證的做法帶到預付卡業務。本季我們成立新的價值市場領導團隊，延攬專家以速度與紀律執行計畫。雖然仍有工作要做，但我們在 Visible 與 Total By Verizon 已看到初步進展跡象。2 月我們停止受理新的「可負擔連線計畫」（ACP）啟用，這對我們的 SafeLink 品牌造成逆風。ACP 可能會停止。但 Verizon 致力於讓家庭能取得高品質連線與可靠、無流量上限的家用網路，並不認為收入應成為取得服務的障礙。

Since 2020, we have offered high-speed home Internet to qualifying customers for as low as $20 a month through our Verizon Forward program. And we have other plans to reach households who rely on ACP. For Business mobility, postpaid phone net adds were 90,000. The team continues to put up subscriber growth as the market share leader in a competitive environment, even while implementing pricing actions within the quarter. More businesses rely on Verizon than any other provider to deliver mission-critical support for the day-to-day operation.

自 2020 年起，我們透過 Verizon Forward 計畫，為符合資格的客戶提供每月最低 20 美元的高速家用網路。我們也有其他方案，以觸及依賴 ACP 的家庭。在企業行動通訊方面，後付費手機淨增為 90,000 戶。即使本季實施價格調整，團隊仍在競爭環境中以市占領導者之姿持續帶來用戶成長。相較任何其他供應商，更多企業仰賴 Verizon 提供日常營運所需的關鍵任務支援。

In total, first quarter postpaid phone net losses were 68,000, a 59,000 net loss improvement versus prior year. We're exiting the quarter with both Consumer and Business delivering their strongest performance in March, a good sign for the year ahead. Our broadband business continued to be a key growth engine, now serving more than 11 million subscribers. We have grown our base 18% over the last year, and our network is a critical part of the infrastructure that homes and businesses rely on.

合計而言，第一季後付費手機淨減為 68,000 戶，較去年同期改善 59,000 戶。我們在本季結束時，消費者與企業兩個部門都在 3 月交出最強表現，對接下來一年的走勢是個好訊號。我們的寬頻業務持續是關鍵成長引擎，目前服務超過 1,100 萬名用戶。過去一年我們的用戶基礎成長 18%，而我們的網路是家庭與企業所依賴之基礎建設的重要一環。

Fixed wireless access has turned out to be a large and growing opportunity. This is now a meaningful piece of our business. We knew that fixed wireless access would be a hit with consumers, who like its quality, reliability and easy setup. Businesses are showing similar excitement as this was our biggest quarter-to-date for the net adds in business fixed wireless access with 151,000 setting our new high.

固定無線接取（FWA）已成為一個龐大且持續成長的機會，現在也是我們業務中具重要性的組成。我們早就知道固定無線接取會受到消費者歡迎，因為他們喜歡其品質、可靠性與易於安裝。企業端也展現同樣的熱度——本季是我們企業固定無線接取淨增迄今最大的一季，淨增 151,000 戶，創下新高。

Fios remains extremely popular with one of the highest third-party Net Promoter Score in the industry. And as we already know, Fios is the best pure broadband offering in the country. Together, our total broadband portfolio delivered a strong quarter with 389,000 net adds. As with mobility, we saw good momentum with the broadband net adds as we exited the quarter, and we expect that to continue.

Fios 依然非常受歡迎，並擁有業界最高之一的第三方淨推薦值（NPS）。而且如我們所知，Fios 是全美最佳的純寬頻方案。合計而言，我們的整體寬頻產品組合本季淨增 389,000 戶，表現強勁。與行動通訊相同，我們在季末看到寬頻淨增的良好動能，並預期將持續下去。

We also had a great quarter in private networks, signing transformative deals across industries. Xerox selected our network and service solution as its framework for modernizing its information technology system. We also signed a new private network deal with a global power solution leader, Cummins Inc. And iconic American sports leagues are turning to us for their networks that serve their fans, players and cultures. We're on the field, on the aisles and in the stands and in the parking lots.

我們在私有網路方面也有非常出色的一季，跨產業簽下具變革性的合約。Xerox 選擇我們的網路與服務解決方案，作為其資訊科技系統現代化的架構。我們也與全球電力解決方案領導者 Cummins Inc. 簽署新的私有網路合約。而具代表性的美國職業運動聯盟也轉向採用我們的網路，為其球迷、球員與文化提供服務。我們在球場上、在走道上、在看台上，也在停車場。

During the quarter, we held a partner summit, where we unveiled our sports and entertainment strategy. We are at the center of the culture moments that matter the most to our customers from concerts and performance to athletic achievements and competition. We're already in every National Football League stadium in the country. We're now expanding services with NFL teams, including the installation of a private 5G network at the LA Chargers' training facility.

本季期間，我們舉辦了合作夥伴高峰會，並在會中揭示我們的運動與娛樂策略。我們位於對客戶最重要的文化時刻中心——從演唱會與表演，到運動成就與競賽。我們已進駐全美每一座國家美式足球聯盟（NFL）球場。現在我們正與 NFL 球隊擴大服務合作，包括在洛杉磯閃電隊（LA Chargers）的訓練基地建置私有 5G 網路。

We also renewed our partnership as the official 5G network of the National Hockey League in the United States and are expanding services throughout its arenas. As you may have seen in our Consumer Connection Report, during the '23, '24 NFL season, the average fan used more data than the year before. These live moments matter to our customers, and they want to share them by text, by phone and by video. We are a vital part of their experiences.

我們也續約成為美國國家冰球聯盟（NHL）的官方 5G 網路，並在其各大場館擴大服務。如您在我們的《消費者連線報告》中所見，在 '23、'24 NFL 賽季期間，平均球迷使用的數據量高於前一年。這些現場時刻對我們的客戶很重要，他們希望透過簡訊、通話與影片分享。我們是他們體驗中不可或缺的一部分。

Our private networks business is growing and full of long-term contracts with the best partners around the world. All of this is supported by the infrastructure we have built and are building. We operate the nation's most reliable and robust network for all customers from households to global enterprises. Recently, we passed 250 million POPs covered with C-band, achieving our target almost a year ahead of plan. The pace and quality of our build-out is spectacular. Most importantly, our customers love the C-band experience. In the first 76 markets where we rolled out C-band, we see higher premium mix and reduced churn.

我們的私人網路業務正在成長，並且與全球最優秀的合作夥伴簽有大量長期合約。這一切都由我們已建置並持續建置的基礎設施所支撐。我們為所有客戶（從家庭到全球企業）營運全國最可靠、最強韌的網路。近期，我們的 C 頻段覆蓋已突破 2.5 億個 POP，幾乎比原計畫提前將近一年達成目標。我們的建設速度與品質都非常出色。最重要的是，我們的客戶非常喜愛 C 頻段的體驗。在我們推出 C 頻段的前 76 個市場中，我們看到更高的高階方案占比與更低的流失率。

Our strategy from the start was to build the network once to meet the needs of the present and to optimize it for the future. And we're doing just that. We have been working with AI for several years, and our powerful network positions Verizon to lead the AI revolution. In 2023, we released a set of responsible AI principles to guide our efforts to leverage new AI technologies in ways that positively impact our stakeholders and establish Verizon as a trusted brand and partner with respect to AI.

我們從一開始的策略，就是一次性建置能滿足當下需求的網路，並為未來進行最佳化。而我們正在做到這一點。我們已與 AI 合作數年，而我們強大的網路使 Verizon 具備引領 AI 革命的有利位置。2023 年，我們發布了一套負責任 AI 原則，用以指引我們以能對利害關係人產生正面影響的方式運用新 AI 技術，並在 AI 相關領域將 Verizon 建立為值得信賴的品牌與合作夥伴。

Enabling AI at scale for improved customer service is a key. We're also aggressively driving AI transformative potential with our businesses, something our network was built to support. We already had several generative AI projects going live. Our AI strategy focused on 3 priorities. First, optimizing internal processes and operation through machine learning such as creating efficiencies in fuel consumption. AI is already centered to our cost transformation program and will become even more important over time.

以規模化方式啟用 AI 以改善客戶服務是關鍵。我們也正積極推動 AI 在業務中的轉型潛力，而我們的網路正是為支援這些而建。我們已經有數個生成式 AI 專案上線。我們的 AI 策略聚焦於 3 項優先事項。第一，透過機器學習最佳化內部流程與營運，例如提升燃料消耗效率。AI 已是我們成本轉型計畫的核心，並將隨時間推移變得更加重要。

Secondly, enhancing product experiences with AI capabilities like the personalized plan recommendation on myPlan, which is producing good, early results. And thirdly, establishing an AI-based revenue stream by commercializing our network's unique low latency, high bandwidth and robust mobile edge compute capabilities. Generative AI workloads represent a great long-term opportunity for us.

第二，透過 AI 能力提升產品體驗，例如 myPlan 上的個人化方案推薦，目前已產生良好的初期成果。第三，透過商業化我們網路獨特的低延遲、高頻寬與強韌的行動邊緣運算能力，建立以 AI 為基礎的營收來源。生成式 AI 工作負載對我們而言代表一個極具潛力的長期機會。

As we expand our network and increase our performance advantage, we are also making Verizon a more efficient organization. We are back to business as usual level on CapEx spend as we had promised. And we have struck a balance between profitable growth and free cash flow that supports both our dividend and a stronger balance sheet. This gives us greater flexibility to accelerate deleveraging throughout the second half of the year, bringing us closer to our long-term leverage target.

在我們擴展網路並提升性能優勢的同時，我們也正讓 Verizon 成為更有效率的組織。我們已如先前承諾，將資本支出（CapEx）恢復到正常營運水準。我們也在獲利成長與自由現金流之間取得平衡，以同時支持股利與更強健的資產負債表。這使我們在今年下半年能更有彈性地加速去槓桿，讓我們更接近長期槓桿目標。

Our dividend is healthy and secure. And our free cash flow dividend payout ratio continues to improve. We are focused on putting our Board in a position to continue to raise the dividend each year, building on our current industry record of 17 consecutive increases.

我們的股利健康且安全。我們的自由現金流股利支付率也持續改善。我們專注於讓董事會具備條件能夠每年持續提高股利，並在目前連續 17 年調升的產業紀錄基礎上再接再厲。

Now let me turn the call over to Tony to discuss our financial and operational performance in more detail. Tony?

現在我把電話會議交給 Tony，請他更詳細地說明我們的財務與營運表現。Tony？

Thanks, Hans, and good morning. Our first quarter results demonstrate the strong execution of our team, building on the momentum from 2023 and delivering solid results in our 3 priorities of wireless service revenue, adjusted EBITDA and free cash flow.

謝謝 Hans，大家早安。我們第一季的結果展現了團隊強勁的執行力，在 2023 年的動能基礎上持續推進，並在我們的三項優先事項——無線服務營收、調整後 EBITDA 與自由現金流——交出穩健成績。

We saw further improvements in postpaid phone net adds and another strong quarter of growth in our broadband subscriber base. We accomplished this while maintaining our promotional discipline as evidenced by our year-over-year adjusted EBITDA growth of 1.4% and more than 16% year-over-year free cash flow growth.

我們看到後付費手機淨增用戶進一步改善，寬頻訂戶基礎也再度迎來強勁的成長季度。我們在維持促銷紀律的同時達成這些成果，反映在調整後 EBITDA 年增 1.4%，以及自由現金流年增超過 16%。

Consumer postpaid phone net losses were 158,000 for the quarter, better versus the prior year by 105,000 driven by improvements in both gross adds and churn. As Hans mentioned, this represents our best first quarter performance in Consumer postpaid phone net adds since 2018. We continue to see improved operational performance with Consumer postpaid phone gross adds, up more than 5% year-over-year. And as you heard from Hans, we exited the quarter with good momentum.

本季消費者後付費手機淨減少 158,000 戶，較去年同期改善 105,000 戶，主要來自總新增與流失率的雙重改善。如 Hans 所提，這是我們自 2018 年以來消費者後付費手機淨增用戶表現最佳的第一季。我們持續看到營運表現改善，消費者後付費手機總新增年增超過 5%。而且如同各位從 Hans 那裡聽到的，我們在季末帶著良好動能收官。

The changes we made over the last few quarters, including launching a regional sales structure and updating our sales compensation plans, provide the right framework for our go-to-market approach. We believe these changes, combined with the continued success of myPlan and increased utilization of C-band, will help us sustain our momentum.

我們在過去幾季所做的調整，包括推出區域銷售架構以及更新銷售獎酬方案，為我們的市場進入（go-to-market）策略提供了正確的框架。我們相信，這些改變結合 myPlan 的持續成功以及 C 頻段使用率的提升，將有助於我們維持動能。

Consumer postpaid phone churn of 0.83% represents a one basis point improvement year-over-year. This result is a reflection of the strength of our value proposition as well as our high-quality customer base. The first quarter postpaid phone net add improvement coincided with a further decline in upgrades, which were down nearly 21% year-over-year. We continue to see success with our disciplined and segmented approach to customer offers, in alignment with our strategy.

消費者後付費手機流失率為 0.83%，年減 1 個基點。此結果反映了我們價值主張的強度以及高品質的客戶基礎。第一季後付費手機淨增改善的同時，換機量進一步下滑，年減近 21%。我們持續在符合策略的前提下，以具紀律且分眾的客戶優惠方式取得成效。

On the Business side, we delivered 90,000 postpaid phone net adds. Business volume results were challenged early in the quarter as the team implemented pricing increases in January. However, we saw positive net add momentum built throughout the quarter, and we exited the quarter well positioned to continue to build on operational improvements in both mobility and broadband.

在企業端，我們實現後付費手機淨增 90,000 戶。由於團隊在 1 月實施調價，企業端的量能表現於季初面臨挑戰。然而，我們在整個季度中看到淨增動能逐步轉正，並在季末以良好態勢收官，為持續推動行動與寬頻兩大領域的營運改善奠定基礎。

That sales performance helped Verizon Business achieve fixed wireless access net adds of 151,000, their best quarterly result to date. We've been pleased with how businesses have adopted FWA, and we continue to see strong demand from small businesses and enterprises, which are attracted to the ease of deployment, reliability and the flexibility of the product.

該銷售表現也協助 Verizon Business 的固定無線接入（FWA）淨增達 151,000 戶，創下迄今最佳單季成績。我們對企業採用 FWA 的情況感到滿意，並持續看到小型企業與大型企業的強勁需求，因其被產品的部署便利性、可靠性與彈性所吸引。

Fixed wireless net adds for Consumer were 203,000, resulting in a consolidated total of 354,000. This reflects the attractiveness of FWA as an alternative to traditional cable broadband, even in the market that saw muted activity. We continue to be comfortable with this pace of growth, believing it provides the right combination of base growth, ARPU accretion and the superior experience our customers expect on the Verizon network.

消費者端固定無線淨增為 203,000 戶，使合併總數達 354,000 戶。這反映出即使在市場活動相對低迷的情況下，FWA 作為傳統有線電視寬頻的替代方案仍具吸引力。我們對這樣的成長速度仍感到安心，因為我們相信它在用戶基礎成長、ARPU 提升，以及客戶對 Verizon 網路所期待的優異體驗之間，提供了恰當的組合。

And our third-party Net Promoter Scores for our FWA product continue to outpace traditional cable broadband offerings as we remain focused on building a long-term sustainable business. Overall, broadband net adds were 389,000, including 53,000 Fios Internet net adds. We're pleased with how Fios continues to grow in the marketplace even as move activity across the country remains lower than prior years.

此外，我們 FWA 產品的第三方淨推薦值（Net Promoter Score, NPS）持續領先傳統有線電視寬頻方案，因為我們仍專注於打造可長期永續的業務。整體而言，寬頻淨增為 389,000 戶，其中包含 Fios Internet 淨增 53,000 戶。即使全國搬遷活動仍低於往年，我們仍對 Fios 在市場上的持續成長感到滿意。

We finished the quarter with over 11.1 million broadband subscribers, including over 3.4 million on FWA. We've now added more than 3 million broadband subscribers in the last 2 years alone. On prepaid, starting this quarter, we are disclosing subscriber results with and without our SafeLink brand. This disclosure provides improved transparency into our prepaid results. As a reminder, SafeLink is our government subsidy program brand offering and holds the majority of our ACP customers.

本季結束時，我們的寬頻訂戶超過 1,110 萬戶，其中超過 340 萬戶使用 FWA。僅在過去兩年，我們新增的寬頻訂戶已超過 300 萬戶。在預付費方面，自本季起，我們將揭露包含與不包含 SafeLink 品牌的訂戶結果。此揭露可提升我們預付費結果的透明度。提醒各位，SafeLink 是我們政府補助方案的品牌供給，並擁有我們大多數 ACP 客戶。

The actions we've taken to scale Visible and Total By Verizon as well as address operational execution with Straight Talk drove improvements in our prepaid performance. Prepaid net losses, excluding SafeLink, were better by 146,000 year-over-year.

我們為擴大 Visible 與 Total By Verizon 規模所採取的行動，以及針對 Straight Talk 的營運執行改善，帶動了預付費表現的提升。排除 SafeLink 後，預付費淨減少戶數較去年同期改善 146,000 戶。

While we are pleased to see the improvements, we still have work to do to address challenges in the prepaid business. That includes navigating the uncertainty around ACP. And we recently announced plans to provide accessible, affordable and reliable connectivity options for those who need it most. As a reminder, we have approximately 1.1 million prepaid ACP subscribers as of the end of the first quarter. We expect the elimination of the program to result in lower wireless service revenue that have minimal impact on our adjusted EBITDA.

雖然我們樂見改善，但在預付費業務上仍有工作要做，以因應相關挑戰，其中包括 ACP 的不確定性。我們也近期宣布計畫，為最需要的人提供可取得、可負擔且可靠的連線選項。提醒各位，截至第一季末，我們約有 110 萬名預付費 ACP 訂戶。我們預期該計畫的取消將導致無線服務營收下降，但對我們的調整後 EBITDA 影響極小。

Moving to our financials. Consolidated revenue for the quarter was $33 billion, up 0.2% year-over-year. The benefits of the pricing actions we took in the quarter, combined with improved operating metrics, offset the year-over-year decrease in wireless equipment revenue due to lower upgrades. Wireless service revenue growth was 3.3% for the first quarter. This represents a significant acceleration in our revenue growth. And the full year 2023 growth rate, excluding the reallocation of certain revenues, was only 1.3%.

接著看我們的財務表現。本季合併營收為 330 億美元，年增 0.2%。本季我們採取的定價措施所帶來的效益，加上營運指標改善，抵銷了因換機量降低而導致的無線設備營收年減。第一季無線服務營收成長為 3.3%。這代表我們營收成長顯著加速。而 2023 全年（排除部分營收重新分類的影響）成長率僅為 1.3%。

Consumer led the way with wireless service revenue growth of 3.4%, driven by ARPA growth of 4.4% and improved year-over-year postpaid phone net add performance. In addition to targeted pricing actions, ARPA continues to benefit from the further adoption of myPlan. myPlan has been instrumental in growing our premium mix, which now stands at 42% of our postpaid phone base. We're also starting to see a growing impact from Perks revenue as we scale the number of subscriptions. With over 20% of the postpaid base on myPlan, we see further opportunities for ARPA accretion as we expect to double the number of customers on myPlan in our postpaid base by the end of this year.

消費者業務領先帶動無線服務營收成長 3.4%，主要由 ARPA 成長 4.4% 以及後付費手機淨增表現年對年改善所驅動。除了精準的定價措施外，ARPA 也持續受惠於 myPlan 的進一步採用。myPlan 在提升我們的高階方案占比方面扮演關鍵角色，目前高階方案占我們後付費手機用戶基礎的 42%。隨著我們擴大訂閱數量，我們也開始看到 Perks 營收帶來的影響持續增加。由於超過 20% 的後付費用戶基礎已採用 myPlan，我們仍看到 ARPA 進一步提升的機會，並預期在今年年底前，將後付費用戶基礎中使用 myPlan 的客戶數量加倍。

For the first time, we are disclosing fixed wireless access revenue within our externally released results. FWA revenue, which is included in wireless service revenue, was $452 million for the quarter, up nearly $200 million versus the prior year. Headwinds in prepaid revenue continue to partially offset the gains from ARPA performance in wireless service revenue. For the quarter, prepaid revenue declined $106 million versus the prior year. While this is an improvement over the prior quarter, it represented an approximately 60 basis point drag on total wireless service revenue growth.

我們首次在對外發布的業績中揭露固定無線接入（FWA）營收。FWA 營收（包含於無線服務營收中）本季為 4.52 億美元，較去年同期增加近 2 億美元。預付費營收的逆風仍持續，部分抵銷無線服務營收中每帳戶平均營收（ARPA）表現帶來的增長。本季預付費營收較去年同期下降 1.06 億美元。雖然這較上一季有所改善，但仍對無線服務營收總成長造成約 60 個基點的拖累。

Consolidated adjusted EBITDA was approximately $12.1 billion for the quarter, an increase of 1.4% compared to the prior year, driven by the growth in wireless service revenue as well as the impact of lower upgrade volumes. With a full quarter's impact from our recent pricing actions, we anticipate the second quarter's adjusted EBITDA growth to accelerate year-over-year.

本季合併調整後 EBITDA 約為 121 億美元，較去年同期增加 1.4%，主要受無線服務營收成長以及較低的升級量（upgrade volumes）影響所帶動。隨著我們近期調價措施帶來完整一季的影響，我們預期第二季調整後 EBITDA 的年增率將加速。

Operating expenses, excluding depreciation and amortization and special items, were down 0.5% year-over-year. Lower cost of equipment and cost of services were partially offset by an increase in SG&A. Adjusted EPS in the quarter was $1.15, down 4.2% compared to the prior year as gains in adjusted EBITDA were more than offset by higher interest expense, predominantly due to the lower capitalized interest, now that a large portion of the C-band spectrum licenses have been placed into service.

營業費用（不含折舊與攤銷及特殊項目）年減 0.5%。設備成本與服務成本下降，部分被銷售、一般及管理費用（SG&A）增加所抵銷。本季調整後每股盈餘（Adjusted EPS）為 1.15 美元，較去年同期下降 4.2%；原因是調整後 EBITDA 的增益被較高的利息費用所抵銷，而利息費用上升主要是因資本化利息降低，因為相當大部分的 C-band 頻譜執照已投入使用。

Free cash flow for the first quarter was $2.7 billion, up over 16% or nearly $400 million from the first quarter 2023. On a full year basis, nothing has changed. With free cash flow, we still expect the same puts and takes we shared with you in January.

第一季自由現金流為 27 億美元，較 2023 年第一季增加逾 16%，約增加近 4 億美元。以全年來看，沒有任何變化。就自由現金流而言，我們仍預期與 1 月向各位分享的相同正負因素（puts and takes）。

As Hans said, we expect free cash flow to build throughout the year, similar to 2023. Cash flow from operating activities came in at $7.1 billion. Within the quarter, we saw year-over-year pressures from higher interest expense primarily related to the reduction in capitalized interest. We also made a discretionary pension contribution of $365 million, prior to the closing of the retiree pension annuity transaction that we previously disclosed.

如 Hans 所說，我們預期自由現金流將在全年逐步提升，與 2023 年類似。營運活動現金流為 71 億美元。本季我們看到年比年壓力主要來自較高的利息費用，主要與資本化利息下降有關。我們也在先前已揭露的退休人員年金交易（retiree pension annuity transaction）完成交割前，自主提撥了 3.65 億美元的退休金。

CapEx for the quarter was $4.4 billion compared to $6 billion in the prior year as a result of our return to BAU levels of spend and historical levels of capital intensity. Our full year guidance of $17 billion to $17.5 billion in CapEx spending remains unchanged. Net unsecured debt at the end of the quarter was $126 billion, a $3.7 billion improvement year-over-year and a nearly $400 million improvement sequentially. During the quarter, we issued our sixth green bond for $1 billion with proceeds committed to fund additional renewable energy purchases. Net unsecured debt was also impacted by payments of approximately $270 million related to clearance of our C-band spectrum licenses, which are now substantially complete. While these payments do not affect our free cash flow, they are use of cash.

本季資本支出（CapEx）為 44 億美元，較去年同期的 60 億美元下降，原因是我們的支出回到日常營運（BAU）水準以及歷史資本強度水準。我們全年 CapEx 指引維持不變，仍為 170 億至 175 億美元。季末淨無擔保債務為 1,260 億美元，較去年同期改善 37 億美元，較上一季亦改善近 4 億美元。本季我們發行第六檔綠色債券，規模 10 億美元，募集資金承諾用於支持額外的再生能源採購。淨無擔保債務亦受到約 2.7 億美元付款影響，該付款與我們 C-band 頻譜執照清頻（clearance）相關，目前已基本完成。雖然這些付款不影響我們的自由現金流，但屬於現金用途。

Our net unsecured debt consolidated adjusted EBITDA ratio was 2.6x, in line with the previous quarter. Given the strength and momentum of our business, we continue to see a clear path to meaningfully delever the balance sheet in the second half of this year.

我們的淨無擔保債務／合併調整後 EBITDA 比率為 2.6 倍，與上一季一致。鑑於我們業務的強勁表現與動能，我們仍清楚看到在今年下半年大幅降低槓桿、改善資產負債表的明確路徑。

In closing, I'm happy with our start to 2024, and our results from the first quarter set us up well to deliver on our financial guidance for the year. Our disciplined approach continues to put us in a strong position to execute on our capital allocation priorities. Our focus remains on driving operational improvements throughout the year.

最後，我對 2024 年的開局感到滿意，而第一季的結果也讓我們具備良好基礎，以達成全年財務指引。我們一貫的紀律作法持續讓我們處於有利位置，得以落實資本配置的優先事項。我們的重點仍是推動全年營運改善。

With that, I will now turn the call back to Hans for his closing thoughts before opening the call up for your questions.

接下來，我將把電話交回給 Hans，請他在開放提問前做最後總結。

Thank you, Tony. I'm proud of our team and pleased with our financial and operational performance in the first quarter. We exited the quarter with good momentum across the business, positioning us well for the year ahead.

謝謝你，Tony。我為我們的團隊感到自豪，也對第一季的財務與營運表現感到滿意。我們在季末於各項業務上都帶著良好動能，讓我們為接下來的一年做好準備。

We're scaling fixed wireless access and private networks while growing our core mobility business. Our disciplined, targeted and segmented consumer strategy continues to prove itself. And we will apply the same level of energy and execution to the prepaid market. Network excellence drives our business forward, and we will not let up on that. Our consistent network investment puts us in an unmatched position to deliver AI services at scale.

我們正在擴大固定無線接入與私有網路的規模，同時成長我們的核心行動通訊業務。我們有紀律、聚焦且分眾的消費者策略持續證明其成效。我們也將以同等的投入與執行力應用在預付費市場。網路卓越推動我們的業務向前，我們不會在這方面鬆懈。我們持續的網路投資，使我們處於無可匹敵的位置，能以規模化提供 AI 服務。

Finally, our cash flow generation is solid. This shows that we are executing well against our financial objectives. Our cash flow strength allows us to deliver on our capital allocation priorities, including supporting our dividend and paying down our debt. With strong momentum already in the start of the second quarter, I'm confident in our ability to sustain progress towards unlocking Verizon's full potential for all stakeholders.

最後，我們的現金流創造能力穩健，這顯示我們正有效執行財務目標。我們強勁的現金流讓我們能落實資本配置優先事項，包括支持股利並償還債務。第二季一開始就已展現強勁動能，我有信心我們能持續推進，釋放 Verizon 對所有利害關係人的全部潛力。

Now, Brady, we are ready to take questions.

現在，Brady，我們準備好回答問題了。

Thanks, Hans. Brad, we're ready for the first question.

謝謝你，Hans。Brad，我們準備好進行第一個問題。

(Operator Instructions) Your first question will come from Simon Flannery of Morgan Stanley.

（接線員指示）第一個問題來自摩根士丹利（Morgan Stanley）的 Simon Flannery。

Hans, maybe we can talk about the consumer a little bit. It was good to see the churn number. Perhaps you could just talk a little bit about the impact of the pricing there. It seems like it had a drag on Business but less of a drag on Consumer.

Hans，也許我們可以談談消費者端。很高興看到流失率（churn）的數字。你能否談談調價對那邊的影響？看起來它對企業端有拖累，但對消費者端的拖累較小。

And just what are you seeing overall in the wireless market growth? It seems like the industry is continuing to grow. There's been some competitive moves by some of the cable companies recently. Maybe just comment on the overall environment out there and your ability to sustain this as well as the low upgrade rates.

另外，整體無線市場的成長你們觀察到什麼？看起來整個產業仍在成長。最近一些有線電視公司有一些競爭動作。也請你評論一下整體外部環境，以及你們維持這種表現的能力，還有偏低的升級率。

And then just a quick one, Tony, for you on cash flow. Thank you for the comments around the pacing through the year. Could you just talk about working capital and the impact this quarter? It seemed like there were some drags from that on the quarterly number.

最後一個簡短問題給 Tony，關於現金流。謝謝你提到全年節奏的說明。你能否談談營運資金（working capital）以及本季的影響？看起來季度數字似乎受到一些拖累。

Thank you, Simon. Let me start with the Consumer business. That, I mean, as we saw in the quarter, it was a little bit slow in the beginning of the quarter, both for Consumer and for Business when it comes to wireless. But then, I think we clearly see that our products are resonating with the customers. And on the Consumer side, myPlan is really doing well. And as Tony said in the prepared remarks, I mean, the perks are coming up. Our premium is also increasing. So clearly, we see that.

謝謝你，Simon。我先從消費者業務開始。正如我們在本季看到的，就無線業務而言，本季初不論是消費者端或企業端都稍微偏慢。但接著，我認為我們清楚看到我們的產品正在引起客戶共鳴。在消費者端，myPlan 的表現非常好。正如 Tony 在事先準備的講稿中所說，我們的加值項目（perks）正在推出，我們的高端（premium）占比也在提升。因此，我們確實清楚看到這些趨勢。

At the same time, the team has spent a lot of time to be disciplined, both with promotions and churn management. And you saw we had the price up in the quarter on Consumer that was pretty wide. But our team actually kept the churn down on the Consumer side.

同時，團隊也花了很多時間保持紀律，無論是在促銷（promotions）或流失管理（churn management）方面。你也看到我們本季在消費者端進行了相當廣泛的調價上調，但團隊實際上仍把消費者端的流失率維持在低檔。

I mean it shows, first of all, how great our product is but also see how well we're using the AI tools and all of that to see that our customers are getting the value. And we are actually directing the money to the right customers. That's what you see coming out in the financial discipline in everything we're doing.

我認為這首先顯示我們的產品有多好，同時也顯示我們如何善用 AI 工具等方式，確保客戶獲得價值。我們也確實把資金導向正確的客戶。這就是你在我們所做一切中看到的財務紀律所反映出的結果。

Yes, the promotions was lower again this quarter. But again, it's a way for us to segment the market to see that we have the right products. And that's what we've seen for quite a while right now on the Consumer side. And what I said also is that we -- as I said several times right now, we expect Consumer to be positive net adds this year. So they are doing it. And the team probably have even more innovations coming. And when myPlan was one, the perks are other, they have more things to come during the year. So I'm really excited about what we're doing on the wireless side. And of course, competition is the same. There's nothing new, but it's the same as we've seen for quite a while. But we just performed way better.

是的，本季促銷再次降低。但這同樣是我們用來做市場分眾、確保我們擁有正確產品的方法。而這正是我們在消費者端已經觀察一段時間的情況。我也提到過——我現在已經說過好幾次——我們預期今年消費者端的淨增用戶（net adds）將轉為正值。所以他們正在做到。團隊可能還會帶來更多創新。myPlan 是其中之一，加值項目（perks）是另一個，他們在今年還會推出更多內容。因此我對我們在無線端所做的事情感到非常興奮。當然，競爭情況也一樣，沒有什麼新變化，和我們一段時間以來看到的相同。但我們的表現就是好得多。

We have the right product, we have the right people, we have made the right changes in operational model. And that's what we're seeing right now. And now we move all that into prepaid, and you saw that we're also doing prepaid better. But still, we have more to be done. The team has their heads down, very focused on execution. Very pleased what we have seen so far. That doesn't mean we're not going to push even harder going forward. Tony?

我們有正確的產品、正確的人才，也在營運模式上做了正確的改變。這就是我們現在所看到的成果。接下來我們會把這一切延伸到預付費，你也看到我們在預付費方面做得更好。但我們仍有更多工作要完成。團隊埋頭苦幹，非常專注於執行。對目前看到的成果非常滿意。但這不代表我們接下來不會更用力推進。Tony？

Yes, sure. So a couple of points on churn. So the results on C-band are significantly better. We see strong churn performance, high premium mix and also higher gross adds in C-band markets.

是的，當然。關於流失率（churn）有幾點補充。C-band 的表現明顯更好。我們看到強勁的流失表現、高端方案占比（premium mix）更高，且在 C-band 市場的總新增（gross adds）也更高。

And overall in 2024, it's reasonable to expect similar or lower churn in the Consumer business compared to 2023. And then on your cash flow question, in the prepared remarks, we said that free cash flow would have a similar shape to last year and build throughout the year. We do expect free cash flow to be up meaningfully in the second quarter. We still see the same puts and takes on free cash flow for the full year, as we described in January. So nothing's really changed there.

整體而言，在 2024 年，合理的預期是消費者業務（Consumer）相較 2023 年會有相近或更低的流失率。至於你問的現金流，在事先準備的發言稿中我們提到，自由現金流（free cash flow）的走勢會與去年類似，並在全年逐步累積。我們確實預期第二季自由現金流將顯著上升。就全年而言，自由現金流的各項正負因素（puts and takes）仍與我們在 1 月所描述的一致，所以這部分其實沒有什麼改變。

On your question on the quarter. Let me start with operating cash flow. Let me unpack that for you. So we saw the discretionary pension contribution in the quarter. That was $365 million, in connection with the pension annuitization transaction that we announced in early March. As we said previously, a lower capitalized interest from C-band now manifest itself in operating cash flow, and that was about $300 million higher year-over-year.

關於你對本季的問題，我先從營運現金流（operating cash flow）談起，並為你拆解一下。本季我們有一筆自願性退休金提撥（discretionary pension contribution），金額為 3.65 億美元，這與我們在 3 月初宣布的退休金年金化（pension annuitization）交易相關。另如我們先前所說，C-band 資本化利息（capitalized interest）降低的影響現在反映在營運現金流中，使其年增約 3 億美元。

And the third point I'd make is we're funding the business for growth and very, very confident in our ability to execute. And you saw that, again, you saw the growth in the fourth quarter with strong gross adds. And we followed that up with 5% gross add growth in the Consumer business in the first quarter. And with that growth comes working capital timing that will settle in the second quarter. But overall, we're very confident in the cash generation of the business. And nonetheless, we expect to generate strong free cash flow. And we see no obstacles in paying down debt in a meaningful way in the second half of 2024.

第三點是，我們正在為業務成長提供資金支持，並且對自身的執行能力非常、非常有信心。你也看到了，我們在第四季透過強勁的總新增帶動成長；而在第一季，消費者業務的總新增也成長了 5%。伴隨這樣的成長，會出現營運資金（working capital）時點差異，預計在第二季回歸正常。但整體而言，我們對公司的現金創造能力非常有信心。即便如此，我們仍預期將產生強勁的自由現金流。我們也看不到任何障礙會阻礙我們在 2024 年下半年以有意義的幅度償還債務。

The next question comes from John Hodulik of UBS.

下一個問題來自 UBS 的 John Hodulik。

First, just a couple of quick follow-ups on Simon's question. Number one, the positive commentary you guys talked about with March. Does that suggest you guys could be positive in terms of Consumer phone adds in the second quarter? It's number one. Number two, the price increase seemed to be digested pretty well, and you actually saw churn come down. Does that suggest you guys have more pricing power than you thought, and we could see not just for you but for the industry, and we could see more in the future? That's number two.

首先，針對 Simon 的問題做兩個快速追問。第一，你們提到 3 月有正向的評論／趨勢，這是否意味著你們在第二季的消費者手機淨新增（Consumer phone adds）可能轉為正數？這是第一點。第二，這次漲價似乎被市場消化得不錯，而且你們還看到流失率下降。這是否表示你們的定價能力比原先想像更強，不僅是你們、甚至整個產業未來可能還會有更多調價？這是第二點。

And then on ACP, I noticed you guys announced some new plans with free -- sort of low-end plans on the broadband side with free service for 6 months. You've talked about some of the headwinds as ACP goes away. But do you believe that there's an opportunity to potentially win some broadband subs as that plays out?

另外關於 ACP，我注意到你們在寬頻端推出了一些新方案，包含免費——算是入門型的低價方案，提供 6 個月免費服務。你們談過 ACP 取消後的一些逆風。但你們是否認為，隨著這件事發展，反而有機會贏得一些寬頻用戶（broadband subs）？

Thank you, John. On the first question there on Consumer net adds in the short term, I stay on my previous comment, consumer net adds should be positive in 2024. The team is, of course, doing quite good right now and actually 100,000 better in the first quarter here on net adds. So let them continue to execute. They have a great product that resonate with the market, and they will continue to execute well on that.

謝謝你，John。關於第一個問題，也就是短期內消費者淨新增（Consumer net adds），我維持先前的看法：2024 年消費者淨新增應該會是正數。團隊目前表現確實很好，第一季的淨新增也比去年同期好 10 萬。就讓他們持續執行。他們有一個非常能引起市場共鳴的好產品，也會持續把執行做好。

On the churn side, I. think, first of all, I mean, if you look at the market, of course, we see both inflation and a higher interest rate and seeing it. But think about the product, first of all, so good right now. I mean everybody needs wireless and broadband. And I think that, that has improved quite dramatically over the last couple of years.

至於流失率（churn），我認為首先，如果你看整個市場，當然我們同時看到通膨與較高利率的影響，而且確實正在發生。但先從產品面來看，現在的產品真的很強。畢竟每個人都需要無線與寬頻。我認為這在過去幾年已經有相當顯著的改善。

Secondly, our products right now are so well segmented with different segments or different groups. And thirdly, we're laser-focused on churn management. I mean the team with Sampath, the AI tools we have. So we actually spend on the right customers when we see they have a churn. So all that came together despite that we had a price adjustment that was large in the Consumer group in the second quarter.

第二，我們目前的產品分眾做得非常好，針對不同區隔／不同族群。第三，我們非常聚焦在流失管理上。也就是 Sampath 的團隊、以及我們的 AI 工具。當我們看到客戶有流失風險時，我們會把資源花在對的客戶身上。即使我們在第二季對消費者族群做了幅度不小的價格調整，這些因素仍共同發揮效果。

The same goes for our Business wireless. They performed well in the quarter. They had a little bit slow in the beginning of the year but ramped really nicely also in the quarter. And again, they are market share leader on the wireless, and they continue to be positive. So I'm pleased with that.

同樣的情況也發生在我們的企業無線（Business wireless）。他們本季表現良好；年初開局稍慢，但在本季回升得很漂亮。而且他們在無線市場仍是市占領先者，並持續維持正向表現。所以我對此感到滿意。

On the ACP, I will let Tony comment on it. The only thing I want to say, I think -- we think it's important that everyone in this country should be able to have wireless and broadband because it's such an essential service today. So that's why we historically already have plans on Fios that are for low-income families, but also the whole prepaid family of products we have is also addressing that. Again, going back to being able to support that regardless if it's the recent ACP or not, but our segmentation model. And lastly, I think on the churn, our high-quality customers, which is best in the industry, that is really playing out in this environment with the products we have. Tony?

關於 ACP，我讓 Tony 來回應。我唯一想補充的是，我們認為這個國家的每個人都應該能使用無線與寬頻，因為在今天這是非常必要的服務。因此，我們過去在 Fios 上就已經有針對低收入家庭的方案；同時，我們整個預付（prepaid）產品家族也在滿足這類需求。再說一次，無論是否有近期的 ACP，我們的分眾模型（segmentation model）都能支持這件事。最後，回到流失率，我們的高品質客戶（在業界是最好的）在目前環境下，搭配我們的產品，確實正在展現效果。Tony？

Sure. And John, so in terms of ACP, we stopped enrollments in February and still accepting transfers through May. As we said previously in the prepared remarks, the majority of the exposure is in the prepaid business. And we have 1.1 million prepaid subs that are in the ACP program. We've said previously that the guidance assumed that the ACP funding stays intact. The impact or any impact would be seen on service revenue up to potential 50 basis points of headwind. And the margin exposure from ACP is actually very small. It was insignificant in the first quarter.

好的。John，關於 ACP，我們在 2 月停止新的申請加入（enrollments），並仍接受轉入（transfers）直到 5 月。正如我們在事先準備的發言稿中所說，主要曝險在預付業務。我們有 110 萬預付用戶（prepaid subs）參與 ACP 計畫。我們先前也說過，我們的財測假設 ACP 資金維持不變。其影響（若有）將反映在服務營收（service revenue）上，最多可能帶來 50 個基點的逆風。而 ACP 對毛利率（margin）的曝險其實非常小；第一季幾乎可以忽略不計。

If nothing changes and the funding goes away in May as is planned, and we have plans in place to address it both from retention and potential acquisition opportunities as well. And obviously, we'll continue to help everybody, update everybody as we know more.

如果沒有任何變化，且資金如計畫在 5 月到期取消，我們已經有相應方案來因應，包含留存（retention）以及潛在的獲客機會（acquisition opportunities）。當然，隨著我們掌握更多資訊，也會持續向大家更新。

The next question comes from Michael Rollins of Citigroup.

下一個問題來自 Citigroup 的 Michael Rollins。

Just curious if you could unpack a bit more of how you're thinking about the up-tiering opportunity within the postpaid phone base? And as you look at the perks, is there a way that we should think about the revenue contribution from perks and where that can go over time as an incremental way for Verizon to monetize the base?

我想請教你們能否再多拆解一下，你們如何看待在後付費手機用戶基礎（postpaid phone base）中的升級到更高級方案（up-tiering）機會？另外，關於加值權益（perks），我們是否可以用某種方式來理解 perks 的營收貢獻，以及隨時間推進，這是否能成為 Verizon 變現用戶基礎（monetize the base）的增量途徑？

Thanks, Mike. Yes, this is a long-term strategy of us. First of all, we have a great base of customers. We want to give them the flexibility on the Consumer side. Then we add in the perks. Of course, all that plays into a value play for our customers even though we up-tier our customers, and that has gone very well. I mean we said in the prepared remarks that almost quarter of our customers have myPlan right now, and we are expecting it to go to almost or go to half of the base, which is we never had a product moving that fast because it resonates with the market.

謝謝你，Mike。是的，這是我們的長期策略。首先，我們有很棒的客戶基礎。我們希望在消費者端提供他們彈性，接著再加入 perks。當然，即使我們引導客戶升級到更高級方案（up-tier），這整體仍能為客戶帶來價值，而目前進展非常順利。我們在事先準備的發言稿中提到，現在幾乎有四分之一的客戶使用 myPlan；我們預期它會提升到接近、或達到用戶基礎的一半。我們從未有一個產品推進得這麼快，因為它確實符合市場需求。

In there, we have opportunities for both up-tiering and then adding service, all incremental for our bottom line and accretive. And many of these offerings are savings for our customer, which is just great. I mean the Max Netflix is, for example, is a great savings, great product. We are the only one in the market that can do that in wireless. It's exclusive. And that's the type of things we do on perks, very different rather.

在這之中，我們同時有升級方案（up-tiering）以及加購服務的機會，這些都能為我們的獲利帶來增量，且具增益性（accretive）。而且其中許多提供對客戶而言是省錢的，這非常好。以 Max、Netflix 為例，這是很大的節省、也是很好的產品。我們是市場上唯一能在無線服務中提供這種組合的業者，具有獨家性（exclusive）。這就是我們在 perks 上所做的事，確實相當不同。

I would be -- I wouldn't say shocked, but I would be, at least, surprised if Sampath and the Consumer team doesn't continue to think how they can enlighten our customers even more with these type of things going forward. Tony?

我不會說我會很震驚，但至少我會感到意外，如果 Sampath 和消費者團隊未來不持續思考，如何用這類方式進一步讓我們的客戶獲得更多啟發與價值。Tony？

Sure. And Mike, just a couple of other points. So we did see 4.4% ARPA growth in the first quarter. And as Hans talked about it in myPlan, the premium mix is very strong. It's 42% of the lines in the base. And the perk attach rates have steadily increased and will continue to increase. So we feel really good about that and the discipline we see on promotions as well and keeping the amortization pressure in check.

好的。Mike，再補充幾點。我們在第一季確實看到 ARPA 成長 4.4%。如 Hans 談到 myPlan，高端方案占比（premium mix）非常強，目前在用戶基礎中占 42% 的線數（lines）。而 perks 的綁定率（attach rates）也在穩步提升，並將持續上升。因此我們對此感覺非常好；同時，我們也看到促銷（promotions）方面的紀律，並把攤銷壓力（amortization pressure）控制在可控範圍內。

And one other, if I could, on operational efficiencies. It sounds like a few times whether it was talking about AI or just the broader focus on the operations that this is an important priority for Verizon this year. Can you frame how much of the cost-cutting Verizon can deliver this year relative to the multiyear target that the company has established? And are there any milestones that we should be looking for that will signify some further progress on these initiatives?

另外還有一個問題，如果可以的話，關於營運效率。聽起來不論是在談 AI，或是更廣泛地聚焦營運，這都是 Verizon 今年的重要優先事項。你能否說明一下，Verizon 今年可實現的成本削減，相對於公司所設定的多年期目標，大概處於什麼樣的程度？另外，有沒有任何我們應該關注的里程碑，能夠顯示這些計畫正在取得進一步進展？

Thank you. First of all, we're on track for our cost target that we have given for the Street. Secondly, many of the larger so-called transactions and platform transactions, we started already last year. The outsourcing to HCL, the customer care changes we did, which are large transactions without any interruptions for our customers. We have done those. They are coming into the base in '24 and of course, full year '25.

謝謝。首先，我們正按計畫達成我們對華爾街所給出的成本目標。其次，許多較大型、所謂的交易以及平台交易，我們其實在去年就已經開始了。像是外包給 HCL、我們所做的客服變革，這些都是大型交易，而且對客戶沒有任何中斷。我們已經完成了。這些效益會在 2024 年反映到基礎之中，當然在 2025 年會有完整年度的貢獻。

Then what I'm adding now is our opportunity in AI. Many of these things, of course, already thought about. But of course, we see a great opportunity with AI to serve our customers better. We're already using, for example, personalization in myPlan with AI. And we're using it in our network when it comes to performance of the capacity deployment as well as power consumption.

接著我現在要補充的是我們在 AI 方面的機會。這些事情很多當然我們早就思考過。但我們確實看到 AI 在更好地服務客戶方面有很大的機會。例如，我們已經在 myPlan 中使用 AI 來做個人化。我們也在網路上使用 AI，用於容量部署的效能，以及電力消耗等方面。

So we are using AI and generative AI already now commercially. So this is not new playing ground for us. And we will see more opportunities. On the flip side, we, of course, also see revenues. Our network was built for AI. That was my thought when I build Verizon Intelligent Edge Network 5 years ago or 6 years ago, that we're going to have compute and storage at the edge. AI is sort of built for that with the low latency we have on the 5G network.

所以我們現在已經在商業上使用 AI 與生成式 AI。這對我們來說不是新的領域，而且我們會看到更多機會。另一方面，我們當然也看到營收機會。我們的網路是為 AI 而建。當我在 5 年前或 6 年前打造 Verizon Intelligent Edge Network 時，我的想法就是我們要在邊緣端具備運算與儲存。AI 某種程度上就是為此而生，搭配我們 5G 網路的低延遲特性。

And as we are deploying our 5G right now with the mobile edge compute and AI, this is a great long-term opportunity for us using AI. So there are multiple places we see efficiencies but also revenue opportunities with all the new technologies coming. Tony, anything else on the savings?

而當我們現在部署 5G、結合行動邊緣運算與 AI 時，這對我們而言是運用 AI 的一個很好的長期機會。因此，我們在多個地方看到效率提升，同時也看到隨著新技術到來的營收機會。Tony，關於節省方面你還有要補充的嗎？

Yes, Mike, just to add a couple of things. So obviously as Hans said, we're on track with the program. And those savings were contemplated in the guide. We're not going to discuss specific cost targets. But as Hans mentioned, we're operating a lot differently. And we feel really good about the cost actions that we're taking and the progress that we're making that are driving the EBITDA improvements that you saw in the first quarter and that we expect throughout 2024.

有的，Mike，我再補充幾點。很明顯，如 Hans 所說，我們的計畫正按軌道進行，而這些節省也已經納入我們的財測指引。我們不會討論具體的成本目標。但如 Hans 提到的，我們的營運方式已經有很大不同。我們對正在採取的成本行動以及所取得的進展感到非常有信心，這些都在推動你們在第一季看到的 EBITDA 改善，並且我們預期在 2024 年全年都會持續。

The next question comes from Kannan Venkateshwar of Barclays.

下一個問題來自 Barclays 的 Kannan Venkateshwar。

Hans, maybe one industry question for you. There's, obviously, a lot of assets up for sale, some smaller ones, some potentially bigger ones. There's also been talk about your potential interest in maybe partnering with ESPN in some form. Could you talk about how you see the industry structure evolving from here? Do you see this as some kind of equilibrium? Or is there any need for or an opportunity from your perspective in terms of balancing it as a base in a slightly different direction?

Hans，我想問你一個產業面的問題。顯然目前有很多資產正在出售，有些較小，有些可能更大。另外也有談到你們可能有興趣以某種形式與 ESPN 合作。你能談談你如何看待接下來產業結構的演變嗎？你認為這是一種均衡狀態嗎？或者從你的角度來看，是否有需要、或有機會，透過某種方式讓結構朝稍微不同的方向取得平衡？

Kannan, thank you for the question. First of all, I think I said it in the beginning of the year, we are getting into a new phase after heavy investment, a lot of changes in our asset structure. We're coming into a phase where we have all the assets we need, and we're executing on it. And you see the operational excellence coming out from it last 3 quarters.

Kannan，謝謝你的問題。首先，我想我在年初就說過，我們在大量投資之後、以及資產結構經歷許多變化之後，正進入一個新階段。我們正進入一個階段：我們已經擁有所需的所有資產，接下來就是執行。而你也在過去三個季度看到由此帶來的營運卓越成果。

I have a team that we have actually changed quite a lot. We added 2 new team members this quarter. I feel really good where we stand with assets right now and how we're executing. And of course, I can never say never to look into assets. That's my fiduciary responsibility, but I'd rather right now execute on what we have. And you see the performance we have with the C-band millimeter wave, the broadband growth we have, almost 400,000 again this quarter. So that's my main focus.

我們的團隊其實也做了相當多的調整。本季我們新增了兩位新成員。我對我們目前的資產狀況以及執行力感到非常滿意。當然，我永遠不會說永遠不再看資產，這是我的受託責任；但就目前而言，我更希望把重點放在把現有的事情執行好。你也看到我們在 C-band 毫米波上的表現、以及寬頻成長，本季又接近 40 萬。這是我主要的聚焦。

When it comes to some of the other things that you mentioned, I think we are using our base of distribution to actually work with all the streaming services. And we are uniquely positioned. We are the biggest distribution of direct-to-consumer in the market.

至於你提到的其他事項，我認為我們正在運用我們的分銷基礎，實際上與所有串流服務合作。我們具備獨特的定位：我們是市場上最大的直面消費者（direct-to-consumer）分銷通路。

We're taking leverage for our customers and for our shareholders, but also seeing that we help some of these larger streaming services to see that they get better churn and of course, better access to the best consumer base in the United States of America. So we will continue doing that and see that we're doing it in the right way. But again, I'm pleased with the asset base we have today.

我們正在為客戶與股東創造槓桿，同時也協助一些大型串流服務改善流失率，並且更好地觸及美國最優質的消費者客群。因此我們會持續這麼做，並確保以正確的方式推進。但再說一次，我對我們今天的資產基礎感到滿意。

The next question comes from David Barden of Bank of America.

下一個問題來自美國銀行（Bank of America）的 David Barden。

I guess my first one was just about the kind of the balance of revenue growth. I think that you guys have talked about kind of a 60-40 balance of pricing and volumes is more normal. And over the last year, it was more skewed to pricing.

我想第一個問題是關於營收成長的組成平衡。我記得你們談過，大概 60-40 的「價格」與「量」的平衡比較正常；而在過去一年，成長更偏向價格。

I was wondering if you could kind of talk about the relatively healthy 5% growth in gross adds versus what we're watching this quarter happened, which is a decline in accounts. Could you talk a little bit about how you balance the relationship between accounts and gross new subscribers?

我想請你們談談：總新增（gross adds）有相對健康的 5% 成長，但我們這一季看到的是帳戶數下滑。你們能否談談在帳戶數與總新增用戶之間，如何平衡兩者的關係？

And then the second question is just more of a housekeeping question, which is you guys introduced the second number add-on this past quarter. There's been a lot of questions about where does that show up in the numbers. I'm guessing not in the sub numbers. It's probably -- could you kind of elaborate where we find that in the numbers?

第二個問題比較偏向例行性問題：你們在上一季推出了「第二門號」加購方案。大家一直在問這會反映在哪些數字裡。我猜不會在用戶數裡。可能是——你們能否更詳細說明，我們應該在哪些數字中看到它？

Thank you, David. First of all, our team is very focused to continue to get a little bit more volume in the Consumer side. Remember, on the wireless on the Business side, we're already in there. We are taking customers every quarter. We have done it for not sure how many quarters. So it's a little bit different dynamic on the service on the Consumer side. We actually had a little bit more challenge in '22. I think since second quarter '23 with our myPlan and offerings, you see a constant improvement how we are actually addressing our customers.

謝謝你，David。首先，我們的團隊非常專注於在消費者端持續提升一些量的表現。請記得，在企業端的無線業務，我們已經在那裡了；我們每一季都在拿下客戶，我們已經做了不知道多少個季度。因此在消費者端的服務動態有點不同。我們在 2022 年其實遇到一些挑戰。我認為自 2023 年第二季以來，隨著我們的 myPlan 與產品方案，你可以看到我們在如何服務客戶方面持續改善。

So I'm really pleased with that. But we have said or Sampath have said on the Consumer side, he want to have more on the volume side than only on the value side from customers. But that doesn't mean we will continue to get more value with our customers and what we're doing.

所以我對此非常滿意。不過我們也說過——或 Sampath 在消費者端也說過——他希望在量的面向能多一些，而不只是從客戶身上取得價值面的提升。但這不代表我們不會持續從客戶身上取得更多價值，以及持續推進我們正在做的事情。

On the second line, the only thing I want to say there, first of all, the innovation the team is doing right now is based on our strategy. We build the network once. And we want as many profitable connections on the network in order to have the the best return on invested capital in the industry. It's just playing straight into that narrative and this, of course, accretive, and we would take the second line in any given time. So again, you showed the innovation. And I'm prepared to see -- or I'm ready to see even more innovation from my team going forward. Tony?

至於第二門號，我唯一想說的是：首先，團隊目前所做的創新是基於我們的策略。我們把網路建一次，然後我們希望在這張網路上有盡可能多的、具獲利性的連線，才能讓我們在產業中取得最佳的投入資本報酬率。這完全符合這個主軸，而且這當然是增厚（accretive）的；任何時候我們都願意接受第二門號。因此，再次強調，這展現了創新。我也準備好看到——或我也期待未來我的團隊帶來更多創新。Tony？

Yes. So Dave, on the second number, it is included in the line count. I mean the one thing we would say is it gives customers flexibility. They can add and remove it as desired. The adoption so far has been good, just a few points on that. It was very low single-digit percentage of phone gross adds in the quarter for Consumer, and we believe there's a limited market for this.

好的。所以 Dave，關於第二門號，它是包含在門號數（line count）裡的。我們想強調的一點是，它讓客戶更有彈性：他們可以依需求新增或移除。到目前為止採用情況不錯，補充幾點：在本季消費者端的手機總新增中，它占比是非常低的個位數百分比，而且我們認為這個市場規模有限。

As Hans said, it's ARPA and revenue accretive and it's high-margin business. There's no incremental device. There's no incremental data usage. And the results in the quarter reflect the strength of our core business. So as Hans said, we would take a profitable connection any day of the week.

如 Hans 所說，它能提升 ARPA 與營收，而且是高毛利業務。不需要額外的裝置，也不會增加額外的數據使用量。本季的結果反映了我們核心業務的強勁。因此如 Hans 所說，任何時候我們都願意接受一條具獲利性的連線。

And it goes back to the 3 things that I talked about that we are measured on from our shareholders, from our Board and how I measure my management team is a service revenue growth, is EBITDA and cash flow expansion. That's what we're measured on. Then it's 100 different measurements inside there, but those three are what we're incentivized on, and that's how we run our business.

而這也回到我提到的三件事：我們的股東、董事會衡量我們的方式，以及我衡量管理團隊的方式，就是服務營收成長、EBITDA，以及現金流擴張。我們就是以這三項作為衡量標準。當然在這之下還有 100 個不同的衡量指標，但這三項是我們的獎酬激勵所依據的，也是我們經營業務的方式。

Got it. And just to be totally clear, Tony, the -- so of the 5-point-something gross add growth year-over-year in the quarter, maybe 1% or 2% of that was the second number add-ons, which might not continue because there's a finite market for that?

了解。為了完全釐清一下，Tony——所以本季年增約 5 點多的總新增（gross add）成長中，可能有 1% 或 2% 來自第二門號加購（add-ons），而這可能不會持續，因為那個市場是有限的？

We said it was a very low single-digit percentage of phone gross adds, yes.

我們說過，那占手機總新增的比例是非常低的個位數百分比，是的。

The next question comes from Sebastiano Petti of JPMorgan.

下一題來自摩根大通（JPMorgan）的 Sebastiano Petti。

Just wondering if you can give us an update on what you're seeing in the overall Consumer broadband and particularly within Consumer fixed wireless? Net adds did slow a little bit sequentially, year-on-year. Obviously, the backdrop, you called that the move environment remains a little bit challenged. Are you seeing incremental competition as AT&T Internet Air perhaps ramps up, even though maybe T-Mo is talking about a little bit of a slowdown there? That would be helpful.

想請問你們能否更新一下你們在整體消費者寬頻，特別是消費者固定無線（Consumer fixed wireless）方面看到的情況？淨新增（net adds）在序列上、年對年都稍微放緩。顯然在大環境方面，你們提到搬遷（move）環境仍有些具挑戰性。你們是否看到競爭加劇，例如 AT&T Internet Air 可能正在加速推進，儘管 T-Mobile 也在談那邊可能有些放緩？如果能說明會很有幫助。

And then also touching upon, Hans, thinking about your thoughts on 5G use cases, I think you emphasized private networks a few times within the prepared remarks. How are you thinking about the development of the revenue opportunity here maybe relative to how you're thinking about MEC as well? You kind of touched on that and how AI plays into it.

另外也想請 Hans 談談你對 5G 使用情境（use cases）的看法。我記得你在事先準備的發言中多次強調私有網路（private networks）。你如何看待這裡的營收機會發展，相較於你對 MEC 的看法？你也稍微提到，以及 AI 在其中扮演的角色。

Thank you, Sebastiano. Yes, when we talk about the broadband, first of all, I think Fios continued to be the stellar product. Best fiber product in market, both for Business and for Consumer. You see us continue -- it's a little bit up and down, depending on mover markets and all of that. But we are very consistent on growth in that area. Very pleased with that product.

謝謝你，Sebastiano。是的，談到寬頻，首先我認為 Fios 仍然是非常出色的產品。無論商用或消費者端，都是市場上最好的光纖產品。你會看到我們持續——會有些上上下下，取決於搬遷市場等因素。但在那個領域我們的成長非常穩健一致。我們對這個產品非常滿意。

On the fixed wireless access. We continue to see very, very good Net Promoter Scores, the easiness of installing it, the greatness of the product, the quality of the product, all that plays in. So you see that when we roll out our C-band, we get new opportunities.

至於固定無線接取（fixed wireless access），我們持續看到非常、非常好的淨推薦值（Net Promoter Scores）。安裝很容易、產品很棒、品質很好，這些因素都會反映出來。所以當我們推出 C-band 時，就會帶來新的機會。

On the Consumer side, that we saw, of course, as an obvious use case. On the Business side, we're seeing new use cases that we didn't see before. I mean all the way from coffee shops replacing cable with fixed wireless access to large enterprises actually replacing with the fixed wireless access as well for different use cases.

在消費者端，我們當然把它視為一個很明顯的使用情境。在商用端，我們看到一些以前沒看到的新使用情境。從咖啡店用固定無線接取取代有線寬頻，到大型企業在不同情境下也用固定無線接取來替代。

So you saw we had a super quarter in fixed wireless access in the Business side this quarter. But again, we are dimensioning ourselves to be around 400 net adds quarter-by-quarter. That's how Joe, our Head of Network, is deploying the capital, the resources, so we can handle it. So we're, again, pleased with that. We said it also was a little bit slower broadband market in the beginning of the year. The exit rates were better at the end of the quarter. So all in all, good.

所以你看到本季我們在商用端的固定無線接取表現非常亮眼。不過再次強調，我們的規劃是每季大約 400 的淨新增（net adds）規模。這就是我們的網路負責人 Joe 在部署資本與資源時的配置方式，確保我們能承載這個量。因此我們同樣很滿意。我們也說過年初寬頻市場稍微慢一些，但本季末的退出率（exit rates）更好。總體而言，不錯。

On the 5G use cases, yes, now we start talking more and more about private networks because the number of them are many, then the value of them are still fairly small. But when we build that base of private network, managed spectrum for enterprises, that's, over time, is going to be a great opportunity for our enterprise sales force to add in, do the mobile edge compute.

關於 5G 使用情境，是的，現在我們越來越多談私有網路，因為數量很多，但單一案子的價值仍相對不大。不過當我們建立起私有網路的基礎、為企業提供受管制的頻譜（managed spectrum）後，隨著時間推進，這將成為我們企業銷售團隊很好的機會，進一步加上行動邊緣運算（mobile edge compute）。

And as I said, AI is like that's how we built our mobile edge compute network. And we already have mobile edge compute in many of our sites across the country in order to be able to meet that compute and storage. So over time, long term, and we are a long-term company. We're going to be around for many, many years in telecoms. This is absolutely the right investment. Nobody else has built a network as we have done when it comes to AI network compute storage at edge on the wireless network.

而且如我所說，AI 就是我們打造行動邊緣運算網路的方式。我們已在全國許多站點部署行動邊緣運算，以便滿足運算與儲存需求。長期來看——我們是一家長期經營的公司，我們會在電信業存在很多很多年——這絕對是正確的投資。就 AI 網路在無線網路邊緣的運算與儲存而言，沒有其他人像我們一樣建出這樣的網路。

The next question comes from Tim Horan of Oppenheimer.

下一題來自 Oppenheimer 的 Tim Horan。

Tony, how sustainable do you think the 4% ARPA growth is? It seems like you have a lot of levers to pull here, and it sounds like you're feeling a little bit more optimistic about that metric longer term. And can you be just a little bit more specific on how much debt you kind of plan on paying down per year, maybe second half this year or next year?

Tony，你認為 4% 的 ARPA 成長有多可持續？看起來你們有很多槓桿可以拉動，而且聽起來你們對這個指標的長期走勢更樂觀一些。以及你能否更具體一點說明，你們每年大概計畫償還多少債務——可能是今年下半年或明年？

Sure. So on the ARPA growth, again, you see the progress on gross adds, and you saw the 5% growth on gross adds. You see the progress with myPlan, and the continued premium mix has been very, very strong on myPlan, and that's continued. So we see a further runway for growth, and you saw it in the first quarter. And as we said in the prepared remarks, we'll see a full quarter's effect of the pricing changes that we announced in the Consumer business, and that launched in March. You'll see a full quarter's effect in the second quarter. So we feel very good about the progress on ARPA and that the team is making. And then on your second question, I'm sorry?

當然。關於 ARPA 成長，再次說明，你看到總新增（gross adds）的進展，也看到總新增 5% 的成長。你看到 myPlan 的進展，而且 myPlan 的高階組合（premium mix）一直非常、非常強，並且持續如此。所以我們看到進一步的成長跑道，你也在第一季看到了。正如我們在事先準備的發言中所說，你會看到我們在消費者業務宣布的價格調整帶來的完整一季影響，該調整在 3 月上線；你會在第二季看到完整一季的效果。因此我們對 ARPA 的進展以及團隊的執行非常有信心。至於你的第二個問題，不好意思是？

How much debt do you think you can pay down per year? And then just on ARPA. I guess the question is, is this sustainable over a multiyear period?

你認為你們每年能償還多少債務？另外回到 ARPA，我想問的是：這在多年期間是否可持續？

Yes, we're not going to give multiyear targets here, but we like the shape of the growth right now. We said we're on track with our service revenue growth through the year, and the team is very focused on it. We said we were going to be phone net add positive in Consumer, and that's on track as well.

是的，我們不會在這裡提供多年期目標，但我們喜歡目前的成長型態。我們說過，我們全年服務營收成長（service revenue growth）仍在軌道上，團隊也非常專注。我們也說過消費者端手機淨新增會轉正，這也同樣在軌道上。

Yes. And on the debt. So look, we're not going to give any targets on paying down debt. Our focus is on continuing to generate strong free cash flow to pay down debt in a meaningful way in the second half of the year, and we're on track to do that. We have $3.6 billion of unsecured maturities due this year. About half of that was addressed in the first quarter, and you should expect us to be opportunistic as the year goes on.

是的。至於債務，坦白說，我們不會提供任何償債目標。我們的重點是持續產生強勁的自由現金流（free cash flow），在今年下半年以有意義的幅度償還債務，而我們也正按計畫進行。今年我們有 36 億美元的無擔保到期債務（unsecured maturities）。其中約一半已在第一季處理，你應該預期我們會在接下來一年中視情況把握機會（opportunistic）。

The next question comes from Craig Moffett of MoffettNathanson.

下一題來自 MoffettNathanson 的 Craig Moffett。

Let's talk about something a little longer term, which is spectrum and capacity. Your CapEx has been now trending down as you've largely gotten through the 5G build. I'm just wondering how we should think about your spectrum needs going forward and what your appetite would be for additional spectrum, if some were to come available from DISH Network or as you think about U.S. Cellular. And how you think about that in the context of the spectrum screens at the FCC, which don't really leave much room for incumbent players to add. Do you think that those are a real impediment? Or do you think that those would likely be adjusted when the time comes?

我們來談一個更長期的議題：頻譜與容量。你們的資本支出（CapEx）在大致完成 5G 建設後已呈下降趨勢。我想了解我們應如何看待你們未來的頻譜需求，以及如果未來有額外頻譜可取得——例如來自 DISH Network，或你們評估 U.S. Cellular 的情況——你們對新增頻譜的意願會是什麼？另外，從 FCC 的頻譜上限（spectrum screens）來看，對既有業者增加持有量的空間其實不大。你認為這會是實質障礙嗎？還是你認為到時候可能會調整？

Thank you, Craig. Great question. First of all, as we all know, right now, the FCC doesn't have any spectrum to auction, and they don't even have an approval to do it. So that sort of constrained it. Then it could, of course, be secondhand market spectrum. We feel good about we have only deployed a piece of our C-band so far. So we have quite a lot left. Many of the sites are 60 megahertz or maybe at best 80. We have 161 megahertz nationwide. So we have quite a lot left of spectrum. And remember, that was the decision I, together with the Board, took.

謝謝你，Craig。很好的問題。首先，如大家所知，目前 FCC 沒有任何可拍賣的頻譜，甚至也沒有獲得進行拍賣的授權，所以這在某種程度上形成限制。當然，也可能是二級市場的頻譜。我們對自身狀況感到放心，因為到目前為止我們只部署了部分 C-band，所以還有相當多的餘量。許多站點目前是 60MHz，最好也許到 80MHz；而我們全國合計有 161MHz。因此我們還有不少頻譜可用。也請記得，這是我與董事會一起做出的決策。

We bought spectrum for decades, not for the next 2 quarters or something like that. So we feel really good about it. Then any opportunistic spectrum coming out, it's hard to predict. And even on whatever regulation is going to be around screens and that, I don't know.

我們買頻譜是以數十年為尺度，不是為了接下來兩個季度之類的短期。所以我們對此非常有信心。至於任何可能出現的機會型頻譜，很難預測。至於未來會有哪些關於上限（screens）等的監管規則，我也不清楚。

The only thing I know, I've sit here on a better position ever with millimeter wave, my C-band, my low band and how I build the network. And sometimes, it's opportunistic spectrum is going to cost me a lot, both from a customer interaction because some spectrum is not in the devices. I need new radios, new software. So you need to think when you reengineer the network to see that you have the right spectrum all the way out to the customer. And I think that no one is even close to our team on radio planning doing that. But all in all, we feel good about where we are today. Let's see what's going to happen in the market of spectrum.

我唯一知道的是：就毫米波、C-band、低頻段，以及我建網的方式而言，我坐在這裡的處境比以往任何時候都更好。而且有時候，機會型頻譜會讓我付出很高成本——不只是金錢，還包括客戶互動層面的成本，因為有些頻譜不在終端裝置裡；我需要新的無線電設備（radios）、新的軟體。所以當你重新工程化（reengineer）網路時，必須思考如何確保從網路一路到客戶端都具備正確的頻譜配置。我認為在做這件事的無線電規劃（radio planning）上，沒有任何團隊能接近我們。但總體而言，我們對目前的位置感到滿意。就看看頻譜市場接下來會發生什麼。

Hans, you saw it back over time between a preference between network densification or more spectrum. Is there a sort of house view at the moment for where you think it's most attractive to add capacity? Would it now be through network densification rather than spectrum or vice versa?

Hans，你之前曾提到在網路加密（densification）與更多頻譜之間的取捨。就目前而言，公司內部是否有一個「共識」：你們認為在哪裡增加容量最具吸引力？現在會是透過網路加密而不是頻譜，或反過來？

A little bit early to say. And ultimately, it's actually a call on return on investment that we do daily here. Should we put up a new tower? Should we densify? Should we put up new elements? Or should we add more spectrum?

現在說還有點早。最終，這其實是我們每天都在做的投資報酬率（ROI）判斷：我們要不要新建一座基地台？要不要加密？要不要新增新的網路元件？還是要增加更多頻譜？

That's regional almost on ZIP code level that the team is going through this. So every time you see spectrum coming out in the secondhand market historically, you make a calculation. We feel good about the position we have again here with all the spectrum we have to make those choices internally rather betting on external assets coming in. We don't need that. We have everything in-house right now for quite a while.

這在區域層級、幾乎細到郵遞區號（ZIP code）層級，團隊都在逐一評估。所以每次你看到歷史上二手市場有頻譜釋出時，你都會做一個計算。我們對目前所擁有的頻譜配置感到很有信心，能夠在內部做出這些選擇，而不是押注外部資產的進來。我們不需要那樣。我們現在手上自有的資源，足夠支撐相當一段時間。

The next question comes from Greg Williams of TD Cowen.

下一個問題來自 TD Cowen 的 Greg Williams。

You provided some great color on ACP. I think you said it could be a 50 basis point hit. I'm just curious if we can drill down there. Is that more of an ARPU hit with these new plans that are coming out? Or is it more on the disconnect side?

你們對 ACP 提供了很好的補充說明。我記得你說可能會有 50 個基點的影響。我想再深入一點了解：這主要是因為即將推出的新方案導致 ARPU 下降？還是更多是來自斷線／解約（disconnect）方面？

Second question is just on fiber-to-the-home and the open access models that we're seeing. We've seen some news flow with Tillman, Intrepid, et cetera, on open access and maybe even T-Mobile. I'm just trying to gauge your appetite to ride some of these open access CapEx-light models if they come to fruition?

第二個問題是關於光纖到府（fiber-to-the-home）以及我們看到的開放接取（open access）模式。我們看到 Tillman、Intrepid 等在 open access 方面的一些新聞動態，甚至可能也包括 T-Mobile。我想了解的是：如果這些以較輕資本支出（CapEx-light）的 open access 模式真的落地，你們參與的意願有多大？

I can take the first question then the second question first. As we haven't done any open access deals yet, you can see that the appetite hasn't been that big. Anyhow, we're going to evaluate any type of opportunities that can fortify how we deliver to our customers. So far in this environment, with a very high capital cost, et cetera, we haven't find a good return on investment on it. And again, we are very financially prudent. And remember, we have fixed wireless access. We have our Fios.

我先回答第一個問題，再回答第二個問題。由於我們目前還沒有做過任何 open access 的交易，你可以看出我們的意願並不算高。不過，我們會評估任何能強化我們向客戶提供服務方式的機會。到目前為止，在這樣的環境下（資本成本非常高等等），我們還沒有看到好的投資報酬率。而且我們一向非常審慎理財。也請記得，我們有固定無線接取（FWA），也有我們的 Fios。

We have owner's economics on basically everything we're doing. That's why our return on investment is the highest in the industry, and our [Adjusted] EBITDA is the highest (added by company after the call). We will both continue to be disciplined in that. That doesn't mean I'm not going to look into other models. But right now, there has not been any models that is appealing to me and the team and for our shareholders.

我們在基本上所有正在做的事情上，都有「自有經濟性」（owner's economics）。這也是為什麼我們的投資報酬率是業界最高，而我們的（調整後）EBITDA 也是最高（公司於會後補充）。我們會持續在這方面保持紀律。這不代表我不會去研究其他模式，但就目前而言，還沒有任何模式能吸引我、團隊以及我們的股東。

And then, Greg, on your question on ACP. So as we said, it was up to a potential 50 basis points of headwind in service revenue. And that's a combination of ARPU and churn, and it's lower ARPU. And we also said the margin exposure from ACP is also very, very small.

接著，Greg，關於你問的 ACP。如我們所說，它對服務營收可能帶來最高約 50 個基點的不利影響。這是 ARPU 與流失（churn）的綜合影響，且主要是 ARPU 較低。我們也提到，ACP 對利潤率的曝險也非常、非常小。

The next question comes from Bryan Kraft of Deutsche Bank.

下一個問題來自德意志銀行（Deutsche Bank）的 Bryan Kraft。

I had two if I could. First, could you provide an update on your efforts to pursue BEAD funding? Are you seeing any progress at the state level in establishing the rules? And based on what you are seeing there, are you more encouraged or discouraged by what you're seeing?

如果可以我有兩個問題。第一，能否更新一下你們爭取 BEAD 資金的進展？你們是否看到各州在建立規則方面有任何進度？根據你們目前看到的情況，你們是更受鼓舞，還是更感到沮喪？

And then separately, I was wondering if you could just provide any color on the company's performance in the first quarter within the larger metro markets relative to smaller, midsized markets in Consumer?

另外，我想請你們分享一些公司第一季在消費者（Consumer）業務中，大型都會市場相對於較小、以及中型市場的表現差異，有沒有任何補充說明？

Thank you. On BEAD funding, yes, that's been widely reported in the press. It is, of course, a complicated process to get the BEAD money out, et cetera. So we bid where we see it makes sense with return on investment and the subsidy is coming in there. There are some other broadband money coming into the market from the previous funds, which we're winning.

謝謝。關於 BEAD 資金，是的，媒體已經廣泛報導。當然，要把 BEAD 的資金撥付出來等流程相當複雜。因此，我們會在投資報酬率合理、且補助到位的地方投標。市場上也有一些來自先前基金的其他寬頻資金正在進來，我們也正在贏得其中一些案子。

We just had some quite large wins here recently in Pennsylvania. So we're using it, but we do it when it makes sense from a profitable point of view. But again, it's probably going to take some time when we see these money rolling out. Second question is for you. Yes. So on the, I need to remember the...

我們最近在賓夕法尼亞州就拿下了幾個相當大的案子。所以我們會運用這些資金，但前提是從獲利角度來看要合理。不過同樣地，等到這些資金真正大規模釋出，可能還需要一些時間。第二個問題交給你。是的，關於那個……我需要回想一下……

It was the question on the C-band market.

是關於 C-band 市場的問題。

Okay.

好的。

So on the C-band markets in the early markets, the performance is much better. As we said earlier, the churn is much better, 4 basis points better in churn. The premium mix is also a lot better, and we see meaningful increase in gross add performance as well. So we're really, really pleased with the performance in C-band.

關於 C-band 市場，在早期開通的市場，表現好得多。如我們先前所說，流失率（churn）明顯更好，流失改善了 4 個基點。高階方案占比（premium mix）也好很多，我們也看到總新增（gross add）表現有顯著提升。因此我們對 C-band 的表現非常、非常滿意。

Your last question will come from Peter Supino of Wolfe Research.

最後一個問題來自 Wolfe Research 的 Peter Supino。

Wondered if you could talk about SG&A growth. It was up 11% in Business and 4% in Consumer. It was nicely offset by cost relief from lower upgrades. I'm just wondering if you're spending back some of that upside on SG&A and how we might think about modeling operating leverage and specifically SG&A going forward?

想請你談談 SG&A 的成長。Business 部門年增 11%，Consumer 年增 4%。較低的升級（upgrades）帶來的成本減輕，對此有不錯的抵銷。我想了解的是：你們是否把其中一部分的利多再投入到 SG&A？以及我們在建模未來的營運槓桿時，特別是 SG&A，應該如何看待？

And then if anybody would be willing to provide an update on your project of deploying millimeter wave spectrum, in support of the FWA business to multi-dwelling units. Is that working the way you hoped? And if so, could that provide upside to your long-term broadband growth targets?

另外，是否有人願意更新一下你們部署毫米波頻譜的專案進展，用以支援面向多住戶建築（MDU）的 FWA 業務？它是否如你們預期般運作？如果是，是否可能為你們長期寬頻成長目標帶來上行空間？

Thank you. On the SG&A, we're very focused on seeing that we continue to get full leverage on the growth that we have right now. So the team is really focused on taking out cost. And I said, we are on track for that. We have a lot of initiatives ongoing. Tony will give you some more puts and takes on the SG&A in the quarter.

謝謝。關於 SG&A，我們非常專注於確保能對目前的成長取得完整的槓桿效益。因此團隊非常聚焦在降本。我也說過，我們在這方面進度符合預期。我們有很多正在進行的計畫。Tony 會就本季 SG&A 的增減因素再提供更多說明。

On the millimeter wave MDU solution, that is progressing. We have said it will come in the second half, latter part of this year in commercial. But we are piloting it right now, and it's performing really well. So we feel really good about it. And it will, over time, of course, add opportunity for us on MDUs that we haven't served with a fixed wireless access so far. So it will be an addition over time. Tony?

關於毫米波 MDU 解決方案，進展順利。我們先前說過，它會在今年下半年、較後段於商用端推出。但我們現在正在進行試點（pilot），而且表現非常好，所以我們對此感覺很不錯。隨著時間推進，當然也會為我們帶來在 MDU 的更多機會——這些是我們過去用固定無線接取（FWA）尚未服務到的。因此它會逐步成為一項新增的成長動能。Tony？

Yes. And Peter, on your question on SG&A. Some of that in the quarter is a function of the upfront work on transformation initiatives that will abate as the year progresses. And we also see pressure, year-over-year pressure on the handset insurance claims. And we expect that to level off in the second quarter, and we expect to see further operating leverage in the second half of the year.

是的。Peter，關於你問的 SG&A，本季其中一部分是因為轉型計畫的前期工作所致，隨著年度推進，這部分會逐步減弱。我們也看到手機保險理賠（handset insurance claims）在年對年上帶來壓力。我們預期這在第二季會趨於平穩，並且預期在下半年看到進一步的營運槓桿效益。

Great. Thanks, Brad. That's all the time we have.

很好，謝謝，Brad。我們今天的時間就到這裡。

Ladies and gentlemen, this concludes the conference call for today. Thank you for your participation and for using Verizon Conference Services. You may now disconnect.

各位女士、先生，今天的電話會議到此結束。感謝各位的參與，並使用 Verizon 會議服務。您現在可以掛線。