Telus hits pause on dividend increases, expects free cash flow to grow

VANCOUVER – Telus Corp. is hitting pause on its dividend growth plan until it says its share price reflects its growth prospects.

The company says it will continue to pay a quarterly dividend at 41.84 cents per share. The current payment gives it an annual yield of nearly 9.2 per cent, based on its share price Tuesday.

Telus also says next year it will begin phasing out its discounted dividend reinvestment plan, which allows shareholders to use their dividends to buy Telus shares from the company at a discount to the market price.

The company says it plans to reduce the current discount of two per cent to 1.75 per cent for dividends declared in February and May 2026 and 1.5 per cent for dividends declared in August and November 2026. The discount will be one per cent for dividends decla