Business

Telus boosts dividend, raises 2017 outlook

Vancouver-based Telus says its quarterly dividend will increase to 49.25 cents per common share, and that it is boosting the top end of its estimated earnings range for the year by two cents a share.

Reports higher second-quarter revenue and earnings

Darren Entwistle, President and CEO of Telus, speaks at the company's annual general meeting in Toronto on Thursday, May 11, 2017. (Aaron Vincent Elkaim/Canadian Press)

Telus Corp. is increasing its quarterly dividend and raising some of its 2017 financial targets.

The Vancouver-based telecom company says its quarterly dividend will increase to 49.25 cents per common share with the second-quarter payout in July. That's up 2.6 per cent from 48 cents in this year's first quarter payout and up 7.1 per cent from last year's second quarter payout of 46 cents per share.

The increased dividend is line with the Telus policy of raising dividend by seven to 10 per cent annually, subject to conditions.

Telus is also raising the top end of its estimated earnings range for the year by two cents to $2.66 per share, while the low end of the range remains $2.49 per share.

It's also adjusting its 2017 estimates for adjusted earnings, revenue and capital spending to reflect the completion of its purchase of some of the Manitoba Telecom Services business in a previously announced deal.

The updates were included with the company's financial report, which showed second-quarter revenue was up 2.9 per cent at $3.2 billion and its net income for common shares was up 14.6 per cent at $433 million. The profit amounted to 73 cents per Telus common share.