Earnings release
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1 Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement. (Incorporated in Hong Kong with limited liability) Stock Code: 00511 ANNOUNCEMENT OF 2026 INTERIM RESULTS RESULTS HIGHLIGHTS For the six months ended 30 June 2026 (the “Period”) • Group revenue of HK$1,258 million (2025: HK$1,498 million) or a 16% decline. • Group gross profit of HK$566 million (2025: HK$560 million) or a 1% increase, resulting in Group gross margin of 45% (2025: 37%). • Total operating cost of HK$1,285 million (2025: HK$1,568 million) or an 18% reduction. • Group EBITDA of HK$73 million (2025: HK$55 million) or a 33% increase. • Loss attributable to equity holders of the Company of HK$74 million (2025: HK$108 million) or a 31% reduction. • Loss per share of HK$0.16 (2025: HK$0.23). • The Board did not recommend the payment of an interim dividend for the Period (2025: nil).
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2 BUSINESS HIGHLIGHTS • TVB’s four terrestrial TV channels retained a 78% share of television viewership in Hong Kong during the Period, reaching 4.8 million in-home viewers weekly. In the Chinese Mainland, our channels reached more than 22 million viewers monthly in Guangdong province. Meanwhile, in Hong Kong and overseas, our digital platforms and official social media accounts served over 127 million average monthly active users and generated nearly 4.1 billion cumulative video views over this Period. • Terrestrial TV advertising revenue was broadly stable, with a 39% year-on-year growth in our Greater Bay Area revenues and strong advertising demand in Hong Kong from the banking and financial services sector. Meanwhile, digital advertising revenue increased 13% year-on-year. • Revenue from Chinese Mainland Operations declined 61% year-on-year due to a smaller co-production drama slate and a softer market for content licensing. • Gross profit grew by 1% during the Period, driven by a 26% reduction in our direct cost of sales arising from continued cost discipline and scaling-down of non-performing businesses. Our gross margin expanded to 45% (from 37% in 2025). • Total operating costs fell by 18% year-on-year, enabling us to boost EBITDA by 33% for the Period despite softer revenues. We also delivered HK$241 million in cashflow from operations for the Period, a nearly four-fold increase from the same period last year. • In AI content development, we passed another key milestone during the Period with the release of our first AI micro-animation series Yes, Boss (ळӋ͛101). Created by our in-house AI content lab First Frame Studio, this micro-animation was positively received by audiences across television, digital streaming and social media, and attracted significant sponsorships.
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3 OUTLOOK • We expect our terrestrial TV advertising income to maintain modest growth for the rest of 2026 driven by continued momentum in our GBA advertising income. We also expect to maintain a double-digit growth rate in digital advertising income for the remainder of the year. • In our Chinese Mainland segment, we expect a stronger second half of 2026 driven by a bigger co-production slate. As of 30 June 2026, we had five co-production dramas at various stages of production, including Mrs. Revenge (ܕ ,)I Only Live Twice (ᅼͷɛ͛), The Ideal Lawyers (ྠ), Wars of Roses (نand Undertable (ֵ.) Following positive results from our trial use of AI tools to enhance creative workflows, we expect AI to play a growing role in our content production as we continue to integrate AI tools and applications into our creative processes. While human creativity and talent remain front and center of our content production, AI enhances and shortens our production cycles and brings down costs. At the same time, AI can help us enhance the value of our vast content library by enabling new applications such as model training and new content generation. With such goals in mind, on 10 August 2026 we announced a potential joint venture with Gaw Capital to create a new AI computing facility and to offer advanced computing resources as a subscription-based service. As our own AI needs grow, having such a resource in-house will greatly boost our efforts. This potential joint venture, if successfully formed, will likely begin operations at the end of 2027. • Based on the current business momentum, we expect to achieve growth in EBITDA and net profit attributable to equity holders of the Company for the full year of 2026 compared to 2025.
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4 KEY FINANCIALS Unaudited Six months ended 30 June 2026 2025 HK$’000 HK$’000 Revenue 1,257,509 1,497,766 – TV Broadcasting 789,588 818,350 – Digital Media 192,595 190,979 – Chinese Mainland Operations 136,328 352,431 – International Operations 138,998 136,006 Total operating costs (1,285,325) (1,567,626) – Cost of sales (691,687) (938,265) – Selling, distribution and transmission costs (249,296) (251,538) – General and administrative expenses (344,342) (377,823) EBITDA 73,098 55,206 – TV Broadcasting 54,755 (14,850) – Digital Media 17,511 19,292 – Chinese Mainland Operations (9,844) 60,414 – International Operations 10,676 (9,650) Reconciliation from EBITDA to loss before income tax: EBITDA 73,098 55,206 Depreciation and amortisation (100,432) (119,110) Finance costs (50,074) (61,175) Interest income 1,118 3,698 Others (4,111) (6,977) Loss before income tax (80,401) (128,358) Income tax expense (3,075) (4,819) Loss for the Period (83,476) (133,177) Loss attributable to equity holders of the Company (73,612) (108,123) Loss per share (basic and diluted) for loss attributable to equity holders of the Company during the Period HK$(0.16) HK$(0.23)
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5 FINANCIAL REVIEW The Group’s revenue for the Period was HK$1,258 million, a decrease of HK$240 million or 16% from the HK$1,498 million achieved in the same period of 2025. This was mainly due to the declines in revenue from Chinese Mainland Operations and, to a degree, TV Broadcasting where we continued to shrink loss-making activities such as e-commerce. Despite the decline in revenue, the Group’s gross profit rose to HK$566 million for the Period, representing an increase of HK$6 million or 1% from the HK$560 million achieved in the same period of 2025. A key driver was the reduction of our cost of sales from HK$938 million to HK$692 million during the Period, representing savings of HK$246 million or 26%. This was the result of our continued cost discipline and proactive scaling-down of non- performing businesses and activities. In addition, slower co-production activity in the Chinese Mainland also resulted in less production costs being incurred. As a result of this rise in gross profit, our gross margin expanded to 45% for the Period, compared to 37% last year. Selling, distribution and transmission costs for the Period declined by HK$3 million or 1% from HK$252 million to HK$249 million. The decrease was primarily due to lower distribution costs in our e-commerce business, which we continue to shrink, and a reduction in our depreciation and amortisation expenses relating to our broadcasting facilities. These decreases were partially offset by increased spending on selling and distribution costs relating to GBA advertising sales. General and administrative expenses for the Period declined by HK$34 million or 9% from HK$378 million to HK$344 million due to various cost-saving initiatives within our administrative and back-office functions. As a result of all the above, total operating costs (comprising cost of sales, selling, distribution and transmission costs and general and administrative expenses) decreased by HK$283 million or 18% from HK$1,568 million to HK$1,285 million. Other revenues for the Period were HK$4 million (2025: HK$4 million), mainly comprising various sundry incomes. Other net losses for the Period were HK$7 million (2025: HK$6 million), mainly comprising changes in the fair values of a financial liability at fair value through profit or loss and net exchange losses recognised during the Period. Due to the above factors, we achieved EBITDA of HK$73 million for the Period, representing a year-on-year improvement of HK$18 million or 33% compared to the EBITDA of HK$55 million in the first half of 2025.
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6 OUTLOOK • We expect our terrestrial TV advertising income to maintain modest growth for the rest of 2026 driven by continued momentum in our GBA advertising income. We also expect to maintain a double-digit growth rate in digital advertising income for the remainder of the year. • In our Chinese Mainland segment, we expect a stronger second half of 2026 driven by a bigger co-production slate. As of 30 June 2026, we had five co-production dramas at various stages of production, including Mrs. Revenge (ܕ ,)I Only Live Twice ( ᅼ ͷɛ͛), The Ideal Lawyers (ྠ), Wars of Roses (نand Undertable (䇴 ֵ.) Following positive results from our trial use of AI tools to enhance creative workflows, we expect AI to play a growing role in our content production as we continue to integrate AI tools and applications into our creative processes. While human creativity and talent remain front and center of our content production, AI enhances and shortens our production cycles and brings down costs. At the same time, AI can help us enhance the value of our vast content library by enabling new applications such as model training and new content generation. With such goals in mind, on 10 August 2026 we announced a potential joint venture with Gaw Capital to create a new AI computing facility and to offer advanced computing resources as a subscription-based service. As our own AI needs grow, having such a resource in-house will greatly boost our efforts. This potential joint venture, if successfully formed, will likely begin operations at the end of 2027. • Based on the current business momentum, we expect to achieve growth in EBITDA and net profit attributable to equity holders of the Company for the full year of 2026 compared to 2025.
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7 SEGMENT RESULTS TV Broadcasting For the six months ended 30 June (unaudited) 2026 HK$ million 2025 HK$ million Year-on-year change Segment revenue 790 818 -3% Segment EBITDA 55 (15) N/A Our TV Broadcasting segment mainly comprises broadcast television, e-commerce, artiste management and music. Segment revenue from TV Broadcasting decreased by 3% from HK$818 million, to HK$790 million. This was due to the continued revenue decline of our e-commerce business which we continue to shrink. Meanwhile, our core income from advertisers was broadly stable at HK$696 million in the first half of 2026 compared to HK$695 million in 2025. Segment EBITDA was HK$55 million, representing an improvement of HK$70 million compared to a loss of HK$15 million in the previous period, mainly due to the reduction in content costs. Digital Media For the six months ended 30 June (unaudited) 2026 HK$ million 2025 HK$ million Year-on-year change Segment revenue 193 191 1% Segment EBITDA 17 19 -11% The Digital Media segment mainly comprises our myTV SUPER streaming service (which earns advertising and subscription revenue), mobile apps, online social media accounts and digital marketing services in Hong Kong. Segment revenue from Digital Media increased by HK$2 million or 1% compared to the same period last year. This was primarily due to a 13% growth in advertising across all our digital media assets including the myTV SUPER platform and Hong Kong-based social media accounts, which was partially offset by the continued decline in subscription income of myTV SUPER. Segment EBITDA declined from HK$19 million to HK$17 million during the Period.
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8 Chinese Mainland Operations For the six months ended 30 June (unaudited) 2026 HK$ million 2025 HK$ million Year-on-year change Segment revenue 136 353 -61% Segment EBITDA (10) 61 N/A Chinese Mainland Operations mainly comprises drama co-production and licensing of our simulcast drama and library content. In addition, we operate a direct-to-consumer (DTC) content streaming service and a multichannel network (MCN) business which includes e-commerce livestreaming. Segment revenue from Chinese Mainland Operations decreased by HK$217 million from HK$353 million to HK$136 million due to a smaller co-production slate during the Period, and softer licensing revenue. Consequently, segment EBITDA fell by HK$71 million from HK$61 million to a loss of HK$10 million during the Period. International Operations For the six months ended 30 June (unaudited) 2026 HK$ million 2025 HK$ million Year-on-year change Segment revenue 139 136 2% Segment EBITDA 11 (10) N/A International Operations refers to our business activities around the world outside of Hong Kong and the Chinese Mainland, and Macau. This segment comprises programme licensing, our TVB Anywhere streaming service, and our social media channels and accounts that serve our international audience. Segment revenue from International Operations increased by 2% from HK$136 million to HK$139 million during the Period, primarily driven by the increase in income from our social media channels and accounts. Segment EBITDA was HK$11 million, representing an improvement of HK$21 million compared to a loss of HK$10 million in the previous period, mainly due to changes in the allocation basis for content costs across the Group’s different platforms since the second half of 2025.
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9 INTEREST INCOME Interest income for the Period totaled HK$1 million (2025: HK$4 million), primarily from fixed bank deposits. FINANCE COSTS Finance costs mainly comprised interest expense on (i) our term loan with Shanghai Commercial Bank Limited (“SCBL”), and (ii) our other bank loans, convertible bonds and other borrowings. Finance costs decreased from HK$61 million to HK$50 million, due to changes in interest rates and our borrowing levels during the Period compared to the same period last year. INCOME TAX The Group recorded an income tax expense of HK$3 million (2025: HK$5 million) for the Period. Hong Kong profits tax has been provided at the rate of 16.5% (2025: 16.5%) on the estimated assessable profit for the Period. Taxation on overseas profits has been calculated on the estimated assessable profit for the Period at the rates of taxation prevailing in the countries in which the Group operated. LOSS ATTRIBUTABLE TO EQUITY HOLDERS The Group incurred a loss attributable to equity holders for the Period totalled HK$74 million (2025: HK$108 million), representing a reduction in loss of HK$34 million or 31%. LOSS PER SHARE Loss per share is calculated based on the Group’s loss attributable to equity holders of the Company of HK$74 million (2025: HK$108 million). The weighted average number of ordinary shares adopted in the calculation of basic and diluted loss per share throughout the six months ended 30 June 2026 was 466,961,836 (2025: 466,961,836), giving a basic and diluted loss per share of HK$0.16 (2025: HK$0.23). Diluted loss per share is the same as basic loss per share as the effect of potential ordinary shares is anti-dilutive during the six months ended 30 June 2026. DIVIDENDS PER SHARE The Board of Directors did not recommend the payment of an interim dividend for the six months ended 30 June 2026 (2025: nil).
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10 LIQUIDITY AND FINANCIAL RESOURCES As at 30 June 2026, the total equity of the Group was HK$2,175 million (31 December 2025: HK$2,232 million). There has been no change in the share capital of the Company, with 466,961,836 ordinary shares in issue. As at 30 June 2026, the Group had unrestricted bank and cash balances of HK$966 million (31 December 2025: HK$794 million). About 37% of the unrestricted bank and cash balances (approximately HK$360 million) were maintained in Chinese Mainland and overseas subsidiaries for their daily operations. Unrestricted bank deposits and cash balances held by the Group were denominated mainly in Hong Kong dollars, Renminbi and US dollars. As at 30 June 2026, the Group’s net current assets amounted to HK$1,510 million (31 December 2025: HK$1,705 million). As at 30 June 2026, the Group’s current ratio, expressed as the ratio of current assets to current liabilities, was 1.7 (31 December 2025: 1.8). As at 30 June 2026, bank borrowings and overdrafts amounted to HK$1,700 million (31 December 2025: HK$1,687 million) which mainly consisted of the HK$1,177 million term loan with SCBL. Additionally, there were other borrowings and convertible bonds of HK$303 million and HK$121 million respectively (31 December 2025: HK$308 million and HK$114 million respectively). As at 30 June 2026, the Group’s gearing ratio, expressed as a ratio of net debt to total equity, was 53.9% (31 December 2025: 59.9%). BOND PORTFOLIO As at 30 June 2026, the Company’s portfolio of fixed income securities, net of expected credit losses amounted to HK$20 million (31 December 2025: HK$19 million), which were classified under “Bond securities at amortised cost”. Issuers of these securities include listed and unlisted companies in Hong Kong and overseas. As at 30 June 2026, the investment portfolio consisted of fixed income securities of four separate issuers (31 December 2025: four), of which the bonds issued by Master Glory Group Limited and SMI Holding Group Limited had been fully impaired in prior years.
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11 The Board of Directors (“Board”) of TVB Limited (“Company” or “TVB”) is pleased to announce the unaudited interim results of the Company and its subsidiaries (collectively, “Group”) for the six months ended 30 June 2026 (“Period”) as follows: CONDENSED CONSOLIDATED INCOME STATEMENT FOR THE SIX MONTHS ENDED 30 JUNE 2026 Unaudited Six months ended 30 June Notes 2026 2025 HK$’000 HK$’000 Revenue 3 1,257,509 1,497,766 Cost of sales (691,687) (938,265) Gross profit 565,822 559,501 Other revenues 4,412 3,974 Interest income 1,118 3,698 Selling, distribution and transmission costs (249,296) (251,538) General and administrative expenses (344,342) (377,823) Other losses, net (6,760) (5,933) Finance costs 4 (50,074) (61,175) Share of profits of joint ventures 7 15 Share of (losses)/profits of associates (1,288) 923 Loss before income tax 5 (80,401) (128,358) Income tax expense 6 (3,075) (4,819) Loss for the period (83,476) (133,177) Loss attributable to: Equity holders of the Company (73,612) (108,123) Non-controlling interests (9,864) (25,054) (83,476) (133,177) Loss per share (basic and diluted) for loss attributable to equity holders of the Company during the period 7 HK$(0.16) HK$(0.23)
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12 CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME FOR THE SIX MONTHS ENDED 30 JUNE 2026 Unaudited Six months ended 30 June 2026 2025 HK$’000 HK$’000 Loss for the period (83,476) (133,177) Other comprehensive income/(loss): Items that may be reclassified to profit or loss: Exchange differences on translation of foreign operations – Subsidiaries 21,153 25,140 – Joint ventures (1,554) (2,503) Share of other comprehensive income of an associate 7,072 4,800 Cash flow hedges 2,839 (5,205) Items that may not be reclassified to profit or loss: Change in fair value of financial assets at fair value through other comprehensive income (“FVOCI”) (11,840) (8,780) Actuarial loss on provision for long service payment (503) (2,136) Exchange differences on translation of foreign operations attributable to non-controlling interests 6,386 4,870 Other comprehensive income for the period, net of tax 23,553 16,186 Total comprehensive loss for the period (59,923) (116,991) Total comprehensive loss attributable to: Equity holders of the Company (56,445) (96,807) Non-controlling interests (3,478) (20,184) Total comprehensive loss for the period (59,923) (116,991)
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13 CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 2026 30 June 31 December Notes 2026 2025 Unaudited Audited HK$’000 HK$’000 ASSETS Non-current assets Property, plant and equipment 756,219 805,206 Intangible assets 122,474 138,002 Interests in joint ventures 9 191,578 190,143 Interests in associates 39,285 33,501 Financial assets at FVOCI 43,910 55,373 Bond securities at amortised cost 10 20,062 19,191 Deferred income tax assets 382,663 381,902 Prepayments 13,873 13,673 Total non-current assets 1,570,064 1,636,991 Current assets Programmes and film rights 1,459,183 1,479,912 Stocks 14,044 13,996 Trade receivables 11 775,741 901,888 Other receivables, prepayments and deposits 564,105 621,849 Movie investments 9,000 10,280 Tax recoverable 1,322 193 Derivative financial instrument 101 – Cash and cash equivalents 965,948 794,070 Total current assets 3,789,444 3,822,188 Total assets 5,359,508 5,459,179 EQUITY Equity attributable to equity holders of the Company Share capital 771,829 771,829 Other reserves (81,665) (101,268) Retained earnings 1,590,926 1,663,794 2,281,090 2,334,355 Non-controlling interests (105,685) (102,207) Total equity 2,175,405 2,232,148
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14 CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION (continued) AS AT 30 JUNE 2026 30 June 31 December Notes 2026 2025 Unaudited Audited HK$’000 HK$’000 LIABILITIES Non-current liabilities Borrowings 12 860,200 1,059,660 Lease liabilities 2,388 5,939 Derivative financial instrument – 2,738 Deferred income tax liabilities 42,235 42,143 Total non-current liabilities 904,823 1,110,480 Current liabilities Trade and other payables and accruals 14 822,285 873,832 Convertible bonds 13 120,931 114,414 Financial liability at fair value through profit or loss (“FVPL”) 13 37,569 34,739 Written put option liabilities 140,000 140,000 Current income tax liabilities 4,000 2,592 Borrowings 12 1,142,520 936,275 Lease liabilities 11,975 14,699 Total current liabilities 2,279,280 2,116,551 Total liabilities 3,184,103 3,227,031 Total equity and liabilities 5,359,508 5,459,179
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15 NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL INFORMATION 1. Independent review The unaudited condensed consolidated financial information of the Group for the six months ended 30 June 2026 has been reviewed by the Company’s auditor, PricewaterhouseCoopers, in accordance with Hong Kong Standard on Review Engagements 2410 “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” issued by the Hong Kong Institute of Certified Public Accountants (“HKICPA”). An unmodified review report is included in the interim report to be sent to shareholders. The unaudited condensed consolidated financial information of the Group for the six months ended 30 June 2026 has also been reviewed by the Audit Committee of the Company. 2. Basis of preparation and accounting policies This unaudited condensed consolidated financial information for the six months ended 30 June 2026 has been prepared in accordance with Hong Kong Accounting Standard (“HKAS”) 34 “Interim Financial Reporting” issued by the HKICPA. The unaudited condensed consolidated financial information should be read in conjunction with the annual consolidated financial statements for the year ended 31 December 2025, which were prepared in accordance with Hong Kong Financial Reporting Standards (“HKFRSs”). The financial information relating to the year ended 31 December 2025 that is included in the condensed consolidated financial information for the six months ended 30 June 2026 as comparative information does not constitute the Company’s statutory annual consolidated financial statements for that year but is derived from those financial statements. Further information relating to these statutory financial statements required to be disclosed in accordance with section 436 of the Hong Kong Companies Ordinance (Cap. 622) is as follows: The Company has delivered the financial statements for the year ended 31 December 2025 to the Registrar of Companies as required by section 662(3) of, and Part 3 of Schedule 6 to, the Hong Kong Companies Ordinance (Cap. 622). The Company’s auditor has reported on those financial statements. For the year ended 31 December 2025, the auditor’s report was unqualified; did not include a reference to any matters to which the auditor drew attention by way of emphasis without qualifying its report; and did not contain a statement under sections 406(2), 407(2) and (3) of the Hong Kong Companies Ordinance (Cap. 622). The accounting policies applied and methods of computation used in the preparation of these interim financial information are consistent with those used in the financial statements for the year ended 31 December 2025. Taxes on income in the interim periods are accrued using the tax rate that would be applicable to the expected total annual earnings.
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16 2. Basis of preparation and accounting policies (continued) (a) Amended standards adopted by the Group A number of amendments to HKFRS Accounting Standards became applicable for the current reporting period. The Group did not have to change its accounting policies or make retrospective adjustments as a result of adopting these standards. (b) Impact of standards issued but not yet applied by the Group Certain new accounting standards, amendments to accounting standards and interpretations have been published that are not mandatory for 31 December 2026 reporting period and have not been early adopted by the Group. The Group is in the process of making an assessment of the likely impact of these new or revised standards, amendments to standards and interpretations to the Group’s results and financial position in the period of initial application. 3. Revenue and segment information The Group is principally engaged in terrestrial television broadcasting, digital media services, Chinese Mainland operations, and international operations. The segments are managed separately according to the nature of products and services provided. Segment performance is evaluated based on a measure of adjusted earnings before interest income, finance costs, income tax, depreciation and amortisation, changes in fair value of a financial liability at fair value through profit or loss, share of profits/ losses of joint ventures and associates (EBITDA, see below) to assess the performance of the reportable segments which in certain respects, as explained in the table below, is measured differently from the results before income tax in the consolidated financial statements. Revenue comprises advertising income net of agency deductions, licensing income, subscription income, as well as other income such as digital marketing and event income, co-production income, e-commerce income, music entertainment income, management fee income, facility rental income and other service fee income. The Group’s inter-segment transactions mainly consist of provision of services. The services provided are charged on a cost plus basis or at similar terms as that contracted with third parties.
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17 3. Revenue and segment information (continued) An analysis of the Group’s revenue and EBITDA for the period by reportable segments is as follows: Six months ended 30 June TV Broadcasting Digital Media Chinese Mainland Operations International Operations Total 2026 2025 2026 2025 2026 2025 2026 2025 2026 2025 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 Revenue Timing of revenue recognition: At a point in time 10,748 48,954 1,997 1,992 32,524 9,128 292 506 45,561 60,580 Over time 778,840 769,396 190,598 188,987 103,804 343,303 138,706 135,500 1,211,948 1,437,186 External customers 789,588 818,350 192,595 190,979 136,328 352,431 138,998 136,006 1,257,509 1,497,766 Reportable segment EBITDA 54,755 (14,850) 17,511 19,292 (9,844) 60,414 10,676 (9,650) 73,098 55,206 Additions to non-current assets (note(a)) 17,443 17,741 9,456 10,687 3,345 641 1,267 4,107 31,511 33,176 Notes: (a) Non-current assets comprise property, plant and equipment and intangible assets (including prepayments related to capital expenditure, if any). (b) Cost of programmes and film right, as disclosed in Note 5, is mainly arising from TV Broadcasting and Chinese Mainland Operations segments. A reconciliation of reportable segment EBITDA to loss before income tax is provided as follows: Six months ended 30 June 2026 2025 HK$’000 HK$’000 Reportable segment EBITDA 73,098 55,206 Depreciation and amortisation (100,432) (119,110) Finance costs (50,074) (61,175) Interest income 1,118 3,698 Change in fair value of a financial liability at FVPL (2,830) (7,915) Share of profits of joint ventures 7 15 Share of (losses)/profits of associates (1,288) 923 Loss before income tax (80,401) (128,358)
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18 3. Revenue and segment information (continued) An analysis of the Group’s revenue from external customers for the period by geographical location is as follows: Six months ended 30 June 2026 2025 HK$’000 HK$’000 Hong Kong 987,130 1,011,183 Chinese Mainland 134,160 354,422 Malaysia and Singapore 60,205 58,003 USA and Canada 44,488 45,882 Australia 7,758 6,781 Europe 6,365 5,431 Vietnam 6,265 6,105 Other territories 11,138 9,959 1,257,509 1,497,766 4. Finance costs Six months ended 30 June 2026 2025 HK$’000 HK$’000 Interest on bank loans, overdrafts and other borrowings 40,274 51,964 Interest expense on convertible bonds (Note 13) 9,292 8,352 Interest expense on lease liabilities 508 859 50,074 61,175 5. Loss before income tax The following items have been charged/(credited) to the loss before income tax during the period: Six months ended 30 June 2026 2025 HK$’000 HK$’000 Amortisation of intangible assets 25,257 25,724 Cost of programmes and film rights 438,080 616,571 Cost of other stocks 5,134 31,541 Depreciation 75,175 93,386 Net exchange losses/(gains) 3,930 (1,982)
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19 6. Income tax expense Hong Kong profits tax has been provided at the rate of 16.5% (2025: 16.5%) on the estimated assessable profit for the period. Taxation on overseas profits has been calculated on the estimated assessable profit for the period at the rates of taxation prevailing in the countries in which the Group operates. Income tax is recognised based on the best estimate of the weighted average annual income tax rate expected for the full financial year. The amount of income tax charged to the condensed consolidated income statement represents: Six months ended 30 June 2026 2025 HK$’000 HK$’000 Current income tax: – Hong Kong 1,155 60 – Chinese Mainland and Overseas 3,101 6,565 – Over provisions in prior periods (670) (524) Total current income tax expense 3,586 6,101 Deferred income tax: – Origination and reversal of temporary differences (511) (1,282) 3,075 4,819 7. Loss per share Loss per share is calculated based on the Group’s loss attributable to equity holders of the Company of HK$73,612,000 (2025: HK$108,123,000). The weighted average number of ordinary shares adopted in the calculation of basic and diluted loss per share throughout the six months ended 30 June 2026 was 466,961,836 (2025: 466,961,836). As at 30 June 2026 and 2025, there were 466,961,836 ordinary shares in issue. No fully diluted loss per share was presented as the basic and diluted loss per share are of the same amount. This is because the assumed exercise of the share options and the conversion of the Company’s outstanding convertible bonds would result in a decrease in loss per share. 8. Dividends The Directors did not recommend the payment of an interim dividend for the six months ended 30 June 2026 and 2025.
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20 9. Interests in joint ventures 30 June 31 December 2026 2025 HK$’000 HK$’000 Non-current Investment costs (note) 207,306 205,753 Funds advanced to joint ventures 17,731 17,731 Less: accumulated share of losses (223,987) (222,442) 1,050 1,042 Loan and interest receivable from a joint venture (note) 883,285 865,418 Less: impairment loss on receivables from a joint venture (note) (692,757) (676,317) 190,528 189,101 191,578 190,143 Note: In July 2017, the Group entered into the agreement with Imagine Holding Company LLC (“Imagine”) in relation to the formation of a joint venture company, namely Imagine Tiger Television, LLC (“ITT”), on a 50:50 basis between both parties. The purpose of ITT is to finance the development and production of a slate of television projects whether developed and/or produced by Imagine alone or with third-party co- financiers/co-production partners. The Group has contributed to the capital of ITT in an amount of US$33,333,000 as to 50% of the equity interests in ITT and has provided a loan to ITT in an amount of US$66,667,000 in the form of the promissory note. The promissory note is unsecured and bears an interest rate of 12% per annum and will mature in July 2032. Interest and principal of the promissory note will not become payable unless ITT has distributable cash as defined in the agreement. Imagine shall not be making any capital contribution to ITT but shall contribute in-kind in the form of production expertise as it has the duty to manage and control the business and affairs of ITT and all creative and production decisions with respect to the television projects financed by ITT. With reference to this capital contribution arrangement, the Group would share 100% of ITT’s result until ITT has accumulated a positive balance of retained earnings. When the Group’s equity interests in ITT has reduced to zero, the Group would not recognise further losses. With effect from 1 July 2019, a conversion of the Group’s equity contribution of US$7,742,000 into a loan to ITT was executed, which accumulated the loan to ITT with an amount of US$74,409,000. The Group has applied the expected credit loss (“ECL”) model to the promissory note since its initial recognition. Against the backdrop of the US premium TV content market being increasingly dominated by streaming platforms, resulting in significantly fewer production opportunities for ITT, the note was assessed under Stage 2 in 2022 and 2023. This assessment incorporated forward-looking information and key inputs such as probability of default (“PD”) and loss given default (“LGD”), based on ITT’s business scale, financial performance and position, market share trends, and future development plans. Due to continued market weakness, ITT’s net loss of approximately HK$116,000,000 for the year ended 31 December 2024 and its weakened cash position, the promissory note was determined to be credit-impaired and transferred to Stage 3 in 2024. As a result, an accumulated lifetime ECL provision of HK$676,317,000 has been recognised against the carrying value of the promissory note as at 31 December 2025.
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21 9. Interests in joint ventures (continued) Note: (continued) For the six months ended 30 June 2026, the Group recognised the interest income of approximately HK$11,320,000 from the Promissory Note on the net carrying amount. As at 30 June 2026, there were no material changes in the business operations or the operating environment of the joint venture. The Group continued to apply the stage 3 ECL model, consistent with the approach adopted as at 31 December 2025. The ECL rate applied to the Promissory Note was 78.4% (31 December 2025: 78.1%) as at 30 June 2026, reflecting the Group’s ongoing assessment of ITT’s financial position, prevailing market conditions, and forward-looking information. The ECL allowance increased by HK$11,320,000 during the period, primarily arising from the recognition of the interest income, which increased the carrying amount of the Promissory Note. The additional ECL allowance was fully offset against the interest income recognised, resulting in no impact on the profit or loss for the six months ended 30 June 2026. Accordingly, the accumulated lifetime ECL provision on the carrying value of the Promissory Note amounted to HK$692,757,000 as at 30 June 2026 (31 December 2025: HK$676,317,000). The Group will maintain close monitoring of developments and update its impairment assessment as necessary. 10. Bond securities at amortised cost 30 June 31 December 2026 2025 HK$’000 HK$’000 Non-current Bond securities at amortised cost: Unlisted 427,169 426,816 Listed in other countries 70,142 69,905 Less: provision for impairment loss on bond securities (477,249) (477,530) 20,062 19,191 Note: As at 30 June 2026, the Company’s portfolio of fixed income securities, net of expected credit losses amounted to HK$20,062,000 (31 December 2025: HK$19,191,000). They were issued by issuers which are listed and unlisted in Hong Kong or overseas. As at 30 June 2026, the investment portfolio consisted of fixed income securities of four (31 December 2025: four) separate issuers, of which the bonds issued by Master Glory Group Limited and SMI Holding Group Limited had been fully impaired in prior years.
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22 11. Trade receivables At 30 June 2026 and 31 December 2025, the ageing of trade receivables, net of provision for impairment based on invoice dates were as follows: 30 June 31 December 2026 2025 HK$’000 HK$’000 Up to 1 month 311,032 435,508 1-2 months 95,734 120,981 2-3 months 90,518 77,856 3-4 months 48,872 69,076 4-5 months 26,433 42,123 Over 5 months 203,152 156,344 775,741 901,888 12. Borrowings 30 June 31 December 2026 2025 HK$’000 HK$’000 Non-current Bank borrowings, unsecured (note (a)) 860,200 1,059,660 Current Bank borrowings, unsecured (notes (a) and (c)) 639,840 428,300 Bank overdrafts, unsecured (note (e)) 199,790 199,478 Other borrowings, unsecured (notes (b) and (d)) 302,890 308,497 1,142,520 936,275 2,002,720 1,995,935
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23 12. Borrowings (continued) Notes: (a) On 30 June 2020, the Group entered into a US$250,000,000 term loan facility with SCBL, and the entire facility amount was drawn down on 6 July 2020. The facility was partially repaid and subsequently converted into Hong Kong dollars. On 12 June 2025, the Group entered into an interest rate swap with SCBL pursuant to which a HK$550,000,000 portion of the term loan was swapped into a fixed-rate obligation at an interest rate of 5.3%. Interest on the Group’s term loan with SCBL normally bears a variable rate, which was approximately 5.0% as at 30 June 2026 (31 December 2025: 5.3%). On 30 June 2026, the Group entered into a supplemental loan agreement to revise the repayment terms of the remaining outstanding loan balance of HK$1,177,200,000. The revised repayment schedule is as follows: (i) HK$117,000,000 is repayable on the maturity date of 6 July 2026; (ii) HK$200,000,000 repayable on 6 January 2027, to be settled by a short-term loan newly granted by SCBL; and (iii) the remaining balance repayable in three instalments of HK$100,000,000 on 6 January 2028, HK$100,000,000 on 6 January 2029, and HK$660,200,000 on 6 January 2030 respectively. (b) On 13 August 2023, the Group entered into a loan facility agreement with CMC and Young Lion Holdings Limited. Pursuant to this agreement, CMC and Young Lion Holdings Limited have made available, on an unsecured basis, a term loan facility of HK$700,000,000 (the “Facility”) to the Group. The Facility, which was originally valid up to 31 December 2024, bears an interest rate of 3-month HIBOR plus 1.25%, which is lower than the Group’s current market cost of borrowing in Hong Kong. Under certain circumstances whereby the Company is able to raise new equity related financing, including through issuance of new shares or instruments convertible into new shares, the size of the Facility may be correspondingly reduced. In addition, following the Company’s issuance of HK$156,000,000 in convertible bonds to Cardy Oval Limited on 6 September 2023 (as disclosed below in note 13), this term loan facility made available by CMC and Young Lion Holdings Limited has been correspondingly reduced to HK$544,000,000 and the Company drew down HK$448,200,000 from the Facility as at 31 December 2023. In 2024, the Company repaid HK$156,075,000 to CMC and the remaining loan balance was HK$292,125,000 as at 31 December 2024. Pursuant to a supplemental letter dated 18 August 2026, the repayment date of this Facility has been extended to 30 September 2027. CMC is a company controlled by Mr. Li Ruigang, a non-executive director of the Company, whereas Young Lion Holdings Limited is an indirect shareholder of over 10% of the shares of the Company. As such, both CMC and Young Lion Holdings Limited are connected persons of the Company according to Hong Kong listing rules. (c) As at 30 June 2026, excluding the loan with SCBL, the Group had short-term bank borrowings of HK$322,840,000 (31 December 2025: HK$310,760,000) from various commercial banks. These borrowings bore interest at fixed interest rates ranging from 2.5% to 2.8% per annum (31 December 2025: from 2.9% to 3.1% per annum) and at a variable rate of 3.6% per annum (31 December 2025: 3.7%). (d) As at 30 June 2026, the Group’s other borrowings of HK$10,766,000 (31 December 2025: HK$16,372,000) from the third parties bear interest rate of 5% (31 December 2025: 5%) per annum. (e) As at 30 June 2026, bank overdraft of HK$199,790,000 (31 December 2025: HK$199,478,000) bears interest rate of 5.3% (31 December 2025: 5.0%) per annum. (f) The Group has complied with the financial covenants of its bank loans during the current period.
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24 13. Convertible bonds and financial liability at fair value through profit or loss The Company completed the issuance of convertible bonds with 3.5% coupon rate at a par value of HK$156,000,000 on 6 September 2023. The convertible bonds are denominated in Hong Kong dollars and will mature in 5 years from date of issue. Based on the initial conversion price of HK$4.45 per conversion share, a total of 35,056,164 conversion shares will be allotted and issued upon exercise in full of the conversion right attached to the convertible bonds. The holder of each bond will have the right at such holder’s option, to require the Company to redeem all and not part of the bonds it holds at 110% of the principal amount on the date of redemption together with accrued but unpaid interest from the issue date to such date, at any time within five business days after the third anniversary of the issue date. If the convertible bonds have not been converted or redeemed, they will be redeemed on the fifth anniversary of the completion date at par. Interest of 3.5% per annum will be paid semi-annually up until the settlement date. The convertible bonds contain three components, a debt component, a derivative component and an equity component. The derivative component is measured at fair value by using an interest rate binomial tree model. This model simulates various interest rate scenarios over the bonds term, incorporating input such as current markets rates, volatility, and credit spreads to estimate the present value of future cash flows. The change in fair value is recognised in the consolidated income statement. The movement of the convertible bonds for the period is set out below: Debt component Derivative component Equity component Total HK$’000 HK$’000 HK$’000 HK$’000 As at 1 January 2025 102,846 29,492 35,876 168,214 Interest expense 8,352 – – 8,352 Interest paid/payable (2,775) – – (2,775) Fair value change – 7,915 – 7,915 As at 30 June 2025 108,423 37,407 35,876 181,706 As at 1 January 2026 114,414 34,739 35,876 185,029 Interest expense 9,292 – – 9,292 Interest paid/payable (2,775) – – (2,775) Fair value change – 2,830 – 2,830 As at 30 June 2026 120,931 37,569 35,876 194,376
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25 14. Trade and other payables and accruals 30 June 31 December 2026 2025 HK$’000 HK$’000 Trade payables to: Associates 443 594 Third parties 160,314 213,190 160,757 213,784 Contract liabilities 126,647 111,159 Provision for employee benefits and other expenses 55,598 59,658 Accruals and other payables 479,283 489,231 822,285 873,832 At 30 June 2026 and 31 December 2025, the ageing of trade payables based on invoice dates was as follows: 30 June 31 December 2026 2025 HK$’000 HK$’000 Up to 1 month 50,452 95,561 1-2 months 29,572 37,188 2-3 months 15,324 19,624 3-4 months 8,775 13,021 4-5 months 4,116 11,081 Over 5 months 52,518 37,309 160,757 213,784
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26 ADDITIONAL INFORMATION HUMAN RESOURCES At the end of Period, the Group had a total of 2,648 employees in Hong Kong and 266 employees in Chinese Mainland and the overseas. These figures include contract artistes and staff but exclude directors and freelance workers. For employees in Hong Kong, different pay schemes apply to contract artistes, sales, and non- sales personnel. Contract artistes are paid either per show or per package of shows. Sales personnel are remunerated on commission-based schemes, while non-sales personnel receive monthly salaries. Discretionary bonuses may be awarded as an incentive for good performance. Employees in Chinese Mainland and overseas subsidiaries were paid on scales and systems relevant to the respective localities and legislations. Share schemes have also been adopted by the Company and a subsidiary to provide appropriate incentives. From time to time, the Group organises, either in-house or with other vocational institutions, seminars, courses, and workshops on subjects of technical interests, such as industrial safety, management skills and other related studies, apart from sponsorship of training programmes that employees may enrol on their own initiatives. To sustain the long term steady supply of human resources for production, the Group has implemented a number of new initiatives during the Period targeting recruitment, training and development of talents and staff for TV production in the areas of design and construction of settings for production, make-up and costume design, with a view to ensure that the necessary skills sets are appropriately retained and developed within our business.
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27 COMPLIANCE WITH CORPORATE GOVERNANCE CODE The Company was in compliance with the code provisions in Part 2 of the Corporate Governance Code as set out in Appendix C1 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (“Listing Rules”) during the Period. COMPLIANCE WITH MODEL CODE FOR SECURITIES TRANSACTIONS BY DIRECTORS OF LISTED ISSUERS The Company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers (“Model Code”) as set out in Appendix C3 to the Listing Rules, as amended from time-to-time, as the code for Directors and members of Senior Management in their dealings in the securities of the Company. All Directors and members of Senior Management were subject to specific enquiries by the Company as part of their bi-annual confirmations of compliance and have confirmed that they had complied with the Model Code during the Period. REVIEW OF INTERIM RESULTS The Audit Committee of the Board has reviewed with Management the accounting principles and practices adopted by the Group and discussed financial reporting matters, including a review of the unaudited condensed consolidated financial information and the interim report for the Period. The condensed consolidated financial information for the Period has not been audited, but has been reviewed by PricewaterhouseCoopers, the independent auditor of the Company. INTERIM DIVIDEND No interim dividend was declared by the Board for the six months ended 30 June 2026.
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28 PURCHASE, SALE OR REDEMPTION OF THE COMPANY’S LISTED SECURITIES The Company had not redeemed, and neither had the Company nor any of its subsidiaries purchased or sold any of the Company’s listed securities during the Period. During the Period, the Company did not have any treasury shares (as defined in the Listing Rules). PUBLICATION OF THE INTERIM RESULTS AND INTERIM REPORT This interim results announcement is published on the designated issuer website of The Stock Exchange of Hong Kong Limited (www.hkexnews.hk) and the website of the Company (https://corporate.tvb.com). The interim report for the Period containing the information required by the Listing Rules will be despatched to the shareholders of the Company and made available on the above websites in September 2026. By Order of the Board LEE Lai Yi Company Secretary Hong Kong, 25 August 2026 As at the date of this announcement, the Board of the Company comprises: Executive Directors Thomas HUI To JP, Executive Chairman TSANG Lai Chun Non-executive Directors LI Ruigang Anthony LEE Hsien Pin Independent Non-executive Directors Dr. William LO Wing Yan JP Dr. Allan ZEMAN GBM, GBS, JP Felix FONG Wo BBS, JP