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Taiwan Province of China : CHUNGHWA TELECOM recorded 15% decline in net income in Q2, 2012.

The Taiwanese multi-service provider Chunghwa Telecom has announced that it has registered a 15.2% decline in net income to TWD 11.27 billion during the second quarter of this year from TWD 13.30 billion in last year.

The company has revealed that total revenues had been flat at TWD 54.19 billion compared to the matching period of last year.

It recorded 10.7% growth to TWD 24.74 billion in mobile communications revenue, which is chiefly due to elevated incomes from value added services (VAS) and handset sales.

Internet revenue of Chunghwa Telecom, however, saw a 4% decline to NT$6.0 billion versus the last year, mainly as a result of cuts in HiNet and broadband tariff rates.

There was 6.8% fall in domestic fixed communications revenue to TWD 18.44 billion, while international fixed communications revenue grew by 0.2% to TWD 3.87 billion.

The telco s total operating costs and expenses augmented 1.9% to TWD 39.75 billion.

The company has revealed that it has reported 3.6% decline in earnings before interest, tax, depreciation and amortisation (EBTIDA) to TWD22.58 billion and EBITDA margin stood at 41.7% in comparison with 43% in previous year. Its capex came to TWD 7.54 billion, a 36% boost Year-on-Year.

The company had 2.61 million FTTx users, reflects 57.2% of its overall broadband subscribers, at the end of the quarter.

Chunghwa ended the quarter with 3.75 million HiNet broadband subscribers, a growth of 3.4%. It had 10.13 million mobile customers, up 2.7% along with 2 million mobile internet subscribers, an increase of 74.3%.

The Taiwanese communication service provider is positive on fulfilling its goal of 2.35 million subscribers by this yearend. The fixed-line subscriber base of the company was 11.92 million at end of this June while the number of subscribers on Multimedia-on-Demand (MOD) grew to 1.13 million.

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Publication:Mena Report
Date:Sep 3, 2012
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