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RCI posted Q4 adjusted EPS of $1.08, beating estimates; revenues rose 13% y/y.
Rogers Communications saw Media revenues surge 126% y/y, offsetting softer wireless and cable growth.
RCI generated C$1.02B in free cash flow and raised the 2025 free cash flow guidance to C$3.3C$3.5B.
Rogers Communications (RCI - Free Report) reported fourth-quarter 2025 adjusted earnings of $1.08 per share, which beat the Zacks Consensus Estimate by 10.2% and increased 3.8% year over year.
Revenues of $4.43 billion beat the consensus mark by 1.31% and increased 13% year over year.
In domestic currency (Canadian dollar), adjusted earnings increased 3.4% year over year to C$1.51 per share.
Total revenues increased 13% year over year to C$6.17 billion, primarily driven by growth in the Media businesses.
Rogers Communication, Inc. Price, Consensus and EPS Surprise
Wireless revenues (48.1% of total revenues) decreased 0.4% year over year to C$2.97 billion. Service revenues rose 0.3% to C$2.06 billion. Equipment revenues decreased 1.2% to $912 million.
Monthly mobile phone ARPU was C$56.4, down 2.8% year over year.
As of Dec. 31, 2025, the prepaid mobile phone subscriber base totaled 1.2 million, representing an increase of 94K subscribers year over year. The monthly churn rate was 2.57% compared with 2.8% reported in the year-ago quarter.
As of Dec. 31, 2025, the postpaid wireless subscriber base totaled 10.96 million, representing net additions of 227K subscribers year over year. The monthly churn rate was 1.43% compared with 1.53% in the year-ago quarter.
Segment operating expenses decreased 1.1% year over year to C$1.60 billion.
Adjusted EBITDA increased 1% year over year to C$1.374 billion. Adjusted EBITDA margin expanded 40 basis points (bps) on a year-over-year basis to 66.8%.
Cable Details
Cable revenues (32.1% of total revenues) increased 0.1% year over year to C$1.98 billion.
Service revenues grew 0.3% year over year to C$1.97 billion. Equipment revenues decreased 33.3% on a year-over-year basis to C$10 million. As of Dec. 31, 2025, the retail Internet subscriber count was nearly 4.497 million, representing a net increase of 224K subscribers year over year.
As of Dec. 31, 2025, total Smart Home Monitoring subscribers reached 153K, indicating an increase of 20K subscribers. The total Home Phone subscriber count was nearly 1.39 million, reflecting a loss of 118K customers in the reported quarter.
ARPA was C$135.66, lower than the C$140.31 reported in the year-ago quarter.
Segment operating expenses declined 0.9% year over year to C$807 million.
Adjusted EBITDA increased 0.7% year over year to C$1.18 billion.
Media Details
Media revenues (20% of total revenues) increased 126% year over year to C$1.24 billion.
Segment operating expenses increased 106.3% year over year to C$1.02 billion. The segment reported an adjusted EBITDA of $221 million.
Consolidated Results
Operating costs increased 18.1% to C$3.48 billion. As a percentage of revenues, operating costs expanded 260 bps to 56.4%.
Adjusted EBITDA increased 6.2% year over year to C$2.69 billion. Adjusted EBITDA margin contracted 260 bps to 43.6%.
Balance Sheet & Cash Flow Details
As of Dec. 31, 2025, Rogers Communications had C$5.9 billion of available liquidity, including C$1.3 billion in cash and cash equivalents, and C$4.5 billion available under bank and other credit facilities. In comparison, the company had C$6.4 billion of available liquidity as of Sept. 30, 2025, including $1.5 billion in cash and cash equivalents, and C$4.9 billion available under the bank credit facility.
Rogers Communications’ debt leverage ratio was 3.9 times as of Dec. 31, 2025, reflecting the impacts of the MLSE transaction that closed during the quarter.
Cash flow from operating activities was C$1.65 billion, up 45.6% year over year from C$1.13 billion due to lower net investment in net operating assets and liabilities and higher adjusted EBITDA.
The free cash flow was C$1.02 billion compared with C$829 million generated in the previous quarter. On a year-over-year basis, it increased 15.7% due to higher adjusted EBITDA.
Rogers Communications paid out dividends worth C$270 million and declared a dividend of C$0.50 per share on Jan. 28, 2026.
RCI’s 2026 Guidance
For 2026, RCI expects total service revenues to grow between 3% and 5%, and adjusted EBITDA to rise between 1% and 3%, with slight changes in the EBITDA range while total service revenues remain unchanged from the prior guidance.
Capital expenditure is projected to be C$3.3 billion to C$3.5 billion, slightly below the prior guidance of C$3.8 billion. The ree cash flow guidance has been raised between C$3.3 billion and C$3.5 billion, up from the earlier mentioned C$3.2-C$3.3 billion.
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Rogers Communications Q4 Earnings Beat Estimates, Revenues Rise Y/Y
Key Takeaways
Rogers Communications (RCI - Free Report) reported fourth-quarter 2025 adjusted earnings of $1.08 per share, which beat the Zacks Consensus Estimate by 10.2% and increased 3.8% year over year.
Revenues of $4.43 billion beat the consensus mark by 1.31% and increased 13% year over year.
In domestic currency (Canadian dollar), adjusted earnings increased 3.4% year over year to C$1.51 per share.
Total revenues increased 13% year over year to C$6.17 billion, primarily driven by growth in the Media businesses.
Rogers Communication, Inc. Price, Consensus and EPS Surprise
Rogers Communication, Inc. price-consensus-eps-surprise-chart | Rogers Communication, Inc. Quote
Q4 Segmental Details of RCI
Wireless Details
Wireless revenues (48.1% of total revenues) decreased 0.4% year over year to C$2.97 billion. Service revenues rose 0.3% to C$2.06 billion. Equipment revenues decreased 1.2% to $912 million.
Monthly mobile phone ARPU was C$56.4, down 2.8% year over year.
As of Dec. 31, 2025, the prepaid mobile phone subscriber base totaled 1.2 million, representing an increase of 94K subscribers year over year. The monthly churn rate was 2.57% compared with 2.8% reported in the year-ago quarter.
As of Dec. 31, 2025, the postpaid wireless subscriber base totaled 10.96 million, representing net additions of 227K subscribers year over year. The monthly churn rate was 1.43% compared with 1.53% in the year-ago quarter.
Segment operating expenses decreased 1.1% year over year to C$1.60 billion.
Adjusted EBITDA increased 1% year over year to C$1.374 billion. Adjusted EBITDA margin expanded 40 basis points (bps) on a year-over-year basis to 66.8%.
Cable Details
Cable revenues (32.1% of total revenues) increased 0.1% year over year to C$1.98 billion.
Service revenues grew 0.3% year over year to C$1.97 billion. Equipment revenues decreased 33.3% on a year-over-year basis to C$10 million.
As of Dec. 31, 2025, the retail Internet subscriber count was nearly 4.497 million, representing a net increase of 224K subscribers year over year.
As of Dec. 31, 2025, total Smart Home Monitoring subscribers reached 153K, indicating an increase of 20K subscribers. The total Home Phone subscriber count was nearly 1.39 million, reflecting a loss of 118K customers in the reported quarter.
ARPA was C$135.66, lower than the C$140.31 reported in the year-ago quarter.
Segment operating expenses declined 0.9% year over year to C$807 million.
Adjusted EBITDA increased 0.7% year over year to C$1.18 billion.
Media Details
Media revenues (20% of total revenues) increased 126% year over year to C$1.24 billion.
Segment operating expenses increased 106.3% year over year to C$1.02 billion. The segment reported an adjusted EBITDA of $221 million.
Consolidated Results
Operating costs increased 18.1% to C$3.48 billion. As a percentage of revenues, operating costs expanded 260 bps to 56.4%.
Adjusted EBITDA increased 6.2% year over year to C$2.69 billion. Adjusted EBITDA margin contracted 260 bps to 43.6%.
Balance Sheet & Cash Flow Details
As of Dec. 31, 2025, Rogers Communications had C$5.9 billion of available liquidity, including C$1.3 billion in cash and cash equivalents, and C$4.5 billion available under bank and other credit facilities. In comparison, the company had C$6.4 billion of available liquidity as of Sept. 30, 2025, including $1.5 billion in cash and cash equivalents, and C$4.9 billion available under the bank credit facility.
Rogers Communications’ debt leverage ratio was 3.9 times as of Dec. 31, 2025, reflecting the impacts of the MLSE transaction that closed during the quarter.
Cash flow from operating activities was C$1.65 billion, up 45.6% year over year from C$1.13 billion due to lower net investment in net operating assets and liabilities and higher adjusted EBITDA.
The free cash flow was C$1.02 billion compared with C$829 million generated in the previous quarter. On a year-over-year basis, it increased 15.7% due to higher adjusted EBITDA.
Rogers Communications paid out dividends worth C$270 million and declared a dividend of C$0.50 per share on Jan. 28, 2026.
RCI’s 2026 Guidance
For 2026, RCI expects total service revenues to grow between 3% and 5%, and adjusted EBITDA to rise between 1% and 3%, with slight changes in the EBITDA range while total service revenues remain unchanged from the prior guidance.
Capital expenditure is projected to be C$3.3 billion to C$3.5 billion, slightly below the prior guidance of C$3.8 billion. The ree cash flow guidance has been raised between C$3.3 billion and C$3.5 billion, up from the earlier mentioned C$3.2-C$3.3 billion.
Zacks Rank & Stocks to Consider
Currently, RCI carries a Zacks Rank #3 (Hold).
Some better-ranked stocks that investors can consider in the broader Zacks Utilities sector are Ameren (AEE - Free Report) , Avista (AVA - Free Report) and California Water (CWT - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Ameren shares have jumped 10.3% in the trailing 12-month period. AEE is set to report its fourth-quarter fiscal 2025 results on Feb. 12.
Avista shares have gained 11.6% in the trailing 12 months. AVA is set to report its fourth-quarter 2025 results on Feb. 25.
California Water shares have declined 0.8% in the trailing 12 months. CWT is set to report its fourth-quarter 2025 results on Feb. 26.