Matthew Griffiths

Matthew Griffiths sought confirmation that BCE's EBITDA growth would be sequentially higher each subsequent year within the three-year guidance window. He also asked for reconciliation of the 2026 EBITDA guidance (0-4%) with the longer-term upward trend and assumptions regarding international roaming's contribution to wireless ARPU trends.

Answer

Curtis Millen, CFO, BCE, confirmed that the view for progressively improving EBITDA over the three-year horizon remains unchanged, driven by growth businesses. He clarified that while the trend is upward, it's not linear, with timing fluctuations in enterprise and advertising. Mirko Bibic, President and CEO, BCE, noted that roaming trends improved sequentially in Q4 2025, showing a low single-digit decline, which is encouraging for future ARPU performance if sustained.

Matthew Griffiths from Bank of America asked if BCE's Investor Day message of sequentially higher EBITDA growth in each subsequent year within the three-year guidance window remains valid. He also sought clarification on how the 2026 EBITDA guidance range (0-4%) reconciles with the longer-term upward trajectory, and inquired about assumptions regarding international roaming's contribution to wireless ARPU trends.

Answer

CFO Curtis Millen confirmed that the expectation for progressively improving EBITDA over the three-year horizon remains unchanged, though the path is not linear due to timing fluctuations in areas like enterprise and advertising. President and CEO Mirko Bibic added that international roaming trends improved sequentially in Q4 2025, showing a healthy recovery in consumer roaming revenue, which is encouraging for future ARPU performance.

Matthew Griffiths from Bank of America inquired if the updated free cash flow guidance factors in the bonus depreciation extension and if the U.S. JV structure would benefit from it. He also asked for expectations about the upcoming October 14 Investor Day.

Answer

EVP & CFO Curtis Millen clarified that the 2025 guidance does not include a bonus depreciation impact, as the benefit is realized over time, but confirmed the JV is expected to benefit from the rules. President & CEO Mirko Bibic stated the Investor Day will focus on the company's four strategic growth pillars and its business transformation program.

Matthew Griffiths asked if the updated free cash flow guidance factors in the bonus depreciation extension and if the U.S. JV structure would benefit from it. He also inquired about what to expect from the upcoming October 14 Investor Day.

Answer

EVP & CFO Curtis Millen confirmed the U.S. operations are expected to benefit from bonus depreciation over time, but there is no impact reflected in the 2025 guidance. President & CEO Mirko Bibic stated the Investor Day will focus on the company's four strategic growth pillars and its business transformation program.

Matthew Griffiths of Bank of America asked about the construction timeline for the 6 million homes in the PSP partnership, the nature of PSP's $1.5 billion contribution, and the year-over-year comparison for Bell brand net adds.

Answer

CEO Mirko Bibic explained that the fiber build-out is a long-term project and PSP's financial contributions will be made over time as construction progresses. He also stated that the 25,000 net adds on the main Bell brand were down 9,000 compared to the prior year.

Matthew Griffiths asked about Rogers Communications' view on its expansive retail distribution network for wireless, considering market changes, and its potential as a source of cost savings. He also sought updated thoughts on sports asset valuation, including steps for the Kilmer negotiation, synergy execution, and the monetization process timeframes.

Answer

President and CEO Tony Staffieri views Rogers' retail distribution as a strength, expanded to bundled/converged services. He expects streamlining through brand consolidation and increasing digital transactions, but will proceed carefully. CFO Glenn Brandt stated that after the mid-year option trigger for the 25% MLSE interest, Rogers will combine operations and drive synergies. He highlighted the combined entity's pro forma 2025 EBITDA of over CAD 400 million and strong growth in sports properties, expecting a 'relatively fast follow-through' to monetization after buying the minority interest.

Matthew Griffiths first asked President and CEO Tony Staffieri if Rogers Communications still views its expansive retail distribution network as a strength in the changed wireless market, or if it's a potential source of cost savings. He then asked CFO Glenn Brandt for updated thoughts on the valuation of sports assets, the steps involved in the sports monetization process (including the mid-year Kilmer negotiation), and the expected timeframes for executing synergies and a transaction.

Answer

President and CEO Tony Staffieri affirmed the retail network's strength, now expanded to bundled and converged services, but noted that brand consolidation and increasing digital transactions will structurally streamline outlets over time. CFO Glenn Brandt highlighted the strong performance of sports assets (over CAD 400 million pro forma EBITDA in 2025) and tremendous market interest. He explained that after the mid-year option trigger and acquiring the remaining 25% MLSE interest, they will combine operations and pursue a transaction relatively quickly, without a long delay for synergies, as interest is already high.

Matthew Griffiths asked if maintaining control of sports assets remains a priority following any transaction, alongside shareholder return maximization. He also sought clarity on the cost breakdown for the satellite-to-mobile service, specifically if it's primarily marketing or partner payments.

Answer

CFO Glenn Brandt confirmed that maintaining control of the sports assets remains a priority, given their substantial value and the manageable equity improvement required. He clarified that the modest increase in wireless operating costs related to satellite-to-mobile encompasses both marketing expenses and fees paid to the service partner during the beta trial, which has been extended for new feature capabilities.

Matthew Griffiths asked about potential exposure to U.S.-China tariffs through handset purchasing channels and requested a quantification of the impact of lower roaming revenue on ARPU during the quarter.

Answer

President and CEO Anthony Staffieri stated that Rogers has little to no direct impact from the discussed tariffs, as most suppliers are in Canada or outside the U.S., though he acknowledged it as a potential macroeconomic risk. CFO Glenn Brandt quantified the roaming impact, stating it accounted for approximately 15% of the year-over-year decline in blended mobile phone ARPU, with the remainder due to competitive intensity.

Matthew Griffiths, on behalf of David Barden, asked for the outlook on cable revenue growth, the expected balance of growth between wireless and cable, and for more color on wireless pricing dynamics, particularly the impact of customers repricing from older, more expensive plans.

Answer

CFO Glenn Brandt stated that Rogers does not provide guidance for individual business units. President and CEO Tony Staffieri addressed pricing by highlighting differentiators beyond price, such as 48-month handset financing and growing data usage. He noted that the majority of new subscribers are on the premium 5G brand, contributing to a long track record of stable ARPU.

Matthew Griffiths of Bank of America inquired about the completion timeline for the 5G deployment and whether the new radios are C-band compatible. He also asked for details on the operational work (systems, sales, distribution) being done for the staged rollout of new initiatives like Fizz.

Answer

President and CEO Pierre Karl Péladeau stated that Freedom's 5G network was well-advanced, and the company is proceeding prudently with deployment, leveraging a strong spectrum position and favorable equipment pricing. He described the behind-the-scenes integration work as too complex to detail on the call.

Matthew Griffiths from Bank of America asked for insights into Freedom's upcoming marketing strategy, including potential rebranding or the introduction of Fizz, and questioned if the current out-of-footprint data offerings are sufficient to be competitive.

Answer

President and CEO Pierre Karl Péladeau declined to share specific marketing plans but confirmed they are working on multiple strategies. He noted that the competitiveness of data offerings will be significantly improved by expected decreases in regulated roaming prices and the implementation of seamless hand-off technology. He also highlighted plans to expand sales channels beyond retail to include transactional websites and call centers to accelerate customer acquisition.

Matthew Griffiths of Bank of America asked about the outcome of the company's review of strategic priorities and whether increasing retail distribution is a consideration for future wireless growth. He also followed up on whether the ongoing billing system update was impacting customer net additions.

Answer

President and CEO Pierre Karl Peladeau outlined key strategic priorities, including continued investment in the 5G network, network extensions into new housing developments, and a significant migration to a new, more efficient billing system. He affirmed that Quebecor will continue to leverage its diverse sales platforms, including retail, call centers, and door-to-door. CFO Hugues Simard added that they do not believe the billing system migration is impacting churn, which is more related to the intense competitive environment.

Matthew Griffiths of Bank of America asked about wireless ARPU drivers, particularly the impact of plan migrations versus roaming recovery, and inquired about market dynamics in early Q3, including any potential benefits from the Rogers network outage.

Answer

CFO Hugues Simard noted that while Quebecor benefits less from roaming recovery than national peers, ARPU is supported by price package stability and improved brand positioning. President and CEO Pierre Peladeau added that Q3 started strong, consistent with historical trends, and the company remains focused on maintaining its competitive market share.