Rogers beats revenue estimates on wireless, media business strength

Feb 2 (Reuters) – Canada’s Rogers Communications Inc (RCIb.TO) beat forecasts for quarterly sales and subscriber growth on Thursday, benefiting from higher roaming charges and promotional offers during the holiday quarter I received

Rogers’ 5G network expansion and subscription plan bundling have helped win over customers from competitors in a highly competitive market where wireless tariffs are among the highest in the world.

The operator added 193,000 monthly bill-paying mobile subscribers in the fourth quarter, comfortably exceeding FactSet’s estimate of 146,800. 164,000 users were added last quarter.

Rogers’ media business, which includes television and radio properties, benefited from a surge in advertising during the holiday season, with revenue growing 17% to C$606 million ($456 million).

Core wireless business revenue increased 7% to C$2.58 billion, in line with estimates, as more users were acquired thanks to promotions on the latest handsets such as the Apple iPhone 14 and Samsung Galaxy Z. was.

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Total revenue rose 6% to C$4.17 billion in the quarter ended December 31, just above the average analyst estimate of C$4.15 billion, according to Refinitiv data.

Rogers is in the final stages of buying rival Shaw Communications (SJRb.TO). This will allow the company to bundle its wireless capabilities with Shaw’s cable services and reduce subscriber churn.

The companies earlier this week extended the deadline for the merger and the sale of Freedom Mobile’s Shaw division to Quebecor Inc (QBRb.TO) from the end of January to February 17th.

The deal, which will create Canada’s second-largest telecom operator, requires Minister Francois-Philippe Champagne’s approval for the transfer of spectrum licenses from Freedom Mobile to Quebec’s Videotron.

(1 Canadian Dollar = $0.7530)

Reported by Yuvraj Malik, Bangalore Edited by Vinay Dwivedi

Our standards: Thomson Reuters Trust Principles.

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