PCCW (8) H2 2025 earnings summary

Executive summary

• Achieved resilient performance in 2025 with 7% revenue growth and 3% EBITDA increase, supported by steady economic recovery in Hong Kong and strong business momentum across segments.

• Viu maintained its lead in Southeast Asia, reaching 16.8 million paid subscribers and launching new initiatives like Viu Shorts and the Viu-HBO Max bundle.

• HKT delivered solid results, maintaining market leadership with revenue up 5% and supporting digital infrastructure and AI adoption.

• Free TV digital memberships grew 3.6% to 3.4 million, with prime-time viewing up 6.7%.

• Consolidated profit rose 35% to HK$2,615 million, and loss attributable to equity holders narrowed to HK$253 million.

Financial highlights

• Consolidated revenue increased 7% year-over-year to US$5,160 million (HK$40,252 million); EBITDA rose 3% to US$1,704 million (HK$13,290 million).

• OTT business revenue grew 5% to US$331 million (HK$2,579 million), with EBITDA surging 56% to US$79 million (HK$620 million).

• HKT revenue up 5% to US$4,686 million (HK$36,553 million), with EBITDA up 4% to US$1,825 million (HK$14,234 million).

• Adjusted funds flow up 4% to US$795 million; CapEx down 6% to US$282 million (HK$2,198 million), capex-to-revenue ratio at 5.5%.

• Final dividend declared at HKD 0.2848 per share, full-year dividend at HKD 0.3825 per share (38.25 HK cents), with a 91.5% pass-through ratio of HKT dividend upstream.

Outlook and guidance

• Strong content slate, expanded talent roster, and new growth engines like Viu Shorts and the Viu-HBO Max bundle are expected to drive revenue and profitability rebound in 2026.

• Free TV anticipates a return to growth in 2026, supported by group concerts and content innovation.

• Dividend policy will be regularly reviewed to optimize shareholder value.