Quebecor (QBR-B) investor relations material

Executive summary

• Delivered solid operational and financial results in Q2 2025, with continued wireless market share growth and strong cash flows supporting balance sheet strength and deleveraging efforts.

• Cash flows from operating activities rose 37% year-over-year to $538M, while revenue was stable at $1.38B, down 0.5% from Q2 2024.

• Maintained disciplined pricing and operational efficiency, enabling dividend payments, share buybacks, and ongoing network investments.

• Net income attributable to shareholders increased to $218M ($0.95/share), up from $208M ($0.90/share) last year; adjusted income from operations was $227M ($0.99/share).

• Significant expansion of Giga Internet and 5G+ network, and new product launches in mobile and internet segments.

Financial highlights

• Consolidated revenues were $1.38B, down 0.5% year-over-year; EBITDA reached $605M, down 3% due to higher stock-based compensation.

• Excluding stock-based compensation, EBITDA rose 1% year-over-year; cash flow from operations increased 37% to $538M.

• Adjusted income from operations was $227M ($0.99/share), up 10.6% year-over-year.

• Net debt reduced by $192M in the quarter; net debt to EBITDA ratio improved to 3.2x, the lowest among Canadian peers.

• Free cash flows from operating activities were $375M in Q2 2025, up from $221M in Q2 2024.

Outlook and guidance

• Expecting higher CapEx in the second half of 2025, but full-year CapEx to remain within guidance.

• Continued focus on deleveraging, maintaining a strong balance sheet, and investing in network expansion.

• Wireless ARPU stabilization expected if current pricing discipline persists; repricing largely behind, with potential for ARPU growth if market conditions remain stable.

• Continued expansion of advanced internet and mobile services, with new product launches and network upgrades.

• Management expects to maintain strong cash flow and balance sheet to support long-term value creation.