HKT Trust and HKT (6823) investor relations material

Executive summary

• Revenue grew 8% year-over-year in H1 2026, with EBITDA up 3% and profit attributable to holders of Share Stapled Units up 4%, driven by enterprise, broadband, mobile, and AI initiatives.

• Maintained operational resilience and captured new opportunities in AI, 5G, broadband, and enterprise solutions.

• Interim distribution increased by 3% to 34.80 HK cents per Share Stapled Unit.

• Strategic focus on AI ecosystem, leveraging infrastructure and customer relationships to drive growth.

Financial highlights

• Total revenue rose 8% to HK$18,685 million (US$2,396 million); revenue excluding mobile product sales up 3% to HK$16,831 million (US$2,158 million).

• EBITDA increased 3% to HK$6,586 million (US$844 million); EBITDA margin steady at 35% overall and 39% excluding mobile product sales.

• Profit attributable to holders of Share Stapled Units grew 4% to HK$2,153 million (US$276 million).

• Adjusted funds flow up 3% to HK$2,639 million (US$338 million); interim distribution per Share Stapled Unit at 34.80 HK cents.

• Product sales surged 83% to HK$1,854 million (US$238 million), driven by handset demand.

Outlook and guidance

• Expect to maintain or exceed 8% enterprise revenue growth for full year 2026, supported by a strong project pipeline and AI-driven digital transformation.

• AI-related investments are pre-funded by anchor customers, minimizing CapEx pressure.

• Disciplined capital investments with capex to revenue ratio improved to 5.6%.

• Continued expansion in GBA, Chinese Mainland, and international markets leveraging subsea infrastructure.

• Positive business momentum anticipated for the full year barring unforeseen circumstances.