TELUS CORP

EBITDA – TTech segment

TTech EBITDA increased by $570 million or 10.0% in 2024. In addition to the growth drivers discussed withinTTech Adjusted EBITDA below, EBITDA also reflected a reduction of $221 million in restructuring and other costs in 2024, primarily as a result of significant investments in cost efficiency and effectiveness programs, inclusive of real estate rationalization.

TTech Adjusted EBITDA increased by $349 million or 5.5% in 2024, reflecting: (i) mobile, residential internet, security and TV subscriber growth (excluding the first quarter 2024 Pik TV subscriber base adjustment); (ii) broad-based cost reduction efforts, including workforce reductions, synergies achieved between LifeWorks and our legacy health business, and increased adoption of TELUS Digital’s solutions across TTech operations, resulting in competitive benefits given the lower cost structure in TELUS Digital, as well as reductions in marketing and administrative costs; (iii) higher gains on real estate projects; (iv) higher health services margin; and (v) higher agriculture and consumer goods margins. These factors were partially offset by: (i) lower mobile phone ARPU; (ii) an increase in bad debt expense; (iii) declining fixed legacy voice and TV margins; (iv) lower mobile equipment margins; (v) higher network operations costs; and (vi) increased costs of subscription-based licences and cloud usage.