Rogers Communications Reports First Quarter 2025 Results

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]