Chunghwa Telecom (NYSE:CHT – Get Free Report) announced its earnings results on Wednesday. The utilities provider reported $0.44 earnings per share for the quarter, topping analysts’ consensus estimates of $0.43 by $0.01, reports. The firm had revenue of $1.94 billion during the quarter, compared to analyst estimates of $1.91 billion. Chunghwa Telecom had a net margin of 16.23% and a return on equity of 9.90%.
Here are the key takeaways from Chunghwa Telecom’s conference call:
- Second-quarter results exceeded guidance. Revenue rose 8.2% year over year to TWD 61.36 billion, while operating income increased 5.7% and EPS reached TWD 1.38, the company’s highest second-quarter EPS in 10 years.
- Core telecom trends remained favorable, with mobile service revenue up 3.2%, postpaid ARPU up 2.4%, and 5G market share at 39.4%. Fixed broadband revenue grew 3%, while OTT revenue increased 20% and roaming revenue rose 19% year over year.
- ICT and international businesses are emerging as major growth engines. ICT revenue rose 32% in the quarter, first-half contract value matched all of 2025, and international revenue increased approximately 79% at the business-group level, driven by AI supply-chain projects in the U.S. and Southeast Asia.
- Management is expanding AI infrastructure, including the Lunping data center, which could add up to 36 megawatts of capacity, and a Taichung facility supporting financial-sector colocation. The company also highlighted its IOWN optical network and AI ecosystem investments as longer-term opportunities, although material IOWN revenue is still some time away.
- First-half capital expenditure declined 14.3% year over year to TWD 9.85 billion, but management expects a larger share of spending in the second half as AI data-center and network projects progress. Executives did not disclose total investment requirements or projected returns for the new data-center capacity.
Chunghwa Telecom Stock Up 0.4%
Chunghwa Telecom stock opened at $42.04 on Thursday. The company has a market cap of $32.61 billion, a P/E ratio of 25.63, a price-to-earnings-growth ratio of 1.90 and a beta of 0.29. Chunghwa Telecom has a 1-year low of $39.28 and a 1-year high of $46.48. The company has a fifty day simple moving average of $43.85 and a 200 day simple moving average of $43.21. The company has a current ratio of 1.64, a quick ratio of 1.46 and a debt-to-equity ratio of 0.06.
Chunghwa Telecom Cuts Dividend
Hedge Funds Weigh In On Chunghwa Telecom
Large investors have recently modified their holdings of the business. AQR Capital Management LLC bought a new stake in Chunghwa Telecom during the first quarter worth about $298,000. Hsbc Holdings PLC bought a new position in Chunghwa Telecom in the second quarter valued at approximately $291,000. Marshall Wace LLP increased its position in shares of Chunghwa Telecom by 14.2% during the 2nd quarter. Marshall Wace LLP now owns 43,434 shares of the utilities provider’s stock worth $2,024,000 after purchasing an additional 5,400 shares during the last quarter. Sei Investments Co. increased its position in shares of Chunghwa Telecom by 21.3% during the 2nd quarter. Sei Investments Co. now owns 61,030 shares of the utilities provider’s stock worth $2,844,000 after purchasing an additional 10,723 shares during the last quarter. Finally, Quantinno Capital Management LP raised its stake in shares of Chunghwa Telecom by 142.6% during the 2nd quarter. Quantinno Capital Management LP now owns 129,440 shares of the utilities provider’s stock worth $6,033,000 after purchasing an additional 76,087 shares in the last quarter. 2.11% of the stock is currently owned by institutional investors and hedge funds.
Wall Street Analysts Forecast Growth
CHT has been the topic of a number of research reports. Zacks Research lowered Chunghwa Telecom from a “hold” rating to a “strong sell” rating in a report on Wednesday, July 22nd. Weiss Ratings reiterated a “hold (c)” rating on shares of Chunghwa Telecom in a report on Friday, July 17th. One research analyst has rated the stock with a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Reduce”.
Read Our Latest Stock Report on CHT
Chunghwa Telecom Company Profile
Chunghwa Telecom Co, Ltd. is the largest integrated telecommunications service provider in Taiwan, serving both consumer and enterprise customers across the island and through international telecommunications links. The company offers a full range of voice, data and multimedia services and operates as the incumbent fixed-line operator while also competing in mobile, broadband and enterprise markets. Its network footprint and traffic interchange capabilities support domestic communications and cross-border connectivity for carriers and multinational businesses.
Chunghwa Telecom’s product and service portfolio includes fixed-line telephony, mobile services (including 4G and 5G wireless access), broadband internet (DSL and fiber-to-the-home), and IPTV.
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