Message from our CEO
Seems like yesterday that I was in the Montreal area doing installation and repair for many years… and loving it!
That was 48 years ago; it was an amazing introduction and learning curve to the industry – being hands on with the technology and the products; meeting eight customers, on average, every day face-to-face and understanding the true meaning of client service; feeling a sense of empowerment and responsibility with the keys to my truck and my customer list that I needed to get through by the end of the day, whilst having the autonomy to plan the work flow and logistics to the best of my ability in the pre-AI era. It was also great to be there all those years ago during the wake-up call for the industry transitioning from a monopoly to a competitive environment, which made it all the more rewarding as the industry became more dynamic for someone like me, who was deeply motivated by the competitive spirit, opportunities to innovate courageously and extracting every ounce of tuition value from when things did not go as planned!
This marked the start of my career in the field of telecommunications (quite literally) and I have carried this passion for our industry with me every moment since then!
Reflecting on 26 years
As my tenure as TELUS’ President and CEO draws to an end, I have been reflecting a great deal on TELUS’ unparalleled achievements over the past 26 years. In this regard, I would like to take a moment to celebrate the countless accomplishments of TELUS’ global team and showcase the tangible value they have created for all stakeholders we serve.
Indeed, over the past quarter-century, TELUS has undergone a transformation that is nothing short of remarkable. This extraordinary evolution has been driven by the unwavering commitment, ingenuity and passion of our exceptional TELUS team – individuals who have consistently embraced change, innovated courageously and grown together through spirited teamwork, all whilst passionately putting our customers and communities first. These are the values that will continue to propel our company and fuel our success in the years to come.
I am pleased to share below a comprehensive overview of TELUS' achievements across our financial performance and shareholder value; strategic transformation and operational excellence; and social capitalism, sustainability and culture – from 2025 and as well, over the past 26 years.
Embracing 26 years of purpose-driven innovation
For more than two and a half decades, TELUS has been leading with purpose and innovating with grit. In 2025, our team marked the 25th anniversary of our iconic brand – the latest milestone in our extraordinary evolution.
Since 2000, our company has grown from a telecommunications provider operating in two provinces in Western Canada with 25,000 employees, to a leading global communications technology organization operating in more than 45 countries today, supported by more than 133,000 team members, worldwide.
On February 12, I announced my retirement as President and CEO of TELUS, effective June 30, 2026, concluding a 26-year tenure defined by industry-leading growth, shareholder value creation and a deep commitment to social purpose. I am sincerely grateful to our amazing TELUS team members, customers, community partners and shareholders for making the last two-and-a-half decades so incredibly meaningful and memorable. To be part of this extraordinary team has been the greatest honour of my life.
As I look back on what we have built, together, over the past 26 years, I feel tremendously grateful to have been a part of the TELUS team. Indeed, the success your Company has realized belongs to the extraordinary team members who have created so passionately the globally recognized culture that sets TELUS apart. Our team shows up every single day to serve our customers, support our communities and build a company that people, including shareholders, can trust.
Looking ahead, following a robust succession planning process, our Board of Directors selected an outstanding successor, Victor Dodig, the former CEO of CIBC and an accomplished leader. Victor embodies TELUS' core values, embraces a commitment to putting customers first, demonstrates exceptional character and business acumen and cares deeply about building stronger communities. His tremendous skills, CEO expertise and proven track record of value creation will effectively complement TELUS’ strong leadership team and position him well to lead TELUS into this next exciting chapter, building on our industry-leading 2025 operating and financial results.
Delivering industry-leading customer loyalty, operational and financial results
TELUS’ purpose-driven culture fuels business performance, including our consistently robust customer growth and loyalty, which is a testament to our team members’ collective commitment to always put our Customers First in everything we do. In 2025, we added 1,081,000 new customer connections, surpassing the one million mark for the fourth straight year.
Moreover, as a result of our team’s commitment to customer service excellence, TELUS consistently realizes world-leading client loyalty, including a full-year 2025 postpaid churn rate of 0.97 per cent, representing our 12th consecutive year of churn under one per cent.
On a macroeconomic level, it was another dynamic year for the telecommunications industry worldwide. Nevertheless, our TELUS team members rose to the occasion: our excellence in strategic execution, combined with our superior and differentiated asset mix, once again yielded strong financial outcomes. We achieved our full-year public guidance with TTech Adjusted EBITDA delivering growth of 3.1 per cent. We also delivered $4.9 billion in cash from operations, and notably, record consolidated free cash flow of $2.2 billion, an increase of 11 per cent over the prior year and exceeding our annual target. This builds upon the 12 per cent and 38 per cent free cash flow growth we delivered in 2024 and 2023, respectively.
Throughout the past 26 years, TELUS has led our peer group across a number of key growth parameters; notably, enterprise value has increased 428 per cent to $54.6 billion, as compared to an estimated 77 per cent for U.S.-based AT&T, negative 23 per cent for BCE and negative 36 per cent for Australia-based Telstra. Over the same period, EBITDA growth has more than doubled to $7.4 billion as compared to an estimated 97 per cent increase for BCE, 130 per cent increase for AT&T, 12 per cent increase for Telefonica, and 4 per cent for Telstra. Meanwhile, revenue growth has increased 242 per cent as compared to 72 per cent for BCE, 154 per cent for AT&T, 53 per cent for Telefonica and 27 per cent for Telstra.
We will continue to build on this momentum throughout 2026, as evidenced by our industry-leading financial targets, including best-in-class consolidated service revenue and EBITDA growth of up to 4 per cent. In addition, our 2026 free cash flow target of $2.45 billion, or growth of 10 per cent, is consistent with our multi-year compounded annual growth rate target of 10 per cent or more through 2028. Similarly, we expect to progress our record-low capital intensity as we advance towards our 10 per cent target, further cementing our industry-leading capital efficiency and supporting our free cash flow growth objectives; which of course, underwrite the robustness of TELUS’ dividend.
Keeping people and communities connected
Investing in connectivity for all
Since 2000, your Company has invested $294 billion in our network infrastructure, operations and spectrum to ensure Canadians have the connectivity they need to thrive. In 2025, we announced plans to invest $70 billion across Canada over the next five years. We also advanced our national service strategy with the launch of TELUS PureFibre in Ontario and Quebec, leveraging fibre wholesale access alongside targeted investments, and building fibre in select communities across these provinces. Backed by a $2 billion investment over the next five years, TELUS is entering these markets as a new entrant with a markedly different approach: deploying fibre into many underserved, significant-sized markets. This is further differentiated through our unique blend of industry-best customer service, an unmatched suite of innovative products and services within our home solutions portfolio and our world-leading social capitalism.
Growing our PureFibre and 5G footprint
In addition to our efforts in Ontario and Quebec, we continued expanding our global-best TELUS PureFibre network, bringing the fastest and most reliable communications technology in the world to 3.7 million households and businesses and growing. In 2025, we added 25 new communities to our TELUS PureFibre footprint in British Columbia, Alberta and Quebec. Moreover, we extended our broadband networks to 30 additional Indigenous lands, bringing the total number of Indigenous lands connected by TELUS PureFibre to 308 and by 5G to 1,172.
Back in 2013, our TELUS team undertook a transformational program to build a fibre network in B.C. and Alberta to replace aging copper. Today, over 99 per cent of our legacy copper-network TV and internet customers have migrated to TELUS PureFibre. This is the best-performing fibre-to-the-home infrastructure globally, delivering the fastest, most robust communications technology in the world.
Over the past 26 years, your Company has also transformed its regional wireless network in B.C. and Alberta from basic first-generation voice services into one of the most advanced, high-quality 5G networks in the world, covering Canadians from coast to coast. Each generation delivered step-change improvements in speed, reliability and coverage, culminating in today’s 5G network that facilitates critical, transformational change in respect of health, education, teleworking, the environment and the economy. Perhaps most importantly, our world-leading networks are helping to bridge digital divides so that every member of our society has the opportunity to realize their full potential. TELUS customers benefit from the fastest speeds, lowest latency and most consistent real-world performance, spending more time connected to high-quality 5G than on any other network. These outcomes are the direct result of sustained investments in spectrum, customer experience and Canadian engineering excellence, and they position TELUS to continue leading as data demand, applications and customer expectations accelerate.
In total, today, TELUS’ world-leading 5G network now reaches more than 90 per cent of Canada’s population and is recognized by U.K.-based Opensignal as Canada’s most awarded network in 2026 and the most awarded network ever.
Impressively, since 2000, TELUS has grown our customer connections by 383 per cent – from 4.3 million in 2000, to nearly 21 million today. Over the same timeframe, we have grown our wireless customer base by over 1,200 per cent, from one million customers in B.C. and Alberta in 2000, to nearly 15 million across the country today.
TELUS has also earned its way to becoming the market share leader in wireline services in Western Canada, as evidenced by our significant growth since 2000. By way of example, TELUS’ internet market share has expanded from eight per cent in 2000 to a market-leading 51 per cent today. Similarly, both TV and Security had zero per cent market share in 2000, and 26 years later, TELUS is the market leader in both of these product lines, with TV having a 48 per cent share of the market and security earning 60 per cent market share.
Advancing our capital allocation strategy
Driving our performance is a disciplined approach to financial management, supported by strong business fundamentals and significant free cash flow generation. As part of our proactive actions, we announced our three-year free cash flow growth target of a minimum 10 per cent compounded annual growth rate through 2028. Moreover, we are pausing our dividend growth until such time as our share price better reflects the considerable growth prospects of TELUS. We are also stepping down our discounted dividend reinvestment plan beginning in 2026, with the discount being reduced from 2 per cent to 1.75 per cent in the first quarter of this year.
Notably, in 2025 we completed $7.3 billion in junior subordinated debt issuances, providing 50 per cent equity recognition to support balance sheet flexibility. Additionally, the partnership that we struck successfully with La Caisse in Terrion, our dedicated wireless tower infrastructure operator, reduced TELUS’ net debt by $1.26 billion, or approximately 0.17-times. The creation of Terrion also marked a significant step to further enhance connectivity. This entity not only supports wireless competition and consumer choice through wholesale access, but also unlocks significant shareholder value by supporting our aforementioned deleveraging efforts and strengthening our balance sheet.
These efforts reinforce our progress in respect of deleveraging, moving ahead of plan, with our leverage ratio improving to 3.4-times as of the end of 2025 (from 3.9-times at the beginning of 2025), and expected to reach circa 3.3-times or lower by the end of 2026, and 3-times or better by year-end 2027. Throughout the remainder of 2026, our team will pursue additional monetization opportunities, including accelerated monetization of real estate and copper assets, and exploring strategic investors for TELUS Health and TELUS Agriculture & Consumer Goods.
Notably, we have full confidence in our deleveraging plan and our ability to achieve our 2026 and 2027 goals, including the removal of the discount on our dividend reinvestment plan.
Accelerating our global growth, underpinned by our Customers First promise
Leveraging the power of technology innovation
Beyond the establishment of Terrion, your Company further accelerated TELUS’ ongoing success in 2025 through the privatization of TELUS Digital – including access to TELUS Digital’s strong cash flow generation. This transaction will generate approximately $150 million to $200 million in annualized cash synergies through operational efficiencies, including accelerated AI-driven automation, business simplification and strategic cross-promotion of services. These initiatives will further strengthen our financial performance and prioritize high-impact opportunities to create significant shareholder value in the years to come.
The evolution of TELUS Digital over the past two decades has been nothing short of extraordinary, and I am incredibly proud of what our team has accomplished, together, as we have grown this important area of our business. Since 2005, we have grown TELUS Digital from a single contact centre in Manila, Philippines with fewer than 2,000 employees, to an integrated global provider of AI, digital and customer experience services spanning 36 countries. Today, with over 80,000 team members serving 700 major clients and generating $2.5 billion of revenue, TELUS Digital stands as a powerful illustration of what is possible when talented people are empowered to innovate courageously and pursue a shared purpose.
Improving healthcare access and outcomes globally
Turning to TELUS Health, we completed our acquisition of Workplace Options, further expanding our global footprint to deliver exceptional healthcare outcomes for employers with their employees. This growth is reflected in our strong financial performance, with increases in revenue and Adjusted EBITDA of 15 per cent and 22 per cent, respectively, for the year.
This builds upon TELUS Health’s revenue and EBITDA growth in 2024, at 4 per cent and 18 per cent, respectively.
TELUS Health has experienced significant growth over the course of 18 years. Indeed, since it was launched in 2008 as a provider of health claims processing and pharmacy management systems in Canada, TELUS Health has evolved to become the global leader in employer-based health and well-being solutions, enhancing more than 160 million lives across 200 countries and territories. Moreover, TELUS Health has grown from $245 million in revenue, to a global organization with more than $2 billion in revenue and more than $400 million in EBITDA in 2026.
Building the world’s leading digital agriculture and consumer goods company
The potent combination of purpose and innovation is also evident in our TELUS Agriculture & Consumer Goods (TAC) business, which delivered record sales bookings.
Like the other growth areas of our business, since establishing TELUS Agriculture & Consumer Goods six years ago, this business has grown to serve over 5,400 customers, including 15 of the top 20 consumer packaged goods suppliers, and 9 of the top 10 crop protection and seed companies in the world, generating half a billion dollars in revenue. TELUS Agriculture digitally transforms the global food system, leveraging technology such as IoT sensors and AI-driven platforms to optimize the food value chain, increase yields, reduce waste and improve safety from farm to fork.
Leading the world in the responsible use of AI
Building on over a decade of AI expertise and scaling adoption across our business, your Company has unlocked $350 million in cumulative financial impacts since 2023 – delivering significant revenue growth, cost efficiencies and productivity gains through data monetization and AI enhancements.
We opened our first Sovereign AI Factory in Rimouski, Quebec – the first of its kind in Canada – with a second facility coming online in Kamloops, British Columbia. These super-secure facilities provide businesses, governments and researchers with access to accelerated computing capabilities to innovate rapidly and develop smarter AI solutions tailored for the Canadian marketplace. Moreover, our AI facilities enable all aspects of the AI lifecycle and high-performance computing, including model training, model fine-tuning as well as inference on a single platform. This means we, and our customers, can train new AI models from scratch, fine-tune them for specific use cases, and deploy them via real-life applications. Our Sovereign AI Factories are also among the most environmentally friendly in the world, utilizing 99 per cent renewable energy and reducing water consumption by more than 75 per cent. Notably, our Rimouski facility was named the fastest and most powerful supercomputer in Canada and 78th globally by TOP100.
Looking ahead, TELUS has established a concrete target for our AI-enabling capabilities revenue growth, from $800 million in 2025 to approximately $2 billion in 2028, anchored by TELUS Digital and TELUS Business Solutions, including meaningful growth potential of our Sovereign AI Factories.
Demonstrating heartfelt support for our customers and communities
Giving more than any other company on the planet
This past year also marked the 20th anniversary of TELUS Days of Giving. What began in 2005 with 5,000 volunteers in Canada has grown to 90,000 volunteers participating across 33 countries.
Reflecting our team’s longstanding belief in the synergistic relationship between doing well in business and doing good in the global communities where our team members live, work and serve, since 2000, TELUS has contributed $1.85 billion, including 2.5 million days of volunteerism – more than any other company in the world.
Over the past two-and-a-half decades, TELUS has built an incredible legacy of giving, thanks to the passion of our team and the support of our customers and communities.
Notably, our innovative Community Board model was established in 2005 with one community board in one province; today, we have 21 TELUS Community Boards around the world, putting charitable decision-making in the hands of local leaders. Combined, our Community Boards and the TELUS Friendly Future Foundation have contributed $150 million to empower two million youth each year, for a total of 27 million underserved young citizens supported since inception.
Following the establishment of the TELUS Friendly Future Foundation in 2018, the TELUS Student Bursary program was launched in 2023, representing the largest bursary fund in Canada. Since launching the program, the Foundation has dispersed $6 million in bursaries to 2,000 post-secondary students with a demonstrable commitment to volunteering in their communities. Our ongoing commitment to helping those in need of a helping hand is reflected in our social impact and sustainability targets.
Celebrating TELUS’ sustainability milestones
In 2025, we achieved our target of procuring 100 per cent of electricity requirements for our operations from renewable or low-emitting sources, and celebrated the milestone of planting 25 million trees with our partners.
Building on this success, we have set our latest Science Based Target Initiative approved climate ambition: to become Net Zero across our operations and supply chain by 2040. To support this, we have issued our Transition Framework – a strategic roadmap that sets out how we will achieve our climate commitments, including both decarbonization and resilience to climate-related risks.
As a further demonstration of our global leadership and continued focus on creating a more sustainable world, TELUS is investing in nature-accretive solutions that support ecosystem restoration and resilience alongside our emissions-reduction efforts, to ensure we leave the planet healthier and more resilient than before.
Doing well in business and doing good
TELUS’ long-standing leadership in social capitalism inspires our team members, as reflected in our world-leading team member engagement of 85 per cent – among the top 10 per cent of employers globally. This supports the potent equation we have at TELUS: our global leadership in social purpose drives higher employee engagement; this in turn, fuels better business execution; and this has yielded a culture where better business execution from that higher engagement leads us to deliver world-leading customer service outcomes and the lowest churn rate within the global telecommunication industry for decades.
This has contributed to our beloved TELUS brand growing from a few hundred million dollars in 2000 to $13 billion today, ranked as Canada’s most valuable and reputable telco brand and the 8th most valuable overall by Brand Finance. TELUS was also recognized as one of Canada’s Most Authentic Brands by the Gustavson School of Business and was Strategy Magazine’s 2021 Brand of the Year. This clearly illustrates the connection between purpose, performance and our Customers First promise in action.
Thanking our supporters and partners
The highlights shared in this letter are merely a sampling of TELUS’ outstanding achievements throughout 2025 and over the past quarter of a century, thanks to the exceptional effort and dedication demonstrated by our team members. On behalf of our nearly 133,000 team members and retirees worldwide, I want to express my deepest gratitude to you – our shareholders, customers and community partners – for your continued support and patronage.
As my tenure as CEO draws to a close, I would like to extend my heartfelt appreciation to our TELUS team members worldwide. Being a part of this amazing team has represented a huge part of my life and I will forever after be tremendously grateful for what we have built together. Moreover, I remain enormously proud of the manner in which we have realized our accomplishments, embracing our powerful culture that has made all the difference over the past 26 years!
Together, let’s continue to make the future friendly.
Darren Entwistle
Proud member of the TELUS team
Proud member of the TELUS team