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Home » Taiwan's Chunghwa Telecom Sees Revenue Drop in 1H09, FTTx Replacing ADSL

Taiwan's Chunghwa Telecom Sees Revenue Drop in 1H09, FTTx Replacing ADSL

August 26, 2009
in Uncategorized
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During the first six months of 2009, Chunghwa Telecom’s consolidated revenue decreased by 3.7% to NT$97.2 billion,

of which 27.3% was from fixed-line services, 36.3%was from mobile services, 25.4% was from Internet and data services, and the remainder was mainly from handset sales from Chunghwa’s subsidiary SENAO on a consolidated basis. Chunghwa Telecom blamed the deteriorating economic environment and market competition for the revenue decline, which resulted in the reduced traffic for fixed line and mobile businesses.

Some highlights:

  • Internet and data revenue decreased by 0.2% to NT$24.7 billion, mainly due to the tariff reduction for HiNet and ADSL services.
  • As of the end of first half of 2009, Chunghwa provides FTTx to about 1,342 thousand of subscribers, compared to 782 thousand as of the end of first half of 2008.
  • Mobile revenue decreased by 2.9% to NT$35.2 billion; mobile VAS revenue increased by 18.5% to NT$4.1 billion
  • International long distance revenue decreased by 10.7% year-over- year to NT$6.3 billion, as a result of the overall economic downturn, VOIP substitution and market competition.
  • For the second quarter of 2009, total revenue was NT$48.1 billion, a 3.8% decrease from the same period last year. Of this, 27.9% was from fixed-line services, 36.8% was from mobile services and 25.5% was from Internet and data services, with the remainder primarily attributed to the consolidation of NT$2.6 billion in revenue from SENAO.
  • The total capex for the first half of 2009 amounted to NT$10.3 billion, a 9.0% decrease compared to that of the same period in 2008. Of this CapEx figure, 73.2% was for wireline equipment (including fixed-line and Internet and data), 21.3% was for wireless equipment and the remainder was for other expenditures.
  • Total HiNet Internet subscribers decreased to 4.07 million as of June 30, 2009.
  • ADSL subscribers decreased by 156 thousand to 2.96 million quarter-over-quarter. This decline was offset by strong growth in FTTx subscriptions, with 148 thousand net additions to around 1.34 million over the course of the second quarter of 2009, compared to 782 thousand FTTx subscribers as of June 30, 2008.
  • By the end of June 2009, the number of ADSL and FTTx subscriptions with a service speed of greater than 8 Mbps reached 1.78 million, representing 41.4% of total broadband subscribers, which was 32.1% as the end of June 2008
  • Overall, the company had 4.3 million broadband subscribers (including ADSL and FTTx subscribers) at the end of June 2009, a 0.1% decrease in the number of total broadband subscriptions compared to the same period of last year.
  • As of June 30, 2009, Chunghwa had 9.04 million mobile subscribers, slightly up quarter-over-quarter by 0.7% compared to 8.98million as of March 31, 2009.
  • Chunghwa’s total mobile subscriber market share (including 2G, 3G and PHS) was 34.5%, while its revenue share was 33.1%.
  • Chunghwa had 251 thousand net additions to its 3G subscriber base during the second quarter of 2009, recording a 6.5% rise quarter-over-quarter in the total number of 3G subscribers to 4.1 million as of June 30, 2009.
  • Mobile VAS revenue for the first half of 2009 was NT$4.07 billion, a 18.5% year-over-year increase, with SMS revenue up 13.4% and mobile Internet revenue up 47.6% for the same period.

http://www.cht.com.tw

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