Press Release: TELUS Digital reports third quarter 2024 results, with performance on target to achieving its full-year outlook

Dow Jones
Nov 08, 2024
   expense              35         38           106        107 
  Foreign 
   exchange loss 
   (gain)                1         (2)            1         (4) 
  Income tax 
   expense 
   (recovery)           (6)         3             7         (9) 
                      ----       ----          ----       ---- 
Adjusted EBITDA    $    95      $ 139       $   378      $ 398 
                      ====       ====          ====       ==== 
Net (loss) 
 income margin        (4.9)%      1.4%         (0.4)%      0.8% 
                      ====       ====          ====       ==== 
Adjusted EBITDA 
 Margin               14.4%      21.0%         19.2%      19.7% 
 
 
                 Three Months Ended       Nine Months Ended 
                     September 30            September 30 
                ----------------------  ---------------------- 
(millions)          2024        2023        2024      2023 
-------------       -----       -----       -----    ------ 
Cash provided 
 by operating 
 activities      $    121      $  185    $    371   $   356 
Less: capital 
 expenditures         (23)        (26)        (71)      (66) 
                    -----       -----       -----    ------ 
Free Cash Flow   $     98      $  159    $    300   $   290 
                    =====       =====       =====    ====== 
 
 
As at (millions, except for        September 30, 
ratio)                                  2024         December 31, 2023 
-------------------------------   ---------------  --------------------- 
 
Outstanding credit facility        $       1,331     $         1,463 
Contingent facility utilization                7                   7 
Liability related to provisions 
 for written put options(1)                   --                  68 
Net derivative liabilities                     5                  -- 
Cash balance(2)                             (149)               (127) 
                                      ----------   ---  ------------ 
Net Debt as per credit agreement   $       1,194     $         1,411 
                                      ==========   ===  ============ 
Adjusted EBITDA (trailing 12 
 months)                           $         562     $           582 
                                      ==========   ===  ============ 
Adjustments required as per 
 credit agreement                  $        (147)    $           (84) 
                                      ==========   ===  ============ 
Net Debt to Adjusted EBITDA 
 Leverage Ratio as per credit 
 agreement                                   2.9                 2.8 
                                      ==========   ===  ============ 
 

(1) Reflects the undiscounted amount payable in cash on the estimated provisions for written put options arising from our acquisition of WillowTree. During the second quarter of 2024, we amended the provisions for written put options and eliminated the requirement to settle a portion in cash. See Note 12--Provisions in our condensed interim consolidated financial statements for the three- and nine-month periods ended September 30, 2024 for additional details on the amendments.

(2) Maximum cash balance permitted as a reduction to net debt, as per the credit agreement, is $150 million.

About TELUS Digital

TELUS Digital (NYSE & TSX: TIXT) crafts unique and enduring experiences for customers and employees, and creates future-focused digital transformations that stand the test of time. We are the brand behind the brands. Our global team members are both passionate ambassadors of our clients' products and services, and visionary technology experts resolute in our pursuit to elevate their end customer journeys, solve business challenges, mitigate risks, and drive continuous innovation. Our portfolio of end-to-end, integrated capabilities include digital IT services, such as cloud solutions and AI-fueled automation, trust and safety services, AI data solutions, including expertise in computer vision, and front-end digital design and consulting services. Fuel iX$(TM)$ is TELUS Digital's proprietary GenAI engine at the heart of our innovation, helping enterprises advance their GenAI pilots to working prototypes and production at scale, quickly, securely and responsibly across multiple environments, applications and clouds.

Powered by purpose, TELUS Digital leverages technology, human ingenuity and compassion to fuel remarkable outcomes and create inclusive, thriving communities in the regions where we operate around the world. Guided by our Humanity-in-the-loop principles, we take a responsible approach to the transformational technologies we develop and deploy by proactively considering and addressing the broader impacts of our work. Learn more at: telusdigital.com

View source version on businesswire.com: https://www.businesswire.com/news/home/20241108577914/en/

 
    CONTACT:    TELUS Digital Investor Relations 

Olena Lobach

(604) 695-3455

ir@telusdigital.com

TELUS Digital Media Relations

Ali Wilson

(604) 328-7093

media.relations@telusdigital.com

 
 

(END) Dow Jones Newswires

November 08, 2024 06:45 ET (11:45 GMT)

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