Telus net profit soars 45% in Q2 as it reports an increase in the number of customers

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“The objective of this organization is to leverage the performance strength of our network”

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VANCOUVER—Telus Corp. said Friday that its reliable network helped it add a record number of customers in the second quarter, posting a 45% rise in net profit.

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“The hallmark of our organization before the pandemic, during the pandemic, after the pandemic or any other exogenous event or any other industry development that has occurred will be consistency and excellence in execution,” said general manager Darren Entwistle during an earnings call.

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He declined to comment on the July 8 Rogers Communications Inc. outage that cut services to millions of customers across Canada, but said Telus was focused on keeping its own operations running smoothly.

“The goal of this organization is to leverage the strength of our network’s performance.”

The company saw a record 247,000 net customer additions in the second quarter, including 93,000 in mobile, thanks to both weak revenue and additional customers.

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The increase in subscribers helped the company post a net profit of $498 million for the second quarter, compared to $344 million for the same period last year.

Earnings for the period ended June 30 were 34 cents per share, up 36% from 25 cents per share.

Profits rose as the company saw its average revenue per unit in mobile climb 2.1% as the return to international travel led to an increase in roaming revenue. The division is also seeing increased use of 5G data as more customers use devices to stream video.

On an adjusted basis, Telus reported profit of $422 million in the quarter, up more than 21% from $348 million in the same period in 2021.

Revenue reached $4.4 billion in the second quarter, up 7% from $4.1 billion a year ago.

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Mobile contributed the most to operating revenue with a 6.4% increase to $1.6 billion, while the company’s investments in its healthcare and agriculture segments lead growth . Health services saw revenue jump 7.9% to $137 million and agriculture rose 39.7% to $81 million.

Telus is actively working to grow the segments, including an agreement in the quarter to buy LifeWorks Inc., a human resources company formerly known as Morneau Shepell.

LifeWorks helps businesses with employee and family assistance plans, absence management, pension and benefits administration, and retirement planning.

The deal, which values ​​the company at $2.9 billion including debt, is intended to help Telus push employee health and wellness services further. Telus Health offers virtual care and provides patients with access to digital pharmacy options, home health monitoring and electronic health records.

The deal was approved by shareholders on Thursday, Entwistle said.

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