Canada’s BCE this week said that improved customer care helped it to reduce churn at its consumer fixed and mobile businesses in the first quarter of the year, and pledged to invest C$20 billion (€15 billion) in its networks over the next six years.
The telco posted revenues of C$5.24 billion for the three months to the end of March, up 2.8% on the year-ago quarter.
Its net earnings fell by 13.5% to C$532 million on the back of severance and acquisition costs and costs associated with a litigation-related one-off charge of C$137 million. Adjusted net earnings came in at C$705 million.
Adjusted EBITDA grew by 3.6% to C$2.09 billion.
The telco’s mobile business turned in operating revenues of C$1.64 billion, an increase of 9.7%, while service revenues grew by 8.1% to C$1.5 billion. The growth was driven by a higher postpaid subscriber ratio and increased blended ARPU, attributable to more customers on two-year plans, the company said.
Mobile data revenues grew by 24.4% and account for more than half of mobile service revenues.
Postpaid churn improved by 0.06% to 1.18%, a reflection of its focus on customer service and retention, BCE said.
Churn was also down at the operator’s residential fixed-line business, helped by fibre connections and IPTV service activations, it added.
"Canadian consumers and businesses continue to have access to world-leading broadband technology, and Bell continues to lead with the advanced fibre and mobile networks that are driving growth in wireless, Internet, TV and media," said George Cope, CEO of BCE and its Bell Canada unit.
"BCE expects to invest $20 billion in the nation’s communications capabilities by the end of 2020, ensuring Canada remains competitive at a global level in next-generation broadband communications," he added, without provid ing specifics on how that investment will be spent.
