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Financial Performance - Rogers Communications reported first-quarter 2025 adjusted earnings of 69 cents per share, missing the Zacks Consensus Estimate by 2.82% and remaining flat year over year [1] - Revenues totaled $3.47 billion, missing the consensus mark by 1.19% and decreasing 4.6% year over year [1] - In Canadian dollars, adjusted earnings were C$0.99 per share, remaining flat year over year, while total revenues increased 1.5% year over year to C$4.98 billion [2] Wireless Segment - Wireless revenues, accounting for 51.1% of total revenues, increased 0.6% year over year to C$2.54 billion, with service revenues rising 1.5% to C$2.02 billion [3] - Monthly mobile phone ARPU was C$56.94, down 1.9% year over year, while the prepaid subscriber base grew by 111K to 1.13 million [4] - The postpaid wireless subscriber base reached 10.78 million, with net additions of 293K subscribers year over year [4] Cable Segment - Cable revenues, representing 38.9% of total revenues, decreased 1.2% year over year to C$1.93 billion due to competitive promotional activity [6] - Service revenues in the cable segment fell 1.2% year over year to C$1.92 billion, while equipment revenues decreased 8.3% to C$11 million [6] - The retail Internet subscriber count increased by 108K to nearly 4.296 million [6] Media Segment - Media revenues increased 24.4% year over year to C$596 million, driven by higher sports-related revenues and advertising revenues [9] - Segment operating expenses rose 13.9% year over year to C$663 million, resulting in a negative adjusted EBITDA of C$67 million [10] Consolidated Results - Operating costs increased 1.3% to C$2.72 billion, while adjusted EBITDA rose 1.8% year over year to C$2.25 billion [11] - Adjusted EBITDA margin expanded 10 basis points to 45.3% [11] Balance Sheet & Cash Flow - As of March 31, 2025, available liquidity was C$7.5 billion, including C$2.7 billion in cash and cash equivalents [12] - The debt leverage ratio was 4.3 times, with cash flow from operating activities at C$1.29 billion [13] - Free cash flow was C$586 million, down from C$878 million in the previous quarter [13] Dividends & Guidance - The company paid dividends worth C$269 million and declared a C$0.50 per share dividend [14] - For 2025, Rogers Communications expects total service revenues and adjusted EBITDA to grow in the range of 0-3% [15]

Financial Data and Key Metrics Changes - The company reported a 2% growth in service revenue and adjusted EBITDA year-over-year, with strong margin improvements [6][25][34] - Wireless service revenue and adjusted EBITDA each grew 2% year-over-year, driven by subscriber growth [27] - Free cash flow remained unchanged at $586 million compared to the prior year [35] Business Line Data and Key Metrics Changes - Wireless and Internet net additions totaled 34,000, down from 61,000 last year, reflecting a smaller market size due to reduced immigration [28] - Cable service revenue decreased by 1%, while adjusted EBITDA increased by 1% year-over-year, driven by a 4% decrease in operating costs [30] - Rogers Sports and Media saw a 24% increase in revenue year-over-year, attributed to additional Toronto Blue Jays home games and advertising revenue from the Nations Hockey Tournament [32] Market Data and Key Metrics Changes - The company experienced a decline in mobile net additions, with the total mobile market estimated to be down by one-third [56] - The blended mobile phone ARPU decreased by just under 2% from $58 to $57, influenced by competitive intensity and lower roaming revenue [28][110] Company Strategy and Development Direction - The company is focused on executing with discipline, delivering efficiencies, deleveraging the balance sheet, and advancing plans to surface value from sports assets [9][10][18] - A commitment to deleveraging was emphasized, with leverage expected to decrease to 3.6 times following recent equity capital raises [15][26] - The renewal of the NHL partnership and the acquisition of a majority stake in MLSE are key strategic moves to enhance the company's sports asset value [19][20] Management's Comments on Operating Environment and Future Outlook - Management acknowledged slower growth in the sector due to lower immigration and a highly competitive market but maintained a positive outlook for revenue and EBITDA growth [7][10] - The company remains focused on maintaining solid financials and restoring growth in the cable segment [46][48] - Management expressed optimism about improving price discipline in the wireless market despite ongoing competitive pressures [58][61] Other Important Information - The company completed a $4 billion hybrid securities offering and announced a $7 billion equity investment, significantly lowering leverage [26][37] - Capital expenditures for the quarter were $978 million, down 8% from the previous year [34] Q&A Session Summary Question: Confidence in annual outlook given macro backdrop and cable trends - Management acknowledged macroeconomic issues impacting the outlook but remains optimistic about growth opportunities in revenue and EBITDA [45][46] Question: Clarification on free cash flow guidance and wireless pricing - Free cash flow guidance remains unchanged, and management noted a focus on price discipline despite competitive pricing pressures in the market [55][56] Question: Contribution from FWA and reseller initiatives in broadband - Management highlighted ongoing improvements in net additions and revenue through various technology sets, including Fixed Wireless Access [66][68] Question: Expectations about MLSE equity and transaction hurdles - Management expects to close the transaction for the BCE stake and is exploring opportunities with institutional investors [73][76] Question: Pacing of wireless subscriber additions and market dynamics - Management noted a slow start to the year but observed improved activity in March and April, maintaining a market growth estimate of around 3% for the year [84][85] Question: Impact of tariffs on handset purchases and roaming effects on ARPU - Management indicated minimal direct impact from tariffs and quantified roaming as contributing approximately 15% to the decline in ARPU [107][110] Question: Corporate line losses and capital expenditures outlook - Management acknowledged rising corporate line losses due to investments in Rogers Bank and ongoing efficiency efforts [120][122]

Q1 2025 Results April 23, 2025 1 Cautionary note The following materials are for presentation purposes only. They accompany the discussions held during Rogers Communications Inc.'s (Rogers) investor conference call on April 23, 2025. Certain statements made in this presentation, including, but not limited to, statements relating to expected future events, financial and operating results, guidance, objectives, plans, strategic priorities and other statements that are not historical facts, are forward-looking ...

Rogers Communication (RCI) reported $3.47 billion in revenue for the quarter ended March 2025, representing a year-over-year decline of 4.7%. EPS of $0.69 for the same period compares to $0.73 a year ago.The reported revenue represents a surprise of -1.19% over the Zacks Consensus Estimate of $3.51 billion. With the consensus EPS estimate being $0.71, the EPS surprise was -2.82%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to deter ...

Rogers Communication (RCI) came out with quarterly earnings of $0.69 per share, missing the Zacks Consensus Estimate of $0.71 per share. This compares to earnings of $0.73 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -2.82%. A quarter ago, it was expected that this communications and media company would post earnings of $0.95 per share when it actually produced earnings of $1.04, delivering a surprise of 9.47%.Over the last ...

Core Insights - Rogers Communications Inc. reported continued growth in subscribers and financials, with a strong margin improvement year-over-year despite a slowing market [1][2] - The company announced a $7 billion minority equity investment, significantly improving its balance sheet and reducing its debt leverage ratio to 3.6x from 5.2x [1][19] Financial Performance - Total revenue for Q1 2025 was CAD 4,976 million, a 2% increase from CAD 4,901 million in Q1 2024 [3][34] - Total service revenue also increased by 2% to CAD 4,447 million, driven by growth in the wireless and media segments [3][11] - Adjusted EBITDA rose by 2% to CAD 2,254 million, with an adjusted EBITDA margin of 45.3% [3][34] - Net income increased by 9% to CAD 280 million, while adjusted net income rose by 1% to CAD 543 million [3][17] Subscriber Growth - The company added a total of 57,000 mobile phone and Internet subscribers, with 34,000 net additions in mobile phone subscribers [2][6] - Postpaid mobile phone churn improved to 1.01%, down from 1.10% in the previous year [6][36] Segment Performance - Wireless revenue increased by 1% to CAD 2,544 million, with service revenue from external customers at CAD 2,003 million [36][42] - Cable revenue decreased by 1% to CAD 1,935 million, attributed to competitive promotional activity and subscriber base declines [42][47] - Media revenue surged by 24% to CAD 596 million, driven by higher sports-related revenue and advertising [49][51] Capital Expenditures - The company invested CAD 978 million in capital expenditures, with a focus on network development and 5G deployment [3][52] - Wireless capital expenditures were CAD 407 million, while cable capital expenditures decreased to CAD 446 million [52][56] Strategic Initiatives - Rogers was awarded Canada's most reliable wireless network by Opensignal in February 2025 [5] - The company launched several new products and services, including the first commercial deployment of Ericsson 5G Cloud RAN technology and a new home Internet backup solution [13][54]

Core Insights - Rogers Communications has been recognized as the most reliable 5G wireless network in Canada by umlaut, reinforcing its leadership in network reliability [1][2] - The company has won umlaut's "Best in Test" wireless benchmark award for seven consecutive years, demonstrating superior performance in voice, data, and reliability [2][3] Investment and Network Expansion - Over the past decade, Rogers has invested more than $40 billion in its networks and plans to invest an additional $4 billion in capital investments this year [4] - The 5G network now reaches over 2,500 communities across Canada, highlighting the company's commitment to expanding its network [4] Company Commitment - The company emphasizes its dedication to providing Canadians with the best wireless networks and plans, focusing on reliability and customer experience [3][4] - Rogers continues to prioritize network performance and customer satisfaction, as evidenced by its consistent recognition in independent benchmarking [2][3]

Core Insights - Rogers Communications has been ranked as the most reliable 5G wireless network in Canada by umlaut, reinforcing its leadership in network reliability [1][2] - The company has won umlaut's "Best in Test" wireless benchmark award for seven consecutive years, demonstrating top performance in voice, data, and reliability [2][3] - Rogers has invested over $40 billion in its networks over the last decade and plans to invest an additional $4 billion in capital investments this year [4] Company Commitment - The company is dedicated to providing Canadians with the best networks and plans, emphasizing the importance of reliability for customers [3] - Rogers' 5G network now reaches more than 2,500 communities across Canada, showcasing its commitment to expanding network coverage [4] Benchmarking and Recognition - Umlaut, a global leader in independent benchmarking, conducts extensive drive tests and uses crowdsourced data to measure network performance across over 200 mobile networks in more than 120 countries [3]

Core Viewpoint - Rogers Communications Inc. has successfully received the necessary consents to amend the indentures governing its various notes, allowing for a subsidiary equity investment without violating existing covenants [1][2]. Summary by Relevant Sections Amendments to Indentures - The amendments will clarify that the subsidiary equity investment is not subject to the debt limitation covenant of Rogers' subsidiaries and does not constitute a default under the indentures [2]. - For the Shaw Notes, the amendments will align certain non-financial terms with those in other Canadian dollar denominated notes issued by Rogers [2]. Series of Notes - The company has multiple series of notes, including: - US dollar denominated notes with interest rates ranging from 2.90% to 7.50% maturing between 2025 and 2044 [3]. - Canadian dollar denominated notes with interest rates ranging from 3.25% to 6.75% maturing between 2027 and 2052 [3]. Consent Solicitation Details - The consent solicitations expired on April 15, 2025, and supplemental indentures will be executed for each series of notes to implement the amendments [3][4]. - Consent fees will be paid to holders of the notes who provided valid consents prior to the expiration time, with specific timelines for payment based on the type of notes [4]. Future Expectations - The subsidiary equity investment is expected to be consummated in the second quarter of 2025, which will trigger the payment of consent fees [4].