VANCOUVER - TELUS International (NYSE:TIXT) reported first-quarter earnings that surpassed analyst expectations, while revenue fell short of forecasts. The company announced an adjusted EPS of $0.22, which was $0.03 higher than the analyst estimate of $0.19. However, the revenue for the quarter was $657 million, not meeting the consensus estimate of $675.08 million.
The company's performance in the first quarter was marked by robust customer growth, including a record number of connected device net additions and strong demand for its mobility and fixed services.
Despite the positive customer metrics, the overall operating revenues saw a slight decrease of 0.6% from the same period last year, attributed to declines in TV and fixed legacy voice services revenues.
TELUS International's President and CEO, Darren Entwistle, highlighted the company's strategic execution and cost efficiency initiatives as key drivers behind the solid financial results and industry-leading customer additions. The company also announced a quarterly dividend increase of 7.0% from the same period last year, marking the twenty-sixth increase since May 2011.
Looking ahead, TELUS International provided guidance for the full year of 2024, projecting an adjusted EPS range of $0.93-$0.98, with the midpoint of $0.955 falling just below the analyst consensus of $0.95. Revenue guidance for the year is anticipated to be between $2.79 billion and $2.85 billion, with the midpoint of $2.82 billion slightly above the consensus estimate of $2.81 billion.
While the company's stock movement was not specified, the financial results and forward-looking guidance reflect a continued commitment to growth and shareholder returns.
The company reiterates its 2024 financial targets, including adjusted EBITDA growth and a robust free cash flow projection, underscoring confidence in its operational strategy and financial health.
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