Rogers Earnings: A Rerun of Good Wireless Subscriber Growth as Cost Savings Offset Cable Stagnation

Rogers had a good first quarter, with results looking similar to what we saw throughout 2022. Highlights included continued impressive wireless subscriber growth and strong cable margins. On the other hand, cable subscribers and revenue are stagnant, and wireless average revenue per customer, or ARPU, growth is relying solely on a return of roaming revenue—a phenomenon that should peter out soon. The quarter also did not include Shaw, as that merger closed on April 3. After incorporating the first-quarter results and our estimates for exactly what Rogers will receive from Shaw, we’re raising our fair value estimate to CAD 75 from CAD 73.