Slide 1: Q3 2022 investor conference call
Q3 2022 investor conference call November 4, 2022
Slide 2: Caution regarding forward-looking statements
Caution regarding forward-looking statements Today’s discussion may contain forward-looking statements, including statements relating to our objectives and strategies, our 2022 targets, outlook, updates, our plans and expectations regarding the impact of the COVID-19 pandemic and responses to it, an
Slide 3: Demonstrating Continued Execution Excellence
Demonstrating Continued Execution Excellence ● Achieving strong operational and financial results ● Leading customer growth underpinned by our consistent industry-best client loyalty ● Delivering superior offerings and digital capabilities over our world-leading networks ● Continuing strong momentum
Slide 4: Mobile Operating Results
Mobile Operating Results Q3 2022 $59.48 0.95% +150,000 +124,000 Mobile phone Mobile phone Mobile phone Connected device ARPU churn net adds net adds +2.3% y/y +5 bps +15,000 y/y +14,000 y/y Continued high-quality and profitable customer growth leveraged by our strong digital capabilities and ability
Slide 5: Fixed Operating Results
Fixed Operating Results Q3 2022 +36,000 +18,000 +25,000 +73,000 Internet TV Security Total fixed net adds net adds net adds net adds (10,000) y/y +8,000 y/y (5,000) y/y (2,000) y/y Our diversified and superior product portfolio driving higher product intensity and high quality customer growth 5
Slide 6: Accelerated Broadband Investment Program
Accelerated Broadband Investment Program ● Investing from a position of strength ● Accelerated broadband build to be complete in 2022 ● PureFibre network to 2.9 million premises ● Enabling 80% of Canadians over our 5G network Capex to decline meaningfully in 2023, supporting significant cash flow ex
Slide 7: Health Services
Health Services Revolutionizing Access to Healthcare $225 million 60.4 million 4.0 million 143.2 million Services revenue Lives covered Virtual care members Digital transactions +73% y/y +41.1 million y/y +1.7 million y/y +5.3 million y/y Delivering robust revenue growth while continuing to scale ou
Slide 8: Agriculture & Consumer Goods Services
Agriculture & Consumer Goods Services Digitally connecting the food value chain +29% revenue +1,600 team Serving customers in growth y/y members globally over 50 countries Empowering the agriculture and consumer goods industry with digital technologies and data insights to create the best producer-t
Slide 9: Returning Capital to Shareholders
Returning Capital to Shareholders ● Targeting 7 to 10% annual dividend growth for 2023 through 2025 ● Quarterly dividend declared of $0.3511 payable January 3, 2023, up 7.2% YoY ● 23 dividend increases since dividend growth program initiated in May 2011 ● Returning more than $22 billion to sharehold
Slide 10: Leading the World in Social Capitalism
Leading the World in Social Capitalism ● Demonstrated our unwavering commitment to put our customers and communities first by enabling over $760,000 in community giving through cash and in-kind contributions from TELUS, our team members and customers as well as TELUS Friendly Future Foundation to su
Slide 11: Financial Results
Financial Results
Slide 12: TELUS Technology solutions (TTech)
TELUS Technology solutions (TTech) Q3 2022 results $1,696 $1,099 $4,004 $1,524 million million million million Mobile network Fixed data External Adjusted revenue services revenue1 revenue EBITDA +6.8% +5.4% +9.3% +8.1% 1 Excludes health services as well as agriculture & consumer goods services reve
Slide 13: Digitally-led customer experiences (DLCX)
Digitally-led customer experiences (DLCX) Q3 2022 results $667 million $200 million 24.9% External Adjusted Adjusted EBITDA revenue EBITDA margin1 +13.6% +35.5% +3.8 pts 1 This is a non-GAAP ratio that does not have any standardized meaning prescribed by IFRS-IASB and might not be comparable to simi
Slide 14: Consolidated
Consolidated Q3 2022 results $4,671 $551 $1,724 $331 million million million million Operating revenues Net Adjusted Free and other income income EBITDA1 Cash Flow1 +9.9% +53.9% +10.7% +63.1% 1 These are specified financial measures. For quantitative reconciliations, see Section 11.1 of the 2022 Q3
Slide 15: 2022 consolidated targets
2022 consolidated targets Operating revenues(1) Growth of approximately 8.0% Adjusted EBITDA Growth of 9 to 10% Consolidated capex (excluding Approximately $3.475 billion spectrum licences) Free cash flow Approximately $1.3 billion 1 For 2022, we are guiding on operating revenues, which excludes oth
Slide 16: Strong liquidity position
Strong liquidity position Leading results driving our strong balance sheet and liquidity position ● Weighted average cost of long-term debt of 3.95% ● Average long-term debt term to maturity of 12.1 years ● Available liquidity1 of $3.4 billion ● $2.75 billion syndicated credit facility expiring Apri
Slide 17: Questions?
Questions? Investor relations 1-800-667-4871 telus.com/investors IR@telus.com
Slide 18: Appendix 1: Ad hoc disclosure items
Appendix 1: Ad hoc disclosure items ● Mobile and fixed net additions of 347,000 in Q3/22, up 27,000 over last year, and our strongest quarter on record. ● Mobile phone net additions of 150,000 in Q3/22, the best quarterly result since 2010; record high connected device net additions of 124,000. ● Bl
Slide 19: Appendix 2: Key definitions
Appendix 2: Key definitions Our presentation and answers include the following non-GAAP and other specified financial measures, which may not be comparable to similar measures presented by other issuers: ● DLCX Adjusted EBITDA margin is a non-GAAP ratio and Available liquidity is a non-GAAP financial me
Slide 20: Let's make the future friendly, together.
Let's make the future friendly, together.