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Do a DuPont analysis of this annual report. please this needs appropriate analysis, not just a calculations

Thank You

CONSOLIDATED STATEMENTS OF INCOME AND OTHER COMPREHENSIVE INCOME Years ended December 31 (millions Note 2019 2018 Operating Revenues Service $ 12,400 $ 11,882 Equipment 2,189 2,213 Revenues arising from contracts with 6 14,589 14,095 Other operating income 7 69 273 14,658 14,368 Operating Expenses Goods and services purchased 6,070 6,368 Employee benefits expense 8 3,034 2,896 Depreciation 17 1,929 1,669 Amortization of intangible assets 18 648 598 11,681 531 Operating Income 2,977 2,837 Financing costs 9 733 661 Income Before Income Taxes 2,244 2,176 Income taxes 10 468 552 Net Income 1,776 1,624 Other Comprehensive Income 11 Items that may subsequently be Change in unrealized fair value of derivatives designated as cash 84 (18) Foreign currency translation adjustment arising from translating 20 (30) 104 (48) Items never subsequently reclassified Change in measurement of 12 (1) Employee defined benefit plan re- (338) 333 (326) 332 (222) 284 Comprehensive Income $ 1,554 $ 1,908 Net Income Attributable to: Common Shares $ 1,746 $1,600 Non-controlling interests 30 24 $ 1,776 $ 1,624 Comprehensive Income Common Shares $ 1,516 $ 1,898 Non-controlling interests 38 10 $1,554 $ 1,908 Net Income Per Common Share 12, 28(6) Basic $ 2.90 $ 2.68 Diluted $ 2.90 $ 2.68 Total Weighted Average Common Basic 602 597 Diluted 597 The accompanying notes are an integral part of these consolidated financial statements CONSOLIDATED FINANCIAL 602 6(b) CONSOLIDATED STATEMENTS OF FINANCIAL POSITION As at December 31 (millions) Note Cash and temporary investments, net Accounts receivable Income and other taxes receivable Inventories Contract assets 6(C) Prepaid expenses 20 Current derivative assets 41h) Non-current assets Intangible assets, net Goodwill, net Contract assets Other long-term assets 17 18 18 6(C) 20 2019 2018 $ 535 $ 414 1,962 1,600 127 3 437 376 737 860 547 539 8 49 4,353 3,841 14,232 12,091 12,812 10,934 5,331 4,747 328 458 919 986 33,622 29,216 $ 37,975 $33,057 $ 100 $ 100 2,749 2,570 Short term borrowing Accounts payable and accrued liabilities 22 23 23 Accounts payable and accrued liabilities Income and other taxes payable Dividends payable Advance billings and customer deposits Provisions Current maturities of long-term debt Current derivative liabilities 13 24 25 26 4h) Non-current liabilities Provisions Long-term debt Other long-term liabilities Deferred income taxes 25 26 27 10 2,749 12,570 55 218 352 326 675 656 288 129 1,332 836 23 9 5,574 4,844 590 728 17,142 13,265 806 731 3,204 3,148 21,742 17,872 27,316 22,716 10,548 10,259 111 82 10,659 10,341 $ 37,975 $33,057 Liabilities Owners' equity Common equity Non-controlling interests 28 29 Contingent liabilities The accompanying notes are an integral part of Approved by the Directors: R.H. Auchinleck TELUS 2019 ANNUAL REPORT . 125 CONSOLIDATED STATEMENTS OF CHANGES IN OWNERS' EQUITY Common equity Equity contributed 333 - - - - - - Equity contributed Common Accum Non- (millions) Note Numb Sh Contri Ret ulated Total controll Total Balance as at 595 $5,205 $ 370 $ 3,794 $ 47 $9.416 $ 42 $9,458 1,600 Net income 2(c) 1,600 24 1,624 Other 11 (35) 298 (14) 284 Dividends 13 (1,253) (1,253) Dividends 13(b) 2 86 86 86 Treasury shares 16(c), (2) (100) (100) (100) Shares settled 16(c) 2. 100 100 100 Share option 14(d) 1 (1) Issue of shares in 98 98 98 Change in 31(a) 14 14 30 44 Balance as at December 599 $5,390 $ 383 $4,474 $12 S 82 Balance as at As previously 599 $5,390 $ 383 $ 12 $ 82 IFRS 16, 20) (153) (1) (154) (8) (162) As adjusted 599 5,390 383 11 10,105 74 10.179 Net income 1,746 30 1,776 Other 11 (338) 108 (230) 8 (222) Dividends 13 (1,358) (1,358) (1,358) Dividends 13(b), 4 184 184 184 Equity accounted 14(b) 13 20 33 33 Share option 14(d) 1 (1) Issue of shares in 18(b) 2 72 72 72 Change in (4) (1) (5) Balance as at December 605 $5,660 $ 398 $ 119 $ 111 $ 10,259 $10,341 $10.259 $10.341 4,321 - - - 1.746 - - - - - IT $4.371 $ 10,548 $ 10.659 126 . TELUS 2019 ANNUAL REPORT TELUS 2019 ANNUAL REPORT: 127 CONSOLIDATED FINANCIAL Note 2019 2018 $ 1,776 $ 1,624 10 14a) 15(b) 2,267 74 16 95 CONSOLIDATED STATEMENTS OF CASH FLOWS Years ended December 31 (millions) Operating Activities Net income Adjustments to reconcile net income to cash Depreciation and amortization Deferred income taxes Share-based compensation expense, net Net employee defined benefit plans expense Employer contributions to employee defined Non-current contract assets Non-current unbilled customer finance receivables Loss (income) from equity accounted investments Shares settled from Treasury Other Net change in non-cash operating working capital Cash provided by operating activities Investing Activities Cash payments for capital assets, excluding Cash payments for spectrum licences Cash payments for acquisitions, net Advances to real estate joint ventures Real estate joint venture receipts 2,577 115 (2) 78 (41) 130 (178) (4) 20 7, 21 16(c) (53) (62) (8) (170) 100 (81) 256 4,058 31a) (192) (332) 3,927 31(a) 18(a) 18(b) 21 21 (2,952) (942) (1,105) (35) 7 (2,874) (1) (280) (22) 184 21 7 184 16 38 (33) (5,044) 2,977 22 31(b) 13(a) (1,149) 26 26 31(a) Real estate joint venture receipts Proceeds on dispositions Other Cash used by investing activities Financing Activities Dividends paid to holders of Common Shares Treasury shares acquired Issue (repayment) of short-term borrowings, net Long-term debt issued Redemptions and repayment of long-term debt Shares of subsidiary (purchased from) issued to Other Cash provided (used) by financing activities Cash Position Increase (decrease) in cash and temporary Cash and temporary investments, net, beginning of Cash and temporary investments, net, end of period Supplemental Disclosure of Operating Cash Interest paid Interest received Income taxes paid, net In respect of comprehensive income In respect of business acquisitions (1) 7,705 (5,261) (9) (47) 1,238 (1,141) (100) (67) 5,500 (5,377) 24 15 1,176 121 414 $ 535 (95) 509 $ 414 ($ 714) $7 ($ 608) $ 9 ($ 197) ($ 629) (15) ($ 644) CONSOLIDATED STATEMENTS OF INCOME AND OTHER COMPREHENSIVE INCOME Years ended December 31 (millions Note 2019 2018 Operating Revenues Service $ 12,400 $ 11,882 Equipment 2,189 2,213 Revenues arising from contracts with 6 14,589 14,095 Other operating income 7 69 273 14,658 14,368 Operating Expenses Goods and services purchased 6,070 6,368 Employee benefits expense 8 3,034 2,896 Depreciation 17 1,929 1,669 Amortization of intangible assets 18 648 598 11,681 531 Operating Income 2,977 2,837 Financing costs 9 733 661 Income Before Income Taxes 2,244 2,176 Income taxes 10 468 552 Net Income 1,776 1,624 Other Comprehensive Income 11 Items that may subsequently be Change in unrealized fair value of derivatives designated as cash 84 (18) Foreign currency translation adjustment arising from translating 20 (30) 104 (48) Items never subsequently reclassified Change in measurement of 12 (1) Employee defined benefit plan re- (338) 333 (326) 332 (222) 284 Comprehensive Income $ 1,554 $ 1,908 Net Income Attributable to: Common Shares $ 1,746 $1,600 Non-controlling interests 30 24 $ 1,776 $ 1,624 Comprehensive Income Common Shares $ 1,516 $ 1,898 Non-controlling interests 38 10 $1,554 $ 1,908 Net Income Per Common Share 12, 28(6) Basic $ 2.90 $ 2.68 Diluted $ 2.90 $ 2.68 Total Weighted Average Common Basic 602 597 Diluted 597 The accompanying notes are an integral part of these consolidated financial statements CONSOLIDATED FINANCIAL 602 6(b) CONSOLIDATED STATEMENTS OF FINANCIAL POSITION As at December 31 (millions) Note Cash and temporary investments, net Accounts receivable Income and other taxes receivable Inventories Contract assets 6(C) Prepaid expenses 20 Current derivative assets 41h) Non-current assets Intangible assets, net Goodwill, net Contract assets Other long-term assets 17 18 18 6(C) 20 2019 2018 $ 535 $ 414 1,962 1,600 127 3 437 376 737 860 547 539 8 49 4,353 3,841 14,232 12,091 12,812 10,934 5,331 4,747 328 458 919 986 33,622 29,216 $ 37,975 $33,057 $ 100 $ 100 2,749 2,570 Short term borrowing Accounts payable and accrued liabilities 22 23 23 Accounts payable and accrued liabilities Income and other taxes payable Dividends payable Advance billings and customer deposits Provisions Current maturities of long-term debt Current derivative liabilities 13 24 25 26 4h) Non-current liabilities Provisions Long-term debt Other long-term liabilities Deferred income taxes 25 26 27 10 2,749 12,570 55 218 352 326 675 656 288 129 1,332 836 23 9 5,574 4,844 590 728 17,142 13,265 806 731 3,204 3,148 21,742 17,872 27,316 22,716 10,548 10,259 111 82 10,659 10,341 $ 37,975 $33,057 Liabilities Owners' equity Common equity Non-controlling interests 28 29 Contingent liabilities The accompanying notes are an integral part of Approved by the Directors: R.H. Auchinleck TELUS 2019 ANNUAL REPORT . 125 CONSOLIDATED STATEMENTS OF CHANGES IN OWNERS' EQUITY Common equity Equity contributed 333 - - - - - - Equity contributed Common Accum Non- (millions) Note Numb Sh Contri Ret ulated Total controll Total Balance as at 595 $5,205 $ 370 $ 3,794 $ 47 $9.416 $ 42 $9,458 1,600 Net income 2(c) 1,600 24 1,624 Other 11 (35) 298 (14) 284 Dividends 13 (1,253) (1,253) Dividends 13(b) 2 86 86 86 Treasury shares 16(c), (2) (100) (100) (100) Shares settled 16(c) 2. 100 100 100 Share option 14(d) 1 (1) Issue of shares in 98 98 98 Change in 31(a) 14 14 30 44 Balance as at December 599 $5,390 $ 383 $4,474 $12 S 82 Balance as at As previously 599 $5,390 $ 383 $ 12 $ 82 IFRS 16, 20) (153) (1) (154) (8) (162) As adjusted 599 5,390 383 11 10,105 74 10.179 Net income 1,746 30 1,776 Other 11 (338) 108 (230) 8 (222) Dividends 13 (1,358) (1,358) (1,358) Dividends 13(b), 4 184 184 184 Equity accounted 14(b) 13 20 33 33 Share option 14(d) 1 (1) Issue of shares in 18(b) 2 72 72 72 Change in (4) (1) (5) Balance as at December 605 $5,660 $ 398 $ 119 $ 111 $ 10,259 $10,341 $10.259 $10.341 4,321 - - - 1.746 - - - - - IT $4.371 $ 10,548 $ 10.659 126 . TELUS 2019 ANNUAL REPORT TELUS 2019 ANNUAL REPORT: 127 CONSOLIDATED FINANCIAL Note 2019 2018 $ 1,776 $ 1,624 10 14a) 15(b) 2,267 74 16 95 CONSOLIDATED STATEMENTS OF CASH FLOWS Years ended December 31 (millions) Operating Activities Net income Adjustments to reconcile net income to cash Depreciation and amortization Deferred income taxes Share-based compensation expense, net Net employee defined benefit plans expense Employer contributions to employee defined Non-current contract assets Non-current unbilled customer finance receivables Loss (income) from equity accounted investments Shares settled from Treasury Other Net change in non-cash operating working capital Cash provided by operating activities Investing Activities Cash payments for capital assets, excluding Cash payments for spectrum licences Cash payments for acquisitions, net Advances to real estate joint ventures Real estate joint venture receipts 2,577 115 (2) 78 (41) 130 (178) (4) 20 7, 21 16(c) (53) (62) (8) (170) 100 (81) 256 4,058 31a) (192) (332) 3,927 31(a) 18(a) 18(b) 21 21 (2,952) (942) (1,105) (35) 7 (2,874) (1) (280) (22) 184 21 7 184 16 38 (33) (5,044) 2,977 22 31(b) 13(a) (1,149) 26 26 31(a) Real estate joint venture receipts Proceeds on dispositions Other Cash used by investing activities Financing Activities Dividends paid to holders of Common Shares Treasury shares acquired Issue (repayment) of short-term borrowings, net Long-term debt issued Redemptions and repayment of long-term debt Shares of subsidiary (purchased from) issued to Other Cash provided (used) by financing activities Cash Position Increase (decrease) in cash and temporary Cash and temporary investments, net, beginning of Cash and temporary investments, net, end of period Supplemental Disclosure of Operating Cash Interest paid Interest received Income taxes paid, net In respect of comprehensive income In respect of business acquisitions (1) 7,705 (5,261) (9) (47) 1,238 (1,141) (100) (67) 5,500 (5,377) 24 15 1,176 121 414 $ 535 (95) 509 $ 414 ($ 714) $7 ($ 608) $ 9 ($ 197) ($ 629) (15) ($ 644)