TELUS targets annual savings of nearly C$900 million and reports quarterly loss of C$660 million

Key Facts

On November 6, 2026, TELUS reported unaudited results for the third quarter ended September 30 and unveiled a multiyear efficiency program targeting nearly C$900 million in annual cash savings exiting 2028. The company said the plan would focus on improving operating costs, margins and capital expenditure efficiency. In the same period, it posted a net loss of C$660 million, compared with net income of C$431 million in the same quarter of 2025. Basic earnings per share were negative C$0.42, versus C$0.32 a year earlier. The company said the loss was tied to a non-cash goodwill impairment, lower operating income and higher financing costs.

TELUS expects about 80% of the cash savings to come from its core telecommunications business, with the remainder from its global platforms business. Operating and other revenue was C$5.026 billion for the quarter, down 2% from C$5.106 billion in the same period of 2025. Adjusted EBITDA also fell to C$1.760 billion from C$1.862 billion, a decline of 5%. The drop puts the efficiency target against existing pressure on revenue and operating profitability as the company focuses on cutting costs and improving margins. In the third quarter of 2025, revenue was C$5.1 billion and remained broadly stable, as 2% growth in service revenue offset declines in mobile phone equipment and other revenue.

TELUS said it recorded a pre-tax, non-cash goodwill impairment of C$800 million related to its TELUS Health unit. The statement said the C$660 million net loss was driven by the impairment, along with lower operating income and higher financing costs. Describing the impairment as non-cash means the accounting charge alone did not represent a cash outflow during the quarter. Cash flow metrics also declined: free cash flow was C$396 million, compared with C$611 million in the third quarter of 2025, down 35%. Cash from operating activities was C$1.485 billion, compared with C$1.493 billion, down 1%.

The cash flow figures show a contrast between the limited decline in cash from operating activities and the steeper drop in free cash flow, which fell to C$396 million from C$611 million. Meanwhile, net debt to adjusted EBITDA stood at 3.6 times at the end of the third quarter. TELUS is targeting a reduction to 3.0 times or less by the end of 2028, citing operational improvements, asset monetization and disciplined capital allocation. The annual savings program and the deleveraging target therefore share the same timeline. The company says achieving both targets depends on executing its operational transformation and directing resources toward reducing debt.

On asset monetization, TELUS said its near-term priority is to accelerate monetization of TELUS Health and TELUS Agriculture & Consumer Goods. It said the proceeds would be directed toward debt reduction as part of its plan to improve leverage. The priority was announced alongside the target of reducing net debt to adjusted EBITDA from 3.6 times at quarter-end to 3.0 times or less by the end of 2028. The multiyear program also includes operating cost savings, margin improvements and capital expenditure efficiency. The company expects its core telecommunications business to deliver about 80% of the targeted savings, with the remainder coming from its global platforms business.

TELUS's call to discuss third-quarter results was scheduled for November 6, 2026, at 9:30 a.m. Eastern time. TU shares closed at $9.42 in the November 5 session, on the eve of the results announcement. In its third-quarter 2025 results, the company said it had added 288,000 mobile and fixed-service customers, including 82,000 mobile subscribers and 40,000 internet subscribers, along with 169,000 connected devices. It reported then that service revenue growth was 2%, while total revenue remained broadly stable at C$5.1 billion. These figures provide context for comparing the current quarter, which saw declines in revenue, adjusted EBITDA and free cash flow from the year-earlier period.