Cogeco announces soft launch of wireless service as Q3 numbers released

As it released the figures for its third quarter of fiscal year 2025, Cogeco Communications also announced a soft launch of its Canadian wireless service. CEO Frédéric Perron was hesitant to get into too many details pending the full introduction of wireless, but seemed enthusiastic about it. “We’re ready to go,” he told an analysts’ call Wednesday, July 16. “We already have an initial cohort of users of the service and will broaden sales in 12 markets over the coming weeks ahead of a full commercial launch this fall.” Those dozen markets are in Quebec and Ontario, in places like Trois-Rivières and Welland. The service will so far only be open to those who are also buying or already have wireline service from the telecom. Cogeco is targeting low-to mid data users and will offer incentives to those who purchase at the beginning of the promotion. Meanwhile, Perron had scathing words for the CRTC and its handling of third party internet access (TPIA) during the analysts’ call. The commission ruled last month that it would not review its decision to permit large incumbents to sell wholesale high-speed internet service through each others' networks. “The CRTC is stubbornly maintaining a broken TPIA or resale regime that has completely failed to meet its original objective to help new entrants get into the market,” the CEO stated. “Today the regime is mainly used by the Big Three Canadian telecom companies to get even bigger.” Perron accused the CRTC of misusing its power. Cogeco was among a group of telecom stakeholders who advertised in The Wire Report’s sister publication The Hill Times on Monday July 14, calling on cabinet to overturn the regulator’s decision. Other signatories included BCE Inc.’s Bell, the Canadian Telecommunications Association, the Competitive Network Operators of Canada, Bragg Communications Inc.’s Eastlink, Rogers Communications Inc., Saskatchewan Telecommunications Holdings Corp. (SaskTel), and TekSavvy Solutions Inc. Telus Corp. was not included in that list, and has been adamantly defending incumbent access to the framework. For Cogeco Communications Inc., revenue was $730.6 million in Q3, a decline of 2.7 per cent from last year’s $750.5 million. Profit fell four per cent to $73.3 million from 2024’s $76.3 million. Net capital expenditures (capex) declined to $125.4 million from $168.3 million, a drop of 25.5 per cent. For the quarter ended May 31, parent company Cogeco Inc.’s revenue fell 2.4 per cent to $758.5 million from 2024’s $777.2 million. American telecom revenues dipped 3.5 per cent while Canadian operations fell by 1.8 per cent. The decline in the U.S. was attributed to falling customer numbers, with the Canadian shortfall being linked to a decrease in video and wireline clients. Perron told the analyst’s call he expected to see a turnaround in the American figures. Profit for Cogeco Inc. was $74 million, down from $75.3 million a year earlier. Net capex fell to $125.8 million, a 25.9 per cent decline from Q3 2024’s $169.8 million. Market reaction was good. A note from Aravinda Galappatthige of Canaccord Genuity maintained the “Buy” rating for Cogeco stock. “Cogeco Communications reported its Q3/25 results yesterday evening, which we would characterize as net neutral,” he wrote. “Consolidated revenue was down -4.1 per cent y/y in constant currency, slightly below our forecast.” ppark@thewirereport.ca

Cogeco announces soft launch of wireless service as Q3 numbers released

Telecom |
By Paul Park
| July 16, 2025

Unlock all the Canadian telecom, broadcasting and digital media news you need.

FREE TRIAL

SUBSCRIBE

Inside The Wire Report

Information

Hill Times Publishing

Get in Touch With Us

Cogeco announces soft launch of wireless service as Q3 numbers released

Telecom | By Paul Park | July 16, 2025

Unlock all the Canadian telecom, broadcasting and digital media news you need.

FREE TRIAL

SUBSCRIBE

Related Stories

ITPA says it’s in favour of broadband labels for larger players at CRTC hearing

Cogeco Communications reports drops in Canadian profit, revenue for Q2 2025

Cogeco maintains it will launch Canadian wireless service in coming months

Cogeco appoints Mike Henry as chief commercial officer

Reuse & Permissions

Inside The Wire Report

Information

Hill Times Publishing

Get in Touch With Us

Telecom |
By Paul Park
| July 16, 2025