Telus Corp. raised its dividend as it reported its first-quarter profit fell compared with a year ago on higher interest, depreciation and amortization, restructuring and other costs.

The company says it will now pay quarterly dividend of 36.36 cents per share, up from 35.11 cents per share.

The increased payment to shareholders came as Telus reported a profit attributable to common shares of $217 million or 15 cents per diluted share, down from $385 million or 28 cents per diluted share a year earlier.

Operating revenue and other income totalled $4.96 billion, up from $4.28 billion in the first three months of 2022.

On an adjusted basis, Telus says it earned 27 cents per share in its latest quarter, down from an adjusted profit of 30 cents per share a year earlier. Its adjusted net earnings totalled $386 million, down from $415 million the same period last year.

Analysts on average had expected an adjusted profit of 26 cents per share and nearly $4.90 billion in revenue, according to estimates compiled by financial markets firm Refinitiv.

The company added 47,000 net mobile phone subscribers, up 2.2 per cent from 46,000 last year.

Its monthly churn rate for the category — a measure of subscribers who cancelled their service — was 0.88 per cent, up from 0.81 per cent during its previous first quarter.

Telus' wireless mobile phone average revenue per user was $58.61, up $2.16 from the first quarter of the prior year, which the company largely attributed to increased roaming as a result of more international travel.

This report by The Canadian Press was first published May 4, 2023.