Chunghwa Telecom (NYSE:CHT) Issues Quarterly Earnings Results

Chunghwa Telecom (NYSE:CHT) announced its earnings results on Wednesday. The utilities provider reported $0.44 EPS for the quarter, beating analysts’ consensus estimates of $0.43 by $0.01, reports. Chunghwa Telecom had a net margin of 16.23% and a return on equity of 9.90%. The firm had revenue of $1.94 billion for the quarter, compared to analysts’ expectations of $1.91 billion.

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 0.3%

Shares of CHT traded up $0.10 on Wednesday, hitting $41.99. 61,681 shares of the stock traded hands, compared to its average volume of 180,463. The company has a market capitalization of $32.58 billion, a PE ratio of 25.61, a P/E/G ratio of 1.92 and a beta of 0.29. The company has a debt-to-equity ratio of 0.06, a quick ratio of 1.46 and a current ratio of 1.64. The business has a 50 day simple moving average of $43.88 and a 200 day simple moving average of $43.21. Chunghwa Telecom has a one year low of $39.28 and a one year high of $46.48.

Chunghwa Telecom Cuts Dividend

The company also recently declared an annual dividend, which will be paid on Friday, August 14th. Stockholders of record on Thursday, July 9th will be issued a dividend of $1.6525 per share. The ex-dividend date is Thursday, July 9th. This represents a dividend yield of 398.0%. Chunghwa Telecom’s dividend payout ratio is presently 78.05%.

Hedge Funds Weigh In On Chunghwa Telecom

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Smartleaf Asset Management LLC bought a new stake in shares of Chunghwa Telecom in the 2nd quarter worth $53,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC bought a new position in shares of Chunghwa Telecom during the fourth quarter valued at $59,000. Inspire Investing LLC purchased a new stake in shares of Chunghwa Telecom during the fourth quarter valued at $75,000. Focus Partners Wealth bought a new stake in Chunghwa Telecom in the 3rd quarter worth about $143,000. Finally, Osaic Holdings Inc. increased its holdings in Chunghwa Telecom by 664.1% in the 2nd quarter. Osaic Holdings Inc. now owns 4,195 shares of the utilities provider’s stock worth $195,000 after buying an additional 3,646 shares in the last quarter. 2.11% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on CHT shares. Zacks Research lowered shares of Chunghwa Telecom from a “hold” rating to a “strong sell” rating in a research note on Wednesday, July 22nd. Weiss Ratings restated a “hold (c)” rating on shares of Chunghwa Telecom in a report on Friday, July 17th. One investment analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Reduce”.

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.