Telus reports service revenue decline, outlines cost-saving plan

Telus reported Nov. 6 that consolidated service revenue fell 1% in the third quarter, as weakness at Telus Digital offset growth in mobile network and fixed data revenue. The company announced a multiyear efficiency program while reaffirming its full-year 2026 guidance.

The release described a net loss driven by a noncash goodwill impairment at Telus Health. Telus said the impairment reflected updated growth expectations, broader market conditions and a valuation update associated with an active divestiture process.

In its mobile business, network revenue increased 1% and Telus added 84,000 net new mobile phone customers. The company reported blended mobile phone churn of 1.01%, which it described as a three-year low.

Adjusted earnings before interest, taxes, depreciation and amortization declined 5% on a consolidated basis. Telus attributed the decline partly to lower service volumes from two large cloud-company clients at Telus Digital and the absence of prior-year real estate gains and other one-time items.

Telus said it was prioritizing monetization of Telus Health and Telus Agriculture & Consumer Goods, with proceeds intended for debt reduction. Its ratio of net debt to adjusted earnings before interest, taxes, depreciation and amortization was 3.6 times at quarter-end, and management targets 3.0 times or less by the end of 2028 through operational improvements, asset sales and capital discipline.

What we know / what we don't

What we know

• Telus reported Nov. 6 that consolidated service revenue fell 1% in the third quarter, as weakness at Telus Digital offset growth in mobile network and fixed data revenue. The company announced a multiyear efficiency program while reaffirming its full-year 2026 guidance.

What we don't know

• Issuer/agency claims checked against the saved release; no independent corroboration claimed.

The source record

Sources

1. Official company release

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