Rogers posts 3% revenue growth

15 Feb 2013

Canadian quadruple-play operator Rogers Communications has booked consolidated revenue growth of 3% year-on-year in the fourth quarter of 2012 to CAD3.26 billion (USD3.26 billion), driven by 4% wireless network service revenue growth, wireless equipment sales increase of 13% and cable revenue growth of 2%. In particular, wireless data revenue grew by 21% which, combined with a continued slowing in the rate of decline of voice ARPU, helped drive a 2.8% increase in Rogers’ blended ARPU in Q4 2012. Wireless data revenue now comprises 42% of service revenue, while the division activated and upgraded 940,000 smartphones in Q4, of which approximately 29% were for new subscribers, resulting in subscribers with smartphones now representing 69% of the overall post-paid base. Rogers also recorded a continued reduction in post-paid mobile churn on a year-on-year basis.

Consolidated adjusted operating profit in October-December 2012 increased by 7% year-on-year to CAD1.18 billion, based on a 3% increase at the wireless division, a 4% increase in cable turnover, a 35% increase at Rogers Business Solutions, and a 70% increase at the group’s Media unit.

Operationally, Rogers said that it expanded its Long Term Evolution (LTE) 4G mobile broadband network to cover approximately 60% of the Canadian population by end-2012, and it currently claims to offer the largest selection of LTE devices of any carrier in Canada. Rogers’ cable broadband continued to increase the internet speeds available, boosting the ‘Ultimate’ package maximum download speed from 75Mbps to 150Mbps across approximately 90% of its footprint. With Rogers’ high speed internet customer base reaching 1.9 million subscribers, at end-2012 internet penetration stood at 49% of homes passed by its cable network and 84% of its television subscriber base, compared to 48% and 78% a year earlier.

Canada, Rogers Communications