$BCE.TO

Bell Prices Cash Tender Offers for Debt Securities

BCE (BCE.TO) unit Bell Canada priced its separate offers to purchase for $1.45 billion in cash all tendered debentures, the company said on Thursday.The debentures expiry dates range from 2028 to 2047.The settlement date for payment expected to be June 5. Bell said the financing condition described in the offer to purchase has been satisfied as a result of the closing of the company's public offering of two series of Canadian medium term notes totaling $1.6 billion.BCE shares were last seen down $0.58 to $33.50 on the Toronto Stock Exchange.Price: $33.50, Change: $-0.59, Percent Change: -1.72%

CRTC Directed to Review Canadian Content Decision

The Federal government is calling on the Canadian Radio-Television and Telecommunications Commission (CRTC) to review its recent decision to hike streamers' financial contributions to Canadian content.Last month, the CRTC announced new requirements for large foreign streaming services and Canadian broadcasters to spend part of their Canadian revenue on acquiring or producing Canadian programming."The CRTC's new requirements would impose new costs on the companies providing these services, which could ultimately fall on Canadian consumers through higher prices," a statement said.Instead, the government will develop new policy directions to adjust the implementation of the Online Streaming Act, it said.Ottawa has set aside $600 million to support the audio and audiovisual sectors. Details will be announced after consultation with the sector. Once the new CRTC rules are finalized, the level of government investment will be adjusted as appropriate, it said.Price: $34.20, Change: $+0.13, Percent Change: +0.37%

BMO Positive on BCE's AI Strategy

BCE (BCE.TO) provided an "encouraging", and "credible", update on its AI strategy, that involves Bell AI Fabric, its AI infrastructure business and the largest unit within BCE's AI Powered Initiatives, writes BMO Capital Market's Tim Casey.Casey, who is maintaining an outperform rating and $37.00 price target on the shares of the company, said BCE's AI Powered Initiatives is the telco's fastest growing unit, representing an estimated 3% of revenues in 2026 but is expected to contribute 8% of revenues in 2028."We expect more positive announcements from BCE, notably government sovereign AI projects."Price: $34.04, Change: $+0.05, Percent Change: +0.15%

National Bank on CRTC New Canadian Content Requirement For Streamers, Traditional Broadcasters

The Canadian Radio-television and Telecommunications Commission (CRTC) this week announced changes in spending requirements for traditional broadcasters and streaming operators, notes National Bank analyst Adam Shine.Private Canadian broadcasters will be required to contribute 25% of their annual Canadian broadcasting revenues to Canadian programming expenditures (CPE) versus current levels of 30%-45%.The CPE requirement for online streaming services is being tripled to 15%. "We'll see how this plays out given that the prior 5% rate for online streamers with revenues above $25M in Canada was announced on June 4, 2024 and was to become effective for the f2024-f2025 broadcast year," Shine writes.No date has been set for implementation of the new rules.Lawsuits were filed in late 2024 by several U.S. streamers with the Federal Court of Appeal and the court paused the payment obligation which was due Aug. 31, 2025. A decision is still pending. The streamers could try to appeal a verdict against them to the Supreme Court, Shine adds.Price: $33.92, Change: $+0.32, Percent Change: +0.95%

CIBC in its Q1 Canadian Telecom Earnings Recap Says Quebecor Remains its "Top Pick" Post Quarter

CIBC Capital Markets provided its first-quarter Canadian Telecom Earnings Recap in a note dated May 15 and said its "top pick" following first-quarter remains Quebecor (QBR-A.TO, QBR-B.TO).Among the Canadian telecoms, Q1 revenue and adj. EBITDA came "roughly in line" with consensus, said CIBC. Core telecom margins were up an average of 30 basis points in Q1 and CIBC continues to expect a focus on efficiency in a lower-growth telecom environment.In wireless, average revenue per user (ARPU) declines continue to moderate with wireless service revenue growth of 22 bps at the Big 3, but up 9% at Quebecor, driven by subscriber and APRU growth, stated CIBC.In internet, CIBC noted Telus (T.TO) and BCE (BCE.TO) took the "highest share of net adds", with all companies in its coverage continuing to focus on out-of-footprint expansion via TPIA and/or FW.Competitive pricing escalated through Q1, with flanker brands reducing low-tier prices to ~$25 late in the quarter, said CIBC and added that average Q1 ARPU was down 92 bps Y/Y, an improvement from a 121 bps decline in Q4.Quebecor recorded its second consecutive quarter of ARPU growth (+1.4%), the only Canadian telecom to see ARPU growth after multiyear industry declines, noted CIBC.It further noted that immigration remains a headwind, with industry mobile net additions down 26% Y/Y in the quarter."Q1 equipment revenue dropped 3% across the Big 3, which we view as a healthy barometer of a moderating device subsidy environment, consistent with lower subsidy rates observed in our channel checks," said CIBC. "We observe pricing stabilizing post-Q1, with flagship and flanker pricing up 5% and 3% Y/Y, respectively. Rogers (42%) took the highest share of industry wireless net additions in Q1, followed by Quebecor (37%), TELUS (15%) and BCE (6%)."Telus (44%) and BCE (29%) took the highest share of internet net additions this quarter, noted CIBC, driven by a combination of increased penetration in footprint as well as out-of-footprint expansion in the east (Telus) and in the west (BCE).Quebecor reported its third consecutive quarter of internet revenue growth (+3.2%), added CIBC."All companies within our coverage are exploring out-of-footprint expansion to some degree," said CIBC. "We expect out-of-footprint expansion via TPIA to be a growth opportunity, but to come at a lower margin vs. the owner economics in footprint."Deleveraging remains a focus for the sector, noted CIBC, with average leverage of 3.4x at the end of Q1."BCE and TELUS reiterated their deleveraging targets (3.5x and 3.0x by the end of 2027, respectively), said CIBC. "Rogers reduced its F2026 capex guidance by ~24% at the midpoint, with the savings flowing to FCF."CIBC expects Rogers to use the additional FCF to accelerate deleveraging. Quebecor continues to have the lowest leverage among the telecoms at 2.86x, added CIBC.Price: $49.23, Change: $+0.65, Percent Change: +1.34%

Bird Construction Re-Upgraded to Outperform, Price Target Raised $5, on BCE's Data Centre Opportunity

BMO has re-upgraded Bird Construction (BDT.TO) to outperform, after downgrading the company to market perform earlier this week "on the back of its strong run and multiple lift".The catalyst for the upgrade this time was the May 14 announcement that BCE (BCE.TO) had picked Bird as construction partner for Bell AI Fabric's Sherwood location, analyst John Gibson writes, lifting his price target for Bird shares to $60.00.The BCE announcement "provides an extra layer of growth moving forward" for Bird, he adds."Our updated numbers continue to incorporate mid-teens revenue growth in 2026, followed by a near 25% increase in 2027 (now at the guidance midpoint from the low end prior)."(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)Price: $55.97, Change: $+4.88, Percent Change: +9.55%

Bell Names Construction Partners for 300 MW Saskatchewan AI Fabric Facility; Announces Long-Term Partnership With Bird Construction

Bell Canada (BCE.TO) announced Thursday the next set of development and construction partners for Bell AI Fabric's 300 MW data centre in the Rural Municipality of Sherwood, Saskatchewan, and formalized a long-term partnership with Bird Construction (BDT.TO) to support a multi-year, Canada-wide AI data centre buildout."The Sherwood facility, first announced in March, is a cornerstone of Bell AI Fabric's strategy to deliver sovereign, made-in-Canada AI infrastructure across the country," said the company.Bird Construction has been selected as the lead construction partner for the Sherwood facility, with Alton Tangedal Architect Ltd. as Architect of Record and partners of George Gordon Developments for site services, it added."Canada's AI economy needs world-class digital infrastructure, and we need partners with the scale, discipline and Canadian footprint to build it on time," said Dan Rink, President, Bell AI Infrastructure and Strategy. "The team announced today gives us that foundation in Saskatchewan. With Bird as our preferred construction partner, we are well-positioned to continue to build out critical AI infrastructure for Canada in the years to come."As part of the strategic partnership, Bird will issue Bell warrants to acquire up to around 2.6 million common shares of Bird, with 750,000 warrants vesting on the delivery of the Sherwood facility and the remainder vesting in connection with the delivery of potential future AI data centre projects, as and when delivered by Bird pursuant to the strategic partnership, over a period of five years.The issuance of the warrants is subject to TSX Approval, said the company and added that the warrants will have a term of seven years and an exercise price of $52.00, "equal to the 5-day volume weighted average price of Bird's common shares preceding this announcement," added the company.

BCE up 1.6% in U.S. Pre-Market Trading on Q1 Adjusted Earnings, Revenue Beat

BCE (BCE.TO), up 1.6% in U.S. pre-market trading, Thursday said first-quarter adjusted earnings declined even as revenue increased, but both measures beat estimates.Adjusted earnings, stripped of most one-time items, declined 7% to $589 million, or $0.63 per share, from $633 million, or $0.69 per share, in the prior year period. Analysts polled by FactSet had forecast $0.58 per share.Quarterly sales climbed 4% to $6.2 billion, beating the consensus forecast of $6.09 billion. The increase was due to 3.4% higher service revenue of $5.35 billion and a 7.9% hike in product revenue to $818 million, BCE said.Bell Business Markets revenue also advanced, up 9.7% on 113% growth in AI-powered solutions revenue. The higher revenue was driven by strong demand for Ateko, Bell Cyber and Bell AI Fabric, said chief executive Mirko Bibic.The company reported 49,525 residential fibre-to-the-home (FTTH) Internet net subscriber activations, including Ziply Fiber, which was up 3.2%. BCE reported 16,947 postpaid mobile phone net subscriber activations, up 26,545 year over year, while Crave subscriptions jumped 25% to 4.74 million, making the first quarter "the most watched quarter" in Crave history, a statement added.BCE confirmed its financial guidance targets for 2026, updated on March 16, to incorporate the expected financial impact of Bell AI Fabric's new 300 MW data centre in Saskatchewan.The company will pay a regular quarterly dividend of $0.4375 per share on July 15, to shareholders of record on June 15.BCE shares were last seen up US$0.38, to US$24.63 in New York pre-market trading. It closed up $0.29, to $33.12 on the Toronto Stock Exchange on Wednesday.

Earnings Flash (BCE.TO) BCE For First Time Disclosing Rev for Bell Business Markets, Up 9.7%, Driven by 113% Growth in AI-powered solutions Revenue.

Earnings Flash (BCE.TO) BCE Says 4.0% Consolidated Revenue Growth Delivered 2.9% Higher Adjusted EBITDA

BCE Confirmed Its Financial Guidance Targets for 2026

BCE Q1 Operating Revenues $6,168M Vs $5,930 a Year Ago

BCE Q1 Adjusted Net Earnings of $589M Yielded Adjusted EPS of $0.63, down 8.7%

BCE, Celestica, Higher in U.S. Pre-Market, to Jointly Develop Canadian Sovereign AI Infrastructure Stack

BCE (BCE.TO) and Celestica (CLS.TO), both higher in U.S. pre-market trading, with Celestica at an all-time high, Wednesday announced a collaboration to develop a Canadian sovereign artificial intelligence (AI) infrastructure stack.The collaboration combines Bell's full-stack AI offering, anchored by its national fibre network, data center infrastructure, software, and cloud capabilities, with Celestica's hardware supply chain for sovereign AI infrastructure, a statement said."A trusted, sovereign AI ecosystem can't be built by any one company alone - it requires infrastructure, secure facilities and trusted supply chains working together. Through Bell AI Fabric, we have been building a Canadian ecosystem to support sovereign AI, and our collaboration with Celestica strengthens that foundation by bringing traceable, lifecycle-managed infrastructure into the stack," said Michel Richer, president, Bell AI and Bell AI Fabric.BCE shares were last seen up US$0.29, to US$24.19 in New York trading, while Celestica shares were up US$8.98, to US$412.00, an all-time high.

Cos Say Framework Brings Celestica's AI Hardware, Manufacturing, Supply Chain Capabilities Into Bell AI Fabric to Support Govt and Regulated Industries

BCE's Bell and Celestica Collaborating to Advance Canadian Sovereign AI Infrastructure