NOVEMBER 6, 2026
TELUS Reports Third Quarter 2026 Results, Demonstrates Continued Discipline in Core Telecom; Advances Transformation Strategy
Vancouver, B.C. – TELUS Corporation (TSX: T, NYSE: TU) today released its unaudited results for the third quarter ended September 30, 2026. The Company is advancing a comprehensive Transformation Strategy to fund debt reduction and growth investment in core telecom and AI infrastructure.
Third quarter 2026 highlights
- In support of Transformation Strategy, announcing an efficiency program targeting annualized cash savings of approximately $900 million exiting 2028 to be delivered via operational cost and margin improvement, and capital expenditure efficiencies.
- Monetization of non-core businesses is progressing, with near-term priority focused on accelerating the monetization of TELUS Health and TELUS Agriculture & Consumer Goods. Proceeds to be directed toward debt reduction.
- Investing strategically in Canada to grow core Telecom, and AI infrastructure
- Marc Allera and Bill Thomas appointed to the TELUS Board of Directors, adding extensive global telecommunications, digital transformation, and corporate governance experience.
- Strength in core Telecom driven by favourability in mobile network and fixed data revenues, offset by TELUS Digital, as expected, resulting in a 1 per cent decline in Consolidated Service revenue to $4.5 billion.
- Net loss of $660 million driven by a pre-tax, non-cash goodwill impairment of $800 million, reflecting a reduction in the recoverable amount of the TELUS Health cash-generating unit due to updated growth expectations, broader market conditions and valuation update within the health portfolio as a result of the active divestiture process.
- Consolidated Adjusted EBITDA of $1.8 billion declined 5 per cent reflecting lower TELUS Digital results from lower client service volumes from two hyperscale clients, and lapping prior-year real estate gains and other one-time items. Normalizing for those items, consolidated Adjusted EBITDA declined 2 per cent.
- Mobile network revenue growth of 1 per cent driven by 84,000 net new mobile phone customers, stable ARPU performance of $57.22; blended mobile phone churn of 1.01 per cent, a three-year low.
- Net debt to Adjusted EBITDA of 3.6-times at quarter-end, reflecting an increase in net debt levels and lower EBITDA consistent with annual outlook; committed to achieving 3.0-times or lower by year-end 2028 through operational improvements, asset monetization, and disciplined capital allocation.
- Reaffirmed full-year 2026 guidance, as updated with the release of second quarter 2026 results.
“Since our second quarter earnings call, our core telecom business has shown clear signs of stabilization and we have made important progress on the execution of our Transformation Strategy,” said Victor Dodig, President and Chief Executive Officer. “Our strategy has one clear objective: returning TELUS to a leading communications and AI infrastructure player in Canada. We’ve identified specific levers to structurally transform TELUS, and we’re moving with clarity and urgency to strengthen our financial foundation, hone our operational discipline and control costs, and deploy resources to drive profitable and sustainable growth and returns.”
“To this end, we are launching a multi-year efficiency program targeting approximately $900 million in annualized cash savings exiting 2028, which will support balance sheet deleveraging and sustainable profitability for the long term. I am confident that our Transformation Strategy will establish TELUS as a leaner, more focused business better positioned to deliver sustainable, profitable growth and long-term shareholder value,” concluded Mr. Dodig.
“Our third quarter results are in line with the expectations we set in July, and we are reaffirming our full-year 2026 annual targets,” said Gopi Chande, Chief Financial Officer. “The efficiency program we announced today is expected to structurally improve our earnings power and free cash flow, giving us the flexibility to reduce debt while continuing to invest in the business. Together with the dividend reset, and removal of the DRIP discount that we announced in July, coupled with our active asset monetization program, our plan creates a clear path to achieving our net debt to Adjusted EBITDA leverage target of 3.0-times or lower by year-end 2028.”
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