TELUS reports Q3 2012: Subscriber base now at 7.56 million, ARPU hits $61.42 and CFO retires

Ian Hardy

November 9, 2012 8:10 am


TELUS is ever so close on toping Bell and becoming Canada’s second largest wireless carrier. Today they reported Q3 2012 results and their wireless subscriber base is now at 7.56 million, up 4.8% over last year, with net additions of 111,000, which is actually a drop of 2.6% year-over-year. TELUS noted that subs might have been higher, but “were impacted by delayed customer purchase decisions ahead of the anticipated launch of the new iPhone 5 in late September.” According to their report wireless revenues increased $104 million (7.4%) to $1.5 billion for the year. The reason, as expected, was increased data usage and ARPU (average revenue per user), which was $61.42 and represents an increase of $0.90 over last year. Smartphone subscribers are now 63% of their total postpaid subscriber base (6.4 million), compared to 48% in Q3 2011.

Bell recently reported their subscriber base totaled 7,576,027 in Q3. In addition, at the end of Q3 Rogers subscriber base rose to 9.43 million.

It was also announced that Bob McFarlane, TELUS’ CFO, has decided to retire after a 12-year run with the company. Taking over his position is John Gossling, who was recently the CFO of CTVglobemedia and has held various VP and CFO roles at Rogers. Finally, Darren Entwistle, TELUS’ CEO, for the 4th consecutive year said that he “intends to take the entirety of his 2013 annual cash salary compensation in TELUS common shares.”

Source: TELUS

  • shoo

    telus > rogers > bell

    • Serious Question

      Will RIM be ok?

    • ile2010

      Let me correct that. Telus = Bell >= Rogers.

    • CanadianStatus

      The fact that the ROBELUS ARPU is so close to eachother is a direct reflection of the Cullusion they practice.

      The only Competition amongst themselves is to see who releases the $73 plan first.

      The CRTC is nowhere to be seen and until 3yr contracts are banned in Canada, like in the rest of the World. The Canadian mobile Industry will be behind the rest of the world.

      2Yr contracts create a more dinamic market and create an environment where the best plans dominate, and all this while people change phones every 2 yrs. Im surprised Microsoft, Nokia, and RIM in March don’t put any pressure to push for 2yr contracts; they would have a bigger chance at selling phones if people are not in contract and would be easier to jump from ecosystem to ecosystem.

      But I’m digressing: the point of the article is:ARPU went up! Expect $120+ plans in Summer 2013…this time with Caller ID and VM included! What a Joke!
      N4 + a $40 from Wind sounds better by the minute!

    • ToniCipriani

      …right up to the moment they launched that $100/mo plan.

      Let’s just all agree they all suck.

    • gnote

      Gnote “noted that subs might have been higher, but “due to high plan pricing customer purchase decisions decided to go elsewhere.””

  • BIGTHREE

    Great results!

    If Wind announces anything short of 100k adds that’s pure fail. The Big 3 are still adding tons of subscribers at high ARPU while Wind and Mobilicity struggle to add at low price points. Just goes to show that quality of network does matter…

    • Cindy

      Just goes to show that a 20 year head-start on coverage does matter. Wind only reaches a small portion of Canada for now. Many people simply have no choce when it comes to cellphone providers. They have to sign with Robelus, or not have a cellphone at all…

      Imagine yourself in a situation like this. That MUST hurt! Ouch!

  • Philcloh2o

    @bigthree

    Wind subscriber numbers will continue to grow as their network does. I live in the GTA well within their coverage but with no coverage in Atlantic Canada I can’t switch. I am sure there are a lot of people in the same situation, they may live in coverage area but do require coverage in other parts of the country.

    • CanadianStatus

      With the N4 -which works on every single operator in Canada and is unlocked, you can almost survive on the $40 plan plus a local prepaid card for a week or so that includes data and allows you to check your email, skype, Google voice, Dell Voice etc.! You can simply forward your calls and that’s it!

      In 2013 Voice is used less and less. and when you compare $40 vs their $100 plus Caller ID plus taxes, you can see that its easily worth it!
      You have to be out of your mind to sign on one of those plans for 3 yrs!

  • Fred

    By reading this post, it would appear that Telus and Bell have the same numbers. I think there might be a typo involved.

    • CanadianStatus

      No Typo involved; its Collusion and CRTC innaction-involved.

      Try to look for another country in the world where:
      -3yr contracts are Legal
      -There are 3 main operators and their Market share is almost the same amongst eachother
      -There are two main networks: Rogers and the Bell Telus
      -Do you really believe that Bell Telus DON’T have a contract, and one would compete with plans against the other with lower fares over the same network?

      The Canadian Market has so much inbreeding that the only/Fastest/Easiest/Cheapest way of taking it to the next lavel is to open it to Foreign Ownership and let AT&T, Tmobile,Verizon etc to come in.

      We could watch those $100 plus CID and VM drop to $55 and 3yr contracts disappear in two months.

    • ToniCipriani

      @CanadaStatus

      I don’t think 3-year contracts are illegal anywhere, just that other carriers wouldn’t do it because then the mass public wouldn’t sign it.

    • Randy – 1

      @ToniCipriani I agree, we seem to be the only country in the world where the public not only accepts, but in some cases defends, anti-competitive 36 month terms.

      That said however, Ofcom (the UK equivalent of the CRTC) has banned contracts exceeding 24 months. So, in essence, they are illegal. I’m unaware if any other country has passed such an edict but there may be others.

      I have researched many times over the past few years, and have been unable to find any other country that even offers 36 month terms. Let alone have them as the only term upon which a consumer can get a phone subsidy. Regardless of the cancellation terms, there is no way to twist the concept of 3 year terms (as the only contract option) into a positive for consumers.

    • Distortion Field

      @ CanadianStatus

      “the next lavel is to open it to Foreign Ownership and let AT&T, Tmobile,Verizon etc to come in.
      We could watch those $100 plus CID and VM drop to $55 and 3yr contracts disappear in two months.”

      Do you even know how much Verizon charges for their Unlimited Talk + Text with 1GB data share plan? $90.

      The Telus $100 plan is the closest and it comes with 5GB of data vs. 1GB.

      2 yr price of Galaxy Note II at Verizon is $299 vs. Telus 3 yr at $199.

      Why do people always say that U.S. pricing is better when it’s not that much better?

  • Mike Hawk

    Is this BB10?

    • House Owner

      I think it is! If this is BB10 then android and apple are sooooooooooooo screwed!

      YAY!

  • knobletruth

    have you ever seen the prices of American carriers? 113$ gives you 4gigs with caller ID and voicemail and unlimited nationwide. compare to Rogers and you get 111.79$ for 5gigs unlimited Canada and unlimited nation wide with international and Canadian texting. so we are on par with American providers!

  • alex

    Agreed… American big providers aren’t that much better in pricing. Albeit… there are the discount providers that provide awesome coverage and unlimited deals for cheaper.

    Kind of surprised that the average is 61 dollars though. That’s 732$ a year per person on average.

    Funny note: I switched from Wind Mobile to Bell/Virgin and I didn’t gain better service in my house. Kind of kicking myself in the head for signing a 3 year contract for having no coverage in downtown OTTAWA. (Sandy Hill area if anyone cares) near Strathcona Park.

    The main thing that pissed me off about Wind: the lack of help from:
    a) 611 service
    b) people who sell at the kiosk

    At virgin/bell I dial 611 and I get help. Even if I pay out of my butt and get the same reception in my area. I pay for the customer service when I have a problem. The big 3 have never failed in that.

    Maybe mobilicity is different, but I didn’t bother trying them.

    Sorry for rant.

  • alex

    Note about lack of service in Ottawa with bell/virgin:

    I compromised. I shopped for phones with better antenna. And… surprisingly… I just bought an iPhone 4 and it happens to have a better antenna than my other 4 phones (blackberry 9700, 9900, nokia 5230, htc incredible s).

  • Gene

    “John Gossling, who was recently the CFO of CTVglobemedia and has held various VP and CFO roles at ROGERS.”

    The Cartel is moving their leaders around. One big happy family.

  • Dddddd

    All you guys praising the American carriers in the US, how about you actually visit their websites to find out their rate plan prices before you b*tch and complain! The only advantage they have over us is their 2-year contracts.

  • It is not collution

    col·lu·sion
       [kuh-loo-zhuhn] Show IPA
    noun
    1.
    a secret agreement, especially for fraudulent or treacherous purposes; conspiracy: Some of his employees were acting in collusion to rob him.
    2.
    Law . a secret understanding between two or more persons to gain something illegally, to defraud another of his or her rights, or to appear as adversaries though in agreement: collusion of husband and wife to obtain a divorce.

    This is nothing about what the BIG3 are doing that would be collusion. Just because their pricing is close to being the same does not mean they are colluding with each other. They are competeing against each other. Notice that Telus and Bell did not come out with the plans until Rogers did. That would be responding to a competitive threat.

    • gjeff12

      If my business was faced with a “competitive threat” that was worse than my product, why would I match it unless I had an agreement?