Rogers Communications Q3 Profit Surges; Results Beat View - Quick Facts

(RTTNews) - Canadian communications and media company Rogers Communications Inc (RCI, RCI_A.TO, RCI_B.TO) on Monday said its profit for the third quarter increased 40 percent from last year, reflecting revenue growth across all its segments. The results for the quarter beat analysts' estimates.

The company reiterated its outlook for fiscal 2015 adjusted operating profit of C$5.020 billion to C$5.175 billion and free cash flow of C$1.525 billion to C$1.675 billion.

The company's wireless revenue for the third quarter increased 5 percent from last year on greater smartphone sales and higher network revenue from the continued adoption of higher ARPA-generating Rogers Share Everything plans.

Cable revenue increased 1 percent due to continued Internet revenue growth and Media revenue increased 8 percent, primarily as a result of growth at Sportsnet and the Toronto Blue Jays.

The company's third-quarter net income was C$464 million or C$0.90 per share, up from C$332 million or C$0.64 per share last year.

Excluding items, adjusted earnings for the quarter were C$0.92 per share compared with C$0.79 per share a year ago. On average, analysts polled by Thomson Reuters estimated earnings of C$0.82 per share. Analysts' estimates typically exclude special items.

Revenues for the quarter rose 4 percent to C$3.38 billion from C$3.25 billion in the prior year. Analysts had a consensus revenue estimate of $3.32 billion for the quarter.

The company noted that since the launch of Rogers 3.0 plan, it has completed a company-wide reorganization that included removing three layers of management and a restructuring to ensure an enhanced customer focus. The company said it remains committed to executing the pillars of Rogers 3.0.

Rogers Communications said its board of directors declared a quarterly dividend totalling C$0.48 per share on each of its outstanding Class B Non-Voting shares and Class A Voting shares.

The quarterly dividend declared today will be paid on January 4, 2016 to shareholders of record on December 11, 2015.