Canadian operator Telus reported third quarteroperating revenues down 1.6 percent to CAD 2.411 billion from the year before, reflecting continued declines in voice revenues. Data and mobile revenues grew modestly, affected by a weak economic environment and intense competition.
EBITDA fell 5.3 percent to CAD 923 million, due primarilylower revenues, higher pension plan benefit expenses and higher restructuring costs from ongoing operating efficiency initiatives. Net income came out at CAD 280 million and earnings per share (EPS) at CAD 0.88, a decrease of 2.1 and 1.1 percent respectively.
Subscriber connections increased by 326,000 in the year to end-September, reaching 11.86 million at the end of the quarter, due to mobile, TELUS TV and high speed internet growth. Mobile operations saw 125,000 net ads, a decrease of 29 percent year-on-year, due mainly to churn at Koodo subscribers going back to normal levels following last year’s launch. Telus TV showed net ads at 22,000, an 83 percent increase from the year before. Telus high speed internet net ads reached 9,000, down from 13,000 the year before, due to a maturing market and promotional activity from cable TV competitors. The mobile division saw revenues lift 0.3 percent to CAD 4 million, while network revenue grew 3.4 percent to CAD 1.2 billion.
The company has again updated its full year guidance, with revenue seen at USD 9.6-9.7 billion, the mobile revenue range upped by CAD 25 million and the wireline revenue guidance lowered and tightened. The EBITDA range was lowered to CAD 3.475-3.575 billion. Total estimated annual restructuring costs were upped to CAD 160 million and EPS is seen at CAD 3.10-3.30.