Rogers Q1 Profit Misses Estimates By C$0.02; Maintains 2016 Guidance

(RTTNews) - Rogers Communications Inc. (RCI.TO, RCI) reported adjusted earnings per share of C$0.51 for the first quarter ended March 31, 2016 compared to C$0.53, last year. On average, 16 analysts polled by Thomson Reuters expected the company to report profit per share of C$0.53 for the quarter. Analysts' estimates typically exclude special items. The company said its adjusted net income decreased primarily as a result of higher depreciation and amortization and lower adjusted operating profit, partially offset by lower income taxes.

Net income for the period was C$248 million or C$0.48 per share, compared to C$255 million or C$0.48 per share, previous year. Net income was also impacted by higher restructuring costs. Operating revenue increased to C$3.25 billion from C$3.18 billion, a year ago. Analysts expected revenue of C$3.24 billion for the quarter. Consolidated revenue increased 2%, reflecting revenue growth of 5% in Wireless and 2% in Business Solutions, and decreases of 2% in Cable and 3% in Media.

"We posted our best first-quarter Wireless postpaid churn in over five years thanks to the quality of our networks, the value of our offerings, and our improvements to the customer experience. Overall, we delivered another quarter of revenue growth, along with continued improvements in key subscriber metrics, despite an intensely competitive quarter. With momentum in Wireless, continued growth in Internet, and a clear path forward for our TV and media businesses, we're well positioned to achieve our 2016 financial guidance," Guy Laurence, President and CEO stated.

Rogers also announced that its Board declared a quarterly dividend totaling 48 cents per share on each of its outstanding Class B Non-Voting shares and Class A Voting shares. The quarterly dividend declared will be paid on July 4, 2016 to shareholders of record on June 12, 2016.