Wireless gains to continue in 2017: RBC
Media | 11/14/2016 10:22 pm EST
Momentum that Canadian telecoms saw in their wireless divisions over the previous two quarters is expected to continue into 2017, according to an analyst note by RBC Capital Markets.
The high levels of overall activations reported by wireless operators that began in the second quarter and exceeded analyst expectations were driven by lower churn and growth in new postpaid subscribers, but exact reasons for the “sudden increase…remain unknown,” Drew McReynolds said in a Friday evening note.
Companies, reporting their third-quarter results, pointed to factors including higher LTE penetration, an increasing number of handsets, wireless adoption by a younger demographic, immigration and a stronger economy, McReynolds highlighted.
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