Telus Revenue Exceeds Analysts’ Estimates on Customer GrowthGerrit De Vynck
Telus Corp. reported second-quarter revenue that beat analysts’ estimates as the wireless carrier added more customers than projected.
Sales rose 5.1 percent to C$3.1 billion ($2.4 billion), the Vancouver-based company said Friday in a statement. Analysts predicted C$3.08 billion, the average of estimates compiled by Bloomberg. Earnings excluding some items were 66 Canadian cents a share, matching the average estimate.
Telus, which also provides landline Internet and cable services, has offered promotions to win new wireless customers amid a change in government rules. In 2013, Canada’s government barred cancellation fees for contracts longer than two years, leaving many wireless users free to switch providers this year.
With better customer retention than its competitors, Telus is expected to gain market share during the period, Phillip Huang, an analyst with Barclays Plc, said in an Aug. 3 note to clients.
Telus added 76,000 new wireless contract customers, while the average estimate of seven analysts surveyed by Bloomberg was for a gain of 54,000. Wireless sales were C$1.57 billion.
The company’s shares rose 0.7 percent to C$44.81 on Thursday and are up 7 percent this year.