By Adriano Marchese

BCE posted a decline in first-quarter profit as higher costs overshadowed revenue gains and mobile subscriber growth.

The Canadian telecommunications and media major on Thursday posted a lower net income of 667 Canadian dollars ($489.2 million), or C$0.66 a share, down from C$683 million, or C$0.68 a share, in the comparable quarter a year ago.

BCE said the decline was primarily due to lower other income, after the company booked early debt redemption gains in 2025, along with higher depreciation and amortization.

Adjusted earnings were C$0.63 a share. According to FactSet, analysts were expecting C$0.58 a share.

Operating revenues rose 4% to C$6.17 billion, topping views of C$6.09 billion.

The company benefited from 3.4% higher service revenue, which includes wireless plans and internet subscriptions, and a 7.9% increase in product revenue such as selling phones, modems and other equipment sold to business customers.

BCE added 49,525 residential fiber-to-the-home Internet net subscribers in the quarter, of which 43,000 were in Canada and the rest came from its U.S. internet provider, Ziply Fiber. In total, the increase amounted to a 3.2% increase over a year ago.

Postpaid mobile net additions, referring to monthly billed customers, totaled 16,947, up 26,545 year over year. Analysts had expected net wireless additions of 6,000 in the quarter, according to FactSet.

The results come as Canada's telecom sector navigates a slower growth phase, with cooling population growth as the country pulls back on immigration, softening demand for mobile services. Competition remains intense as carriers fight for a smaller pool of customers while juggling heavy capital spending on fiber and 5G networks.

Write to Adriano Marchese at adriano.marchese@wsj.com

(END) Dow Jones Newswires

May 07, 2026 07:00 ET (11:00 GMT)

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