EXHIBIT 3
BCE Inc.(1)
Consolidated Operational Data
| Q1 | Q1 | ||||||||||||
($ millions, except per share amounts) (unaudited) | 2009 | 2008 | $ change | % change | ||||||||||
Operating revenues | 4,342 | 4,360 | (18 | ) | (0.4 | %) | ||||||||
Cost of revenue, exclusive of depreciation and amortization | (1,097 | ) | (1,059 | ) | (38 | ) | (3.6 | %) | ||||||
Selling, general and administrative expenses(A) | (1,400 | ) | (1,479 | ) | 79 | 5.3 | % | |||||||
Net benefit plans cost | (88 | ) | (71 | ) | (17 | ) | (23.9 | %) | ||||||
EBITDA(3) | 1,757 | 1,751 | 6 | 0.3 | % | |||||||||
EBITDA margin(4) | 40.5 | % | 40.2 | % | 0.3 | pts | ||||||||
Depreciation | (626 | ) | (623 | ) | (3 | ) | (0.5 | %) | ||||||
Amortization of intangible assets | (193 | ) | (195 | ) | 2 | 1.0 | % | |||||||
Restructuring and other | (109 | ) | (283 | ) | 174 | 61.5 | % | |||||||
Operating income | 829 | 650 | 179 | 27.5 | % | |||||||||
Other income | 2 | 22 | (20 | ) | (90.9 | %) | ||||||||
Interest expense | (191 | ) | (198 | ) | 7 | 3.5 | % | |||||||
Pre-tax earnings from continuing operations | 640 | 474 | 166 | 35.0 | % | |||||||||
Income taxes | (147 | ) | (109 | ) | (38 | ) | (34.9 | %) | ||||||
Non-controlling interest | (82 | ) | (74 | ) | (8 | ) | (10.8 | %) | ||||||
Earnings from continuing operations | 411 | 291 | 120 | 41.2 | % | |||||||||
Discontinued operations | (5 | ) | (2 | ) | (3 | ) | n.m. | |||||||
Net earnings | 406 | 289 | 117 | 40.5 | % | |||||||||
Dividends on preferred shares | (29 | ) | (31 | ) | 2 | 6.5 | % | |||||||
Net earnings applicable to common shares | 377 | 258 | 119 | 46.1 | % | |||||||||
Net earnings per common share - basic | ||||||||||||||
Continuing operations | $ | 0.48 | $ | 0.32 | $ | 0.16 | 50.0 | % | ||||||
Discontinued operations | $ | - | $ | - | $ | - | 0.0 | % | ||||||
Net earnings | $ | 0.48 | $ | 0.32 | $ | 0.16 | 50.0 | % | ||||||
Net earnings per common share - diluted | ||||||||||||||
Continuing operations | $ | 0.48 | $ | 0.32 | $ | 0.16 | 50.0 | % | ||||||
Discontinued operations | $ | - | $ | - | $ | - | 0.0 | % | ||||||
Net earnings | $ | 0.48 | $ | 0.32 | $ | 0.16 | 50.0 | % | ||||||
Dividends per common share | $ | 0.385 | $ | 0.365 | $ | 0.020 | 5.5 | % | ||||||
Average number of common shares outstanding - basic (millions) | 788.3 | 805.3 | ||||||||||||
Average number of common shares outstanding - diluted (millions) | 788.3 | 807.1 | ||||||||||||
| ||||||||||||||
The following items are included in net earnings: | ||||||||||||||
Net gains (losses) on investments | ||||||||||||||
Continuing operations | 1 | (2 | ) | 3 | n.m. | |||||||||
Restructuring and other | (70 | ) | (197 | ) | 127 | 64.5 | % | |||||||
Total | (69 | ) | (199 | ) | 130 | 65.3 | % | |||||||
Impact on net earnings per share | $ | (0.09 | ) | $ | (0.25 | ) | $ | 0.16 | 64.0 | % | ||||
Adjusted EPS(3) | $ | 0.57 | $ | 0.57 | $ | - | 0.0 | % | ||||||
| ||||||||||||||
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BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 2
BCE Inc.
Consolidated Operational Data - Historical Trend
| Total | ||||||||||||||||||||||
($ millions, except per share amounts) (unaudited) | Q1 09 | 2008 | Q4 08 | Q3 08 | Q2 08 | Q1 08 | |||||||||||||||||
Operating revenues | 4,342 | 17,698 | 4,488 | 4,450 | 4,400 | 4,360 | |||||||||||||||||
Cost of revenue, exclusive of depreciation and amortization | (1,097 | ) | (4,428 | ) | (1,189 | ) | (1,098 | ) | (1,082 | ) | (1,059 | ) | |||||||||||
Selling, general and administrative expenses(A) | (1,400 | ) | (6,016 | ) | (1,519 | ) | (1,513 | ) | (1,505 | ) | (1,479 | ) | |||||||||||
Net benefit plans cost | (88 | ) | (250 | ) | (40 | ) | (69 | ) | (70 | ) | (71 | ) | |||||||||||
EBITDA | 1,757 | 7,004 | 1,740 | 1,770 | 1,743 | 1,751 | |||||||||||||||||
EBITDA margin | 40.5 | % | 39.6 | % | 38.8 | % | 39.8 | % | 39.6 | % | 40.2 | % | |||||||||||
Depreciation | (626 | ) | (2,537 | ) | (683 | ) | (619 | ) | (612 | ) | (623 | ) | |||||||||||
Amortization of intangible assets | (193 | ) | (732 | ) | (187 | ) | (175 | ) | (175 | ) | (195 | ) | |||||||||||
Restructuring and other | (109 | ) | (871 | ) | (207 | ) | (310 | ) | (71 | ) | (283 | ) | |||||||||||
Operating income | 829 | 2,864 | 663 | 666 | 885 | 650 | |||||||||||||||||
Other income (expense) | 2 | (253 | ) | (281 | ) | - | 6 | 22 | |||||||||||||||
Interest expense | (191 | ) | (791 | ) | (207 | ) | (193 | ) | (193 | ) | (198 | ) | |||||||||||
Pre-tax earnings from continuing operations | 640 | 1,820 | 175 | 473 | 698 | 474 | |||||||||||||||||
Income taxes | (147 | ) | (469 | ) | (84 | ) | (81 | ) | (195 | ) | (109 | ) | |||||||||||
Non-controlling interest | (82 | ) | (320 | ) | (68 | ) | (90 | ) | (88 | ) | (74 | ) | |||||||||||
Earnings from continuing operations | 411 | 1,031 | 23 | 302 | 415 | 291 | |||||||||||||||||
Discontinued operations | (5 | ) | (88 | ) | (41 | ) | (22 | ) | (23 | ) | (2 | ) | |||||||||||
Net earnings (loss) | 406 | 943 | (18 | ) | 280 | 392 | 289 | ||||||||||||||||
Dividends on preferred shares | (29 | ) | (124 | ) | (30 | ) | (32 | ) | (31 | ) | (31 | ) | |||||||||||
Net earnings (loss) applicable to common shares | 377 | 819 | (48 | ) | 248 | 361 | 258 | ||||||||||||||||
Net earnings (loss) per common share - basic | |||||||||||||||||||||||
Continuing operations | $ | 0.48 | $ | 1.13 | $ | (0.01 | ) | $ | 0.34 | $ | 0.48 | $ | 0.32 | ||||||||||
Discontinued operations | $ | - | $ | (0.11 | ) | $ | (0.05 | ) | $ | (0.03 | ) | $ | (0.03 | ) | $ | - | |||||||
Net earnings | $ | 0.48 | $ | 1.02 | $ | (0.06 | ) | $ | 0.31 | $ | 0.45 | $ | 0.32 | ||||||||||
Net earnings (loss) per common share - diluted | |||||||||||||||||||||||
Continuing operations | $ | 0.48 | $ | 1.12 | $ | (0.01 | ) | $ | 0.33 | $ | 0.48 | $ | 0.32 | ||||||||||
Discontinued operations | $ | - | $ | (0.11 | ) | $ | (0.05 | ) | $ | (0.03 | ) | $ | (0.03 | ) | $ | - | |||||||
Net earnings | $ | 0.48 | $ | 1.01 | $ | (0.06 | ) | $ | 0.30 | $ | 0.45 | $ | 0.32 | ||||||||||
Dividends per common share | $ | 0.385 | $ | 0.730 | $ | 0.365 | $ | - | $ | - | $ | 0.365 | |||||||||||
Average number of common shares outstanding - basic (millions) | 788.3 | 805.8 | 806.4 | 806.0 | 805.6 | 805.3 | |||||||||||||||||
Average number of common shares outstanding - diluted (millions) | 788.3 | 807.2 | 806.9 | 808.3 | 807.2 | 807.1 | |||||||||||||||||
The following items are included in net earnings (loss): | |||||||||||||||||||||||
Net gains (losses) on investments | |||||||||||||||||||||||
Continuing operations | 1 | (358 | ) | (346 | ) | (14 | ) | 4 | (2 | ) | |||||||||||||
Discontinued operations | - | (62 | ) | (26 | ) | (16 | ) | (20 | ) | - | |||||||||||||
Restructuring and other | (70 | ) | (572 | ) | (117 | ) | (210 | ) | (48 | ) | (197 | ) | |||||||||||
Total | (69 | ) | (992 | ) | (489 | ) | (240 | ) | (64 | ) | (199 | ) | |||||||||||
Impact on net earnings per share | $ | (0.09 | ) | $ | (1.23 | ) | $ | (0.61 | ) | $ | (0.29 | ) | $ | (0.08 | ) | $ | (0.25 | ) | |||||
Adjusted EPS | $ | 0.57 | $ | 2.25 | $ | 0.55 | $ | 0.60 | $ | 0.53 | $ | 0.57 | |||||||||||
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BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 3
BCE Inc.
Segmented Data(2)
| Q1 | Q1 | |||||||||
($ millions, except where otherwise indicated) (unaudited) | 2009 | 2008 | $ change | % change | |||||||
Revenues | |||||||||||
Bell Wireline | 2,592 | 2,655 | (63 | ) | (2.4 | %) | |||||
Bell Wireless | 1,079 | 1,043 | 36 | 3.5 | % | ||||||
Inter-segment eliminations | (48 | ) | (58 | ) | 10 | 17.2 | % | ||||
Total Bell | 3,623 | 3,640 | (17 | ) | (0.5 | %) | |||||
Bell Aliant | 828 | 858 | (30 | ) | (3.5 | %) | |||||
Inter-segment eliminations | (109 | ) | (138 | ) | 29 | 21.0 | % | ||||
Total BCE Inc. | 4,342 | 4,360 | (18 | ) | (0.4 | %) | |||||
EBITDA | |||||||||||
Bell Wireline | 992 | 1,012 | (20 | ) | (2.0 | %) | |||||
Margin | 38.3 | % | 38.1 | % | 0.2 | pts | |||||
Bell Wireless | 434 | 410 | 24 | 5.9 | % | ||||||
Margin | 40.2 | % | 39.3 | % | 0.9 | pts | |||||
Total Bell | 1,426 | 1,422 | 4 | 0.3 | % | ||||||
Margin | 39.4 | % | 39.1 | % | 0.3 | pts | |||||
Bell Aliant | 331 | 329 | 2 | 0.6 | % | ||||||
Margin | 40.0 | % | 38.3 | % | 1.7 | pts | |||||
Total BCE Inc. | 1,757 | 1,751 | 6 | 0.3 | % | ||||||
Margin | 40.5 | % | 40.2 | % | 0.3 | pts | |||||
Operating income | |||||||||||
Bell Wireline | 349 | 181 | 168 | 92.8 | % | ||||||
Bell Wireless | 300 | 293 | 7 | 2.4 | % | ||||||
Total Bell | 649 | 474 | 175 | 36.9 | % | ||||||
Bell Aliant | 180 | 176 | 4 | 2.3 | % | ||||||
Total BCE Inc. | 829 | 650 | 179 | 27.5 | % | ||||||
Capital expenditures | |||||||||||
Bell Wireline | 352 | 389 | 37 | 9.5 | % | ||||||
Capital Intensity(5) | 13.6 | % | 14.7 | % | 1.1 | pts | |||||
Bell Wireless | 130 | 67 | (63 | ) | (94.0 | %) | |||||
Capital intensity | 12.0 | % | 6.4 | % | (5.6 | ) pts | |||||
Total Bell | 482 | 456 | (26 | ) | (5.7 | %) | |||||
Capital Intensity | 13.3 | % | 12.5 | % | (0.8 | ) pts | |||||
Bell Aliant | 108 | 95 | (13 | ) | (13.7 | %) | |||||
Capital Intensity | 13.0 | % | 11.1 | % | (1.9 | ) pts | |||||
Total BCE Inc. | 590 | 551 | (39 | ) | (7.1 | %) | |||||
Capital Intensity | 13.6 | % | 12.6 | % | (1.0 | ) pt | |||||
BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 4
BCE Inc.
Segmented Data - Historical Trend
| Total | ||||||||||||||||
($ millions, except where otherwise indicated) (unaudited) | Q1 09 | 2008 | Q4 08 | Q3 08 | Q2 08 | Q1 08 | |||||||||||
Revenues | |||||||||||||||||
Bell Wireline | 2,592 | 10,640 | 2,726 | 2,632 | 2,627 | 2,655 | |||||||||||
Bell Wireless | 1,079 | 4,481 | 1,135 | 1,180 | 1,123 | 1,043 | |||||||||||
Inter-segment eliminations | (48 | ) | (248 | ) | (61 | ) | (65 | ) | (64 | ) | (58 | ) | |||||
Total Bell | 3,623 | 14,873 | 3,800 | 3,747 | 3,686 | 3,640 | |||||||||||
Bell Aliant | 828 | 3,332 | 815 | 821 | 838 | 858 | |||||||||||
Inter-segment eliminations | (109 | ) | (507 | ) | (127 | ) | (118 | ) | (124 | ) | (138 | ) | |||||
Total BCE Inc. | 4,342 | 17,698 | 4,488 | 4,450 | 4,400 | 4,360 | |||||||||||
EBITDA | |||||||||||||||||
Bell Wireline | 992 | 3,868 | 937 | 953 | 966 | 1,012 | |||||||||||
Margin | 38.3 | % | 36.4 | % | 34.4 | % | 36.2 | % | 36.8 | % | 38.1 | % | |||||
Bell Wireless | 434 | 1,770 | 444 | 474 | 442 | 410 | |||||||||||
Margin | 40.2 | % | 39.5 | % | 39.1 | % | 40.2 | % | 39.4 | % | 39.3 | % | |||||
Total Bell | 1,426 | 5,638 | 1,381 | 1,427 | 1,408 | 1,422 | |||||||||||
Margin | 39.4 | % | 37.9 | % | 36.3 | % | 38.1 | % | 38.2 | % | 39.1 | % | |||||
Bell Aliant | 331 | 1,366 | 359 | 343 | 335 | 329 | |||||||||||
Margin | 40.0 | % | 41.0 | % | 44.0 | % | 41.8 | % | 40.0 | % | 38.3 | % | |||||
Total BCE Inc. | 1,757 | 7,004 | 1,740 | 1,770 | 1,743 | 1,751 | |||||||||||
Margin | 40.5 | % | 39.6 | % | 38.8 | % | 39.8 | % | 39.6 | % | 40.2 | % | |||||
Operating income | |||||||||||||||||
Bell Wireline | 349 | 902 | 226 | 125 | 370 | 181 | |||||||||||
Bell Wireless | 300 | 1,241 | 294 | 338 | 316 | 293 | |||||||||||
Total Bell | 649 | 2,143 | 520 | 463 | 686 | 474 | |||||||||||
Bell Aliant | 180 | 721 | 143 | 203 | 199 | 176 | |||||||||||
Total BCE Inc. | 829 | 2,864 | 663 | 666 | 885 | 650 | |||||||||||
Capital expenditures | |||||||||||||||||
Bell Wireline | 352 | 1,966 | 625 | 473 | 479 | 389 | |||||||||||
Capital Intensity | 13.6 | % | 18.5 | % | 22.9 | % | 18.0 | % | 18.2 | % | 14.7 | % | |||||
Bell Wireless | 130 | 493 | 229 | 93 | 104 | 67 | |||||||||||
Capital intensity | 12.0 | % | 11.0 | % | 20.2 | % | 7.9 | % | 9.3 | % | 6.4 | % | |||||
Total Bell | 482 | 2,459 | 854 | 566 | 583 | 456 | |||||||||||
Capital Intensity | 13.3 | % | 16.5 | % | 22.5 | % | 15.1 | % | 15.8 | % | 12.5 | % | |||||
Bell Aliant | 108 | 529 | 168 | 139 | 127 | 95 | |||||||||||
Capital Intensity | 13.0 | % | 15.9 | % | 20.6 | % | 16.9 | % | 15.2 | % | 11.1 | % | |||||
Total BCE Inc. | 590 | 2,988 | 1,022 | 705 | 710 | 551 | |||||||||||
Capital Intensity | 13.6 | % | 16.9 | % | 22.8 | % | 15.8 | % | 16.1 | % | 12.6 | % |
BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 5
Bell Wireline(2)
| Q1 | Q1 | ||||||
($ millions, except where otherwise indicated) (unaudited) | 2009 | 2008 | % change | |||||
Bell Wireline | ||||||||
Local & access | 805 | 857 | (6.1 | %) | ||||
Long distance | 278 | 298 | (6.7 | %) | ||||
Data | 905 | 903 | 0.2 | % | ||||
Video | 387 | 356 | 8.7 | % | ||||
Equipment & other | 140 | 154 | (9.1 | %) | ||||
Total external revenues | 2,515 | 2,568 | (2.1 | %) | ||||
Inter-segment revenues | 77 | 87 | (11.5 | %) | ||||
Total Bell Wireline operating revenue | 2,592 | 2,655 | (2.4 | %) | ||||
Operating expenses | (1,600 | ) | (1,643 | ) | 2.6 | % | ||
EBITDA | 992 | 1,012 | (2.0 | %) | ||||
EBITDA Margin | 38.3 | % | 38.1 | % | 0.2 | pts | ||
Operating income | 349 | 181 | 92.8 | % | ||||
Capital expenditures | 352 | 389 | 9.5 | % | ||||
Capital intensity | 13.6 | % | 14.7 | % | 1.1 | pts | ||
Local | ||||||||
Network access services (NAS) (k) | ||||||||
Residential(A) | 4,153 | 4,500 | (7.7 | %) | ||||
Business(B) | 3,179 | 3,240 | (1.9 | %) | ||||
Total | 7,332 | 7,740 | (5.3 | %) | ||||
Network access service net (losses)/activations (k) | ||||||||
Residential | (78 | ) | (106 | ) | 26.4 | % | ||
Business(B) | (26 | ) | (13 | ) | (100.0 | %) | ||
Total | (104 | ) | (119 | ) | 12.6 | % | ||
Long Distance (LD) | ||||||||
Conversation minutes (M) | 2,851 | 2,930 | (2.7 | %) | ||||
Average revenue per minute ($) | 0.085 | 0.093 | (8.6 | %) | ||||
Internet | ||||||||
High Speed Internet net activations (k) | 6 | 10 | (40.0 | %) | ||||
High Speed Internet subscribers EOP (k) | 2,060 | 2,014 | 2.3 | % | ||||
Video (DTH and VDSL) | ||||||||
Video EBITDA | 92 | 77 | 19.5 | % | ||||
Net subscriber activations (k) | 12 | 1 | n.m. | |||||
Total subscribers EOP (k) | 1,864 | 1,823 | 2.2 | % | ||||
ARPU(6)($/month) | 68.84 | 64.65 | 6.5 | % | ||||
Churn(7)(%) (average per month) | 1.1 | % | 1.1 | % | 0.0 | pts | ||
(A) | At the beginning of Q1 2008, an adjustment of 44k was made to our NAS count, reflecting an extensive review of our historical customer account records. |
(B) | In Q1 2008, we adjusted our beginning -of-period business NAS customer base to write-off 273k lines following formal notification received from a major wholesale customer in Q4 2007 that it was in the process of migrating all of its subscribers onto its own network facilities. |
BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 6
Bell Wireline - Historical Trend
| Total | ||||||||||||||||
($ millions, except where otherwise indicated) (unaudited) | Q1 09 | 2008 | Q4 08 | Q3 08 | Q2 08 | Q1 08 | |||||||||||
Bell Wireline | |||||||||||||||||
Local & access | 805 | 3,360 | 825 | 833 | 845 | 857 | |||||||||||
Long distance | 278 | 1,165 | 279 | 290 | 298 | 298 | |||||||||||
Data | 905 | 3,721 | 1,009 | 913 | 896 | 903 | |||||||||||
Video | 387 | 1,450 | 375 | 363 | 356 | 356 | |||||||||||
Equipment & other | 140 | 576 | 145 | 136 | 141 | 154 | |||||||||||
Total external revenues | 2,515 | 10,272 | 2,633 | 2,535 | 2,536 | 2,568 | |||||||||||
Inter-segment revenues | 77 | 368 | 93 | 97 | 91 | 87 | |||||||||||
Total Bell Wireline operating revenue | 2,592 | 10,640 | 2,726 | 2,632 | 2,627 | 2,655 | |||||||||||
Operating expenses | (1,600 | ) | (6,772 | ) | (1,789 | ) | (1,679 | ) | (1,661 | ) | (1,643 | ) | |||||
EBITDA | 992 | 3,868 | 937 | 953 | 966 | 1,012 | |||||||||||
EBITDA Margin | 38.3 | % | 36.4 | % | 34.4 | % | 36.2 | % | 36.8 | % | 38.1 | % | |||||
Operating income | 349 | 902 | 226 | 125 | 370 | 181 | |||||||||||
Capital expenditures | 352 | 1,966 | 625 | 473 | 479 | 389 | |||||||||||
Capital intensity | 13.6 | % | 18.5 | % | 22.9 | % | 18.0 | % | 18.2 | % | 14.7 | % | |||||
Local | |||||||||||||||||
Network access services (NAS) (k) | |||||||||||||||||
Residential(A) | 4,153 | 4,231 | 4,231 | 4,303 | 4,375 | 4,500 | |||||||||||
Business(B) | 3,179 | 3,205 | 3,205 | 3,233 | 3,233 | 3,240 | |||||||||||
Total | 7,332 | 7,436 | 7,436 | 7,536 | 7,608 | 7,740 | |||||||||||
Network access service net (losses)/activations (k) | |||||||||||||||||
Residential | (78 | ) | (375 | ) | (72 | ) | (72 | ) | (125 | ) | (106 | ) | |||||
Business(B) | (26 | ) | (48 | ) | (28 | ) | - | (7 | ) | (13 | ) | ||||||
Total | (104 | ) | (423 | ) | (100 | ) | (72 | ) | (132 | ) | (119 | ) | |||||
Long Distance (LD) | |||||||||||||||||
Conversation minutes (M) | 2,851 | 11,771 | 3,003 | 2,853 | 2,985 | 2,930 | |||||||||||
Average revenue per minute ($) | 0.085 | 0.089 | 0.082 | 0.093 | 0.089 | 0.093 | |||||||||||
Internet | |||||||||||||||||
High Speed Internet net activations (k) | 6 | 50 | 8 | 33 | (1 | ) | 10 | ||||||||||
High Speed Internet subscribers EOP (k) | 2,060 | 2,054 | 2,054 | 2,046 | 2,013 | 2,014 | |||||||||||
Video (DTH and VDSL) | |||||||||||||||||
Video EBITDA | 92 | 282 | 82 | 76 | 47 | 77 | |||||||||||
Net subscriber activations (k) | 12 | 30 | 14 | 7 | 8 | 1 | |||||||||||
Total subscribers EOP (k) | 1,864 | 1,852 | 1,852 | 1,838 | 1,831 | 1,823 | |||||||||||
ARPU ($/month) | 68.84 | 65.37 | 67.15 | 65.20 | 64.47 | 64.65 | |||||||||||
Churn (%) (average per month) | 1.1 | % | 1.2 | % | 1.3 | % | 1.4 | % | 1.1 | % | 1.1 | % |
(A) | At the beginning of Q1 2008, an adjustment of 44k was made to our NAS count, reflecting an extensive review of our historical customer account records. |
(B) | In Q1 2008, we adjusted our beginning -of-period business NAS customer base to write-off 273k lines following formal notification received from a major wholesale customer in Q4 2007 that it was in the process of migrating all of its subscribers onto its own network facilities. |
BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 7
Bell Wireless (2)
| Q1 | Q1 | ||||||
($ millions, except where otherwise indicated) (unaudited) | 2009 | 2008 | % change | |||||
Bell Wireless | ||||||||
Revenue | ||||||||
Service | 986 | 956 | 3.1 | % | ||||
Product | 83 | 74 | 12.2 | % | ||||
Total external Bell Wireless revenues | 1,069 | 1,030 | 3.8 | % | ||||
Inter-segment | 10 | 13 | (23.1 | %) | ||||
Total Bell Wireless operating revenues | 1,079 | 1,043 | 3.5 | % | ||||
Operating expenses | (645 | ) | (633 | ) | (1.9 | %) | ||
EBITDA | 434 | 410 | 5.9 | % | ||||
EBITDA margin (Total revenues) | 40.2 | % | 39.3 | % | 0.9 | pts | ||
EBITDA margin (Service revenues) | 44.0 | % | 42.9 | % | 1.1 | pts | ||
Operating Income | 300 | 293 | 2.4 | % | ||||
Capital expenditures | 130 | 67 | (94.0 | %) | ||||
Capital intensity | 12.0 | % | 6.4 | % | (5.6 | ) pts | ||
Wireless gross activations(A)(k) | 366 | 351 | 4.3 | % | ||||
Post-paid | 210 | 198 | 6.1 | % | ||||
Wireless net activations(A)(k) | 30 | 34 | (11.8 | %) | ||||
Post-paid | 35 | 28 | 25.0 | % | ||||
Wireless subscribers EOP(A)(k) | 6,527 | 6,250 | 4.4 | % | ||||
Post-paid | 4,780 | 4,478 | 6.7 | % | ||||
Average revenue per unit (ARPU)(B)($/month) | 51.52 | 52.32 | (1.5 | %) | ||||
Pre-paid | 15.38 | 16.50 | (6.8 | %) | ||||
Post-paid | 62.34 | 64.27 | (3.0 | %) | ||||
Churn (%)(B)(average per month) | 1.6 | % | 1.6 | % | 0.0 | pts | ||
Pre-paid | 2.9 | % | 2.8 | % | (0.1 | ) pts | ||
Post-paid | 1.2 | % | 1.3 | % | 0.1 | pts | ||
Usage per subscriber(B)(min/month) | 293 | 281 | 4.3 | % | ||||
Cost of acquisition (COA)(B) (8)($/sub) | 397 | 396 | (0.3 | %) |
(A) | Total wireless gross activations, net activations and EOP subscribers include 100% of Virgin Mobile’s subscribers. |
(B) | Wireless average revenue per unit, churn, usage per subscriber and cost of acquisition reflect only the 50% portion of Virgin Mobile’s results that are consolidated. |
BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 8
Bell Wireless - Historical Trend
| Total | ||||||||||||||||
($ millions, except where otherwise indicated) (unaudited) | Q1 09 | 2008 | Q4 08 | Q3 08 | Q2 08 | Q1 08 | |||||||||||
Bell Wireless | |||||||||||||||||
Revenue | |||||||||||||||||
Service | 986 | 4,058 | 1,033 | 1,061 | 1,008 | 956 | |||||||||||
Product | 83 | 377 | 92 | 109 | 102 | 74 | |||||||||||
Total external Bell Wireless revenues | 1,069 | 4,435 | 1,125 | 1,170 | 1,110 | 1,030 | |||||||||||
Inter-segment | 10 | 46 | 10 | 10 | 13 | 13 | |||||||||||
Total Bell Wireless operating revenues | 1,079 | 4,481 | 1,135 | �� | 1,180 | 1,123 | 1,043 | ||||||||||
Operating expenses | (645 | ) | (2,711 | ) | (691 | ) | (706 | ) | (681 | ) | (633 | ) | |||||
EBITDA | 434 | 1,770 | 444 | 474 | 442 | 410 | |||||||||||
EBITDA margin (Total revenues) | 40.2 | % | 39.5 | % | 39.1 | % | 40.2 | % | 39.4 | % | 39.3 | % | |||||
EBITDA margin (Service revenues) | 44.0 | % | 43.6 | % | 43.0 | % | 44.7 | % | 43.8 | % | 42.9 | % | |||||
Operating Income | 300 | 1,241 | 294 | 338 | 316 | 293 | |||||||||||
Capital expenditures | 130 | 493 | 229 | 93 | 104 | 67 | |||||||||||
Capital intensity | 12.0 | % | 11.0 | % | 20.2 | % | 7.9 | % | 9.3 | % | 6.4 | % | |||||
Wireless gross activations(A)(k) | 366 | 1,651 | 470 | 439 | 391 | 351 | |||||||||||
Post-paid | 210 | 970 | 252 | 267 | 253 | 198 | |||||||||||
Wireless net activations(A)(k) | 30 | 351 | 117 | 117 | 83 | 34 | |||||||||||
Post-paid | 35 | 332 | 80 | 113 | 111 | 28 | |||||||||||
Wireless subscribers EOP(A) (B) (C)(k) | 6,527 | 6,497 | 6,497 | 6,449 | 6,332 | 6,250 | |||||||||||
Post-paid | 4,780 | 4,745 | 4,745 | 4,708 | 4,595 | 4,478 | |||||||||||
Average revenue per unit (ARPU)(D)($/month) | 51.52 | 54.29 | 54.22 | 56.30 | 54.27 | 52.32 | |||||||||||
Pre-paid | 15.38 | 17.14 | 16.40 | 18.19 | 17.48 | 16.50 | |||||||||||
Post-paid | 62.34 | 66.09 | 65.69 | 68.17 | 66.19 | 64.27 | |||||||||||
Churn (%)(D)(average per month) | 1.6 | % | 1.6 | % | 1.7 | % | 1.6 | % | 1.6 | % | 1.6 | % | |||||
Pre-paid | 2.9 | % | 3.1 | % | 3.3 | % | 3.2 | % | 3.0 | % | 2.8 | % | |||||
Post-paid | 1.2 | % | 1.2 | % | 1.3 | % | 1.1 | % | 1.1 | % | 1.3 | % | |||||
Usage per subscriber(D)(min/month) | 293 | 301 | 310 | 302 | 305 | 281 | |||||||||||
Cost of acquisition (COA)(D)($/sub) | 397 | 395 | 373 | 398 | 417 | 396 |
(A) | Total wireless gross activations, net activations and EOP subscribers include 100% of Virgin Mobile’s subscribers. |
(B) | The Q2 2008 beginning of period wireless subscriber base was decreased by 1k (postpaid increased by 6k while pre-paid decreased by 7k) as a result of the integration of Aliant Mobility’s billing system. |
(C) | The Q4 2008 Wireless subscriber base reflected the removal of 37k analog subscribers (11k postpaid, 26k prepaid) due to the decommissioning of the analog network. Additionally, the tightening of Virgin Mobile Canada credit and activation processes resulted in 32k Virgin postpaid subscribers being removed from the subscriber base. These adjustments are not included in the net activation or churn metrics. |
(D) | Wireless average revenue per unit, churn, usage per subscriber and cost of acquisition reflect only the 50% portion of Virgin Mobile’s results that are consolidated. |
BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 9
BCE Inc.
Net debt and other information(2)
BCE Inc. - Net debt and preferreds | ||||||||
| ||||||||
At March 31, 2009 | BCE Inc. | |||||||
(unaudited) | ||||||||
($ millions, except where otherwise indicated) | ||||||||
| Bell Aliant | |||||||
| Bell | * | BCE Inc. | |||||
Debt due within one year | 1,788 | 408 | 2,196 | |||||
Long-term debt | 7,685 | 2,448 | 10,133 | |||||
Securitization of accounts receivable | 1,108 | 165 | 1,273 | |||||
Preferred shares - BCE | 2,770 | - | 2,770 | |||||
Cash and cash equivalents | (2,339 | ) | (24 | ) | (2,363 | ) | ||
Net debt | 11,012 | 2,997 | 14,009 | |||||
| * Includes $650 million BCE debt. |
Bell - Balance Sheet Information | |||||
(unaudited) | |||||
($ millions, except where otherwise indicated) | March 31 | Dec. 31 | |||
| 2009 | 2008 | |||
Debt due within one year | 1,788 | 1,878 | |||
Long-term debt | 7,685 | 7,648 | |||
Securitization of accounts receivable | 1,108 | 1,140 | |||
Preferred shares - BCE | 2,770 | 2,770 | |||
Cash and cash equivalents | (2,339 | ) | (3,045 | ) | |
Net Debt | 11,012 | 10,391 | |||
Net Debt: Trailing 12 month EBITDA, including Bell Aliant distributions to BCE | 1.86 | 1.75 | |||
EBITDA, including Bell Aliant distributions to BCE: Net interest, securitization costs and preferred dividends (trailing 12 months) | 8.24 | 8.33 |
Cash Flow Information | |||||||||||
(unaudited) | |||||||||||
($ millions, except where otherwise indicated) | Q1 | Q1 | |||||||||
| 2009 | 2008 | $ change | % change | |||||||
Free Cash Flow (FCF) | |||||||||||
Cash from operating activities | 723 | 721 | 2 | 0.3 | % | ||||||
Capital expenditures | (482 | ) | (456 | ) | (26 | ) | (5.7 | %) | |||
Other investing activities | (14 | ) | 3 | (17 | ) | n.m. | |||||
Dividends paid on preferred shares | (28 | ) | (35 | ) | 7 | 20.0 | % | ||||
Bell Aliant distributions to BCE | 73 | 71 | 2 | 2.8 | % | ||||||
FCF | 272 | 304 | (32 | ) | (10.5 | %) |
Cash Flow Information - Historical Trend | |||||||||||||||||
(unaudited) | |||||||||||||||||
($ millions, except where otherwise indicated) | Q1 | Total | Q4 | Q3 | Q2 | Q1 | |||||||||||
2009 | 2008 | 2008 | 2008 | 2008 | 2008 | ||||||||||||
Free Cash Flow (FCF) | |||||||||||||||||
Cash from operating activities | 723 | 4,716 | 1,460 | 1,342 | 1,193 | 721 | |||||||||||
Capital expenditures | (482 | ) | (2,459 | ) | (854 | ) | (566 | ) | (583 | ) | (456 | ) | |||||
Other investing activities | (14 | ) | (729 | ) | - | (732 | ) | - | 3 | ||||||||
Dividends paid on preferred shares | (28 | ) | (129 | ) | (31 | ) | (31 | ) | (32 | ) | (35 | ) | |||||
Bell Aliant distributions to BCE | 73 | 290 | 72 | 73 | 74 | 71 | |||||||||||
FCF | 272 | 1,689 | 647 | 86 | 652 | 304 | |||||||||||
BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 10
BCE Inc.
Consolidated Balance Sheet Data
| March 31 | December 31 | |||
($ millions, except where otherwise indicated) (unaudited) | 2009 | 2008 | |||
ASSETS | |||||
Current assets | |||||
Cash and cash equivalents | 2,363 | 3,059 | |||
Accounts receivable | 1,678 | 1,837 | |||
Future income taxes | 88 | 86 | |||
Inventory | 268 | 272 | |||
Prepaid and other expenses | 443 | 304 | |||
Current assets of discontinued operations | 31 | 20 | |||
Total current assets | 4,871 | 5,578 | |||
Capital assets | |||||
Property, plant and equipment | 19,255 | 19,407 | |||
Finite-life intangible assets | 2,701 | 2,697 | |||
Indefinite-life intangible assets | 3,710 | 3,697 | |||
Total capital assets | 25,666 | 25,801 | |||
Other long-term assets | 2,662 | 2,613 | |||
Goodwill | 5,663 | 5,659 | |||
Non-current assets of discontinued operations | 14 | 12 | |||
Total assets | 38,876 | 39,663 | |||
LIABILITIES | |||||
Current liabilities | |||||
Accounts payable and accrued liabilities | 3,145 | 3,538 | |||
Interest payable | 167 | 139 | |||
Dividends payable | 345 | 337 | |||
Debt due within one year | 2,196 | 2,201 | |||
Current liabilities of discontinued operations | 25 | 12 | |||
Total current liabilities | 5,878 | 6,227 | |||
Long-term debt | 10,133 | 10,099 | |||
Other long-term liabilities | 4,908 | 4,946 | |||
Total liabilities | 20,919 | 21,272 | |||
Non-controlling interest | 1,072 | 1,080 | |||
SHAREHOLDERS’ EQUITY | |||||
Preferred shares | 2,770 | 2,770 | |||
Common shareholders’ equity | |||||
Common shares | 13,148 | 13,525 | |||
Treasury stock | (95 | ) | (86 | ) | |
Contributed surplus | 2,505 | 2,531 | |||
Accumulated other comprehensive income | 102 | 39 | |||
Deficit | (1,545 | ) | (1,468 | ) | |
Total common shareholders’ equity | 14,115 | 14,541 | |||
Total shareholders’ equity | 16,885 | 17,311 | |||
Total liabilities and shareholders’ equity | 38,876 | 39,663 | |||
Number of common shares outstanding | 780.6 | 803.1 |
BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 11
BCE Inc.
Consolidated Cash Flow Data
| Q1 | Q1 | |||||||||
($ millions, except where otherwise indicated) (unaudited) | 2009 | 2008 | $ change | ||||||||
Cash flows from operating activities | |||||||||||
Net earnings | 406 | 289 | 117 | ||||||||
Less: Losses from discontinued operations, net of income taxes and non-controlling interest | (5 | ) | (2 | ) | (3 | ) | |||||
Earnings from continuing operations | 411 | 291 | 120 | ||||||||
Adjustments to reconcile earnings from continuing operations to cash flows from operating activities | |||||||||||
Depreciation and amortization of intangible assets | 819 | 818 | 1 | ||||||||
Net benefit plans cost | 88 | 71 | 17 | ||||||||
Restructuring and other | 109 | 283 | (174 | ) | |||||||
(Gains) losses on investments | (2 | ) | 2 | (4 | ) | ||||||
Future income taxes | (13 | ) | (67 | ) | 54 | ||||||
Non-controlling interest | 82 | 74 | 8 | ||||||||
Contributions to employee pension plans | (92 | ) | (44 | ) | (48 | ) | |||||
Other employee future benefit plan payments | (24 | ) | (23 | ) | (1 | ) | |||||
Payments of restructuring and other | (77 | ) | (24 | ) | (53 | ) | |||||
Operating assets and liabilities | (377 | ) | (479 | ) | 102 | ||||||
| 924 | 902 | 22 | ||||||||
Bell Aliant distributions to BCE | 73 | 71 | 2 | ||||||||
Capital expenditures | (590 | ) | (551 | ) | (39 | ) | |||||
Other investing activities | (13 | ) | 3 | (16 | ) | ||||||
Cash dividends paid on preferred shares | (28 | ) | (35 | ) | 7 | ||||||
Cash distributions paid by subsidiaries to non-controlling interest | (92 | ) | (90 | ) | (2 | ) | |||||
Bell Aliant Free Cash Flow | (2 | ) | 4 | (6 | ) | ||||||
Free Cash Flow(3) | 272 | 304 | (32 | ) | |||||||
Bell Aliant undistributed Free Cash Flow | (71 | ) | (75 | ) | 4 | ||||||
Business acquisitions | (20 | ) | (31 | ) | 11 | ||||||
Business dispositions | - | (10 | ) | 10 | |||||||
Going-private costs | (6 | ) | (9 | ) | 3 | ||||||
Increase in investments | - | (2 | ) | 2 | |||||||
Increase in notes payable and bank advances | 88 | 65 | 23 | ||||||||
Repayment of long-term debt | (94 | ) | (102 | ) | 8 | ||||||
Cash dividends paid on common shares | (294 | ) | (294 | ) | - | ||||||
Issue of common shares | 1 | 1 | - | ||||||||
Repurchase of common shares | (557 | ) | - | (557 | ) | ||||||
Other financing activities | (10 | ) | (12 | ) | 2 | ||||||
| (963 | ) | (469 | ) | (494 | ) | |||||
Cash flows used in continuing operations | (691 | ) | (165 | ) | (526 | ) | |||||
Cash flows used in discontinued operations activities | (7 | ) | (11 | ) | 4 | ||||||
Net decrease in cash and cash equivalents | (698 | ) | (176 | ) | (522 | ) | |||||
Cash and cash equivalents at beginning of period | 3,063 | 2,658 | 405 | ||||||||
Cash and cash equivalents at end of period | 2,365 | 2,482 | (117 | ) | |||||||
Consists of: | |||||||||||
Cash and cash equivalents of continuing operations | 2,363 | 2,477 | (114 | ) | |||||||
Cash and cash equivalents of discontinued operations | 2 | 5 | (3 | ) | |||||||
Total | 2,365 | 2,482 | (117 | ) | |||||||
Other information | |||||||||||
Cash flow per share(9) | $ | 0.42 | $ | 0.44 | $ | (0.02 | ) | ||||
Annualized cash flow yield(10) | 8.5 | % | 7.6 | % | 0.9 | pts | |||||
Common dividend payout(11) | 67.5 | % | 64.0 | % | 3.5 | pts | |||||
BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 12
BCE Inc.
Consolidated Cash Flow Data - Historical Trend
| Total | ||||||||||||||||||||||
($ millions, except where otherwise indicated) (unaudited) | Q1 09 | 2008 | Q4 08 | Q3 08 | Q2 08 | Q1 08 | |||||||||||||||||
Cash flows from operating activities | |||||||||||||||||||||||
Net earnings | 406 | 943 | (18 | ) | 280 | 392 | 289 | ||||||||||||||||
Less: Losses from discontinued operations, net of income taxes and non-controlling interest | (5 | ) | (88 | ) | (41 | ) | (22 | ) | (23 | ) | (2 | ) | |||||||||||
Earnings from continuing operations | 411 | 1,031 | 23 | 302 | 415 | 291 | |||||||||||||||||
Adjustments to reconcile earnings from continuing operations to cash flows from operating activities | |||||||||||||||||||||||
Depreciation and amortization of intangible assets | 819 | 3,269 | 870 | 794 | 787 | 818 | |||||||||||||||||
Net benefit plans cost | 88 | 250 | 40 | 69 | 70 | 71 | |||||||||||||||||
Restructuring and other | 109 | 871 | 207 | 310 | 71 | 283 | |||||||||||||||||
(Gains) losses on investments | (2 | ) | 308 | 292 | 14 | - | 2 | ||||||||||||||||
Future income taxes | (13 | ) | 129 | 127 | (23 | ) | 92 | (67 | ) | ||||||||||||||
Non-controlling interest | 82 | 320 | 68 | 90 | 88 | 74 | |||||||||||||||||
Contributions to employee pension plans | (92 | ) | (232 | ) | (91 | ) | (49 | ) | (48 | ) | (44 | ) | |||||||||||
Other employee future benefit plan payments | (24 | ) | (96 | ) | (24 | ) | (25 | ) | (24 | ) | (23 | ) | |||||||||||
Payments of restructuring and other | (77 | ) | (305 | ) | (168 | ) | (84 | ) | (29 | ) | (24 | ) | |||||||||||
Operating assets and liabilities | (377 | ) | 367 | 476 | 253 | 117 | (479 | ) | |||||||||||||||
| 924 | 5,912 | 1,820 | 1,651 | 1,539 | 902 | |||||||||||||||||
Bell Aliant distributions to BCE | 73 | 290 | 72 | 73 | 74 | 71 | |||||||||||||||||
Capital expenditures | (590 | ) | (2,988 | ) | (1,022 | ) | (705 | ) | (710 | ) | (551 | ) | |||||||||||
Other investing activities | (13 | ) | (726 | ) | 1 | (732 | ) | 2 | 3 | ||||||||||||||
Cash dividends paid on preferred shares | (28 | ) | (129 | ) | (31 | ) | (31 | ) | (32 | ) | (35 | ) | |||||||||||
Cash distributions paid by subsidiaries to non-controlling interest | (92 | ) | (366 | ) | (92 | ) | (92 | ) | (92 | ) | (90 | ) | |||||||||||
Bell Aliant Free Cash Flow | (2 | ) | (304 | ) | (101 | ) | (78 | ) | (129 | ) | 4 | ||||||||||||
Free Cash Flow | 272 | 1,689 | 647 | 86 | 652 | 304 | |||||||||||||||||
Bell Aliant undistributed Free Cash Flow | (71 | ) | 14 | 29 | 5 | 55 | (75 | ) | |||||||||||||||
Business acquisitions | (20 | ) | (56 | ) | (1 | ) | - | (24 | ) | (31 | ) | ||||||||||||
Business dispositions | - | (10 | ) | - | - | - | (10 | ) | |||||||||||||||
Going-private costs | (6 | ) | (163 | ) | 2 | (148 | ) | (8 | ) | (9 | ) | ||||||||||||
Increase in investments | - | (8 | ) | (3 | ) | (1 | ) | (2 | ) | (2 | ) | ||||||||||||
Decrease in investments | - | 1 | - | - | 1 | - | |||||||||||||||||
Increase (decrease) in notes payable and bank advances | 88 | 1 | (40 | ) | 26 | (50 | ) | 65 | |||||||||||||||
Issue of long-term debt | - | 50 | - | - | 50 | - | |||||||||||||||||
Repayment of long-term debt | (94 | ) | (502 | ) | (124 | ) | (94 | ) | (182 | ) | (102 | ) | |||||||||||
Cash dividends paid on common shares | (294 | ) | (587 | ) | - | - | (293 | ) | (294 | ) | |||||||||||||
Issue of common shares | 1 | 50 | 23 | 11 | 15 | 1 | |||||||||||||||||
Repurchase of common shares | (557 | ) | (92 | ) | (92 | ) | - | - | - | ||||||||||||||
Issue of equity securities by subsidiaries to non-controlling interest | - | 1 | - | 1 | - | - | |||||||||||||||||
Other financing activities | (10 | ) | 15 | 45 | (8 | ) | (10 | ) | (12 | ) | |||||||||||||
| (963 | ) | (1,286 | ) | (161 | ) | (208 | ) | (448 | ) | (469 | ) | |||||||||||
Cash flows (used in) from continuing operations | (691 | ) | 403 | 486 | (122 | ) | 204 | (165 | ) | ||||||||||||||
Cash flows used in discontinued operations activities | (7 | ) | (25 | ) | (5 | ) | (4 | ) | (5 | ) | (11 | ) | |||||||||||
Cash flows from discontinued investing activities | - | 29 | - | 29 | - | - | |||||||||||||||||
Cash flows used in discontinued financing activities | - | (2 | ) | - | (2 | ) | - | - | |||||||||||||||
Net (decrease) increase in cash and cash equivalents | (698 | ) | 405 | 481 | (99 | ) | 199 | (176 | ) | ||||||||||||||
Cash and cash equivalents at beginning of period | 3,063 | 2,658 | 2,582 | 2,681 | 2,482 | 2,658 | |||||||||||||||||
Cash and cash equivalents at end of period | 2,365 | 3,063 | 3,063 | 2,582 | 2,681 | 2,482 | |||||||||||||||||
Consists of: | |||||||||||||||||||||||
Cash and cash equivalents of continuing operations | 2,363 | 3,059 | 3,059 | 2,578 | 2,677 | 2,477 | |||||||||||||||||
Cash and cash equivalents of discontinued operations | 2 | 4 | 4 | 4 | 4 | 5 | |||||||||||||||||
Total | 2,365 | 3,063 | 3,063 | 2,582 | 2,681 | 2,482 | |||||||||||||||||
Other information | |||||||||||||||||||||||
Cash flow per share | $ | 0.42 | $ | 3.63 | $ | 0.99 | $ | 1.17 | $ | 1.03 | $ | 0.44 | |||||||||||
Annualized cash flow yield | 8.5 | % | 8.4 | % | 8.4 | % | 5.7 | % | 8.1 | % | 7.6 | % | |||||||||||
Common dividend payout | 67.5 | % | 32.4 | % | 66.4 | % | 0.0 | % | 0.0 | % | 64.0 | % |
BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 13
Accompanying Notes
(1) | Throughout this report,BCE means BCE Inc., its subsidiaries and joint ventures; Bell means our Bell Wireline and Bell Wireless segments on an aggregate basis; and Bell Aliant means Bell Aliant Regional Communications Income Fund and its affiliated entities. |
(2) | We report our results of operations in three segments: Bell Wireline, Bell Wireless and Bell Aliant. Our reporting structure reflects how we manage our business and how we classify our operations for planning and measuring performance. Accordingly, we operate and manage our reportable segments as strategic business units organized by products and services. |
(3) | Non-GAAP Financial Measures |
BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 14
Accompanying Notes
We use adjusted EPS among other measures, to assess the operating performance of our ongoing businesses without the effects of after-tax restructuring and other and net losses (gains) on investments. We exclude these items because they affect the comparability of our financial results and could potentially distort the analysis of trends in business performance. Excluding these items does not imply they are non-recurring. | |
(4) | EBITDA margin is calculated as follows: |
(5) | Capital Intensity is calculated as follows: |
(6) | Average revenue per unit (ARPU) represents the measurement of the average revenue generated by each unit, expressed as a rate per month for the year. |
(7) | Churn is the rate at which existing subscribers cancel their services. Churn is calculated as the number of subscribers disconnected divided by the average subscriber base. |
(8) | Cost of acquisition (COA) is also referred to as subscriber acquisition costs. This measure is expressed per gross activation. It includes costs associated with acquiring a customer such as hardware subsidies, marketing and distribution costs. |
BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 15
Accompanying Notes
(9) | Cash flow per share is calculated as follows: |
(10) | Annualized cash flow yield is calculated as follows: |
(11) | Common dividend payout is calculated as follows: |
BCE Inc. Supplementary Financial Information - First Quarter 2009 Page 16