07:49 AM EDT, 05/02/2024 (MT Newswires) -- BCE (BCE.TO), one of Canada's largest communications company, was at last look up 0.3% in US premarket after it reported Thursday a miss on first quarter earnings and revenues. But it did cite its first quarter of year-over-year advertising revenue growth since Q4 2022, and reconfirmed all 2024 financial guidance targets.

It also said wireless operating momentum continues, reported its best Q1 retail Internet net subscriber activations since 2007 and added Bell Media digital revenue was up 33%.

BCE booked a first-quarter adjusted net income of $654 million, or $0.72 per share, declining 15.3% from $772 million, or $0.85 per share, recorded in the same period last year. It missed a Capital IQ forecast of $0.70.

Net earnings decreased 42.0% to $457 million, or $0.44 per share, from $788 million, or $0.79 per share. It missed a Capital IQ forecast of $0.57 on this.

The company attributed the drop to to higher severance, acquisition and other costs linked to workforce reduction initiatives. It also cited mark-to-market losses on derivatives as well as gains from the sale of land recognized in the first quarter of 2023. Higher interest expense and increased depreciation and amortization expense also weighed on the results.

Operating revenues slipped 0.7% to $6.01 billion from $6.05 billion while adjusted EBITDA grew 1.1% to $2.57 billion from $2.54 billion. The Capital IQ forecasts were $6.063.26 billion and $2.559 billion respectively.

"Today's results reflect the Bell team's continued ability to successfully navigate a heightened competitive environment and achieve operational results in line with our expectations for the quarter," said Mirko Bibic, president and CEO of BCE and Bell Canada in a statement.