Cogeco reports decline in profit despite record quarterly internet customer additions

By The Canadian Press on November 2, 2023.

MONTREAL – Cogeco Inc. reported a profit attributable to shareholders of $29.2 million in its fourth quarter, down 19.8 per cent from earnings of $36.4 million during the same period a year ago.

The company says it saw a quarterly 15-year high of 14,041 internet service customer net additions driven by organic growth and new customers gained from network expansions.

Cogeco reported revenue of $766.7 million, up 2.6 per cent from a year ago.

Meanwhile, its cable and internet subsidiary, Cogeco Communications Inc., says profit attributable to shareholders was $86.5 million, down 17.6 per cent from a year earlier. Revenue for the third quarter ended Aug. 31 was $743.4million, up 2.5 per cent from a year earlier.

Chief executive Philippe Jetté says while there remains a challenging economic and competitive environment in the U.S., consumer demand for Cogeco’s higher speed offerings has resulted in rising revenue per subscriber to help offset customer losses at lower price points.

The company also announced dividend increases for shareholders of both the parent company and subsidiary.

This report by The Canadian Press was first published Nov. 2, 2023.

Companies in this story: (TSX:CGO, TSX:CCA)

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