APT Satellite (1045) investor relations material

Executive summary

• Revenue for the six months ended June 30, 2026, was HK$357.1 million, down 5.95% year-over-year, mainly due to lower satellite transponder capacity income.

• Profit attributable to shareholders decreased by 10% to HK$69.6 million, with EPS at HK7.50 cents.

• Interim dividend declared at HK2.00 cents per share, compared to HK2.50 cents last year.

• All in-orbit satellites and ground facilities operated reliably, serving over 75% of the world's population across Asia, Europe, Africa, and Oceania.

Financial highlights

• Gross profit declined 7.21% year-over-year to HK$95.8 million.

• EBITDA for the period was HK$251.8 million, with margin improving to 70.5% from 68.7%.

• Total assets stood at HK$7,019 million, with cash holdings of HK$2,795 million as of June 2026.

• Basic and diluted EPS was HK7.50 cents, down from HK8.33 cents year-over-year.

• Net cash outflow for the period was HK$128.8 million, mainly due to investing and financing activities.

Outlook and guidance

• Market oversupply and intense competition in satellite transponder leasing are expected to persist, with continued price pressure and customer payment challenges.

• Growth opportunities seen in Southeast Asia and through new technologies and comprehensive service offerings.

• Construction of the CHK Station in Hong Kong is planned for completion in 2026 to enhance ground network capabilities.

• The Group aims to expand bandwidth and transponder leasing, improve satellite resource utilization, and deepen cooperation with associates for market share growth.