- BCE, Inc (NYSE:BCE) reported first-quarter FY22 operating revenue growth of 2.5% year-on-year to C$5.85 billion.
- The company attributed the performance to a 4.2% increase in service revenue to C$5.18 billion, reflecting robust wireless, residential Internet, and media growth. Product revenue decreased 8.8% Y/Y to C$673 million due to fewer mobile device transactions and lower business wireline data equipment sales.
- Total wireless operating revenue increased 5.2% Y/Y to C$2.21 billion due to solid service revenue growth.
- Total wireline operating revenue declined 2.2% Y/Y to C$3.01 billion.
- Media operating revenue increased 15.7% to C$825 million, driven primarily by higher advertising and subscriber revenue.
- Adjusted EBITDA rose 6.4% Y/Y to C$2.58 billion, driven by solid wireless, residential Internet, and media results.
- The adjusted EBITDA margin expanded 160 bps to 44.2% due to the flow-through impact of higher year-over-year service revenue and a decline in low-margin product sales.
- Adjusted EPS was C$0.89 versus C$0.78 last year.
- BCE generated C$1.72 billion in operating cash flow.
- Dividend: The board declared a quarterly dividend of C$0.92 per share.
- "Bell's Q1 results highlight our continued momentum from 2021 into this year, demonstrating that our accelerated fibre expansion and customer experience improvements continue to offer greater value to our growing base of customers and the communities we live in," CEO Mirko Bibic said.
- Outlook: BCE reiterated all FY22 financial guidance targets.
- Price Action: BCE shares are trading lower by 0.48% at C$69.08 on TSX, and BCE is lower by 1.65% at $53.61 on the last check Thursday.
