Tear Sheet: BCE Inc.

. BCE exited 2024 with adjusted debt to EBITDA of 4x. S&P Global Ratings-adjusted net debt for 2024 increased about C$4 billion while S&P Global Ratings-adjusted EBITDA remained mostly unchanged (about 0.9% decline). Higher debt reflected lower cash flow from operations (CFO), increased investments (acquisitions and spectrum), weakening CAD currency, and higher borrowings under the company?s commercial paper program. To deleverage, BCE lowered its 2025 capital expenditure (capex) to about C$3.2 billion (14% telecom capital intensity [CI] in 2025 compared to 17% in 2023) slowing its Canadian fiber expansion, initiated its discounted dividend reinvestment plan (DRIP), issued about C$4.5 billion in hybrid issuance, and pursued noncore asset sales. Although 2025 revenue growth will be essentially unchanged, cost-reduction initiatives, roll-off of

...April 2, 2025 Leverage will remain elevated for the next 12 months. BCE exited 2024 with adjusted debt to EBITDA of 4x. S&P Global Ratings-adjusted net debt for 2024 increased about C$4 billion while S&P Global Ratings-adjusted EBITDA remained mostly unchanged (about 0.9% decline). Higher debt reflected lower cash flow from operations (CFO), increased investments (acquisitions and spectrum), weakening CAD currency, and higher borrowings under the company's commercial paper program. To deleverage, BCE lowered its 2025 capital expenditure (capex) to about C$3.2 billion (14% telecom capital intensity [CI] in 2025 compared to 17% in 2023) slowing its Canadian fiber expansion, initiated its discounted dividend reinvestment plan (DRIP), issued about C$4.5 billion in hybrid issuance, and pursued noncore asset sales. Although 2025 revenue growth will be essentially unchanged, cost-reduction initiatives, roll-off of restructuring charges, and the hybrid issuance should help deleverage in 2025. Nonetheless,...

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