Chunghwa Telecom’s April Revenue Hits NT$17.93B, 7-Year High

Chunghwa Telecom has released its unaudited consolidated operating results for April 2024. During this period, the company experienced a 5.0% year-over-year increase in unaudited consolidated revenue, amounting to NT$ 17.93 billion. However, there was a decline in operating income by 4.9% year over year to NT$ 4.02 billion, and income before tax decreased by 4.8% year over year to NT$ 4.04 billion. Net income attributable to stockholders of the parent company also saw a decrease of 5.2% year over year to NT$ 3.16 billion, and EBITDA decreased by 2.8% year over year to NT$ 7.32 billion. Similarly, earnings per share (EPS) decreased by NT$ 0.02 year over year to NT$ 0.41.

Chunghwa Telecom attributed its continued revenue growth in April to the recognition of large ICT projects and an increase in both sales revenue and international roaming revenue. The company’s consolidated revenue reached a seven-year high during this period.

In April, the overall ICT business revenue experienced double-digit growth, with ICT project revenue growing by over 50% year over year, driven by the completion of large projects domestically and internationally. Emerging businesses, such as IDC and cloud services, also contributed to revenue growth with double-digit increases. Cybersecurity revenue saw double-digit growth year over year, primarily due to projects in the education and financial sectors. Additionally, higher iPhone sales volume contributed to the year-over-year increase in sales revenue.

Mobile service revenue increased by 4.2% year over year, marking 37 consecutive months of growth. This growth was primarily attributed to an increase in subscribers for 5G and postpaid SIMs. Mobile data revenue continued to grow due to rising demand for international roaming. The mobile post-paid average revenue per user (ARPU) increased by 2.6% year over year, also marking 37 months of consecutive growth, while the churn rate remained low at 0.58%.

The fixed broadband business continued its steady growth, supported by a well-received high-speed promotion package. Wi-Fi service revenue experienced strong year-over-year growth of over 40%, while revenue from broadband access and data communication also increased.

As of April 2024, the accumulated unaudited consolidated revenue was NT$ 72.87 billion, achieving between 99.6% to 100.1% of expectations. Operating income stood at NT$ 15.95 billion, achieving between 105.2% to 106.2% of expectations. Income before tax was NT$ 16.03 billion, achieving between 105.1% to 106.2% of expectations. Net income attributable to stockholders of the parent was NT$ 12.55 billion, achieving between 104.4% to 106.0% of expectations, with EPS at NT$ 1.62, achieving between 104.4% to 106.0% of expectations. These financial indicators exceeded guidance.

Chunghwa Telecom also provided non-GAAP financial measures, including EBITDA, to supplement its consolidated financial statements. EBITDA is used by the company to assess its operating performance as it excludes non-cash charges, certain financing costs, income tax, and other expenses not related to the operation of the business. While these non-GAAP financial measures provide investors with an alternative method for assessing the company’s operating results, they should be considered as a supplement to, rather than a substitute for, the company’s financial measures prepared in accordance with International Financial Reporting Standards.

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