Montréal, Québec - Quebecor Inc. (“Quebecor” or “the Corporation”) today reported its consolidated financial results for the first quarter of 2025.

First quarter 2025 highlights

• In the first quarter of 2025, Quebecor recorded cash flows provided by operating activities of $420.2 million, up $31.4 million (8.1%) from the same quarter of 2024, revenues of $1.34 billion, down $19.7 million (-1.4%), and adjusted EBITDA of $549.6 million, a decrease of $9.9 million (-1.8%) more than entirely attributable to the significant $22.5 million increase in the stock-based compensation charge. Excluding this accounting charge, adjusted EBITDA was up $12.6 million (2.3%).

• The Telecommunications segment’s adjusted EBITDA increased by $5.9 million (1.0%), or $12.5 million (2.2%), excluding the impact of the stock-based compensation charge, and its revenues decreased by $19.4 million (-1.6%), due mainly to lower equipment sales, partly offset by growth in mobile services. Its adjusted cash flows from operations remained fairly stable at $439.2 million (-0.8%) in the first quarter, taking into account increased investments of $9.3 million related to the Canada-wide expansion plan.

• The Telecommunications segment generated a net increase of 54,400 (1.3%) connections to the mobile telephony service and 34,300 (0.4%) total revenue-generating units (“RGUs”).

• Quebecor’s net income attributable to shareholders: $190.7 million ($0.82 per basic share), an increase of $17.5 million ($0.07 per basic share) or 10.1%.

• Adjusted income from operating activities: $185.1 million ($0.80 per basic share), an increase of $22.0 million ($0.09 per basic share) or 13.5%.

• The consolidated net debt leverage ratio decreased to 3.26x, still the lowest among Canada’s major telecommunications providers.

• In the first quarter of 2025, Quebecor purchased and cancelled 1,830,000 Class B Subordinate Voting Shares (“Class B Shares”) for a total cash consideration of $60.8 million.

• On April 4, 2025, Freedom Mobile Inc. (“Freedom”) began the phased rollout of 3800 MHz spectrum across its 5G+ network in Ontario, Alberta and British Columbia. This rollout will significantly increase network capacity and deliver improved connectivity for customers with 5G+ compatible devices and plans, with download speeds that can exceed 1 Gbps. It follows on the announcement, on January 28, 2025, of a major upgrade to Freedom’s services: the inclusion of state-of-the-art 5G+ technology in all monthly mobile plans, regardless of price. 5G+ access was also automatically added to the 5G plans of all existing customers with compatible phones, at no extra cost.

• On February 20, 2025, Videotron Ltd. (“Videotron”) announced the expansion of its wireless service area to several parts of the Municipalité régionale de comté (“MRC”) de Témiscamingue. Residents and businesses in these areas can now subscribe to Videotron wireless services.

• On February 5, 2025, Fizz announced the launch of Fizz TV, an all-digital television service. Available to all Fizz Internet subscribers in Québec, Fizz TV is differentiated by a pick-and-pay model that lets users build their own TV plan.

Comments by Pierre Karl Péladeau, President and Chief Executive Officer of Quebecor
 

Quebecor continues to perform well in a highly competitive market, disrupting the established order and reshaping the industry as Canada’s fourth major telecommunications player. The Corporation continues to make progress, gaining market share quarter after quarter while consolidating its position as the most profitable player in the sector, supported by the strongest balance sheet in the Canadian telecommunications industry.

Quebecor posted solid financial results in the first quarter of 2025, including increases of 8.1% in cash flows provided by operating activities and 13.5% in adjusted income from operating activities. As a result of this strong performance, driven by rigorous disciplined management, we were able to reduce our consolidated net debt by more than $155.0 million in the first quarter of 2025 and lower our consolidated net debt leverage ratio to 3.26x at March 31, 2025, the lowest among Canada’s major telecommunications providers.

In an aggressively competitive business environment, our innovative range of products offered at competitive prices allowed us to deliver an increase of 54,400 (1.3%) new mobile lines in the first quarter of 2025, the best growth rate among Canada’s leading telecommunications providers, and 367,500 (9.6%) lines over the past twelve months. We continued investing in our network, in line with our priority of delivering a superior customer experience. Since April 2025, we have been gradually deploying 3800 MHz spectrum across Freedom’s 5G+ network in Ontario, Alberta and British Columbia. With access to state-of-the-art 5G+ technology now included in all Freedom monthly mobile plans, regardless of price, this rollout will significantly boost network capacity and performance. In February 2025, Freedom also launched a new range of mobile plans in Manitoba that offer higher data caps and include “Roam Beyond” international roaming.

Freedom brand awareness is also growing. Freedom is an official sponsor of the 2025 Calgary Stampede, one of Canada’s most iconic cultural events; the exceptional exposure to millions of attendees and television viewers will strengthen its national positioning.

We are also proud of the resounding success of Fizz TV, the all-digital television service we launched in February 2025. Available to Fizz Internet subscribers in Québec, Fizz TV meets the needs of customers seeking flexibility, accessibility and innovation. More than 12,000 new customers signed up in just a few weeks, confirming the relevance of our offer and the appeal of the Fizz brand in a fast-changing market.

Videotron continued to pick up distinctions, ranking as the most respected telecommunications company in Québec for the 19th time since 2006 in Léger’s 2025 Reputation survey. It also hit a double in Léger’s WOW 2025 index, in which it ranked first among telecom retailers for in-store experience in Québec while Fizz was first in Canada for online experience for the sixth year in a row. Freedom moved up to third place for online experience.

Although its current restructuring plans have reduced operating expenses considerably, TVA Group Inc. (“TVA Group”) recorded negative adjusted EBITDA of $20.5 million in the first quarter of 2025 as a result of a significant ongoing decline in advertising revenues due to the general crisis in the media industry and fewer major foreign productions filming at our MELS studios. We must therefore maintain a rigorous approach in order to meet the current challenges and safeguard the future of the business. 

Even though TVA Group gained market share, climbing to a total of 42.4% in the Winter 2025 season (January 6 to April 6, 2025), our advertising revenues continued to decline. Our platforms deliver considerably more viewing hours than the American platforms, but advertisers continue to pour their dollars into the latter. Yet their reliability pales in comparison with the credibility of local media, which offer advertisers an unrivalled showcase and reach their target audiences more effectively. As we have repeatedly argued, we believe that the federal government must eliminate the tax deduction for advertising spending on foreign platforms and, conversely, introduce a tax deduction for investment in domestic businesses. At a time when the proliferation of fake news on social media is widely condemned, it defies logic that our public institutions continue to encourage foreign platforms and our governments support them through unfair favourable tax treatment.

Moreover, as private broadcasters struggle to survive in an over-regulated, over-taxed and loss-making broadcasting environment with a long-obsolete business model, the federal government must move quickly to implement the recommendations of the 2020 Yale Report by reforming CBC/Radio-Canada and its mandate, in particular by eliminating advertising in order to support private broadcasters, for which it is the main source of revenue.

I would like to mention the upcoming retirement, on May 14, of Lyne Robitaille, Senior Vice President, Newspapers, Books and Magazines, and a valued contributor for the past 36 years. Lyne has had a remarkable career. Over the years, she has led the development and growth of several Quebecor subsidiaries. She oversaw a number of major transformations at Quebecor, including the digital transition of our newspapers, which made Le Journal de Montréal and Le Journal de Québec the most-read newspapers in Québec across all platforms, with over 3.1 million readers per week. On behalf of Quebecor, I wish her all the best in her well-deserved retirement.

In April 2025, on the occasion of the 100th anniversary of the birth of Pierre Péladeau, Quebecor launched a year-long tribute to honour the memory of its founder, a visionary builder of Québec Inc. who helped transform and modernize Québec society and its economy. This anniversary is also a reminder that the philanthropic commitment that was so important to Pierre Péladeau remains central to Quebecor’s values, as our recent historic donations—$20 million to Université Laval to support the Carrefour international Brian-Mulroney and $10 million to the Fondation du CHU de Québec to support its integrated cancer centre—eloquently demonstrate. Several other events will follow in the course of the year.

Today, the innovation, ambition and courage to think big that we inherited from Pierre Péladeau continue to drive our growth and expansion. Extending our track record of successful execution, we are maintaining rigorous financial discipline and building on solid foundations to achieve our objectives and create long-term value for all our stakeholders.




 

For more details and to consult definitions of "adjusted EBITDA", "adjusted income from operations", "adjusted cash flows from operations", "revenue-generating unit" and "consolidated net debt leverage ratio", please refer to the attached PDF file for the complete version of the press release.

 

Information :

Hugues Simard
Chief Financial Officer
Quebecor Inc. and Quebecor Media Inc.
hugues.simard@quebecor.com
514 380-7414
 

Communications department
Quebecor Inc. and Quebecor Media Inc.
medias@quebecor.com
514 380-4572