BCE (BCE) CIBC Eastern Institutional Investor Conference summary

Customer experience and retention

• Focus on delivering consistent, high-quality customer experiences across channels, leading to improved churn metrics in both wireless and wireline segments.

• Use of an 'easy index' KPI to measure customer satisfaction and interaction outcomes.

• AI is leveraged across operations, especially in customer service, to provide clear, prompt answers and reduce uncertainty.

• Churn rates have improved in 5 out of the last 6 quarters, reflecting enhanced customer experience.

Wireless and wireline market dynamics

• Wireless pricing is up year-over-year, with competitive intensity lower than the previous year, supporting profitability.

• Wireline service revenue is growing, driven by strong fiber adoption and net subscriber additions where fiber is available.

• U.S. fiber build (Ziply) is ramping up, with permit approvals up 4x year-over-year and a focus on strategic markets.

• Fiber strategy targets cable-dominated markets, avoiding direct competition with major telcos in urban cores.

Capital allocation and growth strategy

• U.S. fiber (Ziply) seen as a long-term growth asset with strong penetration and returns; focus remains on building rather than large-scale M&A, but selective acquisitions are considered if they unlock further build opportunities.

• Capital allocation decisions balance investments in fiber, AI fabric, and digital transformation, aiming for high returns and disciplined execution.

• Management compensation is tied to free cash flow and net debt targets, reinforcing focus on financial discipline.

• Asset divestitures totaling CAD 6.6 billion have been announced, with ongoing evaluation of capital reallocation to higher-growth opportunities.