April 24 (Reuters) - Canada's Rogers Communications ( RCIAF )
topped Wall Street estimates for first-quarter
wireless subscriber additions on Wednesday, with rapid growth in
the country's immigrant population boosting demand for its
services.
The company added 98,000 net monthly bill-paying wireless
phone subscribers in the quarter ended March 31, compared with
analysts' average expectation for net additions of 77,530,
according to 10 analysts polled by Visible Alpha.
In Canada, rising population driven by temporary foreign
workers and immigrants has sparked demand for companies such as
Rogers Communications ( RCIAF ), even as it faces fierce competition from
BCE and Telus Corp. ( TU )
Canada's population touched a record high of 40.77 million
in 2023, Statistics Canada said in March. The country added 1.27
million people in 2023, up 3.2% from the previous year - marking
the highest growth since 1957.
Toronto, Ontario-based Rogers, which acquired Shaw
Communications in April last year, has also benefited from
cost-conscious new customers turning to its bundled and
discounted plans with a promise of expansive network coverage.
In the reported quarter, free cash flow, a metric closely
watched by investors to help determine dividend payouts, rose
58% from a year earlier to C$586 million ($428.27 million).
The company's total revenue rose about 28% to C$4.90
billion, compared with analysts average estimate of C$4.92
billion, according to LSEG data.
($1 = 1.3683 Canadian dollars)