Quebecor (TSE:QBR.A) executives struck an upbeat tone on the company’s fourth-quarter and full-year 2025 earnings call, highlighting strong telecom momentum following the Freedom Mobile acquisition and a return to profitability in media broadcasting operations. Management emphasized disciplined pricing, cost control, and customer experience as key contributors to the year’s results, while also pointing to continued network investment and capital returns to shareholders.
Strong cash flow and improving leverage
President and CEO Pierre-Karl Péladeau said Quebecor delivered its “strongest quarter since the acquisition of Freedom Mobile,” pointing to execution on growth initiatives and “rigorous cost management.” The company reported free cash flow up 21.9% in the fourth quarter and 27.3% for 2025. Adjusted net income rose 21.2% in Q4 and 17.8% for the year, while the net debt-to-EBITDA leverage ratio declined to 2.95x, which management described as the lowest among Canada’s top four telecoms.
For the full year, Quebecor reported revenue of CAD 5.7 billion (up 0.7%) and EBITDA of CAD 2.4 billion (up 1.1%). Simard said EBITDA would have increased 4.7% excluding higher share-based compensation and including the media royalty adjustment.
Telecom segment: mobile drives growth, wireline stabilizes
Management repeatedly pointed to mobile as the primary growth engine. Péladeau said the company’s approach has been “clear and consistent” since April 2023: offering “richer, higher quality services at everyday best prices,” while resisting what he called “unsustainable promotional tactics.” In 2025, Quebecor added 311,000 net new mobile lines, including 73,900 in Q4.
Quebecor said total services revenue improved for a third consecutive quarter, with Q4 services revenue growth of 3.5%. Mobile service revenue rose by CAD 39.9 million, or 9.5%, which management characterized as its best performance in more than five years.
A key talking point was mobile ARPU, which turned positive year-over-year for the first time since the Freedom acquisition. Consolidated mobile ARPU reached CAD 35.23 in Q4, up CAD 0.48, or 1.4%, and improved sequentially for a third consecutive quarter. Management attributed the improvement to mitigating dilution from the Fizz and Freedom prepaid bases while maintaining customer experience.
In the telecom segment overall, Simard reported Q4 total revenue growth of 1.5% (up CAD 19 million), driven by mobile. Adjusted EBITDA in telecom reached CAD 590 million in the quarter, up 4%, with adjusted EBITDA margin improving 1.2 percentage points to 45.9%.
On wireline, Péladeau said 2025 “marked a clear stabilization,” with the lowest revenue decline in more than two years by year-end. Internet revenue grew 1.7%, supported by 3,700 net additions in Q4. He also cited improved television retention, saying subscriber retention was 50% better than Q4 2024.
Network investment, expansion plans, and customer experience
Executives said 2025 was a higher investment year to support network expansion. Simard reported telecom CapEx (excluding spectrum licenses) increased by CAD 55 million for the full year and CAD 44 million in Q4, reflecting the impact of government credits in the prior-year quarter as well as ongoing 5G/5G+ expansion and wireline equipment investment. On the call, management indicated 2026 CapEx should rise again in a “gradual and measured” way, with executives later clarifying that a year-over-year increase similar to 2025’s roughly CAD 50 million to CAD 60 million range would be reasonable.
Asked about Manitoba, management said Quebecor had acquired spectrum there even before the Freedom deal and is building out operations with an eye on deployment obligations, roaming economics, and customer-base growth. They described a strategy of expanding network investment as it becomes profitable to do so, while noting that roaming pricing dynamics have shifted in recent years.
On customer experience, Péladeau highlighted recent results from Léger’s January 2026 WOW Index, saying Videotron ranked first in Quebec for in-store experience for a third consecutive year, while Fizz led in online experience for a seventh consecutive year and Freedom placed third for online experience. He also cited the annual report from the Commission for Complaints for Telecom-television Services (CCTS), noting that while complaints across Canadian telecom providers rose 17%, Quebecor’s brands posted stable complaint volumes despite subscriber growth, and Videotron’s complaints declined 6.6% for a fourth consecutive annual decrease.
Media segment turnaround aided by non-recurring royalty adjustment
In media, Péladeau said Quebecor achieved an “impressive turnaround and return to profitability” in broadcasting operations, though he emphasized the impact of a favorable retroactive royalty adjustment. TVA posted adjusted EBITDA of CAD 50 million for 2025, up CAD 39 million from 2024. Management said the improvement reflected the retroactive royalty adjustment for specialty channels recorded in Q4 and cost savings from restructuring over the past 18 months to offset industry-wide declines in advertising and subscription revenue.
Péladeau stressed that the royalty item was “not a gain,” but rather a correction of a prior revenue shortfall that had penalized TVA. Despite 2025 performance, he said TVA still had cumulative net losses attributable to shareholders of CAD 61 million, largely due to falling subscribers and advertising revenue in conventional television.
Simard reported that Q4 media revenue increased 23% to CAD 239 million, while EBITDA rose to CAD 54 million, up CAD 39 million year-over-year, “largely driven” by the retroactive agreements.
Capital returns: higher dividend, continued buybacks
Quebecor’s board increased the quarterly dividend to CAD 0.40 per share for both Class A and Class B shares, up from CAD 0.35, representing a 14% increase. Management reiterated a plan to distribute 30% to 50% of free cash flow, with executives stating the current payout is around 35% and that they have generally remained toward the low end of the range.
Simard also said Quebecor bought back and canceled 5.3 million Class B shares in 2025 for CAD 218 million. Management described its capital allocation priorities as a balance between debt reduction, dividends, and share repurchases, while remaining open to potential opportunities if the market changes.
On financing, Simard noted Videotron issued CAD 800 million of 3.95% senior notes on Nov. 20, 2025, which he said represented the lowest seven-year credit spread achieved in the Canadian telecom sector. Proceeds and cash on hand were used to redeem 5.125% senior notes due in 2027. Quebecor ended Q4 with liquidity of more than CAD 1.6 billion, pro forma a CAD 500 million increase in its revolving credit facility completed on Jan. 28, 2026.
About Quebecor (TSE:QBR.A)
Quebecor primarily provides mobile and fixed-line telecom services in Quebec where it is the leading telecom provider. With more than 1.8 million internet subscribers Quebecor provides internet service to more than 60% of the homes its network passes. It also has about 1.6 million mobile subscribers representing more than 20% wireless market share in Quebec. In addition to the quadruple-play services Quebecor offers a French-language subscription video on demand service and has a media segment that owns and operates television stations publishes newspapers and magazines and produces and distributes films and television shows.
