MONTREAL – Led by wireless gains at Videotron, Quebecor saw third quarter profits jump by almost 5%, the company reported Thursday.
Net income attributable to shareholders for the period reached $186.7 million, up from $178.4 million in the same period last year, a favourable variance of $8.3 million.
Revenues of $1.06 billion grew 1.7% from the third quarter of 2017. Revenues increased in Telecommunications ($30.2 million or 3.6%), but fell in Media ($15.9 million or ‑8.5%) and in Sports and Entertainment ($2.2 million or ‑3.9%).
Adjusted income from continuing operating activities increased 36.9% to $142 million, which the company said reflected the increase in its interest in the income of Quebecor Media which became a wholly owned subsidiary on June 22, 2018, as well as the increase in Videotron's profitability.
Videotron added 56,500 revenue-generating units in the third quarter of 2018, including 41,500 connections to its mobile telephony service (up 3.8%), 11,000 Club illico subscriptions (up 2.8%), and 23,400 subscriptions to its cable Internet access service (up 1.4%).
"These strong results highlight our ability to stand out in a competitive marketplace, and to offer products and services tailored to fast‑changing consumer habits”, said Videotron president and CEO Manon Brouillette, in the news release. “For example, in the third quarter of 2018 we launched Fizz, a new mobile carrier and Internet service provider that delivers a fully digital experience, promotes simplicity and user autonomy, and offers its members advantageous plans. This innovative offering aims to increase our market penetration among digital natives and new mobile users. It is also noteworthy that our mobile telephony service will pass our cable telephony service in total number of subscriber connections in the fourth quarter of 2018, demonstrating the success of our strategy and our ability to reinvent ourselves.”
Quebecor’s complete Q3 2018 financial results are available here.
