TAIPEI, May 7, 2026 /PRNewswire/ -- Chunghwa Telecom Co., Ltd. (TAIEX: 2412, NYSE: CHT) ("Chunghwa" or "the Company") today reported its un-audited operating results for the first quarter of 2026. All figures were prepared in accordance with Taiwan-International Financial Reporting Standards ("T-IFRSs") on a consolidated basis.

(Comparisons throughout the press release, unless otherwise stated, are made with regard to the prior year period.)

First Quarter 2026 Financial Highlights

• Total revenue increased by 7.5% to NT$ 59.99 billion.
• Consumer Business Group revenue increased by 6.2% to NT$ 36.73 billion.
• Enterprise Business Group revenue increased by 8.5% to NT$ 18.81 billion.
• International Business Group revenue increased by 10.7% to NT$ 2.70 billion.
• Total operating costs and expenses increased by 8.3% to NT$ 46.89 billion.
• Operating income increased by 4.6% to NT$ 13.10 billion.
• EBITDA increased by 3.4% to NT$ 23.30 billion.
• Net income attributable to stockholders of the parent increased by 3.2% to NT$ 10.11 billion.
• Basic earnings per share (EPS) was NT$1.30.
• Total revenue, operating income, net income attributable to stockholders of the parent, and EPS all exceeded the high-end target of quarterly guidance.

"We began 2026 with a strong start, delivering financial performance across revenue, operating income, net income attributable to stockholders of the parent and EPS all exceeding our quarterly forecasts. Moreover, revenue reached a first-quarter record, the highest since 2012. These results reflect the continued strength of our business momentum," said Mr. Chih‑Cheng Chien, Chairman and CEO of Chunghwa Telecom.

"This performance was primarily driven by robust growth in our ICT business, where both recurring revenue and order intake reached new highs. Our ICT revenue grew significantly year over year, supported by strong demand across key areas such as IDC, cloud, and AIoT services, underscoring our success in capturing emerging digital and AI-driven opportunities," said Mr. Rong-Shy Lin, President of Chunghwa Telecom.

"Our mobile and broadband businesses also continued to deliver stable growth, benefiting from escalating 5G penetration and ongoing improvements in ARPU. Notably, our four value-added services all exceeded their remarkable million-subscriber thresholds, demonstrating our success in delivering value to users. These results reflect not only the resilience of our core operations, but also the effectiveness of our long-term strategy to balance stable cash-generating businesses with high-growth digital initiatives," Mr. Lin continued.

"We are committed to advancing our 6G transition and AI-powered future. Our phased 5G standalone deployment is strengthening networking founding by targeting services in select verticals and high-traffic commercial districts for the 6G era," Mr. Lin added. "Meanwhile, by building 'CHT AI Factory platform' to integrate our DeepFlow solutions, compute power, AI models and agents, we offer AI-enabled applications to customers and accelerate AI-related revenue growth in 2026. Alongside our technology advancements, ESG remains a core pillar of our long‑term strategy. We are confident in our ability to achieve sustainable growth and create long‑term value for our shareholders."

Revenue

Chunghwa Telecom's total revenues for the first quarter of 2026 increased by 7.5% to NT$ 59.99 billion.

Consumer Business Group's revenue for the first quarter of 2026 increased by 6.2% Year-over-year to NT$ 36.73 billion and income before tax increased by 5.3% year-over-year, supported by steady increases in core telecom business and strong iPhone demands.

Enterprise Business Group's revenue for the first quarter of 2026 increased 8.5% year-over-year to NT$ 18.81 billion, driven by robust ICT growth, while pre-tax profit declined 2.7% due to fixed voice service decrease. Notably, ICT order intake hit a quarterly record-high, led by network resilience, anti-fraud initiatives, and large projects for national fiscal and public surveillance systems, underpinning future growth momentum.

International Business Group's revenue for the first quarter of 2026 increased by 10.7% to NT$ 2.70 billion and income before tax increased by 1.6% year-over-year, driven by rising demand for ICT services and stronger roaming revenue. In addition, we expanded investment in the AUG-East submarine cable this quarter, boosting Taiwan to Japan and Taiwan to Singapore bandwidth to 18+ Tbps, supporting international business growth.

Operating Costs and Expenses

Total operating costs and expenses for the first quarter of 2026 increased by 8.3% to NT$ 46.89 billion, mainly due to higher costs associated with growth in sales and ICT project revenue, as well as an increase in personnel expenses.

Operating Income and Net Income

Operating income for the first quarter of 2026 increased by 4.6% to NT$ 13.10 billion. The operating margin was 21.75%, as compared to 22.44% in the same period of 2025. Net income attributable to stockholders of the parent increased by 3.2% to NT$ 10.11 billion. Basic earnings per share was NT$1.30.

Cash Flow and EBITDA

Cash flow from operating activities, as of March 31st, 2026, decreased by 13.6% year over year to NT$ 11.19 billion.

Cash and cash equivalents, as of March 31st, 2026, increased by 20.8% to NT$ 35.10 billion as compared to that as of March 31st, 2025.

EBITDA for the first quarter of 2026 was NT$ 23.30 billion, increased by 3.4% year over year. EBITDA margin was 38.85%, as compared to 40.37% in the same period of 2025.

Business Highlights

Mobile

As of March 31st, 2026, Chunghwa Telecom had 13.34 million mobile subscribers, representing a 1.7% year-over-year increase. In the first quarter, total mobile service revenue increased by 4.4% to NT$ 17.70 billion, while mobile post-paid ARPU excluding IoT SIMs grew 3.6% year over year to NT$ 573.

Fixed Broadband/HiNet

As of March 31st, 2026, the number of broadband subscribers slightly increased by 0.5% to 4.45 million. The number of HiNet broadband subscribers increased by 1.4% to 3.80 million. In the first quarter, total fixed broadband revenue grew 3.0% year over year to NT$ 11.81 billion, while ARPU increased 2.5% to NT$ 818.

Fixed line

As of March 31st, 2026, the number of fixed-line subscribers was 8.57 million.

Financial Statements

Financial statements and additional operational data can be found on the Company's website at http://www.cht.com.tw/en/home/cht/investors/financials/quarterly-earnings

NOTE CONCERNING FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements. These statements constitute "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. Statements that are not historical facts, including statements about Chunghwa's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Investors are cautioned that actual events and results could differ materially from those statements as a result of a number of factors including, but not limited to the risks outlined in Chunghwa's filings with the U.S. Securities and Exchange Commission on Forms F-1, F-3, 6-K and 20-F, in each case as amended. The forward-looking statements in this press release reflect the current belief of Chunghwa as of the date of this press release and Chunghwa undertakes no obligation to update these forward-looking statements for events or circumstances that occur subsequent to such date, except as required under applicable law.

This press release is not an offer of securities for sale in the United States. Securities may not be offered or sold in the United States absent registration or an exemption from registration. Any public offering of securities to be made in the United States will be made by means of a prospectus that may be obtained from the issuer or selling security holder and that will contain detailed information about the company and management, as well as financial statements.

NON-GAAP FINANCIAL MEASURES

To supplement the Company's consolidated financial statements presented in accordance with International Financial Reporting Standards pursuant to the requirements of the Financial Supervisory Commission, or T-IFRSs, Chunghwa Telecom also provides EBITDA, which is a "non-GAAP financial measure". EBITDA is defined as consolidated net income (loss) excluding (i) depreciation and amortization, (ii) total net comprehensive financing cost (which is comprised of net interest expense, exchange gain or loss, monetary position gain or loss and other financing costs and derivative transactions), (iii) other income, net, (iv) income tax, (v) (income) loss from discontinued operations.

In managing the Company's business, Chunghwa Telecom relies on EBITDA as a means of assessing its operating performance because it excludes the effect of (i) depreciation and amortization, which represents a non-cash charge to earnings, (ii) certain financing costs, which are significantly affected by external factors, including interest rates, foreign currency exchange rates and inflation rates, which have little or no bearing on our operating performance, (iii) income tax (iv) other expenses or income not related to the operation of the business. 

CAUTIONS ON USE OF NON-GAAP FINANCIAL MEASURES

In addition to the consolidated financial results prepared under T-IFRSs, Chunghwa Telecom also provide non-GAAP financial measures, including "EBITDA". The Company believes that the non-GAAP financial measures provide investors with another method for assessing its operating results in a manner that is focused on the performance of its ongoing operations.

Chunghwa Telecom's management believes investors will benefit from greater transparency in referring to these non-GAAP financial measures when assessing the Company's operating results, as well as when forecasting and analyzing future periods. However, the Company recognizes that:

• these non-GAAP financial measures are limited in their usefulness and should be considered only as a supplement to the Company's T-IFRSs financial measures;
• these non-GAAP financial measures should not be considered in isolation from, or as a substitute for, the Company's T-IFRSs financial measures;
• these non-GAAP financial measures should not be considered to be superior to the Company's T-IFRSs financial measures; and
• these non-GAAP financial measures were not prepared in accordance with T-IFRSs and investors should not assume that the non-GAAP financial measures presented in this earnings release were prepared under a comprehensive set of rules or principle.             

Further, these non-GAAP financial measures may be unique to Chunghwa Telecom, as they may be different from non-GAAP financial measures used by other companies. As such, this presentation of non-GAAP financial measures may not enhance the comparability of the Company's results to the results of other companies. Readers are cautioned not to view non-GAAP results as a substitute for results under T-IFRSs, or as being comparable to results reported or forecasted by other companies.

About Chunghwa Telecom

Chunghwa Telecom (TAIEX 2412, NYSE: CHT) ("Chunghwa" or "the Company") is Taiwan's largest integrated telecommunications services company that provides fixed-line, mobile, broadband, and internet services. The Company also provides information and communication technology services to corporate customers with its big data, information security, cloud computing and IDC capabilities, and is expanding its business into innovative technology services such as IoT, AI, etc. Chunghwa has been actively and continuously implemented environmental, social and governance (ESG) initiatives with the goal to achieve sustainability and has won numerous international and domestic awards and recognitions for its ESG commitments and best practices. For more information, please visit our website at www.cht.com.tw

Contact:          Angela Tsai
Phone:            +886 2 2344 5488
Email:              chtir@cht.com.tw

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SOURCE Chunghwa Telecom Co., Ltd.