Group 1: Price Target and Ratings - National Bank analyst Adam Shine raised the price target on TELUS Corporation to C$21.50 from C$21 while maintaining an Outperform rating on the shares [1] Group 2: Financial Performance - In Q3 2025, TELUS Corporation reported revenue of C$5.06 billion, reflecting a 0.2% increase year-over-year, while net income surged by 68% to C$437 million [2] - The company's TTech subscriber base grew by 5% over the last 12 months to 20.8 million, and internet connections increased by 2% to 2.8 million [2] Group 3: Cash Flow Outlook - TELUS expects free cash flow (FCF) of $2.15 billion in 2025, with a target to grow FCF by at least 10% annually from 2026 to 2028, projecting FCF of $2.4 billion for 2026 [3] - The company has paid $2.9 billion in dividends and share repurchases since 2004 but is currently pausing dividend growth at the current level [3] Group 4: Company Overview - TELUS Corporation is a major Canadian telecommunications and IT company offering a wide range of services related to mobile, internet, and digital customer experiences [4]

Core Insights - TELUS Digital has been recognized as a Leader in the 2025 NelsonHall NEAT Evaluation for CX Services Transformation, highlighting its capabilities in operational efficiency, revenue growth, and long-term success through advanced AI solutions [1][5] Group 1: TELUS Digital's Achievements - The company was acknowledged for its Fuel iX™ platform, which effectively converts AI deployments into business outcomes, enhancing operational, agent, and customer experiences [2][3] - TELUS Digital's expertise in CCaaS, cloud services, and Salesforce integrations allows clients to modernize legacy systems and streamline workflows, facilitating faster AI capability deployment [4][5] Group 2: Technology and Innovation - Fuel iX is noted for its ability to safely and efficiently deploy generative AI across existing systems, addressing common enterprise challenges such as siloed data and slow AI adoption [3][6] - The company maintains a strong Trust & Safety practice and a mature AI operations practice, which includes a large crowdsourcing platform and specialized AI training services [6] Group 3: Market Position and Strategy - TELUS Digital's Leader status in the NEAT Evaluation reflects its success in helping clients navigate AI implementation complexities and modernize customer and agent experiences [5] - The company emphasizes a vendor-agnostic approach, allowing clients to integrate seamlessly with existing providers and technology stacks, thus enhancing cross-selling and upselling opportunities [6]

Core Viewpoint - TELUS has announced the pricing of a US$1.5 billion offering of Fixed-to-Fixed Rate Junior Subordinated Notes, along with a CAD$800 million offering of similar notes, aimed at refinancing existing debt and funding a tender offer for outstanding notes [1][3][6]. Summary by Category Offering Details - The US$800 million Series C notes will have an initial interest rate of 6.375%, resetting every five years starting June 9, 2031, with a minimum rate of 6.375% [2]. - The US$700 million Series D notes will have an initial interest rate of 6.625%, resetting every five years starting June 9, 2036, with a minimum rate of 6.625% [2]. - The CAD$400 million Series CAT notes will have an initial interest rate of 5.375%, resetting every five years starting June 9, 2031, with a minimum rate of 5.375% [4]. - The CAD$400 million Series CAU notes will have an initial interest rate of 5.875%, resetting every five years starting June 9, 2036, with a minimum rate of 5.875% [4]. Underwriting and Closing - The US Notes are being offered through a syndicate led by CIBC Capital Markets, BMO Capital Markets, TD Securities, and Wells Fargo Securities, with closing expected around December 9, 2025 [3][5]. - The Canadian Notes are offered through a syndicate led by CIBC Capital Markets, BMO Capital Markets, and TD Securities, with the same expected closing date [5]. Use of Proceeds - A portion of the net proceeds from both offerings will fund a tender offer to purchase up to US$500 million of TELUS' outstanding notes, with the remaining proceeds allocated for debt repayment and general corporate purposes [6]. Regulatory Filings - The US Notes will be detailed in a prospectus supplement filed with the SEC, while the Canadian Notes will be described in a prospectus supplement filed with Canadian securities authorities [7][8]. Company Overview - TELUS operates in over 45 countries, generating over CAD$20 billion in annual revenue, and is committed to leveraging technology for positive human outcomes [12].

Core Points - TELUS Corporation announced the commencement of cash offers to purchase up to C$500,000,000 of its outstanding notes across seven series [1][2] - The offers are subject to certain conditions, including a Financing Condition, which must be satisfied or waived for the offers to proceed [11] Offer Details - The offers will expire at 5:00 p.m. (Eastern time) on December 11, 2025, unless extended or terminated earlier by the company [5] - Settlement for accepted notes is expected to occur three business days after the expiration date, anticipated to be December 16, 2025 [6] - Holders of notes accepted for purchase will receive the Total Consideration in cash, along with accrued and unpaid interest [7][8] Notes Information - The offers include various series of notes with different outstanding amounts, interest rates, and maturity dates, such as: - 3.95% Notes, Series CAB due February 2050: C$105,257,000 - 4.10% Notes, Series CAE due April 2051: C$78,105,000 - 4.40% Notes, Series CU due January 2046: C$233,187,000 - 4.40% Notes, Series CL due April 2043: C$600,000,000 - 4.70% Notes, Series CW due March 2048: C$475,000,000 - 2.85% Notes, Series CAF due November 2031: C$750,000,000 - 4.75% Notes, Series CR due January 2045: C$400,000,000 [4] Conditions and Management - The company reserves the right to increase or waive the Maximum Purchase Amount and may accept more or less of any series of notes at its discretion [3][10] - CIBC World Markets Inc., BMO Nesbitt Burns Inc., RBC Dominion Securities Inc., Scotia Capital Inc., and TD Securities Inc. are acting as lead dealer managers for the offers [12]

Core Insights - TELUS Corporation has announced a pause in dividend growth and plans to step down its Discounted Dividend Reinvestment Plan (DRIP) starting in early 2026, while maintaining its current quarterly dividend of $0.4184 per share [1] - The company aims to reduce its net debt to EBITDA leverage ratio to approximately 3 times by the end of 2027, with an expected improvement to about 3.3 times by the end of 2026 [1] - TELUS projects a minimum 10% compounded annual growth rate in free cash flow from 2026 to 2028, with an anticipated free cash flow of approximately $2.15 billion in 2025 and $2.4 billion in 2026 [1] Financial Strategy - The company plans to systematically reduce its Discounted DRIP from 2% to 1.75% for dividends declared in February and May 2026, further decreasing to 1.5% for dividends in August and November 2026, and to 1% in 2027, with no discount starting in 2028 [1] - TELUS expects a cash dividend coverage ratio of approximately 75% of free cash flow for the years 2026 to 2028, aligning with its long-term guidelines [1] Business Operations - TELUS is focusing on strategic partnerships, including a potential partner for TELUS Health, and plans to accelerate the monetization of significant real estate and copper assets [1] - The company has improved its leverage ratio to 3.5 times as of September 30, 2025, aided by partnerships, hybrid note issuances, and non-core asset divestitures [1]

TELUS Conference Call Summary Company Overview - **Company**: TELUS (NYSE: TU) - **Date**: November 24, 2025 - **Speaker**: Doug French, CFO Key Points Industry and Competitive Landscape - TELUS focuses on three pillars: best networks, best products, and best customer service [4][5] - The competitive intensity in the mobile industry has eased since May, with a quieter Black Friday compared to previous years [7][8] - Pricing in Canada has decreased significantly, with rates down over 70% compared to initial asks, indicating a need for correction due to higher delivery costs [8][9] Financial Performance and Growth - Wireless Average Revenue Per User (ARPU) is showing slow and steady improvement, expected to continue into 2026, although still negative [12][13] - In Q3, TELUS added 40,000 internet subscribers, with growth evenly split between Eastern and Western Canada, and across business segments [16][17] - Fixed data revenue growth has slowed to 1%, primarily due to pressures in the business sector, while consumer internet revenue remains strong at over 6% [26][28] Fiber Deployment Strategy - TELUS is expanding fiber deployment into Eastern Canada, aligning with its capital intensity objectives [20][21] - The company aims to bundle internet services with existing wireless customers in the East, enhancing service offerings [24] AI and Digital Growth - TELUS aims to grow AI-enabling revenue from $800 million to $2 billion over the next few years, with significant contributions from TELUS Digital and B2B growth [31][32] - The company is leveraging its data centers for AI and compute services, with partnerships with NVIDIA and HP to enhance capabilities [33][34] Health Care and Monetization - TELUS Health is projected to grow significantly, with a valuation exceeding $5 billion, and potential partnerships to enhance commercial efficacy [40][41] - The integration of acquisitions is expected to yield synergies and improve profitability [40] Future Outlook - The company anticipates strong EBITDA growth driven by health care, technology, and digital initiatives, while managing ARPU challenges [44][48] - TELUS plans to monetize assets, including real estate and copper footprint, to support its deleveraging strategy and maintain dividend commitments [49][50] Capital Expenditure and Financial Strategy - TELUS maintains a capital intensity target of 10%, with a focus on efficient capital management and revenue generation from new investments [39][50] - The company is committed to reducing its Dividend Reinvestment Plan (DRIP) to zero by the end of 2027 [50] Additional Insights - TELUS is focused on improving customer service and reducing churn rates, with ongoing investments in digital and AI technologies [5][46] - The company is optimistic about the growth trajectory in health care and technology sectors, which are expected to contribute positively to overall performance [44][45]

Core Insights - The event "What Investors Want: Driving Growth Through Purpose and Performance" focuses on how ESG performance influences investment decisions, highlighting the increasing expectations from investors regarding sustainability [1][2]. Event Details - The event is scheduled for November 25, 2025, at TELUS Harbour in Toronto, with registration starting at 8:00 a.m. ET and the program running from 8:45 a.m. to 12:00 p.m. ET [2]. - The event is organized by the UN Global Compact Network Canada in collaboration with the Principles for Responsible Investment (PRI) [1][2]. Participants and Speakers - Notable speakers include Jane Ambachtsheer from BNP Paribas Asset Management, Wendy Berman from the Canadian Sustainability Standards Board, and Anna Murray from the Ontario Teachers' Pension Plan, among others [4]. Initiative Background - Canada Climate Week Xchange (CCWX) is a five-year initiative aimed at addressing climate-related challenges in Canada, encouraging collaboration among various organizations and individuals [5].

Core Insights - TELUS Corporation is recognized among the 15 Extreme Dividend Stocks to Buy According to Hedge Funds [1] - Barclays has lowered its price target for TELUS to $14 from $15 while maintaining an Equal Weight rating following the company's Q3 results [2] Financial Performance - In Q3 2025, TELUS reported revenue of C$5.11 billion, a modest increase of 0.2% year-over-year, but fell short of analysts' expectations by C$90 million [3] - The company added 288,000 Mobile and Fixed customers, driven by strong demand for high-value connectivity services and the expansion of TELUS PureFibre [3] - TELUS achieved an 8% growth in consolidated free cash flow, which supported a quarterly dividend increase to C$0.4184, marking the 22nd consecutive year of dividend growth [4] Business Expansion - TELUS Health experienced 18% growth in operating revenue and 24% growth in adjusted EBITDA, extending coverage to over 160 million lives globally [5] - The integration of LifeWorks contributed $417 million in combined annualized synergies, including $329 million from cost efficiencies and $88 million from cross-selling, keeping the company on track to meet its $427 million synergy target by the end of 2025 [5]

Core Insights - TELUS Corporation reported third-quarter 2025 adjusted earnings per share (EPS) of C$0.24, a decrease from C$0.28 a year ago, with total operating revenues remaining almost flat at C$5,106 million [1][8] - The company experienced total mobile and fixed customer growth of 288,000 during the quarter, with significant contributions from mobile phone and Internet customer additions [2] Financial Performance - TELUS' operating revenues from contracts with customers were C$5,067 million, slightly up from C$5,042 million in the same period last year [1] - TTech revenues decreased 3% year over year to C$3,877 million, with mobile network revenues declining 1% to C$1,755 million due to lower mobile phone ARPU [5][9] - Fixed data service revenues increased 1% to C$1,185 million, driven by an expanding subscriber base, while fixed voice services revenues fell 7% to C$167 million [9][10] - Health services revenues surged 18% year over year to C$516 million, supported by acquisitions and strong digital health solutions [13] Strategic Developments - TELUS finalized a partnership with La Caisse to form Terrion, enhancing national wireless connectivity and accelerating deleveraging efforts [3] - The company acquired full ownership of TELUS Digital, aiming to drive AI-powered transformation and achieve approximately C$150 million in annual cash synergies [4] Cash Flow and Guidance - TELUS generated C$1,493 million of cash from operating activities, with free cash flow increasing 8% to C$611 million [18] - For 2025, TTech operating revenue is expected to be at the lower end of the 2%-4% target range, with adjusted EBITDA growth projected at 3-5% [20][21]

Core Insights - The article emphasizes the importance of enabling Javascript and cookies in browsers to prevent access issues [1] Group 1 - The article suggests that users may face blocks if ad-blockers are enabled, indicating a need to disable them for proper access [1]