Slide 1: Q4 2021 investor conference call
Q4 2021 investor conference call Thursday, February 10, 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: Executing on our long-standing growth strategy
Executing On our long-standing growth strategy ● Achieving robust operational and financial results across our business ● Industry-leading profitable customer growth and customer loyalty ● Delivering outstanding connected experiences on our world-leading networks ● Continuing strong momentum from ou
Slide 4: Mobile operating results
Mobile Operating results $57.45 1.04% +112,000 +81,000 Mobile phone ARPU Mobile phone Mobile phone Connected churn net adds device net adds +1.0% y/y Down 5 bps y/y +25,000 y/y (7,000) 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 +40,000 +18,000 +31,000 +79,000 Internet TV Security Total fixed net adds net adds net adds net adds (4,000) y/y (2,000) y/y +8,000 y/y +1,000 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 and leadership ● More than 2.7 million premises covered by PureFibre network ● 5G network covering 70% of population ● Declining capex beginning in 2023 to $2.5 billion, or less 6
Slide 7: Leading the world in social capitalism
Leading the world in social capitalism ● TELUS Friendly Future Foundation committed $8.7 million in cash donations to 500 charitable organizations focused on providing resources and support for at-risk youth and other marginalized populations around the world ● Our Health for Good program serves 14
Slide 8: Health services
Health services Q4 2021 results $141 20.6 2.8 142.8 million million million million Services Lives Virtual care Digital revenue covered members transactions +19% y/y +3.7 million y/y +1.1 million y/y +7.7 million y/y Transforming access to care and revolutionizing how Canadians experience healthcare
Slide 9: Financial Results
Financial Results
Slide 10: TELUS Technology Solutions (TTech)
TELUS Technology Solutions (TTech) Q4 2021 results $1,591 $1,154 $4,234 $1,348 million million million million Mobile network Fixed data External Adjusted revenue services revenue revenue EBITDA +5.0% +11.7% +17.9% +6.7% Our consistent focus on profitable loading and our differentiated asset mix dri
Slide 11: Digitally-led customer experiences (DLCX)
Digitally-led customer experiences (DLCX) Q4 2021 results $638 $169 $126 million million million External Adjusted Adjusted EBITDA revenue EBITDA less capex +36.0% +14.6% +2.4% Innovating digital transformation journeys and enabling clients globally to deliver better business and customer outcomes 1
Slide 12: Consolidated
Consolidated Q4 2021 results $4,872 $663 $1,517 million million million Consolidated Net Adjusted Revenue1 Income1 EBITDA2 +20.0% +144.6% +7.6% 1 Includes a gain on the disposition of our financial solutions business of $410 million. Excluding the gain, Operating revenues and other income and Net in
Slide 13: Strong liquidity position
Strong liquidity position Leading results driving our strong balance sheet and liquidity position ● Weighted average cost of long-term debt of 3.72% ● Average long-term debt term to maturity of 12.5 years ● Available liquidity1 of $2.1 billion ● $2.75 billion syndicated credit facility expiring Apri
Slide 14: 2022 consolidated financial targets
2022 consolidated 1 financial targets 2022 Targets Operating Revenue2 8 to 10% Adjusted EBITDA 8 to 10% Free cash flow3 $1 to $1.2 billion Capital expenditures (excluding spectrum licenses) Approximately $3.4 billion 1 See slide 2 – Caution regarding forward looking statements. 2 For 2022, we are gu
Slide 15: Questions?
Questions? Investor relations 1-800-667-4871 telus.com/investors IR@telus.com
Slide 16: Appendix 1: Ad hoc disclosure items
Appendix 1: Ad hoc disclosure items ● Over 1.7 million net customer additions over the last 24 months, well ahead of peers, demonstrating the significant economic value we are creating through our consistent execution ● Blended Mobile Phone, Internet, Optik TV, Security and Voice churn all below 1%
Slide 17: 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: ● Available liquidity is a non-GAAP financial measure. Consolidated Adjusted EBITDA is an other
Slide 18: Giving compar
Giving compar