Telus Posts 2% Drop in Third-Quarter Profits

Telecom News Editorials Reports Glossary

4:28 pm on November 6, 2009 | Category: Business, Telephone, Wireless, Corporate

Burnaby, B.C.-based telecommunications giant, Telus Corp., reported a decline in third-quarter revenue and profit today, as increases in wireless and IPTV sales failed to offset an ongoing decline in landline telephone revenue.

The company earned $280 million in the summer quarter, down 2.1% from the same period a year earlier. Overall revenue fell 1.6% to $2.41 billion.

Telus Mobility added a net total of 125,000 customers, but only saw a $4 million (0.3%) increase in quarterly revenue, as increased competition took its toll on ARPU (average revenue per user). Telus generated an average of $59.45 per wireless subscriber per month, down 7.3% from the third quarter of 2008.

Landline telephone revenue, meanwhile, dipped $43 million (or 3.4%) to $1.2 billion, as customers continued to migrate to VoIP and cell phone services.