TORONTO – Rogers Communications today reported its first quarter 2022 financial results, which show total revenue increased 4% to $3.6 billion compared to the same quarter in 2021 and adjusted EBITDA increased 11% to $1.5 billion.
“Each of our businesses delivered better revenue and profitability than expected,” said Tony Staffieri, president and CEO of Rogers, during a conference call with investors today.
Wireless revenue grew 3% to $2.1 billion, cable revenue grew 2% to $1 billion and media revenue grew 10% to $482 million, according to a press release announcing the Q1 results.
Total service revenue was reported to have increased by 6% to $3.2 million. Wireless service revenue increased by 7% to $1.7 billion, wireless equipment revenue decreased by 10% to $417 million and cable service revenue increased by 1% to $1 billion.
Rogers reported 66,000 postpaid mobile phone net additions in Q1 2022 compared to 22,000 in Q1 2021. The company also reported a total of 8.9 million postpaid mobile subscribers at the end of the quarter. Monthly churn was reported to be 0.7% in Q1 2022 compared to 0.8% in Q1 2021.
Rogers reported prepaid mobile phone net losses of 16,000 in Q1 2022, compared to net losses of 56,000 in the same quarter the previous year. Total prepaid mobile phone subscribers at the end of the quarter were 1.2 million, a decrease of 54,000, and churn was 4.8%, an increase from 4.4% in the same quarter of 2021.
“Rogers delivered strong first quarter results across all our businesses, driven by better execution and the continued improvement in Canada’s economy,” said Staffieri, in the press release.
“We are very confident about the opportunities ahead, driven by the exceptional quality of our assets and the dedicated efforts of the Rogers team. As a result, we are increasing Rogers’ 2022 service revenue, adjusted EBITDA, and free cash flow guidance to reflect our improved outlook, ahead of further growth associated with the Shaw transaction.”
Staffieri’s statement also notes the company still expects its acquisition of Shaw to close in Q2 2022. “Teams from both Rogers and Shaw continue to work constructively with the Competition Bureau and ISED Canada to ensure they have the information they need to assess the significant benefits the combined company will bring to Canadians and the Canadian economy,” he said.
“We received approval of the CRTC in March, we have obtained all of the funds necessary for the deal following a record setting series of debt offerings in the last few months, and we continue to make solid progress on our integration planning,” Staffieri explained during the conference call today.
The sale of Shaw’s Freedom Mobile was brought up during the call, as were reports that an offer from Xplornet Communications was presented to the government in an effort by Rogers to obtain approval from ISED for the transaction.
“There’s not a lot we can say given the transaction is in front of the government bodies,” Staffieri said. “We’re not going to comment on any rumours that are out there as you would expect.”
For more, please click here.
