CALGARY — Shaw Communications today announced its financial results for the first quarter of its 2022 fiscal year, which shows the company’s consolidated revenue increased year-over-year by 1.2% to $1.39 billion, adjusted EBITDA grew 4.3% to $633 million and net income increased 20.2% to $196 million.
For the quarter ended Nov. 30, 2021, Shaw added 55,582 new wireless customers, with postpaid net additions of 36,089 “driven by the continued momentum of Shaw Mobile,” says a press release announcing the company’s Q1 2022 results. The company had 19,493 prepaid net additions in the quarter.
Overall, Shaw’s wireless revenue in Q1 2022 increased 4.7% to $332 million and adjusted EBITDA increased 45.3% to $109 million compared to the same quarter of the prior fiscal year.
The company’s wireless service revenue grew 11.2% to $239 million due to the continued subscriber growth, partially offset by lower ARPU (average revenue per user) as the company continues to scale its lower-revenue Shaw Mobile customer base, the release says. Wireless ARPU decreased 3.4% to $36.95 in Q1 2022 compared to the same quarter of 2021.
“However, an increase in customers signing up for bundled offerings and Internet migration to faster speed tiers continues to support Internet revenue growth,” the release adds.
Wireline subscribers (which the company refers to as revenue generating units or RGUs) declined by 78,098 in Q1 2022 compared to a loss of 100,907 in the first quarter of fiscal 2021. The improved subscriber loss “was led by a modest gain in Consumer Internet, offset with declines in Video, Satellite and Phone resulting in Consumer RGUs declining by 76,200 in the aggregate,” the release says.
On the business wireline side, “positive Internet RGUs were offset by declines in Video, Satellite and Phone resulting in Business RGUs declining by approximately 1,900.”
The company’s Q1 2022 wireline revenue of $1.06 billion “was in-line with the prior year while adjusted EBITDA of $524 million decreased 1.5% year-over-year,” the release says.
In reference to Rogers Communications’s proposed $26-billion acquisition of Shaw, announced in March 2021, Shaw says in its press release it “remains committed to supporting the closure of the transaction with Rogers.”
“Our combination with Rogers will do more for the future prosperity of Canada than either company could achieve on its own,” said Brad Shaw, executive chair and CEO of Shaw Communications, in the press release.
“Together, Rogers and Shaw can build a national next-generation network that will offer robust and effective competition over the long-term, and bridge Canada’s digital divide benefiting rural, remote and indigenous communities. The resources and network of the combined company will help accelerate Canada’s digital economy and stimulate greater economic diversification in Western Canada.
“We recognize that we can do so much more by coming together and reiterate our continued commitment to work with Rogers to close the transaction while delivering the benefits that the combined entity will provide Canadians,” Shaw said.
For more on Shaw’s Q1 2022 financial results, please click here.
