Chunghwa Telecom (2412) investor relations material

Executive summary

• Q3 revenue, operating income, net income, EBITDA and EPS exceeded the high end of guidance; each reached its highest Q3 level since 2009.

• Q3 performance reflected telecom and ICT growth, stronger product sales and a one-time asset revitalization contribution; 2026 financial figures were unaudited and preliminary.

• ICT revenue reached its highest Q3 level since 2021, and management expressed confidence in exceeding the FY forecast.

Financial highlights

• Q3 revenue was NT$67.59bn, up 16.7% YoY; operating income was NT$15.38bn, up 27.1%, and income before tax was NT$15.55bn, up 26.8%.

• Q3 net income attributable to owners was NT$12.22bn, up 29.5%, and EPS was NT$1.57; consolidated net income was NT$12.89bn.

• Q3 EBITDA rose 16.1% to NT$25.66bn; EBITDA margin was 37.97%, versus 38.17% a year earlier.

• 9M revenue was NT$188.95bn, up 10.8%; net income attributable to owners was NT$32.97bn and EPS NT$4.25, both up 12.1%. Consolidated net income was NT$34.76bn.

• 9M operating income rose 12.3% to NT$41.75bn; EBITDA increased 7.8% to NT$72.48bn.

Outlook and guidance

• 9M revenue reached 108.0–108.6% of forecast; operating income 115.8–118.2%, net income and EPS 115.9–119.1%, and EBITDA 107.4–108.6%.

• Standalone 5G population coverage is targeted to exceed 50% by end-2026, with nationwide coverage and network slicing expected in 2027.

• Fixed broadband growth is expected to continue; ICT margins are expected to improve as recurring revenue grows and project margins are targeted for improvement.

• AIDC capacity rollout and rising occupancy are expected to add recurring revenue; long-term contracts will support confirmed customers.

• No similar-sized asset revitalization contribution is expected in the near term; project timing and size are difficult to predict.