MONTREAL – Cogeco Inc. announced yesterday its fiscal results for its fourth quarter ended Aug. 31, which showed revenue increased 4.9% to $655.1 million compared to the same period last year.
On a constant currency basis, revenue increased 8.4%. This was attributed to growth in the company’s Canadian broadband services revenue, which increased 10.1% mainly due to the company’s acquisition of DeryTelecom last December.
Revenue growth was also attributed “to growth in the number of Internet service customers and a higher value product mix, combined with rate increases implemented by certain services, partly offset by a decline in video and telephony service customers as some customers have migrated to Internet only services,” a press release says.
Cogeco also reported its American broadband service revenue was up 5.8% in constant currency in Q4 2021 and revenue from the company’s media activities increased by 17.7%, which was mainly due to “the easing of public health restrictions, whereby last year’s fourth quarter radio advertising revenue was directly impacted by COVID-19 related lockdown measures,” says the press release.
Cogeco’s adjusted EBITDA decreased 2.1% to $293.6 million in Q4 2021. On a constant currency basis it rose 0.9%.
The adjusted EBITDA for its Canadian broadband services increased 1.7% in constant currency, while adjusted EBITDA for its American broadband services increased 4.6% in constant currency.
“We are satisfied with the overall performance of Cogeco’s where revenue and adjusted EBITDA met our revised financial guidelines for fiscal 2021,” said Philippe Jetté, president and CEO of Cogeco, in the press release.
“In Canada, results for the fourth quarter were in line with expectations and we continued to see a positive trend with our Internet services,” he said. DeryTelecom’s integration “into Cogeco Connexion has been progressing well, with most synergies already realized,” and “Cogeco Connexion is making good progress with various network expansion projects in Québec and Ontario.”
Jetté also noted Cogeco acquired WOW!’s Ohio broadband systems on Sept. 1 and said they “look forward to reporting on the integration activities in the next quarter.”
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