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UPDATE 1-Telus profit misses as it pays more to win wireless customers

Published 2017-02-09, 06:43 a/m
© Reuters.  UPDATE 1-Telus profit misses as it pays more to win wireless customers
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Feb 9 (Reuters) - Telus Corp T.TO , one of Canada's three big telecom providers, reported a smaller-than-expected quarterly profit on Thursday as operating expenses rose and it spent more to attract wireless customers.

The company said it expects 2017 revenue to grow by 2.5-3.5 percent.

Telus added 87,000 net postpaid wireless customers in the fourth quarter ended Dec. 31, compared with 62,000 a year earlier.

The company's wireless customers, on average, including those on contracts and those who pay upfront for cellular service, paid C$66.24 per month, about 4 percent higher than a year earlier.

However, Telus's cost of acquiring wireless customers rose about 6 percent to C$500 per gross subscriber addition.

The company's net income fell 67 percent to C$87 million ($66.31 million), or 14 Canadian cents per share, in the fourth quarter. items, including a restructuring charge of C$255 million, the company earned 53 Canadian cents per share, missing the average analysts' estimate of 58 Canadian cents, according to Thomson Reuters I/B/E/S.

Telus' operating revenue rose 2.7 percent to C$3.31 billion, missing estimates of C$3.33 billion. ($1 = 1.3120 Canadian dollars)

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