TELUS Digital (NYSE and TSX: TIXT) was at last look up 0.3% in US premarket on Friday as it reported a drop in adjusted profit and a net loss in the third quarter on lowered revenues. But the company said it is "on target to achieving its full-year outlook."

The company for Q3 reported a net loss of US$32 million and diluted loss per share of $0.12, compared with net income of $9 million and diluted EPS of $0.03 in the same quarter of the prior year, due to increases in operating expenses and lower revenue earned, partially offset by lower income taxes.

Adjusted net income was $15 million, compared with $53 million in the same quarter of the prior year, primarily due to higher salaries and benefits, goods and services purchased, share-based compensation expense, and lower revenues earned, partially offset by lower income tax expense.

TELUS reported revenue of $658 million, a decrease of $5 million or 1% on a reported basis and on a constant currency basis. It said the year-over-year comparison reflected a "persistently challenging macroeconomic environment and competitive conditions in the industry", with lower revenues from a leading social media client and other technology clients, as well as certain telecommunication and e-commerce and fintech clients, however, partially offset by revenue growth from services provided to TELUS Corporation, among other existing clients, as well as new clients added since the same quarter in the prior year.

For the full-year 2024, management continues to expect: Revenue in the range of $2,610 to $2,665 million; Adjusted EBITDA in the range of $465 to $485 million and Adjusted EBITDA Margin in the range of 17.8% to 18.1%; and Adjusted Diluted EPS in the range of $0.39 to $0.44.