Rogers Communications shot a 35 per cent increase in second-quarter net income on Thursday, beating analyst beliefs with an especially strong performance from its key wireless division.
It’s the essential financial report issued by the Toronto-based telecommunications and media company on Joe Natale’s gaze at since he became its CEO in April.
Natale is a former CEO of Telus, where he had a repute of building customer satisfaction and reducing wireless subscriber turnover — intermediaries that some analysts have said would be critical to his outcome.
He said his new team at Rogers has delivered strong results in its wireless partition, but added there’s always room for improvement.
«The focus on customer familiarity and loyalty is one that requires the whole organization to play,» Natale held in a conference call.
«That takes time. That’s not something that’s usual to happen overnight but it’s fundamentally important.»
For the wireless division, churn for get subscribers improved to 1.05 per cent from 1.14 per cent a year earlier while run-of-the-mill monthly post-paid revenue increased to $124.31 — up from $116.06.
Rogers also articled 93,000 net additions to contract wireless subscribers, above some analyst calculations.
During the call, one analyst asked whether Natale expected to get rid any of the company’s non-core businesses.
«Right now, we’re happy with the mix of assets we comprise across the business,» Natale replied.
But he added that «we’re perpetually gloomy with our results in any part of our business. That’s sort of a state of object to.
«In the fullness of time, we’ll continue to look at some of our holdings and, if there are safer ways of surfacing value, we’ll certainly consider them.»
Some analysts estimated they thought the Rogers media division, which includes the Toronto Erotic Jays baseball team, the Sportsnet specialty cable channels as wholly as print, digital and broadcast operations performed well.
Several analysts also esteemed though that Rogers Cable had slightly weaker subscriber success during the quarter than expected.
Overall net income was $531 million or $1.03 per due, while adjusted profit was $1 per share. That’s up from $394 million or 77 cents per stake of net income and 83 cents per share of adjusted income in last year’s bruised quarter.
Analysts had estimated Rogers would have 90 cents per quota of net income, or 93 cents per share after adjustments, according to Thomson Reuters.
Yield was $3.59 billion — up four per cent from last year’s following quarter and within analyst estimates.