Toronto-based national carrier Rogers reported 103,000 net addition postpaid wireless subscribers now to have a total of 9,360,000 total postpaid wireless subscribers in Q3 2019.
This is a 21,000 change from the 124,000 net addition wireless subscribers the carrier added in the same period a year ago, according to its quarterly earnings report for the third quarter that was released on October 23.
Rogers attributed the loss as “primarily a result of our disciplined approach around subscriber base management and an overall softness in the market in the first half of the year.”
The telecommunications giant said it “attracted approximately one million wireless subscribers” to its new Rogers Infinite unlimited data plans. This is an increase from the 365,000 subscribers the carrier had reported after the plans had been available for only six weeks.
“Last quarter, we led the market by introducing unlimited data and I am pleased to share that one million customers have already signed up for these very popular plans with no overage fees,” Rogers’ CEO Joe Natale, said in the report.
“Customer adoption is three times higher than originally expected, reflecting pent-up demand for worry-free data. While the reduction in overage fees from these plans will impact our results in the next few quarters, the underlying economics of device financing and unlimited plans are favourable and position us for long-term growth.”
Rogers said that it only added 27,000 prepaid net additions in the third quarter, a loss from the 60,000 it added in Q3 2018.
The carrier now has 10,838,000 total wireless subscribers, according to the report. This is a jump from the 10,810,000 it reported in the same period a year ago.
Rogers reported a total wireless revenue of $2.324 million in Q3 2019, a slight decrease from the $2.331 million that was reported in the same period a year ago.
On operating expenses, for the quarter, it reported a total of $1.186 million, a decrease from the $1.232 million it reported in the same time period a year ago.
Rogers’ wireless monthly churn rate in Q3 2019 was 1.20 percent, which changed by 0.11 points from the 1.09 percent that was reported in the same period a year ago.
The monthly churn rate is the rate at which a subscriber leaves a carrier to go to a competitor.
“The increase in postpaid churn and corresponding decreased net additions this quarter was a result of heightened competitive intensity,” Rogers said in its report.
The carrier’s blended average billing per user (ABPU) increased slightly to $67.20, from the $66.20 that was reported in the same period a year ago.
Its average revenue per user (ARPU) decreased slightly to $56.01, from the $57.21 that was reported in the same period a year ago.
Overall, the company’s revenue on all services in Q3 2019 totalled to $3.7 million. This didn’t change and was the same in Q3 2018.