TORONTO — Rogers Communications this morning reported solid results for the second quarter of 2021, including strong wireless and Ignite TV subscriber net additions and a 14% increase in total revenue.
For the three months ended June 30, 2021, Rogers reported wireless postpaid net subscriber additions of 99,000, Internet net subscriber adds of 9,000 (including 15,000 net new broadband subscribers), and Ignite TV net subscriber adds of 66,000.
That brings Rogers’s subscriber totals to 9.8 million wireless postpaid subscribers, 1.2 million wireless prepaid subscribers, 2.6 million Internet subscribers and 668,000 Ignite TV subscribers as of the end of the quarter.
“Our solid performance in the second quarter is a result of strong execution across each of our business units as the economy continues to recover from pandemic lockdowns,” said Joe Natale, president and CEO of Rogers Communications, in a press release.
“As Canada emerges from the pandemic, our financial position and increased regulatory certainty for facilities-based providers enables us to continue enhancing connectivity to urban, rural, and remote areas across our country at record speed to meet the needs of consumers, businesses, and communities.”
Rogers’s total revenue increased by 14% year-over-year in the second quarter of 2021 to reach $3.6 billion, with revenue growth achieved in each of the company’s businesses.
Wireless service revenue increased by 2% to reach $1.6 billion in Q2 2021, and total wireless revenue in the quarter was $2.1 billion, representing a 7% increase compared to the Q2 of 2020. Wireless adjusted EBITDA was up 10% year-over-year to $1 billion.
The wireless service revenue increase was “mainly as a result of a larger postpaid subscriber base, and higher roaming revenue as global travel restrictions were generally less strict than last year at the onset of Covid-19, partially offset by lower overage revenue, primarily as a result of the continued adoption of our Rogers Infinite unlimited data plans. Wireless equipment revenue increased as a result of higher device upgrades by existing subscribers and higher gross additions,” according to the press release.
Cable revenue increased by 5% to reach $1 billion in Q2 2021, compared to the same quarter of 2020, “as a result of disciplined promotional activity, service pricing changes in late 2020, and increases in our Internet and Ignite TV subscriber bases,” reads the press release. Cable adjusted EBITDA increased by 8% to reach $492 million compared to the prior year.
Media revenue increased by 84% year-over-year to hit $546 million, “primarily as a result of higher advertising and Toronto Blue Jays revenue due to the resumption of live sports as Covid-19 restrictions were eased,” says the release.
However, the company’s media adjusted EBITDA decreased by 114% (or $40 million) and was negative $75 million, which Rogers said was “primarily due to higher sports programming and production costs and Toronto Blue Jays player payroll due to the resumption of live sports with significant limitations on game day revenues, partially offset by higher revenue as discussed above.”
The company’s net income and adjusted net income increased by 8% and 25%, respectively, to reach $302 million and $387 million in the second quarter of 2021, compared to the same quarter of last year.
For more on Rogers’s Q2 2021 financial results, please click here.
