Rogers 2013 Annual Report Download - page 4

O
O
U
U
RR
BB
UU
S
S
IN
E
E
SS
SS
D
D
E
E
LIVE
R
R
I
I
N
G
O
N
O
UR
CO
MMITMENT
S
IN 2
0
1
3
CO
O
NT
NT
EN
T
S
2
Let
et
terter
er
s ts t
s
o
o S
h
a
r
eh
old
old
old
ers
ers
e
4
S
tr
ate
te
gicgic
c
Ob
Ob
Ob
jec
je
tives
andand
nd
Va
Va
V
lue
l
Drivers
5
5
Why
W
In
ves
ves
t it i
ti
n Rn R
n R
oge
og
rs
66
Con
Con
Con
nec
n
t L
ike
ke
NeNe
e
ver
ver
ve
Be
Be
for
e
1616
CorCorCor
por
por
por
a
ate
So
cia
i
l R
l R
espesp
esp
onsons
on
ibi
ib
lit
y
1818
CorCor
Cor
porporpor
ateateate
Go
G
ver
nan
ce
ce
20
0
Dir
Dir
Dir
Di
ect
ect
ect
ors
ors
ors
anan
an
d S
d S
d S
eni
en
o
r Ex
e
cut
cut
iveive
e
OfOf
Of
cece
c
rs
rs
24
24
Mana
g
ement’s Discussion and Anal
y
si
s
88
Man
age
ment’s Re
spo
nsibil
ity
f
or
F
inancial Reportin
g
88
I
ndependent Auditors’ Report o
f
R
e
g
istered Public Accountin
g
Firm
8
9Consolidated Statements o
f
Incom
e
90
90
Con
Con
Con
sol
so
s
ida
da
ted Statements of
Com
Com
Com
pre
pre
pre
hen
hen
hen
siv
siv
siv
e I
e I
e
nco
nco
o
me
me
91
91
Co
n
so
li
dated
State
men
n
n
tsts
ts
of
of
Fin
a
n
c
i
a
l P
os
i
t
i
o
n
9
2
Consolidated St
ate
ate
ate
men
me
m
ts of
Changes i
n S
S
har
har
har
eho
eh
eho
lders’
Eq
Eq
uituit
it
yy
y
93
C
on
sol
ol
ida
ida
da
ted
ted
ted
St
S
ate
men
en
tsts
of of
of
Cas
C
Cas
h F
h
low
s
94
4
NotNot
Not
es
es
es
to
to
Consol
ida
da
ted
ted
d
FiFi
Fi
nan
nan
cia
c
l
St
Sta
Sta
tem
t
ents
1
26
C
or
por
r
ate
ate
anan
an
d S
d S
d S
har
har
h
eho
eh
lder I
nfo
nfo
fo
rmarmarma
tiotiotio
nn
n
DIVIDEND
GROWTH
WHAT WE SAID: Increase
cash returns to shareholders
consistently over time.
WHAT WE DID: Increased the
annualized dividend per share
10% from $1.58 to $1.74 in 2013.
Further increased the dividend
by 5% to $1.83 in February 2014.
HIGHER VALUE
WIRELESS SUBSCRIBERS
WHAT WE SAID: Continue the
growth in our smartphone
subscriber base to drive wireless
data revenue and ARPU.
WHAT WE DID: Activated nearly
2.7 million smartphones, helping
bring smartphone penetration
to 75% of postpaid subscriber
base.
OPERATING
EFFICIENCIES
WHAT WE SAID: Implement
productivity improvement
initiatives to capture sustainable
operating efficiencies.
WHAT WE DID: Reduced operating
expenses for the combined Wireless
and Cable segments, excluding the
cost of wireless equipment sales, by
approximately 1% from 2012 levels.
EVOLVE AND ENHANCE
TELEVISION PLATFORM
WHAT WE SAID: Invest in the
evolution of our current TV
platform and extend our video
offerings to new platforms.
WHAT WE DID: Launched NextBox
3.0 delivering a superior TV
experience and leveraged the
success of Rogers AnyPlace TV,
our Internet and mobile
on-demand TV service.
FAST AND RELIABLE
NETWORKS
WHAT WE SAID: Maintain
Rogers leadership in network
technology and innovation.
WHAT WE DID: Rogers was
named both the fastest wireless
network and the fastest
broadband ISP in Canada
by PCMag.com.
ENHANCE AND STRENGTHEN
THE CORE BUSINESS
WHAT WE SAID: We will make
strategic investments to expand
and strengthen the core
business.
WHAT WE DID: Executed
strategic acquisitions including
Mountain Cable, data centre and
hosting assets, theScore and
valuable, high profile sports
content.
DATA REVENUE
GROWTH
WHAT WE SAID: Generate
double-digit wireless and
broadband data growth consistent
with our data usage monetization
strategy.
WHAT WE DID: Grew wireless
and broadband data revenues by
17% and 16%, respectively over
2012 levels.
FREE CASH FLOW
GENERATION
WHAT WE SAID: Deliver another
year of significant consolidated
pre-tax free cash flow.
WHAT WE DID: Generated
$2.0 billion of pre-tax free cash
flow in 2013, supporting the
significant investments and cash
we returned to shareholders
during the year.
AT A GLANCE
RoRo
gege
rs
rs
C
C
om
mu
mu
nini
ca
ca
tions In
c.
.
i
i
i
s
s
s
a
a
a
di
di
versi
f
ied Canadian telecommunicati
on
s
s
an
an
an
d
d
d
me
m
m
dia
co
co
mp
mp
mp
an
a
an
y.
y.
RoRoRo
gegege
rs
rs
rs
W
i
re
e
lele
ssss
i
i
i
s s
Ca
C
na
da
a
’s’s
s
l
l
l
a
ar
ar
ge
g
st wire
l
ess voice an
d
d
ata te
l
ecommunications
se
e
rv
rvrv
icic
ic
es
es
e
p
ro
vi
dede
r r
r
an
an
an
d
d
d
th
t
e
co
co
unun
n
tr
trtr
y’y’
s
s
on
ly
y
nn
n
at
atat
io
io
i
na
l
carrier operatin
g
on t
h
e com
b
ine
d
wor
ld
stan
d
ar
d
G
SM
M
M
/H/H
/H
SP
SP
S
A+
A
/L
L
TE
TE
tete
te
ch
c
no
o
lo
o
gygy
gy
p
p
la
la
t
f
or
ms
ms
ms
.
.
.
R
Ro
Ro
gers
Ca
bl
e
is a leading Canadian cable services provider, o
ff
eri
ng
g
hh
h
igigig
h-
h-
sp
ee
e
d
d
In
I
te
rn
n
et
et
t
a
aa
cc
cc
ess,
c
c
abab
ab
le
le
l
television, and telephon
y
products, and to
g
ether with Ro
g
ers B
us
in
ess
SS
ol
ol
ut
i
o
n
s
,
,
p
r
ov
ov
idid
d
es
e
es
b
b
us
in
n
es
es
es
ss
s
te
t
l
ecom, networ
k
in
g
,
h
ostin
g
, mana
g
e
d
services an
d
IP so
l
utions to sma
ll
, me
di
di
di
um
um
um
an
an
dd
d
lala
l
rg
r
e
en
n
tete
te
r
rp
rp
rise, government an
d
carrier customers. Rogers
Med
i
a
is Cana
d
a’s premier group
of
of
f
c
cc
at
at
e
g
or
r
y-
y-
y-
le
l
le
adin
g
broadcast, specialt
y
, print and online media assets, with businesses in radio and
te
te
te
le
le
visi
on
n
n
b
bb
ro
a
d
casting, te
l
evise
d
s
h
opping, sports entertainment, magazine an
d
tra
d
e journa
l
pu
bl
is
hi
ng
ng
g
an
an
a
d
d
i
gi
gi
gi
tata
ta
l
l
me
d
ia. We are pu
bl
ic
ly
tra
d
e
d
on
b
ot
h
t
h
e TSX an
d
NYSE stoc
k
exc
h
an
g
es an
d
are inc
l
u
d
e
d
in
i
t
he
e
S
SS
&P
&
&
/TSX 60 Index o
f
the lar
ge
st
p
ublicl
y
traded com
pa
nies in Canada.