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Telus posts data-driven 4% revenue rise

10 May 2012

Western Canadian-based quadruple-play telco Telus Communications has posted revenues of CAD2.631 billion (USD2.626 billion) in the first quarter of 2012, a 4.0% improvement on the CAD2.531 billion it earned in the same period of last year. The consolidated sales increase was driven by nearly 6% wireless revenue growth and a 2% rise in turnover at Telus’ wireline division, both underpinned by strong data services earnings growth, and resulting in EBITDA improving by 2.3% to CAD1.009 billion (CAD986 million).

Wireless net revenues increased by CAD75 million or 5.7% year-on-year to CAD1.38 billion in the three months to the end of March 2012, as mobile data revenue turnover rose by CAD132 million or 36% to CAD498 million in the quarter. Mobile data represented 39% of network revenue in Q1 2012, up from 30% one year before. Data ARPU increased by CAD5.12, or 29%, to CAD22.83. These increases were due to continued strong adoption of smartphones and related data plans, increased use of mobile internet devices including tablets, higher revenues from pay-per-use text messaging, as well as higher roaming volume. A 10% year-on-year voice ARPU decline was offset by rising data ARPU to the extent that blended monthly mobile ARPU increased by CAD0.98, or 1.7%, to CAD58.87, the sixth consecutive quarter of y-o-y blended ARPU growth posted by Telus. Although wireless net additions of 22,000 in January-March 2012 were lower by 31% year-on-year, the period saw the addition of 63,000 post-paid subscribers – 21% higher than in Q1 2011 – alongside the loss of 41,000 pre-paid accounts, as low-end users switched to newer mobile rivals. Total wireless subscribers increased by 5.1% y-o-y to 7.36 million and the proportion of post-paid subscribers climbed by 1.9 percentage points to 84.1%, while smartphone subscribers now represent 56% of the total post-paid base of 6.19 million as compared to 38% twelve months earlier.

Canada, Telus Corporation, Telus Mobility (old)

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