TELUS Q1 2009: “results do not meet the expectations”

teluslogoTELUS has released their official Q1 2009 results and looking back, the future was not so friendly. Foremost, they have increased their “Restructuring Expenses” from $50 – $75 million to a now whopping $125 million.

Darren Entwistle, TELUS president and CEO said “Clearly, TELUS’ wireless results do not meet the expectations we
set late last year and are reflective of the weakening Canadian economy and competitive activity. Given the current environment, TELUS has accelerated our efficiency initiatives. Accordingly, we have significantly increased our restructuring cost estimate for this year to approximately $125 million to drive efficiency and enhance our competitiveness.”

“Wireless data revenue increased $61 million or 41% due to the continued adoption of full function smartphones with increased use of data services such as messaging and social networking. Net subscriber additions were 48,000, a decrease of 46%, Postpaid net additions of 44,000 represented 92% of the total net additions. ARPU (average revenue per subscriber unit per month) declined by 5.6% to $58.39, while the decline in the voice revenue worsened due to lower business-oriented Mike service revenue, increased use of in-bucket minutes, adoption of lower priced rate plans, decreased roaming revenues, and increased penetration of the Koodo brand.

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