02:03 PM EDT, 07/02/2024 (MT Newswires) -- UBS is lowering its estimated revenue/EBITDA for BCE by ~1% in the second quarter to reflect lower ARPU and competitive intensity. The telco is expected to track towards the low-end of its 2024 guidance for revenue, EBITDA, and FCF (UBSe flat/+1.1%/-9% yoy).

In wireless, UBS expects industry tailwinds to continue to drive solid loadings while churn is higher on competition from flanker brands (UBSe +20 bps yoy; +30 bps prior), driving 100K postpaid net adds. ARPU is expected to fall 1.7% yoy vs. flat in Q1, driving 1.3% service revenue growth vs. 3.0% in Q1. Along with lower product revenues, wireless revenue growth is expected to slow to 0.6% from 4.6% in the first quarter and 6.5% a year ago.

Wireline KPIs are expected to be solid with 28K broadband adds (vs. +25K a year ago). UBS expects wireline service revenues to fall ~1% while EBITDA stays flat, helped by cost cuts.

In media, UBS expects 2% revenue and 3.6% EBITDA growth, helped by strong growth in digital.

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