- Revenue increased by 6.1% (2.3% in constant currency (1)) compared to the same period of the prior year to $762.3 million;
- Adjusted EBITDA (1) was $367.2 million, an increase of 5.1% (1.8% in constant currency (1));
- Profit for the period amounted to $120.4 million, an increase of 3.2%;
- Earnings per share on a diluted basis was $2.44, an increase of 7.5%;
- Net capital expenditures (1) (2) amounted to $197.0 million, an increase of 39.7% (33.4% in constant currency). Excluding network expansion projects (1), net capital expenditures amounted to $131.1 million, an increase of 8.4% (3.8% in constant currency);
- Capital intensity (1) was 25.8% compared to 19.6% in the same period of the prior year. Excluding network expansion projects (1), capital intensity was 17.2% compared to 16.8% last year.
- Acquisition of property, plant and equipment amounted to $234.6 million, an increase of 60.9%;
- Free cash flow (1) amounted to $105.1 million, a decrease of 20.4% (20.0% in constant currency (1)), due to intensified network expansion projects. Free cash flow, excluding network expansion projects (1) was $171.0 million, an increase of 12.4% (10.6% in constant currency);
- Cash flows from operating activities decreased by 32.3% to $194.2 million, mainly resulting from working capital items;
- Purchased and cancelled 512,170 Cogeco Communications subordinate voting shares for a total consideration of $37.3 million;
- Fiscal 2023 financial guidelines were revised; and
- A quarterly eligible dividend of $0.776 per share was declared, compared to $0.705 per share in the comparable quarter of fiscal 2022, an increase of 10%.
MONTRÉAL, Jan. 12, 2023 /CNW Telbec/ - Today, Cogeco Communications Inc. (TSX: CCA) ("Cogeco Communications" or the "Corporation") announced its financial results for the first quarter ended November 30, 2022, in accordance with International Financial Reporting Standards ("IFRS").
OPERATING RESULTS
For the first quarter of fiscal 2023:
- Revenue increased by 6.1% to reach $762.3 million. On a constant currency basis, revenue increased by 2.3%, mainly explained as follows:
- Canadian telecommunications' revenue increased by 4.8% as reported and in constant currency, mainly driven by the cumulative effect of high-speed Internet service additions over the past year, a higher value product mix and rate increases.
- American telecommunications' revenue increased by 7.4%. On a constant currency basis, revenue decreased by 0.1%. In constant currency, stable revenue resulted from a higher value product mix and rate increases, offset by a lower customer base in Ohio.
- Adjusted EBITDA increased by 5.1% to reach $367.2 million. On a constant currency basis, adjusted EBITDA increased by 1.8%, mainly explained as follows:
- Canadian telecommunications adjusted EBITDA increased by 5.7%, or 6.4% in constant currency, primarily due to revenue growth, partly offset by increased operating expenses.
- American telecommunications adjusted EBITDA increased by 3.8%. On a constant currency basis, adjusted EBITDA decreased by 3.4%, mainly resulting from unusually low spending in marketing and advertising and less staff last year in Ohio while the assets were still operating under the previous owner's brand.
- Profit for the period amounted to $120.4 million, of which $111.5 million, or $2.44 per diluted share, was attributable to owners of the Corporation compared to $116.6 million, $106.8 million, and $2.27 per diluted share, respectively, in the comparable period of fiscal 2022. The increases resulted mainly from higher adjusted EBITDA and lower acquisition, integration, restructuring and other costs, partly offset by increases in income tax expense, financial expense and depreciation and amortization expense.
- Net capital expenditures, which account for construction subsidies, and capital intensity were $197.0 million and 25.8%, respectively, compared to $141.0 million and 19.6% in the same period of the prior year, driven by increased network expansion activities in Canada and the United States. Excluding network expansion projects, net capital expenditures and capital intensity were $131.1 million and 17.2%, respectively, compared to $121.0 million and 16.8% in the same period of the prior year.
- Fibre-to-the-home network expansion projects continued in both Canada and the United States where about 20,000 and 17,000 homes passed were added during the quarter, respectively.
- Acquisition of property, plant and equipment increased by 60.9% to $234.6 million, mainly due to network expansion projects in both countries.
- Free cash flow decreased by 20.4%, or 20.0% in constant currency, and amounted to $105.1 million, mainly due to higher net capital expenditures driven by increased network expansion activity in both countries and higher financial expense, partly offset by lower acquisition, integration, restructuring and other costs, higher adjusted EBITDA and lower current income taxes. Free cash flow, excluding network expansion projects increased by 12.4%, or 10.6% in constant currency, and amounted to $171.0 million.
- Cash flows from operating activities decreased by 32.3% to reach $194.2 million, driven by a $64.4 million outflow in non-cash operating activities versus a $13.2 million inflow in the comparative period, resulting from the timing of trade and other payables, as well as increased interest and income taxes paid, partly offset by higher adjusted EBITDA and lower acquisition, integration, restructuring and other costs.
- Cogeco Communications purchased and cancelled 512,170 subordinate voting shares for a total consideration of $37.3 million, compared to 274,000 subordinate voting shares purchased and cancelled in the comparable quarter of fiscal 2022, for a total consideration of $29.5 million.
- At its January 12, 2023 meeting, the Board of Directors of Cogeco Communications declared a quarterly eligible dividend of $0.776 per share, an increase of 10% compared to $0.705 per share in the comparable quarter of fiscal 2022.
(1) |
Adjusted EBITDA and net capital expenditures are total of segments measures. Capital intensity is a supplementary financial measure. Constant currency basis, net capital expenditures, excluding network expansion projects, free cash flow and free cash flow, excluding network expansion projects, are non-IFRS financial measures. Change in constant currency and capital intensity, excluding network expansion projects are non-IFRS ratios. These indicated terms do not have standardized definitions prescribed by IFRS and, therefore, may not be comparable to similar measures presented by other companies. For more information on these financial measures, please consult the "Non-IFRS and other financial measures" section of this press release. |
(2) |
Net capital expenditures are presented net of government subsidies, including the utilization of those received in advance. |
"We have met our financial targets during the first quarter of fiscal 2023," stated Philippe Jetté, President and Chief Executive Officer of Cogeco Communications Inc.
"Cogeco Connexion, our Canadian telecommunications business unit, performed as expected," Mr. Jetté continued. "We continued to connect new homes to our network as part of the fibre-to-the-home network expansions in Québec and we are starting to see the positive effects."
"In the United States, Breezeline's first-quarter financial results were consistent with our expectations, with a high value product mix offsetting an expected decline in subscribers in Ohio, driven primarily by the remaining impact from our customer management and billing systems' migration," Mr. Jetté added. "While inflation and increased nationwide competition present challenges, notably for entry-level products, we are working on several initiatives aimed at continuously improving our customers' experience. In Ohio, our IPTV product was successfully introduced to our new video customers and we will be phasing in this service to existing Breezeline video customers in the state starting in early 2023."
"Finally, we are delighted that our corporate governance practices have been recognized again this year by the Globe and Mail's Board Games as among the best within Canadian family-controlled dual class public corporations," Mr. Jetté concluded.
FISCAL 2023 REVISED FINANCIAL GUIDELINES
Cogeco Communications has revised its fiscal 2023 financial guidelines as issued on July 13, 2022 for revenue, adjusted EBITDA, net capital expenditures and capital intensity. Free cash flow projections remain the same as previously disclosed. The Corporation expects a reduction in revenue growth rates, driven by a lower customer base than expected in Ohio, and to a lesser extent, by the current economic conditions which are impacting customers' discretionary spending, especially for the Corporation's entry-level services, and by increasing competition. The Corporation has initiated several cost optimization initiatives in order to minimize the revenue impact on adjusted EBITDA, and with a prudent cash management strategy, net capital expenditures are expected to be lower than under the previous financial guidelines.
Compared to fiscal 2022, on a constant currency and consolidated basis, revenue and adjusted EBITDA are now expected to increase between 0.5% and 2.0%. The expected growth in revenue and adjusted EBITDA results mainly from expected growth in Internet service customers and a high value product mix. The expected increase in net capital expenditures compared to fiscal 2022 is primarily due to the continued net investments in network expansions which will increase the Corporation's footprint in Canada and the United States.
January 12, 2023 |
July 13, 2022 |
||||
Revised projections |
(1) |
Original projections |
(1) |
Actual |
|
(In millions of Canadian dollars, except percentages) |
Fiscal 2023 (constant currency) |
(2) |
Fiscal 2023 (constant currency) |
(2) |
Fiscal 2022 |
$ |
$ |
$ |
|||
Financial guidelines |
|||||
Revenue |
Increase of 0.5% to 2.0% |
Increase of 2% to 4% |
2,901 |
||
Adjusted EBITDA |
Increase of 0.5% to 2.0% |
Increase of 1.5% to 3.5% |
1,393 |
||
Net capital expenditures |
$700 to $775 |
$750 to $800 |
689 |
||
Net capital expenditures in connection with network expansion projects |
$180 to $230 |
$180 to $230 |
157 |
||
Capital intensity |
24% to 26% |
Approximately 26% |
23.8 % |
||
Capital intensity, excluding network expansion projects |
17% to 19% |
Approximately 19% |
18.3 % |
||
Free cash flow |
Decrease of 2% to 12% |
(3) |
Decrease of 2% to 12% |
(3) |
424 |
Free cash flow, excluding network expansion projects |
Decrease of 5% to an increase of 5% |
(3) |
Decrease of 5% to an increase of 5% |
(3) |
582 |
(1) |
Percentage of changes compared to fiscal 2022. |
(2) |
Fiscal 2023 financial guidelines are based on a USD/CDN constant exchange rate of 1.2718 USD/CDN. |
(3) |
The assumed current income tax effective rate is approximately 11%. |
These financial guidelines, including the various assumptions underlying them, contain forward-looking statements concerning the business outlook for Cogeco Communications, and should be read in conjunction with the "Forward-looking statements" section of this press release.
OPERATING ENVIRONMENT
The current global economic and political instability has resulted in rising inflation and interest rates. While we are proactively working at minimizing their impact on the Corporation, we expect the combination of those elements to continue to put pressure on revenue, as some customers seek ways to reduce their monthly spending, and on the costs to deliver our services. At the same time, and partially as a reaction to a more challenging market, some telecommunications providers have adopted more aggressive strategies and price points in order to generate sales activity.
While the Corporation experienced sustained demand for its residential high-speed Internet product in the context of the COVID-19 pandemic restrictions, a softening of the market is being observed with the re-opening of the economy in the recent quarters and a return to the workplace. While we remain cautious in our management of the situation, our priority remains on ensuring the well-being of our employees, customers and business partners. Although we have conducted our operations normally during recent quarters, we will remain vigilant should the situation change in the future.
The Corporation's results discussed herein may not be indicative of future operational trends and financial performance. Please refer to the "Forward-looking statements" section.
FINANCIAL HIGHLIGHTS
Three months ended November 30, |
2022 |
2021 |
(1) |
Change |
Change in constant currency |
(2) (3) |
(In thousands of Canadian dollars, except percentages and per share data) |
$ |
$ |
% |
% |
||
Operations |
||||||
Revenue |
762,300 |
718,541 |
6.1 |
2.3 |
||
Adjusted EBITDA (3) |
367,223 |
349,287 |
5.1 |
1.8 |
||
Adjusted EBITDA margin (3) |
48.2 % |
48.6 % |
||||
Acquisition, integration, restructuring and other costs (4) |
2,677 |
18,635 |
(85.6) |
|||
Profit for the period |
120,375 |
116,610 |
3.2 |
|||
Profit for the period attributable to owners of the Corporation |
111,504 |
106,837 |
4.4 |
|||
Cash flow |
||||||
Cash flows from operating activities |
194,159 |
286,945 |
(32.3) |
|||
Free cash flow (3) |
105,128 |
132,111 |
(20.4) |
(20.0) |
||
Free cash flow, excluding network expansion projects (3) |
170,962 |
152,127 |
12.4 |
10.6 |
||
Acquisition of property, plant and equipment |
234,637 |
145,848 |
60.9 |
|||
Net capital expenditures (1) (3) |
196,971 |
141,028 |
39.7 |
33.4 |
||
Net capital expenditures, excluding network expansion projects (3) |
131,137 |
121,012 |
8.4 |
3.8 |
||
Capital intensity (3) |
25.8 % |
19.6 % |
||||
Capital intensity, excluding network expansion projects (3) |
17.2 % |
16.8 % |
||||
Per share data (5) |
||||||
Earnings per share |
||||||
Basic |
2.45 |
2.29 |
7.0 |
|||
Diluted |
2.44 |
2.27 |
7.5 |
|||
Dividends |
0.776 |
0.705 |
10.1 |
|||
As at |
November 30, 2022 |
August 31, 2022 |
(In thousands of Canadian dollars) |
$ |
$ |
Financial condition |
||
Cash and cash equivalents |
407,757 |
370,899 |
Total assets |
9,587,396 |
9,278,509 |
Long-term debt |
||
Current |
340,606 |
339,096 |
Non-current |
4,610,038 |
4,334,373 |
Net indebtedness (3) |
4,672,763 |
4,489,330 |
Equity attributable to owners of the Corporation |
2,844,925 |
2,751,080 |
(1) |
Comparative figures have been restated following the application of the IFRS Interpretations Committee issued agenda decision Demand Deposits with Restrictions on Use arising from a Contract with a Third Party (IAS 7 Statement of Cash Flows) during the third quarter of fiscal 2022. Furthermore, the Corporation also changed the label of its "Acquisition of property, plant and equipment" key performance indicator measure to "Net capital expenditures" following this application. For further details, refer to the "Accounting policies" section of the first quarter of fiscal 2023 Management's Discussion and Analysis ("MD&A"). |
(2) |
Key performance indicators presented on a constant currency basis are obtained by translating financial results from the current period denominated in US dollars at the foreign exchange rate of the comparable period of the prior year. For the three-month period ended November 30, 2021, the average foreign exchange rate used for translation was 1.2559 USD/CDN. |
(3) |
Adjusted EBITDA and net capital expenditures are total of segments measures. Adjusted EBITDA margin and capital intensity are supplementary financial measures. Free cash flow, free cash flow, excluding network expansion projects and net capital expenditures, excluding network expansion projects are non-IFRS financial measures. Change in constant currency and capital intensity, excluding network expansion projects are non-IFRS ratios. Net indebtedness is a capital management measure. These indicated terms do not have standardized definitions prescribed by IFRS and, therefore, may not be comparable to similar measures presented by other companies. For more information on these financial measures, please consult the "Non-IFRS and other financial measures" section of this press release. |
(4) |
For the three-month period ended November 30, 2022, acquisition, integration, restructuring and other costs resulted mostly from costs associated with the configuration and customization related to cloud computing arrangements. For the three-month period ended November 30, 2021, acquisition, integration, restructuring and other costs resulted mostly from costs incurred in connection with the acquisition, completed on September 1, 2021, and integration of the Ohio broadband systems. |
(5) |
Per multiple and subordinate voting share. |
FORWARD-LOOKING STATEMENTS
Certain statements contained in this press release may constitute forward-looking information within the meaning of securities laws. Forward-looking information may relate to Cogeco Communications Inc.'s ("Cogeco Communications" or the "Corporation") future outlook and anticipated events, business, operations, financial performance, financial condition or results and, in some cases, can be identified by terminology such as "may"; "will"; "should"; "expect"; "plan"; "anticipate"; "believe"; "intend"; "estimate"; "predict"; "potential"; "continue"; "foresee", "ensure" or other similar expressions concerning matters that are not historical facts. Particularly, statements regarding the Corporation's financial guidelines, future operating results and economic performance, objectives and strategies are forward-looking statements. These statements are based on certain factors and assumptions including expected growth, results of operations, purchase price allocation, tax rates, weighted average cost of capital, performance and business prospects and opportunities, which Cogeco Communications believes are reasonable as of the current date. Refer in particular to the "Corporate objectives and strategies" section of the Corporation's 2022 annual MD&A and of the fiscal 2023 first-quarter MD&A, the "Fiscal 2023 financial guidelines" section of the Corporation's 2022 annual MD&A and the "Fiscal 2023 revised financial guidelines of the current MD&A for a discussion of certain key economic, market and operational assumptions we have made in preparing forward-looking statements. While management considers these assumptions to be reasonable based on information currently available to the Corporation, they may prove to be incorrect. Forward-looking information is also subject to certain factors, including risks and uncertainties that could cause actual results to differ materially from what Cogeco Communications currently expects. These factors include risks such as competitive risks (changing competitive ecosystem, disruptive competitive strategies adopted by our competitors), business risks (including potential disruption to our supply chain caused by economic and geopolitical instability and other contributing factors, increasing transportation lead times, scarcity and shortage of input materials and key telecommunication equipment and competition for limited resources), regulatory risks, technology risks (including cybersecurity), financial risks (including variations in currency and interest rates), economic conditions (including elevated inflation reaching historical highs pressuring revenue, due to reduced consumer spending, and increasing costs), human-caused and natural threats to our network (including increased frequency of extreme weather events with the potential to disrupt operations), infrastructure and systems, community acceptance risks, ethical behavior risks, ownership risks, litigation risks and public health and safety, many of which are beyond the Corporation's control. For more exhaustive information on these risks and uncertainties, the reader should refer to the "Uncertainties and main risk factors" sections of the Corporation's 2022 annual MD&A and of the fiscal 2023 first-quarter MD&A. These factors are not intended to represent a complete list of the factors that could affect Cogeco Communications and future events and results may vary significantly from what management currently foresees. The reader should not place undue importance on forward-looking information contained in this press release which represent Cogeco Communications' expectations as of the date of this press release (or as of the date they are otherwise stated to be made) and are subject to change after such date. While management may elect to do so, the Corporation is under no obligation (and expressly disclaims any such obligation) and does not undertake to update or alter this information at any particular time, whether as a result of new information, future events or otherwise, except as required by law.
All amounts are stated in Canadian dollars unless otherwise indicated. This press release should be read in conjunction with the Corporation's MD&A for the three-month period ended November 30, 2022, the Corporation's condensed interim consolidated financial statements and the notes thereto for the same periods prepared in accordance with International Financial Reporting Standards ("IFRS") and the Corporation's 2022 Annual Report.
NON-IFRS AND OTHER FINANCIAL MEASURES
This press release includes references to non-IFRS and other financial measures used by Cogeco Communications. These financial measures are reviewed in assessing the performance of Cogeco Communications and used in the decision-making process with regard to its business units.
Reconciliations between non-IFRS and other financial measures to the most directly comparable IFRS financial measures are provided below. Certain additional disclosures for non-IFRS and other financial measures used in this press release have been incorporated by reference and can be found in the "Non-IFRS and other financial measures" section of the Corporation's MD&A for the three-month period ended November 30, 2022, available on SEDAR at www.sedar.com.
CONSTANT CURRENCY BASIS AND FOREIGN EXCHANGE IMPACT RECONCILIATION
Consolidated
Three months ended November 30, |
||||||||||||
Change |
||||||||||||
2022 |
Foreign exchange impact |
2022 in constant currency |
(1) |
2021 |
Actual |
In constant currency |
||||||
(In thousands of Canadian dollars, except percentages) |
$ |
$ |
$ |
$ |
% |
% |
||||||
Revenue |
762,300 |
(26,910) |
735,390 |
718,541 |
6.1 |
2.3 |
||||||
Operating expenses |
389,677 |
(15,435) |
374,242 |
363,674 |
7.2 |
2.9 |
||||||
Management fees – Cogeco Inc. |
5,400 |
— |
5,400 |
5,580 |
(3.2) |
(3.2) |
||||||
Adjusted EBITDA |
367,223 |
(11,475) |
355,748 |
349,287 |
5.1 |
1.8 |
||||||
Free cash flow |
105,128 |
594 |
105,722 |
132,111 |
(20.4) |
(20.0) |
||||||
Net capital expenditures |
196,971 |
(8,904) |
188,067 |
141,028 |
39.7 |
33.4 |
||||||
(1) |
Fiscal 2023 first-quarter in constant currency is translated at the average foreign exchange rate of fiscal 2022 first-quarter, which was 1.2559 USD/CDN. |
Canadian telecommunications segment
Three months ended November 30, |
||||||||||||
Change |
||||||||||||
2022 |
Foreign exchange impact |
2022 in constant currency |
(1) |
2021 |
Actual |
In constant currency |
||||||
(In thousands of Canadian dollars, except percentages) |
$ |
$ |
$ |
$ |
% |
% |
||||||
Revenue |
372,084 |
— |
372,084 |
355,047 |
4.8 |
4.8 |
||||||
Operating expenses |
173,451 |
(1,168) |
172,283 |
167,186 |
3.7 |
3.0 |
||||||
Adjusted EBITDA |
198,633 |
1,168 |
199,801 |
187,861 |
5.7 |
6.4 |
||||||
Net capital expenditures |
115,238 |
(3,360) |
111,878 |
67,471 |
70.8 |
65.8 |
||||||
(1) |
Fiscal 2023 first-quarter in constant currency is translated at the average foreign exchange rate of fiscal 2022 first-quarter, which was 1.2559 USD/CDN. |
American telecommunications segment
Three months ended November 30, |
||||||||||||
Change |
||||||||||||
2022 |
Foreign exchange impact |
2022 in constant currency |
(1) |
2021 |
Actual |
In constant currency |
||||||
(In thousands of Canadian dollars, except percentages) |
$ |
$ |
$ |
$ |
% |
% |
||||||
Revenue |
390,216 |
(26,910) |
363,306 |
363,494 |
7.4 |
(0.1) |
||||||
Operating expenses |
207,710 |
(14,267) |
193,443 |
187,730 |
10.6 |
3.0 |
||||||
Adjusted EBITDA |
182,506 |
(12,643) |
169,863 |
175,764 |
3.8 |
(3.4) |
||||||
Net capital expenditures |
80,408 |
(5,544) |
74,864 |
73,227 |
9.8 |
2.2 |
||||||
(1) |
Fiscal 2023 first-quarter in constant currency is translated at the average foreign exchange rate of fiscal 2022 first-quarter, which was 1.2559 USD/CDN. |
FREE CASH FLOW RECONCILIATION
Three months ended November 30, |
||
2022 |
2021 |
|
(In thousands of Canadian dollars) |
$ |
$ |
Cash flows from operating activities |
194,159 |
286,945 |
Amortization of deferred transaction costs and discounts on long-term debt (1) |
3,044 |
2,922 |
Changes in other non-cash operating activities |
64,416 |
(13,174) |
Income taxes paid |
46,618 |
25,360 |
Current income taxes |
(8,376) |
(14,563) |
Interest paid |
60,498 |
31,599 |
Financial expense |
(56,919) |
(44,955) |
Net capital expenditures |
(196,971) |
(141,028) |
Repayment of lease liabilities |
(1,341) |
(995) |
Free cash flow |
105,128 |
132,111 |
(1) |
Included within financial expense. |
NET CAPITAL EXPENDITURES RECONCILIATION
Three months ended November 30, |
|||
2022 |
2021 |
(1) |
|
(In thousands of Canadian dollars) |
$ |
$ |
|
Acquisition of property, plant and equipment |
234,637 |
145,848 |
|
Subsidies received in advance recognized as a reduction of the cost of property, plant and equipment during the period |
(37,666) |
(4,820) |
|
Net capital expenditures |
196,971 |
141,028 |
|
(1) |
Comparative figures have been restated. For further details, refer to the "Accounting policies" section of the fiscal 2023 first-quarter MD&A. |
ADJUSTED EBITDA RECONCILIATION
Three months ended November 30, |
||
2022 |
2021 |
|
(In thousands of Canadian dollars) |
$ |
$ |
Profit for the period |
120,375 |
116,610 |
Income taxes |
31,953 |
17,450 |
Financial expense |
56,919 |
44,955 |
Depreciation and amortization |
155,299 |
151,637 |
Acquisition, integration, restructuring and other costs |
2,677 |
18,635 |
Adjusted EBITDA |
367,223 |
349,287 |
NET CAPITAL EXPENDITURES AND FREE CASH FLOW EXCLUDING NETWORK EXPANSION PROJECTS RECONCILIATIONS
Net capital expenditures
Three months ended November 30, |
|||||||||||
Change |
|||||||||||
2022 |
Foreign exchange impact |
2022 in constant currency |
(1) |
2021 |
Actual |
In constant currency |
|||||
(In thousands of Canadian dollars, except percentages) |
$ |
$ |
$ |
$ |
% |
% |
|||||
Net capital expenditures |
196,971 |
(8,904) |
188,067 |
141,028 |
39.7 |
33.4 |
|||||
Net capital expenditures in connection with network expansion projects |
65,834 |
(3,362) |
62,472 |
20,016 |
— |
— |
|||||
Net capital expenditures, excluding network expansion projects |
131,137 |
(5,542) |
125,595 |
121,012 |
8.4 |
3.8 |
|||||
(1) |
Fiscal 2023 first-quarter in constant currency is translated at the average foreign exchange rate of fiscal 2022 first-quarter, which was 1.2559 USD/CDN. |
Free cash flow
Three months ended November 30, |
|||||||||||
Change |
|||||||||||
2022 |
Foreign exchange impact |
2022 in constant currency |
(1) |
2021 |
Actual |
In constant currency |
|||||
(In thousands of Canadian dollars, except percentages) |
$ |
$ |
$ |
$ |
% |
% |
|||||
Free cash flow |
105,128 |
594 |
105,722 |
132,111 |
(20.4) |
(20.0) |
|||||
Net capital expenditures in connection with network expansion projects |
65,834 |
(3,362) |
62,472 |
20,016 |
— |
— |
|||||
Free cash flow, excluding network expansion projects |
170,962 |
(2,768) |
168,194 |
152,127 |
12.4 |
10.6 |
|||||
(1) |
Fiscal 2023 first-quarter in constant currency is translated at the average foreign exchange rate of fiscal 2022 first-quarter, which was 1.2559 USD/CDN. |
ADDITIONAL INFORMATION
Additional information relating to the Corporation is available on the SEDAR website at www.sedar.com and on the Corporation's website at corpo.cogeco.com.
ABOUT COGECO COMMUNICATIONS INC.
Rooted in the communities it serves, Cogeco Communications Inc. is a growing competitive force in the North American telecommunications sector with a legacy of more than 65 years. Through its business units Cogeco Connexion and Breezeline, Cogeco Communications provides Internet, video and phone services to 1.6 million residential and business customers in Québec and Ontario in Canada as well as in thirteen states in the United States. Cogeco Communications Inc.'s subordinate voting shares are listed on the Toronto Stock Exchange (TSX: CCA).
Conference Call: |
Friday, January 13, 2023 at 9:30 a.m. (Eastern Time) |
A live audio webcast of the analyst call will be available on Cogeco Communications' website at https://corpo.cogeco.com/cca/en/investors/investor-relations/. The webcast will be available on Cogeco Communications' website for a three-month period. Members of the financial community will be able to access the conference call and ask questions. Media representatives may attend as listeners only. |
|
Please use the following dial-in number to have access to the conference call 5 to 10 minutes before the start of the conference: |
|
Local - Toronto: 1-416-764-8646 |
|
Toll Free - North America: 1-888-396-8049 |
|
In order to join this conference, participants are required to provide the operator with the name of the company hosting the call, that is, Cogeco Inc. or Cogeco Communications Inc. |
|
The conference call will be followed by the Annual Shareholders' Meetings at 11:30 a.m. at the Centre Mont-Royal in Montréal, Québec (2200 Mansfield Street). A live webcast of the Annual Shareholders' Meetings will be available on Cogeco's and Cogeco Communications' websites. You will be able to log into the virtual Meetings at https://corpo.cogeco.com/cca/en/investors/shareholders-meetings/ starting at 10:30 a.m. on January 13. Note that the Meetings are not accessible via the Internet Explorer web browser. |
|
For information:
Investors
Patrice Ouimet
Senior Vice President and Chief Financial Officer
Cogeco Communications Inc.
Tel.: 514-764-4700
[email protected]
Media
Marie-Hélène Labrie
Senior Vice President and Chief Public Affairs, Communications and Strategy Officer
Cogeco Communications Inc.
Tel.: 514-764-4700
[email protected]
SOURCE Cogeco Communications Inc.
![](https://rt.newswire.ca/rt.gif?NewsItemId=C3787&Transmission_Id=202301121835CANADANWCANADAPR_C3787&DateId=20230112)
Share this article