TELUS Cuts Dividend by 55% as It Shifts Focus to Profitability

TELUS Corporation (TU) on September 24, 2026, announced a significant realignment of its capital strategy at the 25th Annual CIBC Eastern Institutional Investor Conference, marking a sharp pivot toward profitability. The company slashed its dividend by 55% and redirected CAD 2.7 billion in capital expenditures through 2028, primarily toward AI data infrastructure and operational efficiency. By that year, TELUS aims to reduce its leverage ratio to 3.0x or lower, while also targeting a 10% reduction in capital intensity within its telecom operations, which account for roughly 90% of its EBITDA. The shift reflects a broader focus on core wireless and wireline services, with all M&A activity paused and the dividend reinvestment plan’s discount terminated to preserve cash flow for strategic priorities.