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Research Alert: Quebecor Inc. Profit Up On Higher Average Revenue Per User

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CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:

Quebecor delivered strong Q1 results with total revenue growing 3.9% to $1.40B, led by Telecommunications which expanded 4.9% to $1.22B. Mobile telephony service revenue surged 8.8% driven by 28,800 net subscriber additions and 1.4% ARPU growth, contrasting with declines at larger rivals. The company secured 286,900 trailing 12-month net mobile gains, representing 6.9% annual expansion that leads the Canadian telecom sector. Adjusted EBITDA rose 4.9% to $576.6M, or 13.1% excluding $47.3M equity compensation expenses. Media division showed significant improvement with negative EBITDA of $2.2M versus negative $18.6M prior year driven by operational efficiency measures. Free cash generation remained solid at $235.5M while consolidated net debt fell over $120M after $85.2M shareholder distributions. We believe the company's net debt leverage ratio of 2.86x maintains the strongest position among major Canadian telecom operators, preserving substantial financial capacity for strategic growth initiatives.

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