Canada's BCE Q1 revenue rises on Ziply Fiber acquisition, AI solutions demand

BCE

07/05/2026 11:40

Overview

Canada telecom and media firm's Q1 revenue rose 4% yr/yr, adjusted EBITDA up 2.9%

Net earnings fell 2.3%, with adjusted EPS down 8.7% yr/yr

Revenue growth driven by Ziply Fiber acquisition and AI-powered solutions demand

Outlook

BCE confirms 2026 revenue growth guidance of 1% to 5%

Company expects 2026 adjusted EBITDA growth of 0% to 4%

BCE sees 2026 adjusted EPS down 11% to 5% from 2025

Result Drivers

ZIPLY FIBER ACQUISITION - Revenue growth was driven by the contribution from Ziply Fiber, following its acquisition in August 2025

AI-POWERED SOLUTIONS DEMAND - Strong demand for AI-powered enterprise solutions, including Ateko, Bell Cyber and Bell AI Fabric, contributed to 113% growth in AI-powered solutions revenue

CRAVE STREAMING GROWTH - Crave subscriptions increased 25% yr/yr, driven by direct-to-consumer streaming growth, making Q1 the most watched quarter in Crave history

Company press release: ID:nCNWLTdYha

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
$6.17 bln
Q1 EPS
$0.66
Q1 Adjusted Net Income
$589 mln
Q1 Net Income
$667 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 7 "strong buy" or "buy", 8 "hold" and 3 "sell" or "strong sell"

The average consensus recommendation for the integrated telecommunications services peer group is "buy."

Wall Street's median 12-month price target for BCE Inc is C$37.00, about 11.7% above its May 6 closing price of C$33.12

The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 13 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)