Canada’s Rogers Communications beats quarterly revenue estimates

FILE PHOTO: Rogers Communications logos are seen above a booth at the Canadian International AutoShow in Toronto
FILE PHOTO: FILE PHOTO: Rogers Communications logos are seen above a booth during the media day at the Canadian International AutoShow in Toronto, Ontario, Canada, February 14, 2019. REUTERS/Chris Helgren

July 21, 2021

(Reuters) -Canada’s Rogers Communications Inc on Wednesday reported second-quarter revenue that beat analysts’ estimates, helped by a pick up in advertisement sales and as its cable business benefited from a pandemic-driven shift to remote work and entertainment.

The requirement of high-speed broadband networks to carry on remote work helped the telecom operator negate the slow recovery from its wireless business.

The return of live sport broadcasting also played a positive role in boosting the Toronto-based telecom operator’s revenue.

The company’s total revenue rose to C$3.58 billion ($2.82 billion) in the quarter ended June 30, compared with analysts’ average estimates of C$3.56 billion, according to IBES data from Refinitiv.

Earlier in March, Rogers said it would buy Shaw Communications Inc for about C$20 billion ($16.02 billion), aiming to double down on its efforts to roll out 5G throughout the country.

Revenue for its cable unit, which includes internet, phone and cloud-based services, rose 5% during the quarter

Quarterly net income rose to C$302 million, or 60 Canadian cents per share, from C$279 million, or 54 Canadian cents, a year earlier.

($1 = 1.2686 Canadian dollars)

(Reporting by Tiyashi Datta in Bengaluru; Editing by Shailesh Kuber)