(dollars in millions, except per share amounts)

Years Ended December 31, 2022

Operating Revenues
Service revenues and other $ 109,625
Wireless equipment revenues 27,210
Total Operating Revenues 136,835

Operating Expenses
Cost of services (exclusive of items shown below) 28,637
Cost of wireless equipment 30,496
Selling, general and administrative expense 30,136
Depreciation and amortization expense 17,099
Total Operating Expenses 106,368

Operating Income 30,467

Equity in earnings (losses) of unconsolidated businesses 44
Other income (expense), net 1,373
Interest expense (3,613)
Income Before Provision For Income Taxes 28,271
Provision for income taxes (6,523)
Net Income $ 21,748

Net income attributable to noncontrolling interests $ 492

Net income attributable to Verizon 21,256
Net Income $ 21,748

Basic Earnings Per Common Share

Net income attributable to Verizon $ 5.06
Weighted-average shares outstanding (in millions) 4,202

Diluted Earnings Per Common Share

Net income attributable to Verizon $ 5.06
Weighted-average shares outstanding (in millions) 4,204
except per share amounts)

2021 2020

$ 110,449 $ 109,872
23,164 18,420
133,613 128,292

31,234 31,401
25,067 19,800
28,658 31,573
16,206 16,720
101,165 99,494

32,448 28,798
145 (45)
312 (539)
(3,485) (4,247)
29,420 23,967
(6,802) (5,619)
$ 22,618 $ 18,348

$ 553 $ 547
22,065 17,801
$ 22,618 $ 18,348

$ 5.32 $ 4.30
4,148 4,140

$ 5.32 $ 4.30
4,150 4,142
 (dollars in millions, except per share amounts)

At December 31,
Assets
Current assets
Cash and cash equivalents
Accounts receivable
Less Allowance for credit losses
Accounts receivable, net
Inventories
Prepaid expenses and other
Total current assets

Property, plant and equipment

Less Accumulated depreciation
Property, plant and equipment, net

Investments in unconsolidated businesses

Wireless licenses
Goodwill
Other intangible assets, net
Operating lease right-of-use assets
Other assets
Total assets

Liabilities and Equity

Current liabilities
Debt maturing within one year
Accounts payable and accrued liabilities
Current operating lease liabilities
Other current liabilities
Total current liabilities

Long-term debt
Employee benefit obligations
Deferred income taxes
Non-current operating lease liabilities
Other liabilities
Total long-term liabilities

Commitments and Contingencies (Note 16)

Equity
Series preferred stock ($0.10 par value; 250,000,000 shares authorized; none issued)
Common stock ($0.10 par value; 6,250,000,000 shares authorized in each period; 4,291,433,646
shares issued in each period)
Additional paid in capital
Retained earnings
Accumulated other comprehensive loss
Common stock in treasury, at cost (91,572,258 and 93,634,725 shares outstanding)
Deferred compensation – employee stock ownership plans (ESOPs) and other
Noncontrolling interests
Total equity
Total liabilities and equity
millions, except per share amounts)

2022 2021

$ 2,605 $ 2,921
25,332 24,742
826 896
24,506 23,846
2,388 3,055
8,358 6,906
37,857 36,728

307,689 289,897
200,255 190,201
107,434 99,696

1,071 1,061
149,796 147,619
28,671 28,603
11,461 11,677
26,130 27,883
17,260 13,329
$ 379,680 $ 366,596

$ 9,963 $ 7,443
23,977 24,833
4,134 3,859
12,097 11,025
50,171 47,160

140,676 143,425
12,974 15,410
43,441 40,685
21,558 23,203
18,397 13,513
237,046 236,236

— —

429 429

13,420 13,861
82,380 71,993
(1,865) (927)
(4,013) (4,104)
793 538
1,319 1,410
92,463 83,200
$ 379,680 $ 366,596
 (dollars in m
Years Ended December 31, 2022

Cash Flows from Operating Activities

Net Income $ 21,748
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization expense 17,099
Employee retirement benefits (2,046)
Deferred income taxes 2,973
Provision for expected credit losses 1,611
Equity in losses (earnings) of unconsolidated businesses, net of dividends received (10)
Changes in current assets and liabilities, net of effects from acquisition/disposition of businesses:

Accounts receivable (1,978)

Inventories 627
Prepaid expenses and other 928
Accounts payable and accrued liabilities and Other current liabilities (33)
Other, net (3,778)
Net cash provided by operating activities 37,141

Cash Flows from Investing Activities

Capital expenditures (including capitalized software) (23,087)
Cash received (paid) related to acquisitions of businesses, net of cash acquired 248
Acquisitions of wireless licenses (3,653)
Collateral payments related to derivative contracts, net of repayments (2,265)
Proceeds from disposition of business 33
Other, net 62
Net cash used in investing activities (28,662)

Cash Flows from Financing Activities

Proceeds from long-term borrowings 7,074
Proceeds from asset-backed long-term borrowings 10,732
Net proceeds from (repayments of) short-term commercial paper 106
Repayments of long-term borrowings and finance lease obligations (8,616)
Repayments of asset-backed long-term borrowings (4,948)
Dividends paid (10,805)
Other, net (2,072)
Net cash provided by (used in) financing activities (8,529)

Increase (decrease) in cash, cash equivalents and restricted cash (50)

Cash, cash equivalents and restricted cash, beginning of period 4,161
Cash, cash equivalents and restricted cash, end of period (Note 1) $ 4,111
 (dollars in millions)
2021 2020

$ 22,618 $ 18,348

16,206 16,720
(3,391) 840
4,264 1,553
789 1,380
36 91

(1,592) 189
(905) (369)
150 1,202
1,457 (966)
(93) 2,780
39,539 41,768

(20,286) (18,192)
(4,065) (520)
(47,596) (3,896)
(21) —
4,122 —
693 (904)
(67,153) (23,512)

33,034 25,822
8,383 5,635
— (9)
(14,063) (9,775)
(4,800) (7,413)
(10,445) (10,232)
(3,832) (2,703)
8,277 1,325

(19,337) 19,581
23,498 3,917
$ 4,161 $ 23,498
 (dollars in millions, except per share amounts, and shares in thousands)

Years Ended December 31, 2022 2021

Shares Amount Shares Amount

Common Stock
Balance at beginning of year 4,291,434 $ 429 4,291,434 $ 429
Balance at end of year 4,291,434 429 4,291,434 429

Additional Paid In Capital

Balance at beginning of year 13,861 13,404
Other (Note 14) (441) 457
Balance at end of year 13,420 13,861

Retained Earnings
Balance at beginning of year 71,993 60,464
Opening balance sheet adjustment (Note 1) — —
Adjusted opening balance 71,993 60,464
Net income attributable to Verizon 21,256 22,065
Dividends declared ($2.585, $2.535, $2.485 per share) (10,860) (10,532)
Other (9) (4)
Balance at end of year 82,380 71,993

Accumulated Other Comprehensive Income (Loss)

Balance at beginning of year attributable to Verizon (927) (71)
Foreign currency translation adjustments (153) (141)
Unrealized gain (loss) on cash flow hedges 322 (85)
Unrealized loss on fair value hedges (431) —
Unrealized loss on marketable securities (25) (9)
Defined benefit pension and postretirement plans (651) (621)
Other comprehensive loss (938) (856)
Balance at end of year attributable to Verizon (1,865) (927)

Treasury Stock
Balance at beginning of year (93,635) (4,104) (153,304) (6,719)
Employee plans (Note 14) 2,048 90 2,057 90
Shareholder plans (Note 14) 15 1 15 1
Acquisitions (Note 3) — — 57,597 2,524
Balance at end of year (91,572) (4,013) (93,635) (4,104)

Deferred Compensation-ESOPs and Other

Balance at beginning of year 538 335
Restricted stock equity grant 423 369
Amortization (168) (166)
Balance at end of year 793 538

Noncontrolling Interests
Balance at beginning of year 1,410 1,430
Total comprehensive income 492 553
Distributions and other (Note 14) (583) (573)
Balance at end of year 1,319 1,410
Total Equity $ 92,463 $ 83,200
hares in thousands)

2020
Shares Amount

4,291,434 $ 429
4,291,434 429

13,419
(15)
13,404

53,147
(200)
52,947
17,801
(10,284)
—
60,464

998
180
(571)
—
(2)
(676)
(1,069)
(71)

(155,606) (6,820)
2,298 101
4 —
— —
(153,304) (6,719)

222
275
(162)
335

1,440
547
(557)
1,430
$ 69,272