BCE’s (TSX: BCE) Q4 and full-year 2025 story is margin expansion and cash discipline, with Ziply Fiber adding service-revenue lift while adjusted EPS compresses under higher D&A, interest, and tax normalization.
Quarterly operating revenue was $6.40 billion, down 0.3% YoY from $6.42 billion, as product revenue fell 15.0% to $965 million while service revenue rose 2.9% to $5.44 billion. For 2025, operating revenue increased 0.2% to $24.47 billion.
Net earnings for Q4 2025 were $632 million, up 25.1% from $505 million in Q4 2024; full-year net earnings surged to $6.51 billion from $375 million, driven by larger gains on investments including the MLSE stake sale, plus lower asset impairments and higher other income.
On an adjusted basis, net earnings for the quarter declined 10.6% YoY to $643 million from $719 million, and adjusted EPS fell 12.7% to $0.69 from $0.79. For 2025, adjusted net earnings fell 6.2% to $2.60 billion and adjusted EPS declined 7.9% to $2.80.
Adjusted EBITDA increased 2.3% in Q4 to $2.66 billion and 0.7% for 2025 to $10.66 billion, while Q4 adjusted EBITDA margin rose 1.0 percentage point to 41.6% and full-year margin improved to 43.6%, cited as the highest annual level in more than 30 years.
Bell CTS delivered Q4 adjusted EBITDA of $2.51 billion, up 3.2%, with margin up 1.2 points to 44.1%. Bell CTS Canada Q4 operating revenue fell 3.9% to $5.46 billion and adjusted EBITDA slipped 0.9% to $2.41 billion, but margin expanded to 44.2% on lower operating costs. Bell CTS US posted $232 million Q4 revenue and $100 million adjusted EBITDA (margin 43.1%).
Bell Media Q4 revenue was $804 million, down 3.4%, with advertising down 11.1% but subscriber revenue up 1.5%. The adjusted EBITDA also declined 10.7% to $151 million. Digital revenues grew 3% in Q4 and represented 44% of 2025 Bell Media revenue.
Cash flows from operating activities were $1.56 billion in Q4, down 16.8% from $1.88 billion, reflecting higher cash taxes and weaker working capital, partially offset by higher adjusted EBITDA and lower interest paid. Full-year operating cash flow was $6.993 billion, up 0.1% from $6.988 billion.
Free cash flow was $225 million for the quarter, down 74.3% from $874 million, as capex rose and operating cash flow fell. For the year, free cash flow increased 10.0% to $3.18 billion from $2.89 billion. BCE also disclosed it will update its free cash flow definitions in Q1 2026 to exclude income taxes paid on significant divestitures, with no impact to previously presented amounts.
Capital expenditures were $1.32 billion in Q4, up 36.8% from $963 million, lifting capital intensity to 20.6% from 15.0%, including $260 million of US FTTP expansion investment at Ziply. Full-year capex declined 5.1% to $3.70 billion and capital intensity improved to 15.1% from 16.0%.
Wireless KPIs showed 56,124 postpaid phone net adds (down 0.8% YoY), churn improving 17 bps to 1.49%, and blended ARPU down 0.8% to $56.72. Fibre Internet net adds in Canada were 43,060 versus 79,722 last year, while total Bell CTS retail fibre Internet net adds were 49,168 including Ziply. Crave subscriptions rose 26% to about 4.6 million, with direct-to-consumer streaming subscribers up 65%.
BCE guided 2026 revenue growth of 1%–5% versus 0.2% achieved in 2025, adjusted EBITDA growth of 0%–4% versus 0.7% achieved, capital intensity <15% versus 15.1% achieved, adjusted EPS growth of (11%) to (5%) versus (7.9%) achieved, and free cash flow growth of 4%–10% versus 10% achieved.
The annualized common dividend per share remains $1.75, and BCE declared a quarterly dividend of $0.4375 payable April 15, 2026 to holders of record March 16, 2026.
BCE last traded at $35.25 on the TSX.
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