Rogers stock is in focus after Rogers Communications Inc. posted a first-quarter profit attributable to shareholders of $438 million, up from $280 million a year earlier, and said revenue climbed 10 per cent. The results, for the quarter ended March 31, also showed adjusted earnings of $1. 01 per diluted share, compared with 99 cents a year earlier. Rogers stock is reacting to a stronger profit picture, a firmer revenue base, and a sharper outlook for capital spending and cash generation.
Profit and revenue move higher
Revenue totalled $5. 48 billion, up from $4. 98 billion in the first quarter of 2025. Wireless revenue rose to $2. 59 billion from $2. 54 billion, while cable revenue edged up to $1. 95 billion from $1. 94 billion. Net income was $482 million, up from $280 million last year, while the increase was mainly tied to lower finance costs and higher earnings.
The company also reported 33, 000 total mobile phone net subscriber additions, including 28, 000 postpaid additions. Rogers said monthly churn for net postpaid mobile subscribers was 1. 22 per cent, compared with 1. 01 per cent in the same quarter last year. Average monthly revenue per user for mobile phones was $55. 60, down from $56. 94 a year earlier. Retail internet net additions totalled 7, 000, down from 23, 000 a year earlier.
Rogers stock gets a cleaner spending outlook
In its outlook, Rogers said capital expenditures for the year are now expected to land between $2. 5 billion and $2. 7 billion, down from a January forecast of $3. 3 billion to $3. 5 billion. The company also raised its 2026 free cash flow forecast to $4. 1 billion to $4. 3 billion, up from an earlier forecast of $3. 3 billion to $3. 5 billion. That combination of stronger cash outlook and lower spending is central to the current Rogers stock reaction.
Tony Staffieri, Rogers president and chief executive officer, said in a press release that the company delivered steady results across its three lines of business, supported by capital efficiency gains and strong free cash flow generation. He added that the company will continue to execute with discipline throughout 2026 as it looks to monetize the unrecognized value in its sports assets while accelerating free cash-flow generation and advancing its deleveraging plan.
Immediate reaction from management and analysts
Staffieri said during the company’s earnings call that updated guidance reflected cancelling projects that are no longer economical, deferring other planned spending, and continuing capital-efficiency improvements. Glenn Brandt, Rogers chief financial officer, said the company is targeting later this year to complete its purchase of the outstanding 25 per cent of Maple Leaf Sports and Entertainment from Kilmer Sports Inc., with plans to complete a recapitalization of the sports and media group in late 2026 or early 2027.
Brandt also said the company’s earnings growth is lessening, reflecting the regulatory environment and a highly competitive market with zero to low wireless revenue growth. Desjardins analyst Jérome Dubreuil called the results positive and said the meaningful capex reduction, if sustainable, should be well received. TD Cowen analyst Vince Valentini called the quarter a surprising beat and noted the big and unexpected changes to guidance.
What to watch next for Rogers stock
Rogers said the consolidated sports portfolio, including the entirety of MLSE and existing sports assets, is worth in excess of $25 billion, up from an earlier estimate of $20 billion. proceeds from a minority sale would be used to pay down debt. Rogers stock will likely stay tied to whether management can sustain the new spending path while keeping cash flow on track and executing the sports transaction.
For now, Rogers stock is being judged on three things at once: higher first-quarter profit, steadier revenue trends, and a more aggressive cash-flow outlook for 2026.
