Rogers Communication Inc. And Telus Corporation: Financial Analysis

MBA 607 TERM Project
For Professor Tomek Kopczynski

Financial statement analysis and investment recommendation for:

Rogers Communication Inc and TELUS Corporation

Table of Contents
The Communication Sector 4
Industry Overview 4
Key Industry Characteristics 4
Company overview 5
Rogers Communication Inc. 5
TELUS Corporation 5
Comparative Analysis 5
Overall performance: how well are the companies performing overall? 6
Management of financing and sources of capital: how well do the companies manage short-term and long-term borrowings? 8
Management of investments and capital expenditures: How effective are the companies with long-term borrowings and asset deployment? 10
Management of operational activities and profitability: How well
Equivalently, Rogers declared dividends of $1.74 per share in 2013, an increase of 50% since 2009 and an increase of 10.13% since 2012; (Figure 30, Appendix D). The dividends yield of Rogers in 2013 was 0.04, an increase of 1.75% since 2009 and an increase of 3.14% since 2012; (Figure 31, Appendix D). These ratios indicate a consistent growth in dividends for the shareholders.

TELUS
TELUS returned dividends of $847.8 M in 2013, an increase of 40.46% since 2009 and an increase of 6.6% since 2012; (Figure 29, Appendix D). Equivalently, TELUS declared dividends of $1.36 per share in 2013, a decrease of 28% since 2009 and an increase of 11.48% since 2012; (Figure 30, Appendix D). The dividends yield of TELUS in 2013 was 0.04, a decrease of 33.2% since 2009 and an increase of 98% since 2012; (Figure 31, Appendix D). These ratios indicate a consistent growth in dividends for the shareholders.

Conclusion
In comparison to Rogers, TELUS has returned higher total dividends over the past years. On the other hand, TELUS decreased its dividend yield to match that of Rogers at 0.4 in 2010. Therefore, the capital gains would provide a valued metric to compare the returns to the shareholders of the two