Chunghwa sees full-year profits rise

28 Mar 2007

Taiwan’s dominant telco Chunghwa Telecom has reported its full-year 2006 financial and operating results. Total revenues increased by 0.9% to TWD186.34 billion (USD5.72 billion) on the back of a strong performance in the internet and data sector, which offset a decline in fixed line sales and stable revenues from mobile operations. Fixed line services accounted for 33.8% of total revenues, mobile services contributed 39.2% and the internet and data division brought in 24.9%. Net income jumped 26.3% to TWD42.07 billion; this was attributed to a combination of increased sales and a decrease in compensation costs related to the employee stock subscription programme.

On an operational level, Chunghwa added 192,000 net new HiNet internet customers in 2006 to take the end-year total to 4.3 million; ADSL and fibre-to-the-building (FTTB) broadband subscribers accounted for 4.04 million of these. Chunghwa’s mobile unit had 8.49 million customers at the end of 2006, up 4% year-on-year, retaining its position as the country’s largest operator. The 3G customer base grew by 646,000 over the year to reach 943,000. Data services accounted for 5.7% of total mobile revenues, up from 4.4% in 2005. The number of fixed line customers fell by 1% to 13.12 million.

Taiwan, Chunghwa Telecom