Shaw Communications-owned carrier Freedom Mobile added a combined 47,783 postpaid and prepaid subscribers for a total of 1,516,256 wireless subscribers in Q2 2019.
In the three months ending February 28th, 2019, Shaw said it was able to increase its postpaid subscribers because of “customer demand for premium smartphones combined with affordable device pricing and packaging options.”
Breaking down that amount, the company gained 64,670 postpaid subscribers but lost 16,887 prepaid subscribers. Shaw attributed the loss to “migrations to higher value postpaid plans as well as an increasingly competitive environment targeting the prepaid segment.”
“We saw record subscriber performance for the company as the iPhone became available for Freedom Mobile customers and we launched our Big Gig data plans,” said Brad Shaw, the company’s CEO.
Shaw reported postpaid churn improved to 1.36 percent in Q2 2019, compared to 1.66 percent in the same reporting period a year ago. Churn represents the rate at which subscribers left Freedom for one of the company’s competitors.
Shaw reported that the average billing per subscriber in Q2 2019 was $41.34. This is an increase from $38.44 that was reported in the same reporting period a year ago.
“[This reflects the] increased number of customers that are subscribing to higher value service plans and purchasing a device through Freedom Mobile,” the earnings report said.
In Q2 2019 earnings report that was released on April 9th, Shaw reported revenue of $1.316 billion, a decrease of one percent from the same reporting period a year earlier, which totalled to $1.329 billion.
The earnings said the revenue decreased “primarily due” to a decrease in the wireless division that was “driven by” a 40 percent decrease in equipment revenue.
According to the earnings, the company saw a net income loss totalling to $155 million from $175 million the same reporting period a year ago.
Shaw acquired Wind Mobile in March 2016, eventually rebranding the company as Freedom Mobile in November 2016.
Source: Shaw
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