TELUS Corporation reported an 8 percent increase in capital expenditure (Capex) to C$701 million in the third quarter of 2026, compared with C$652 million a year earlier, as the Canadian telecom operator increased investments in network infrastructure, broadband connectivity and technology facilities.
TELUS expanded its total telecom subscriber base by 6 percent to 18.329 million, supported by strong growth in connected devices, mobile phone connections and internet customers.
The company’s mobile phone subscriber base increased to 10.419 million, connected device subscribers surged 22 percent to 5.072 million, and internet subscribers reached 2.838 million.
TELUS reported quarterly operating revenue of C$5.020 billion, down 1 percent from C$5.067 billion in Q3 2025. Mobile network revenue increased 1 percent to C$1.780 billion, while fixed data services revenue rose 2 percent to C$1.186 billion.
The TELUS Q3 2026 financial results and investor disclosures highlight higher network investment, improved mobile customer retention, stable average revenue per user (ARPU) and slower broadband subscriber additions.
TELUS Capex Increases 8 Percent to C$701 Million
TELUS increased consolidated Capex by C$49 million to C$701 million during Q3 2026, representing annual growth of 8 percent.
Capital expenditure intensity increased to 14 percent from 12 percent a year earlier.
The company’s TELUS Technology Solutions division reported Capex of C$631 million, an increase of 11 percent from C$570 million.
Within the technology solutions division, operations Capex increased 16 percent to C$619 million from C$534 million.
The higher investment reflected increased spending on new facilities and network infrastructure expansion to support growing connectivity requirements.
Real estate development Capex declined 67 percent to C$12 million from C$36 million.
TELUS Technology Solutions’ capital expenditure intensity increased to 16 percent from 14 percent.
For the first nine months of 2026, TELUS reported consolidated Capex of C$2.030 billion, representing 6 percent annual growth from C$1.917 billion.
TELUS Technology Solutions’ Capex for the nine-month period increased 10 percent to C$1.844 billion.
Operations Capex for the technology solutions division reached C$1.797 billion during the first nine months, an increase of 12 percent.
TELUS reaffirmed its full-year 2026 Capex guidance of approximately C$2.6 billion, including around C$75 million allocated to real estate development initiatives.
TELUS Broadband Subscribers Reach 2.838 Million
TELUS reported 2.838 million internet subscribers at the end of September 2026, compared with 2.782 million a year earlier, representing growth of 2 percent.
The operator added 10,000 net internet subscribers during the third quarter, compared with 40,000 additions in Q3 2025.
Quarterly internet net additions declined 75 percent year over year.
Internet subscriber additions also slowed from 20,000 in Q2 2026 and 21,000 in Q1 2026.
For the first nine months of 2026, TELUS recorded 51,000 net internet subscriber additions, compared with 88,000 during the corresponding period of 2025.
This represents a 42 percent decline in year-to-date internet subscriber additions.
TELUS generated C$1.186 billion in fixed data services revenue during Q3 2026, representing 2 percent growth from C$1.163 billion a year earlier.
Fixed data services revenue reached C$3.536 billion during the first nine months of 2026, increasing 1 percent from C$3.501 billion.
TELUS Expands PureFibre Network and Broadband Coverage
TELUS continues to expand its PureFibre broadband network in underserved urban and suburban markets across Canada.
The company’s network investment strategy prioritizes locations where it expects stronger broadband penetration, increased customer connections and higher returns on infrastructure investment.
TELUS is also using its fiber infrastructure to support connectivity requirements for AI data centres and enterprise customers.
Its fiber network expansion forms part of a broader strategy to strengthen the company’s core telecom infrastructure while developing additional revenue opportunities from AI connectivity.
The Q3 2026 supplemental investor report does not provide updated figures for fiber homes passed, fiber route kilometres, fiber-only subscribers or newly covered broadband premises.
TELUS Mobile Subscribers Increase to 10.419 Million
TELUS reported 10.419 million mobile phone subscribers at the end of September 2026, representing an increase of 145,000 subscribers, or 1 percent, from 10.274 million a year earlier.
The company recorded 395,000 gross mobile phone additions during Q3 2026, compared with 419,000 in the same quarter of 2025.
Gross mobile phone additions declined 6 percent year over year.
Net mobile phone additions increased to 84,000 from 82,000, representing 2 percent growth.
Quarterly mobile phone net additions also improved from 17,000 in Q2 2026 and 12,000 in Q1 2026.
For the first nine months of 2026, TELUS recorded 113,000 net mobile phone additions, compared with 157,000 during the same period in 2025.
This represents a 28 percent decline in year-to-date net mobile phone additions.
TELUS 5G Network Coverage Exceeds 92 Percent
TELUS continues investing in its 5G mobile network coverage and capacity across Canada.
The company’s 5G network covered more than 92 percent of Canada’s population at the end of June 2026, compared with more than 87 percent a year earlier, according to its Q2 2026 management disclosures.
TELUS also reported 4G LTE population coverage of 99 percent and LTE Advanced coverage exceeding 96 percent at the end of June 2026.
The company has been investing in wireless small cells connected to its PureFibre infrastructure to improve mobile network capacity and coverage.
The Q3 2026 supplemental investor report does not provide updated 5G population coverage, 5G subscriber numbers, 5G base station additions or separate 5G Capex figures.
TELUS Mobile Churn Improves to 1.01 Percent
TELUS reported monthly mobile phone churn of 1.01 percent during Q3 2026, compared with 1.11 percent in Q3 2025.
The improvement represents a reduction of 10 basis points in the company’s monthly mobile churn rate.
Mobile churn also improved sequentially from 1.08 percent in Q2 2026 and 1.35 percent in Q1 2026.
The third-quarter result was significantly better than the 1.46 percent monthly churn reported in Q4 2025.
TELUS described the Q3 2026 churn rate as its lowest in three years.
However, average monthly churn for the first nine months of 2026 stood at 1.14 percent, compared with 1.07 percent during the corresponding period of 2025.
This represents an increase of 7 basis points in year-to-date churn despite the improvement recorded during the third quarter.
TELUS Mobile ARPU Reaches C$57.22
TELUS reported mobile phone ARPU of C$57.22 during Q3 2026, compared with C$57.21 in Q3 2025.
The C$0.01 annual increase indicates broadly stable mobile monetization.
Mobile ARPU increased sequentially from C$56.36 in Q2 2026 and C$56.56 in Q1 2026.
The company had reported ARPU of C$57.10 in Q4 2025.
For the first nine months of 2026, mobile ARPU averaged C$56.71, compared with C$56.97 in the corresponding period of 2025.
This represents a 0.5 percent year-over-year decline in year-to-date ARPU.
TELUS Connected Device Subscribers Surge 22 Percent
TELUS reported 5.072 million connected device subscribers at the end of September 2026, representing growth of 22 percent from 4.158 million a year earlier.
The company added 289,000 net connected device subscribers during Q3 2026, compared with 169,000 additions during Q3 2025.
Connected device net additions increased 71 percent year over year.
Quarterly additions also increased from 187,000 in Q2 2026 and 229,000 in Q1 2026.
During the first nine months of 2026, TELUS added 705,000 net connected device subscribers, compared with 429,000 during the corresponding period of 2025.
This represents 64 percent growth in year-to-date connected device additions.
Total telecom net additions reached 383,000 during Q3 2026, compared with 291,000 a year earlier, representing growth of 32 percent.
TELUS Revenue Declines 1 Percent to C$5.020 Billion
TELUS reported consolidated operating revenue of C$5.020 billion during Q3 2026, compared with C$5.067 billion in Q3 2025.
Service revenue declined 1 percent to C$4.481 billion from C$4.507 billion.
Equipment revenue declined 4 percent to C$539 million from C$560 million.
Within TELUS Technology Solutions, mobile network revenue increased 1 percent to C$1.780 billion from C$1.755 billion.
Fixed data services revenue increased 2 percent to C$1.186 billion.
Mobile equipment and other service revenue reached C$516 million, compared with C$518 million a year earlier.
TELUS Technology Solutions generated C$3.859 billion in operating revenue and other income, broadly unchanged from C$3.873 billion in Q3 2025.
For the first nine months of 2026, TELUS consolidated operating revenue declined 1 percent to C$14.929 billion from C$15.116 billion.
Mobile network revenue for the nine-month period increased 1 percent to C$5.273 billion.
TELUS Digital Revenue Declines as AI and Data Services Face Pressure
TELUS Digital reported C$643 million in external revenue during Q3 2026, compared with C$712 million a year earlier, representing a decline of 10 percent.
Operating revenue from customer contracts declined 11 percent to C$637 million from C$712 million.
The decline reflected lower client service volumes, including reductions in AI and data solutions and trust and safety services.
The TELUS Digital business reported adjusted EBITDA of C$62 million, down 9 percent from C$67 million.
TELUS Digital Capex declined 2 percent to C$41 million during the third quarter.
For the first nine months of 2026, TELUS Digital external revenue reached C$2.002 billion, down 7 percent from C$2.152 billion.
TELUS Digital Capex for the nine-month period declined 11 percent to C$112 million.
TELUS is also developing sovereign AI infrastructure capabilities for Canadian businesses and government organizations.
The company plans to use its PureFibre infrastructure to provide connectivity for purpose-built AI data centres, while exploring partnerships involving data centre infrastructure with secured power availability.
The supplemental investor report does not disclose separate AI revenue, AI infrastructure Capex, AI customer numbers or AI contract values.
TELUS Q3 2026 performance shows a contrast between strong connected device growth and slower traditional broadband expansion. The company increased Capex by 8 percent, expanded total telecom subscribers by 6 percent and reduced quarterly mobile churn to 1.01 percent. However, internet net additions declined 75 percent, while consolidated operating revenue decreased 1 percent.
TELUS is prioritizing fiber broadband expansion, mobile network investment and AI infrastructure development as part of its transformation strategy, while targeting approximately C$900 million in annualized cash savings by the end of 2028.
BABURAJAN KIZHAKEDATH