Verizon (VZ) hopes that the new boss can redesign its own business.
The telecommunications giant announced Dan Schulman, the former CEO of PayPal (Pypl) on Monday.
“The Board is pleased that Dan is another CEO of Verizon and is starting a new Growth and Sector Leadership Department,” said Mark Bertoini, Chairman of the Board of Verizon. “Dan is an experienced and determined leader with a unique experience of experience and a proven operational record of transformation leadership and competence.”
After the news, Verizon shares decreased by more than 3%. Promotions increased by 5% to date compared to the S&P 500 (^GSPC) by 15%. During the same period, the T-Mobile (TMU) shares increased by approximately 2% of the year, while the AT&T (T) jumped by more than 15%.
Schulman will replace Hans Westberg, who in 2026 Will recalcate a special advisor’s role as Verizon aims to complete the purchase of $ 20 billion worth of Frontier Communications (FYBR). Westberg will remain on the board by 2026. Annual meeting.
For many years, the new CEO has been part of the Verizon ecosystem, which has served on the Board since 2018. And was elected as the main independent director in 2024. The company said the appointment of Schulman denotes the Telecom Giant branch of the new chapter because it seeks to regain the market share in the wireless and broadband part.
“Verizon is in a critical situation,” Schulman said in a press release. “We have a clear opportunity to re -define our trajectory by increasing our market share in all segments of the market, while providing significant growth of our main financial metrics.”
The New York -based company faces many challenges, including a high percentage of the fist and the slowing growth of customer due to increased prices and fierce competition.
In the second quarter, Verizon earned $ 34.5 billion in revenue exceeding Bloomberg data, exceeding $ 33.76 billion consensus. The adjusted profit per share was $ 1.22, which increased $ 1.19.
However, the company followed consumer growth and added 300,000 subscribers in a quarter. By comparison, T-Mobile added $ 1.7 million in a quarter. New subscribers and AT&T added 401,000.
According to Schulman, his plan includes “maximizing value statements, reducing its costs to serve and optimize capital distribution”.
During his nine -year term, Schulman, CEO of PayPal, increased revenue from $ 8 billion to $ 30 billion and added hundreds of millions of new customers to the platform worldwide. However, PayPal shares have fallen by 64% over the last five years to 18% to date.