UPDATE 2-Telus profit lifted by wireless; dividend raised

Fri Nov 9, 2012 12:55pm EST
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* Q3 EPS C$1.07 vs C$1.00 year earlier

* Revenue up 6 pct at C$2.77 billion

* Boosts quarterly dividend to C$0.64/share, from C$0.61

Nov 9 (Reuters) - Telus Corp reported a stronger third-quarter profit on Friday, as increased smartphone adoption boosted earnings from its wireless business and spurred the Canadian telecom company to raise its quarterly dividend.

Wireless data revenue jumped 23 percent in the third quarter ended Sept. 30 as the proportion of postpaid subscribers using smartphones rose to 63 percent, from 48 percent a year earlier.

The Vancouver-based company, one of Canada's largest telecom players, raised its quarterly dividend to 64 Canadian cents a share, from 61 Canadian cents.

In a report to clients, Desjardins Capital Markets analyst Maher Yaghi said Telus' quarterly results and dividend increase were in line with expectations.

"Telus continues to post strong wireless results, which more than offset the decline in the profitability of the wireline business," he said. "The company should continue to attract dividend growth-seeking investors."

Telus said it added some 116,000 postpaid wireless subscribers in the quarter. Rogers Communications' has said its postpaid customer base grew by 76,000, and BCE Inc , Canada's largest telecom company, added 148,502 net postpaid customers.   Continued...