Core Viewpoint - TELUS Corporation has submitted a non-binding indication of interest to acquire TELUS Digital, aiming to enhance operational integration and drive AI and SaaS transformation across various sectors [1][2]. Group 1: Acquisition Proposal - TELUS proposes to acquire all outstanding shares of TELUS Digital at a price of US$3.40 per share, representing a 15% premium over the closing share price on June 11, 2025, and a 23% premium over the 30-day volume weighted average trading price [1][2]. - The acquisition is expected to provide TELUS Digital shareholders with liquidity at a compelling value and strengthen TELUS's growth strategy and operational efficiency [1][2]. Group 2: Operational Integration - Closer operational integration between TELUS and TELUS Digital is anticipated to enhance AI capabilities and SaaS transformation across telecommunications, health, agriculture, and consumer goods sectors [1][2]. - TELUS Digital is expected to remain a key business unit within TELUS, contributing to customer service excellence and digital transformation [2]. Group 3: Financial and Legal Considerations - The proposal is subject to confirmatory due diligence, agreement on transaction structure, and approval from the TELUS Digital board of directors [3][4]. - TELUS currently owns approximately 92.5% of the multiple voting shares and 6.1% of the subordinate voting shares of TELUS Digital, representing 57.4% of all outstanding shares [6][7]. Group 4: Advisory and Future Plans - Barclays is acting as the exclusive financial advisor to TELUS, while Stikeman Elliott LLP and A&O Shearman are serving as legal advisors [5]. - TELUS has no current plans beyond the acquisition proposal but may consider future transactions depending on market conditions [8].

Telus Digital (TIXT) came out with quarterly earnings of $0.06 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.22 per share a year ago. These figures are adjusted for non-recurring items.A quarter ago, it was expected that this digital services provider would post a loss of $0.01 per share when it actually produced a loss of $0.04, delivering a surprise of -300%.Over the last four quarters, the company has surpassed consensus EPS estimates just once.Telus Digital, which ...

Telus International (TIXT) came out with quarterly earnings of $0.06 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.22 per share a year ago. These figures are adjusted for non-recurring items.A quarter ago, it was expected that this digital services provider would post a loss of $0.01 per share when it actually produced a loss of $0.04, delivering a surprise of -300%.Over the last four quarters, the company has surpassed consensus EPS estimates just once.Telus Internat ...

Revenue and Earnings - Revenue for the three months ended March 31, 2025, was $670 million, a 1.98% increase from $657 million in the same period of 2024[26] - The largest revenue contributions came from the Tech and Games sector at $282 million, followed by Communications and Media at $173 million[26] - Basic loss per share for the three months ended March 31, 2025, was $(0.09), compared to earnings of $0.10 per share in the same period of 2024[34] - The company reported a net loss of $25 million for the three months ended March 31, 2025, compared to a net income of $28 million in the same period of 2024[34] - Revenues from services provided to TELUS and its subsidiaries amounted to $178 million for the three months ended March 31, 2025, compared to $160 million in the same period of 2024[62] - TELUS accounted for 26.6% of consolidated revenue in Q1 2025, up from 24.3% in Q1 2024; Google contributed 12.0%, down from 14.5%[64] Expenses and Financial Management - Interest expense for the three months ended March 31, 2025, totaled $30 million, down from $35 million in the same period of 2024, reflecting a decrease of 14.29%[31] - The company’s interest on long-term debt, excluding lease liabilities, was $20 million for the three months ended March 31, 2025, down from $24 million in the same period of 2024[31] - Share-based compensation expense for key management personnel was recognized at $2 million for the three-month period ended March 31, 2025[63] - The company initiated a restructuring program in April 2025, which is expected to impact personnel-related provisions[50] Assets and Liabilities - The total accounts receivable as of March 31, 2025, was $459 million, slightly up from $454 million as of December 31, 2024[37] - The allowance for doubtful accounts increased from $2 million at the beginning of the period to $8 million by March 31, 2025, reflecting a significant rise in provisions[39] - The total property, plant, and equipment increased from $1,053 million at the beginning of the year to $1,098 million by March 31, 2025, indicating growth in owned assets[45] - Intangible assets and goodwill rose from $3,971 million at the beginning of the year to $4,024 million by March 31, 2025, driven by foreign exchange adjustments and software additions[46] - The accumulated amortization of intangible assets was $720 million as of March 31, 2025, reflecting ongoing depreciation of intangible assets[46] - The company reported a net book value of property, plant, and equipment of $465 million as of March 31, 2025, compared to $456 million at the end of 2024[45] - Total accounts payable and accrued liabilities decreased slightly from $321 million as of December 31, 2024, to $317 million as of March 31, 2025[65] - The company experienced a net decrease in accounts receivable of $15 million in Q1 2025, compared to a decrease of $18 million in Q1 2024[66] Debt and Capital Structure - As of March 31, 2025, total long-term debt amounted to $1,490 million, a decrease from $1,525 million as of December 31, 2024[52] - The credit facility includes an $800 million revolving credit facility and a $1.2 billion term loan, with an effective interest rate of 6.7% as of March 31, 2025[53] - The company has a Net Debt to Adjusted EBITDA ratio requirement not to exceed 3.75:1.00 for fiscal 2025, with a minimum Adjusted EBITDA to Debt Service ratio of 1.50:1.00[54] - Anticipated long-term debt repayments for 2025 total $62 million, with $1,094 million due in 2028[56] - As of March 31, 2025, the company had $595 million available under the revolving credit facility[54] - The credit facility balance was $1,284 million at the beginning of Q1 2025, with repayments of $189 million during the period[67] - Long-term debt decreased from $1,750 million at the beginning of Q1 2024 to $1,490 million at the end of Q1 2025[67] Other Financial Information - The fair value of derivative financial instruments related to currency risks from Euro business acquisition was $10 million as of March 31, 2025, with a notional amount of $33 million[43] - The fair value of derivatives used to manage currency risks from Philippine peso purchases was $1 million with a notional amount of $85 million as of March 31, 2025[43] - The company established a provision for written put options related to the acquisition of WillowTree in 2023[51] - As of March 31, 2025, the company had no recorded liability for indemnification obligations[58] - The company reported a cash payment of $28 million for capital assets in Q1 2025, compared to $19 million in Q1 2024[66] - Capital expenditures for property, plant, and equipment were $22 million in Q1 2025, compared to $13 million in Q1 2024[66] - Lease liabilities increased from $249 million at the beginning of Q1 2025 to $254 million at the end of the period[67] - The company is assessing the impacts of new accounting standards effective January 1, 2027, but does not expect material effects on financial disclosures[20] - The recoverable amount of the TELUS Digital cash-generating unit was slightly above its carrying amount, determined using a discount rate of 9.8% and a perpetual growth rate of 3.0%[47] - The company noted that any adverse changes in future financial performance could lead to material impairment charges for the TELUS Digital cash-generating unit's goodwill[49]

Core Insights - TELUS International has partnered with Zendesk to enhance customer experiences through AI-powered service solutions, officially rebranding to TELUS Digital Experience from Q3 2024 while retaining its legal name and trading symbol "TIXT" [1][2] Partnership Details - The collaboration integrates TELUS Digital's global customer experience management (CXM) talent into Zendesk's support solutions, providing access to a network of 78,000 team members across 31 countries [2] - TELUS Digital will incorporate Zendesk's CRM and CCaaS technologies into its offerings, addressing the evolving needs of modern customer service environments [2][3] Technology Integration - TELUS Digital's generative AI platform, Fuel iX, will be available to Zendesk customers, enabling intelligent automation, real-time agent assistance, and in-depth customer insights [3][4] - The integration of Fuel iX with Zendesk aims to enhance customer support operations by leveraging advanced AI capabilities, reducing average handle time [4] Strategic Collaborations - The partnership builds on TELUS Digital's existing collaboration with Local Measure, a CCaaS provider, to enhance voice and messaging capabilities using Amazon Connect [5] - Zendesk's planned acquisition of Local Measure, expected to close in May 2025, will further strengthen the TELUS Digital partnership with additional voice and AI capabilities [5] Service Offerings - TELUS will serve as a full-service partner for Zendesk customers, managing onboarding, setup, integration, and ongoing support, while providing continuous platform improvements and proactive insights [6] Company Overview - TELUS is a global provider of integrated solutions, including digital strategy, innovation, consulting, digital transformation, IT lifecycle solutions, data annotation, intelligent automation, and omnichannel CX solutions [7]

NEW YORK, March 31, 2025 (GLOBE NEWSWIRE) -- The Gross Law Firm issues the following notice to shareholders of TELUS International (Cda) Inc. (NYSE: TIXT). Shareholders who purchased shares of TIXT during the class period listed are encouraged to contact the firm regarding possible lead plaintiff appointment. Appointment as lead plaintiff is not required to partake in any recovery. DEADLINE: March 31, 2025 Shareholders should not delay in registering for this class action. Register your information here: ht ...

Core Viewpoint - Rosen Law Firm is reminding investors who purchased TELUS International securities between February 16, 2023, and August 1, 2024, of the March 31, 2025, lead plaintiff deadline for a class action lawsuit [1]. Group 1: Class Action Details - Investors who purchased TELUS International securities during the specified Class Period may be entitled to compensation without any out-of-pocket fees through a contingency fee arrangement [2]. - A class action lawsuit has already been filed, and interested parties can join by submitting a form or contacting the law firm [3][6]. - The lead plaintiff must file a motion with the Court by March 31, 2025, to represent other class members in the litigation [3]. Group 2: Law Firm Credentials - Rosen Law Firm emphasizes the importance of selecting qualified counsel with a successful track record in securities class actions, highlighting its own achievements in this area [4]. - The firm has secured significant settlements for investors, including over $438 million in 2019 alone, and has been consistently ranked among the top firms for securities class action settlements [4]. Group 3: Case Allegations - The lawsuit alleges that TELUS International failed to disclose critical information regarding its AI Data Solutions, which negatively impacted its profitability and misled investors about the company's business prospects [5]. - Specific claims include that the shift towards AI required the cannibalization of higher-margin offerings and that this shift put greater pressure on the company's margins than previously disclosed [5].

Core Viewpoint - TELUS International is facing a class action securities lawsuit due to alleged securities fraud that impacted investors between February 16, 2023, and August 1, 2024 [1][2]. Group 1: Allegations and Impact - The lawsuit claims that TELUS International made false statements regarding its AI Data Solutions, which required the cannibalization of higher-margin offerings [2]. - It is alleged that the company's declining profitability was linked to its focus on developing AI capabilities, which exerted greater pressure on margins than previously disclosed [2]. - Positive statements made by the defendants about the company's business and prospects were deemed materially misleading and lacked a reasonable basis [2]. Group 2: Legal Process and Participation - Investors who suffered losses during the specified timeframe have until March 31, 2025, to request appointment as lead plaintiff, although participation in any recovery does not require this role [3]. - Class members may be entitled to compensation without incurring any out-of-pocket costs or fees, with no obligation to participate [3]. Group 3: Firm Background - Levi & Korsinsky has a history of securing hundreds of millions of dollars for shareholders and is recognized as one of the top securities litigation firms in the United States [4].

Core Viewpoint - A class action lawsuit has been filed against TELUS International (Cda) Inc. for alleged violations of securities laws, specifically related to misleading statements about the company's AI development and its impact on profitability [1][4]. Group 1: Lawsuit Details - The lawsuit is based on allegations that TELUS made false and misleading statements regarding its AI Data Solutions, which required the cannibalization of higher-margin offerings [4]. - The class period for the lawsuit is defined as from February 16, 2023, to August 01, 2024, during which investors are encouraged to participate if they suffered losses [2]. - The Schall Law Firm is representing investors and has not yet certified the class, meaning potential participants are not currently represented by an attorney [3]. Group 2: Financial Impact - The complaint asserts that TELUS's shift towards AI development has negatively impacted its profitability and margins, leading to significant damages for investors once the truth was revealed [4].

Core Viewpoint - Rosen Law Firm is reminding investors who purchased TELUS International securities during the specified Class Period of the upcoming lead plaintiff deadline on March 31, 2025 [1] Group 1: Class Action Details - Investors who purchased TELUS International securities between February 16, 2023, and August 1, 2024, may be entitled to compensation without any out-of-pocket fees through a contingency fee arrangement [2] - A class action lawsuit has already been filed, and interested parties can join by visiting the provided link or contacting the firm directly [3][6] - To serve as lead plaintiff, individuals must file a motion with the Court by March 31, 2025 [3] Group 2: Law Firm Credentials - Rosen Law Firm emphasizes the importance of selecting qualified counsel with a successful track record in securities class actions, highlighting their own achievements in this area [4] - The firm has secured significant settlements for investors, including over $438 million in 2019 alone, and has been consistently ranked among the top firms for securities class action settlements [4] Group 3: Case Allegations - The lawsuit alleges that TELUS International failed to disclose critical information regarding its AI Data Solutions, which negatively impacted profitability and margins [5] - Specific claims include that the company's shift towards AI required the cannibalization of higher-margin offerings and that positive statements made by the defendants were materially misleading [5]