HKT Trust and HKT (6823) investor relations material

Executive summary

• Revenue rose 4% year-over-year to HK$17,322 million (US$2,221 million), with EBITDA up over 3% to HK$6,380 million (US$818 million) and profit attributable to holders up 4% to HK$2,070 million (US$265 million).

• Growth was driven by strong enterprise business (11% revenue growth), robust 5G adoption (21% increase in 5G customer base), and efficiency gains from AI deployment.

• AI initiatives improved productivity, cost savings (up to 7%), and customer up-selling/cross-selling rates.

• Interim distribution per Share Stapled Unit declared at 33.80 HK cents.

• Deleveraging and lower interest rates strengthened the balance sheet and reduced finance costs.

Financial highlights

• Total revenue: HK$17,322 million (+4% YoY); EBITDA: HK$6,380 million (+3% YoY); AFF: HK$2,562 million (+3% YoY).

• Profit attributable to holders: HK$2,070 million (+4% YoY); basic EPS: 27.32 HK cents.

• EBITDA margin stable at 37%; TSS margin: 35%; Mobile margin: 46%; Mobile services margin: 58%.

• Net finance costs fell 19% to HK$885 million, reflecting deleveraging and lower interest rates.

• CapEx-to-revenue ratio improved to 6.2%; capital expenditure: HK$1,075 million.

Outlook and guidance

• AFF growth expected to accelerate in the second half as interest rate benefits materialize.

• Continued investment in AI, digital infrastructure, and international connectivity to drive future growth.

• Prudent capital expenditure planned, focusing on digital capabilities and enterprise solutions.

• Targeting 10–12% enterprise revenue growth for full year 2025.

• Roaming revenue growth expected to be maintained for the remainder of 2025.