Rogers Communications will report its Q1 earnings after markets close today
(Canadian Press DataFile Via Acquire Media NewsEdge) TORONTO _ Rogers Communications Inc. will report its first-quarter financial results after markets close today and analysts' estimates put revenue for Canada's largest wireless provider at $3.05 billion.
Earnings per share for the quarter for Rogers (TSX:RCI.B) are estimated at 76 cents.
The estimates represent an undramatic change from the same period last year, when the telecom company posted earnings per share of 60 cents _ and adjusted earnings per share of 76 cents _ on revenue of $2.99 billion.
The Toronto-based company's wireless division has faced tougher cellphone competition from players big and small.
It laid off about 300 employees across its operations in March, with the cuts focused on management and head office positions.
UBS analyst Phillip Huang says postpaid net subscriber additions, which generally includes customers on lucrative three-year contracts for iPhone, BlackBerry or Android smartphones, slowed in the quarter.
Huang has estimated 36,000 postpaid subscribers were added, versus 45,000 in the same quarter last year.
Analysts track the quarterly postpaid net subscriber customer additions as a measure of competitive health among the telecom companies.
Huang also estimated that average revenue per cellphone user declined 3.3 per cent in the quarter to $67.90 year-over-year.
Rogers has said it faced tight supplies of Apple's iPhone 4S during its fourth quarter and its priority has been to upgrade existing customers' smartphones, including the iPhone, to keep them from going elsewhere in the competitive wireless industry.
"We believe RCI had greater iPhone activations year-over-year in Q1 driven by spillover upgrade demand from supply constraints in Q4," Huang said in a recent research note.
Rogers has more than nine million wireless subscribers.
The company is also Canada's largest cable TV operator, a major magazine publisher, TV and radio broadcaster and owner of the Toronto Blue Jays. It owns a slate of print magazines including Maclean's and Chatelaine.
In February, the company raised its quarterly dividend 11 per cent to 39.5 cents as it reported stronger fourth-quarter profits.
Last December, Rogers and Bell Canada (TSX:BCE) teamed up on a $1.07-billion bid for a majority stake in the country's biggest sports franchise company, Maple Leaf Sports & Entertainment.
The move will help feed consumers' growing demand for sports content on smartphones, tablets and other devices.
(c) 2012 The Canadian Press
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