TELUS Corporation announced a comprehensive transformation strategy including a 55% dividend reduction to $0.1875 per share quarterly and a revised 2026 outlook, as it reported second-quarter results. Service revenue fell 1% to $4.4 billion and adjusted EBITDA declined 2% to $1.8 billion, while a $2.1 billion pretax noncash impairment was recorded at TELUS Digital. The company now expects full-year service revenue to be flat to negative 2% and adjusted EBITDA to decline 2% to 4%, down from prior growth forecasts, and free cash flow guidance was cut to approximately $1.8 billion from $2.45 billion. CEO Victor Dodig outlined priorities to strengthen the balance sheet, targeting net debt to adjusted EBITDA of 3x or lower by end of 2028, supported by $2.7 billion in cumulative dividend cash savings and asset monetizations. The dividend reinvestment plan discount will also end on October 1, and a moratorium on acquisitions is in place until leverage targets are met.
Telus CorpTELUS slashes dividend 55%, cuts guidance, and records impairment, targeting leverage reduction.
