Chunghwa Telecom Co., Ltd. reported fourth‑quarter 2025 results that exceeded consensus expectations, with total revenue of NT$65.65 billion, a 0.5 % year‑over‑year increase, and basic earnings per share of NT$1.20, beating the consensus of NT$1.16 by NT$0.04 (≈3.4 %). The company’s net income rose 3.2 % to NT$9.29 billion, while operating income fell 2.2 % to NT$11.38 billion and EBITDA slipped 0.2 % to NT$21.55 billion. The modest revenue lift was driven by a 5.9 % rise in the Consumer Business Group, which grew to NT$39.54 billion, offsetting a 7.9 % decline in the Enterprise Business Group, which fell to NT$22.02 billion, and a 2.5 % increase in the International Business Group to NT$2.56 billion.
Operating margin contracted to 17.34 % from 17.83 % in Q4 2024, while EBITDA margin fell to 32.82 % from 33.06 %. The compression was largely attributable to a one‑off impairment charge related to the 3G network sunset and a high comparative base from last year’s investment‑property valuation gains. Despite the margin squeeze, the company’s cash‑rich core remains stable, supporting continued investment in 5G, AI, satellite, and data‑center infrastructure.
Chunghwa guided for 2026 revenue of NT$241.99–243.68 billion, a 2.5 %–3.2 % increase over the prior year, and EPS of NT$4.82–5.02, both above the high‑end of the previous guidance. The upward revision signals management confidence in sustained demand for its core services and the expected acceleration of its pre‑6G and AI‑driven offerings. The company also reiterated its commitment to a 20‑year clean‑power purchase agreement, underscoring a long‑term sustainability strategy.
President Rong‑Shy Lin highlighted that “revenue, operating income, income before tax and EPS for 2025 all exceeded the high‑end of guidance.” CFO Audrey Hsu emphasized the company’s competitive edge and digital resilience, noting that the firm is “continuing to convert AI capabilities into service offerings and expanding pre‑6G opportunities.” These comments reinforce the view that Chunghwa is executing on its transformation agenda while managing the transition from legacy voice services.
Investor sentiment remained cautious ahead of the earnings release, with the stock trading down 1.55 % in pre‑market sessions. The modest revenue growth and the company’s cautious 2026 outlook tempered enthusiasm, even as the results beat expectations and the full‑year 2025 performance exceeded guidance. The market’s focus on margin compression and the need for continued cost discipline suggests that investors are weighing short‑term profitability against the company’s long‑term growth strategy.
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