BCE Clocks 3.2% Revenue Growth In Q3 Backed By Wireless, Residential Internet Growth

BCE Clocks 3.2% Revenue Growth In Q3 Backed By Wireless, Residential Internet Growth
  • BCE, Inc (NYSEBCE) reported third-quarter FY22 operating revenue growth of 3.2% year-on-year to CA$6.02 billion.
  • The company attributed the performance to a 1.8% increase in service revenue to CA$5.19 billion, reflecting robust wireless, residential Internet growth.
  • Product revenue increased 12.8% Y/Y to CA$831 million.
  • Total wireless operating revenue increased 7.4% Y/Y to CA$2.47 billion due to solid service revenue growth.
  • Total wireline operating revenue rose by 1% Y/Y to CA$3.05 billion.
  • Media operating revenue was flat Y/Y at CA$719 million, as higher subscriber revenue was offset by lower year-over-year advertising revenue.
  • Adjusted EBITDA rose 1.2% Y/Y to CA$2.59 billion, driven by Bell Wireless. 
  • The adjusted EBITDA margin contracted 80 bps to 43% due to cost pressures, subscriber acquisition, and an increase in low-margin product sales.
  • Adjusted EPS was CA$0.88.
  • BCE generated CA$2 billion in operating cash flow.
  • Dividend: The board declared a quarterly dividend of CA$0.92 per share.
  • Outlook: BCE reiterated all FY22 financial guidance targets. It expects revenue growth of 1% – 5% and adjusted EPS growth of 2% – 7%.
  • Price Action: BCE shares are trading lower by 0.56% at $44.79 on the last check Thursday.
  • Photo Via Company

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