Comba Telecom Systems (2342) investor relations material

Executive summary

• Revenue remained stable at HK$2,199.6 million for the six months ended 30 June 2026, with a slight increase from the prior period.

• Gross profit rose 8.8% year-over-year to HK$706.1 million, with margin improving to 32.1% from 29.5%.

• Net profit attributable to owners/shareholders was HK$55.2 million, down from HK$61.8 million in the prior year.

• Interim dividend declared at HK0.26 cent per share, down from HK0.6 cent in the prior period, with a payout ratio of 14.7%.

Financial highlights

• Revenue from Chinese Mainland telecom operators dropped 14.3% year-over-year, while international revenue grew 8.3% and now accounts for 54.5% of total revenue.

• Gross profit margin increased by 2.6 percentage points to 32.1%.

• Other income and gains surged 64.9% to HK$83.3 million, driven by a one-off tariff refund and improved receivables recovery.

• R&D expenses rose 11.7% to HK$180.8 million, reflecting increased investment in 5G and innovation.

• Finance costs decreased by 18.1% to HK$16.3 million.

Outlook and guidance

• The group aims to enhance R&D, pursue innovative breakthroughs, and maintain product competitiveness.

• Focus remains on capturing new market opportunities and providing high-quality, cost-effective solutions globally.