Telus boosts revenue 5% in Q1; announces spending plans

9 May 2014

Canadian quadruple-play operator Telus reported a 4% year-on-year rise in net profit to CAD377 million (USD347 million) in Q1 2014, on consolidated quarterly revenues which increased by 5% to CAD2.9 billion. Telus also reported that it added a net 48,000 post-paid mobile subscribers in the three months ended 31 March 2014, which was lower than the 59,000 post-paid users added in 1Q13, but was a higher rate of customer acquisition than both of its nationwide cellular rivals Rogers and Bell. Telus’ fixed broadband net user additions reached 21,000 in the first quarter, 5,000 higher than the level of take-up a year earlier.

Telus has also reported this week that its consolidated capital expenditure (CAPEX) excluding the purchase of spectrum licences in 2014 will increase modestly to approximately CAD2.2 billion, as it continues investing in wireless capacity and mobile network expansion, alongside broadband infrastructure expansion and upgrades, including bringing fibre-optics deeper into the network, to support ‘Optik’ TV and high speed internet subscriber growth and faster connection speeds.

Of the total CAPEX, Telus will invest CAD1.2 billion across British Columbia in 2014 on projects including the rapid deployment of 700MHz LTE spectrum in rural and urban parts of the western province, to enhance 4G coverage which already reaches 90% of the provincial population, involving dozens of new wireless sites along remote highways. Telus will also connect thousands of homes and businesses in various British Columbia communities with higher-capacity internet and Optik TV. Telus also committed to spending a further CAD1.6 billion in British Columbia in the two-year period 2015-16.

In another regional rollout statement this week, Telus said that CAD640 million of 2014’s CAPEX would be spent across the province of Quebec. Projects this year for Quebec include connecting thousands of households to direct fibre-optic connections in Cap-Sante, Donnacona, Neuville, Pont Rouge, Rimouski, Saint-Apollinaire, Saint-Augustin-de-Desmaures, Saint-Georges and Sept-Iles. Another priority is expanding the 4G LTE network to over 80% of the Quebec population by the end of 2014 (involving utilisation of the 700MHz band). Telus also committed to spend a further CAD700 million in Quebec in 2015-16.

Canada, Telus Corp (old), Telus Corporation, Telus Mobility (old)