Bell 2012 Q2: Smartphone Subscribers Now 55% of Postpaid Users
Bell yesterday announced their 2012 Q2 earnings, and in terms of their wireless division, the company noted it was a strong quarter based on the increase of operating revenues and subscriber growth. There are now 7,453,363 Bell mobile subscribers, a 2.3% increase compared to a year ago.
Their wireless operating revenues increased 6.7% to $1.36 billion and service revenue up 6.3% to $1.24 billion, thanks to a larger amount of postpaid subscribers and data usage growth. Bell’s blended average revenue per user (ARPU) was up 4.5% to $55.37, thanks in large part to wider data usage and smartphone adoption.
Postpaid activations dipped to 327,335 compared to 341,645 in the year ago quarter; similarly prepaid activations did too as only 100,930 signed up, compared to 133,255 in the year ago quarter. The reason for the decline was a result of “aggressive acquisition offers” from competitors.
Smartphone activations now represent 55% of Bell’s total postpaid user base, compared to just 38% a year ago. Bell also noted their 4G LTE network is the largest in Canada, covering more than 49% of Canadians in 23 markets across 7 provinces and territories.