VANCOUVER – While Telus expects to add about the same number of new wireless and Internet customers in 2007 as it did in 2006, additional services means more revenue in the next 12 months.
"Telus’ 2007 targets build on the financial success experienced in 2006. Telus expects to meet or exceed the 2006 consolidated targets set a year ago for revenue, earnings and cash flow," said Robert McFarlane, executive vice president and CFO, in a press release.
Telus plans to add about 550,000 wireless customers through next year for a 12% to 13% revenue increase (up to $4.375 billion) and 135,000 high speed subs, driving a revenue increase of 1% to 2% on the wireline side of up to $4.9 billion.
The release did not address the company’s terrestrial digital IPTV outlook at all.
"These targets reflect the confidence of the Telus organization in our ability to continue to successfully execute our long-term strategy in the face of competitive pressures," McFarlane added. "We will continue Telus’ track record of enhancing shareholder value by both investing for future growth and returning significant capital to our shareholders."
In addition to the previously announced 36% increase in Telus’ quarterly dividend commencing on January 1, 2007, Telus also announced its intention to renew a normal course issuer bid for the potential repurchase of up to 24 million shares over the next 12 months, subject to acceptance by the Toronto Stock Exchange.
Overall, the company is predicting total revenue of between $9.175 billion to $9.275 billon in 2007, an increase of 6-7% and EBITDA of $3.725 billion to $3.825 billion, a rise of 4-7%. Capex for ’07 is predicted to remain at $1.2 billion.
