Core Viewpoint - Rogers Communications Inc. has successfully closed a CDN$7 billion equity investment from Blackstone and other Canadian institutional investors, aimed at reducing debt and enhancing operational control over its wireless network [2][4]. Group 1: Investment Details - The CDN$7 billion investment is managed by Blackstone and supported by major Canadian institutional investors including Canada Pension Plan Investment Board, Caisse de dépôt et placement du Québec, Public Sector Pension Investment Board, British Columbia Investment Management Corporation, and Investment Management Corporation of Ontario [2][4]. - Blackstone has acquired a non-controlling interest in a new subsidiary of Rogers that owns part of the wireless backhaul transport infrastructure, while Rogers retains full operational control of its network [3]. Group 2: Strategic Implications - The transaction is seen as a demonstration of investor confidence in Rogers and its assets, with the company aiming to unlock the unrecognized value of critical assets and commit to de-leveraging its balance sheet [4].

Core Viewpoint - Rogers Communications has received all necessary league approvals to acquire Bell's 37.5% stake in Maple Leaf Sports & Entertainment (MLSE), aiming to become the majority owner with a 75% stake [1][2]. Group 1: Acquisition Details - The acquisition deal is valued at C$4.7 billion, which will allow Rogers to expand its ownership in MLSE, a prominent sports and entertainment organization [3]. - Rogers has already received clearance from the Competition Bureau for the acquisition and is awaiting approval from the CRTC for an additional indirect interest in Toronto Raptors Network Ltd (NBA TV Canada) [3]. Group 2: Strategic Importance - Live sports and entertainment are identified as critical components of Rogers' core business strategy, emphasizing the significance of this acquisition for the company's future growth [2]. - The acquisition aligns with Rogers' position as Canada's leading communications and entertainment company, enhancing its portfolio in the sports sector [2][4].

Programming Highlights - Citytv's 2025/26 programming slate features a mix of new seasons, new series, and major live events that contributed to audience growth [2][5] - The new series "The Price is Right Tonight" will be hosted by Howie Mandel and consists of 12 one-hour episodes, set to air in Spring 2026 [5][6] - "Law & Order Toronto: Criminal Intent," which won Best Drama Series at the Canadian Screen Awards, will return for a new season [8] New Series and Events - New unscripted series "On Brand with Jimmy Fallon" will follow Fallon as he starts a marketing agency, featuring Bozoma Saint John as a mentor [10] - The special event "Making of Wicked" will feature Academy Award-nominated stars Ariana Grande and Cynthia Erivo [11] - The summer lineup includes "Bachelor in Paradise" and "Celebrity Family Feud," premiering in July [12] Audience Engagement - Citytv aims to provide premium entertainment experiences tailored to Canadian audiences, focusing on original dramas, lifestyle programming, and live sports [3] - The network emphasizes viewer-driven programming, which advertisers can rely on for consistent audience reach [5] Streaming and Content Availability - All newly announced titles and returning hits will be available for streaming on Citytv+, alongside a vast content library from various networks [13]

Core Viewpoint - Rogers Communication shares have increased by approximately 3.2% since the last earnings report, but this performance is below that of the S&P 500 [1] Estimates Movement - Estimates for Rogers Communication have trended downward over the past month [2] VGM Scores - The company has an average Growth Score of C and a Momentum Score of C, but a Value Score of A, placing it in the top quintile for value investment strategy. The aggregate VGM Score is A, which is significant for investors not focused on a single strategy [3] Outlook - The downward trend in estimates is notable, and the magnitude of these revisions appears promising. Rogers Communication holds a Zacks Rank of 3 (Hold), indicating an expectation of an in-line return in the upcoming months [4]

Core Points - Rogers Xfinity TV has expanded its offerings to include more than 150 international channels in over 20 languages, providing customers access to more than 480 channels in total [1][2] - The platform integrates international TV content with a variety of streaming services, enhancing the overall entertainment experience for users [2][4] - A survey indicates that 84% of Canadians who speak multiple languages find in-language content important for staying connected to their culture and heritage [2] Service Offering - The newly expanded international TV channel offering is available through a Free Preview until June 17, allowing customers to explore the content before committing to subscriptions [3] - After the Free Preview, customers can customize their entertainment experience by subscribing to specific international TV channels and theme packs [3] Company Background - Rogers Communications Inc. is recognized as Canada's leading communications and entertainment company, with shares publicly traded on the Toronto Stock Exchange and the New York Stock Exchange [5]

Core Insights - Gabelli Funds will host its 17th Annual Media & Entertainment Symposium on June 5, 2025, at the Harvard Club in New York City, focusing on industry dynamics, current trends, and business fundamentals [1] - The symposium will include discussions on Sports Investing, Media & Telecom Regulatory issues, and Advertising Panels, providing a platform for attendees to engage with leading companies in the media ecosystem [1][3] - A webcast option will be available for those unable to attend in person, ensuring broader access to the discussions and insights shared during the event [1] Presenting Companies - Notable companies participating in one-on-one meetings include Atlanta Braves Holdings, AMC Networks, Lionsgate Studios, Churchill Downs, Nexstar Media Group, Genius Sports, Reservoir Media, Gray Television, Rogers Communications, Live Nation Entertainment, Sinclair Inc., Sportradar Group, TEGNA Inc., TKO Group, and The E.W. Scripps Company [2] Panel Discussions - The symposium will feature several panel discussions, including "Sports Investing: Ways to Play," a TV Bureau of Advertising (TVB) Panel, and a Media & Telecom Regulatory Expert Session led by former FCC Commissioner Rob McDowell [3]

Group 1 - The article highlights that a market downturn can lead to previously undervalued stocks becoming even cheaper, creating more appealing yields and attractive valuations [2] - It emphasizes the importance of focusing on long-term investment opportunities despite near-term market noise [2] Group 2 - The service iREIT+HOYA Capital is focused on income-producing asset classes that provide sustainable portfolio income, diversification, and inflation hedging [1]

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 ...