Rogers Reports Strong Wireless Growth, but iPhone Sales Disappoint

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Rogers Reports Strong Wireless Growth, but iPhone Sales Disappoint

6:10 am on January 7, 2009 | Category: Business, Mobile Devices, Wireless, Cell Phones

Canada’s leading cell phone carrier, Rogers Wireless, added a very respectable 199,000 new subscribers in the fourth quarter of 2008, but disappointed investors with a sharp decline in Apple iPhone sales.

Rogers sold just 130,000 iPhones in the fourth quarter, down from 255,000 in the previous three months. UBS Securities analyst, Jefrey Fan, had expected Rogers to add 185,000 new wireless subscribers in Q4, and sell 200,000 iPhone devices.

These results seem to indicate that Canada’s wireless industry is not slowing down in terms of volume, but consumers are opting for cheaper, more basic handsets in the face of ongoing economic uncertainty.

Rogers Communications, which also reported slowing cable and digital phone growth, declined $2.19 on the Toronto Stock Exchange yesterday to close at $35.00. Apple, which trades on the NASDAQ, lost $1.56 to close at $93.02.