Far EasTone Telecommunications (4904) Q4 2025 earnings summary

Executive summary

• Achieved record-high quarterly revenue of NT$32.68 billion in Q4 2025, up 12.1% YoY, and full-year revenue of NT$110.35 billion, up 5.5% YoY.

• Full-year EPS reached NT$3.81, exceeding targets and up 6.9% YoY; net income for 2025 was NT$13.87 billion, a 7.1% increase.

• Mobile services remained the primary revenue driver, with strong growth from enterprise channels, 5G upgrades, and digital/ICT services.

• Proposed a 100% dividend payout of NT$3.81 per share for 2025, a 7% YoY increase, pending shareholder approval.

• The audit opinion was unqualified, confirming fair presentation of financials under IFRS.

Financial highlights

• EBITDA for 2025 was NT$38.08 billion (+4.9% YoY), exceeding targets; operating income rose to NT$17.35 billion.

• Free cash flow remained strong at NT$25.91 billion; net debt reduced to NT$36.03 billion, with net debt/EBITDA at 0.9–0.95.

• CapEx for 2025 was NT$7 billion, 16% below guidance; CapEx-to-sales ratio was about 8%.

• Postpaid ARPU rose to NT$719, up NT$14 YoY; postpaid churn rate hit a record low of 0.79%.

• Total assets stood at NT$182.12 billion, with equity at NT$93.67 billion as of year-end 2025.

Outlook and guidance

• 2026 guidance: revenue NT$117.48 billion (+6.5% YoY), EBITDA NT$39.83 billion (+4.6% YoY), net income NT$14.17 billion (+3.2% YoY), EPS NT$3.93.

• 2026 CapEx forecast at NT$9.6 billion, up NT$1.3 billion, driven by new subsidiaries and 5G upgrades.

• Revenue boost expected from full consolidation of ETC subsidiary; board approved up to NT$4.5 billion in new bond issuance and NT$630 million for 5G telemedicine.

• Focus on maximizing synergies from investments in smart city, health, and AI adoption.