Slides
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2025 ANNUAL RESULTS For the year ended 31 December 2025 Hong Kong
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This presentation may contain “forward-looking statements” that are not historical in nature. These forward-looking statements, which include, without limitation, statements regarding PCCW's future results of operations, financial condition or business prospects, are based on the current beliefs, assumptions, expectations, estimates, and projections of the directors and management of PCCW about the business, the industry and the markets in which PCCW operates. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond PCCW's control and are difficult to predict. Actual results could differ materially from those expressed, implied or forecasted in these forward-looking statements for a variety of factors. Forward Looking Statements
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Business Overview Susanna Hui Acting Group Managing Director & Group Chief Financial Officer
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2025 Achievements 4 OTT Business Free TV & Related Business HKT • Expanded Viu’s paid subscriber base to 16.8 million with a focus on high-growth markets • Optimising content strategy and enhancing viewer experience with a diverse slate of premium content • Entering 2026 with strong business momentum and new growth engines including Viu Shorts • Digital memberships grew by 3.6% to reach 3.4 million • Investing for sustained growth by strengthening and expanding the talent roster • Extending global footprint through participation in international events and broader content distribution • Accelerating Hong Kong’s AI adoption with best-in-class digital infrastructure • Delivering cutting-edge solutions to public and private enterprises and strengthening their technology resilience • Elevating consumer experience and deepening customer loyalty
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2025 Financial Highlights 5 HKT OTT Free TV & Related 4,686 331 133 5% YoY 5% YoY (US $ million)Revenue FY25 % change HKT OTT Free TV & Related 4% YoY 56% YoY 1,825 79 20 (US $ million) Consolidated Revenue By Segment 5,160 FY25 % change (US $ million)EBITDA FY25 % change 7% YoY 1,704 3% YoYConsolidated EBITDA
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Pursuing a Disciplined Dividend Policy PCCW 6 7.96 8.16 8.57 8.91 9.18 9.18 9.36 9.56 9.77 9.77 9.77 17.04 20.17 21.18 22.33 23.00 23.00 27.69 28.48 28.48 28.48 28.48 25.00 28.33 29.75 31.24 32.18 32.18 37.05 38.04 38.25 38.25 38.25 2015 2016 2017 2018 2019 2020^ 2021 2022 2023 2024 2025 Column1 Final Dividend Per Share Interim Dividend Per Share (HK cents) 74% 74% 90% 90% 90% 89% 100% 100% 97% 95% 91.5% 4.9% 6.2% 6.8% 6.6% 6.7% 7.3% 9.0% 9.8% 9.2% 7.8% 6.2% HKT Distribution Pass-through Dividend Yield* * Based on PCCW closing price on the annual results announcement date for each respective year ^ Excluding special dividend in the form of distribution in specie of PCPD shares Focus on strengthening the Group’s financial position for sustainable growth while also striving to provide returns for our shareholders Disciplined Dividend Policy: 38.25 HK cents 2025 Full-Year Dividend per Share:
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Contributing to a Sustainable Future 7 Enhancing Environmental Stewardship • Exceeded our 2025 targets for reducing electricity consumption, greenhouse gas (“GHG”) emissions and general waste • Elevating our environmental stewardship through a new set of environmental targets for 2030 • Developed innovative energy solution, including the Indirect Condenser Water Cooling System • Smart Charge EV bays in Hong Kong up 18% YoY , managing over 10,500 parking bays across a network of 44 residential and commercial car parks • Raised over US$1.3 billion in sustainability-linked loans in 2025 Awards and Recognition • Maintained an “A” rating in the MSCI ESG Ratings since 2019 • Included in FTSE4Good Index Series since 2017 • Shortlisted for the S&P Global Sustainability Yearbook (China Edition) for three consecutive years • Offered media content and programmes to advance sports culture, promote well-being, and foster cultural exchange through ViuTV and Now TV • Mentored underprivileged students through Strive and Rise Programme, and backing culture exchange initiative for students with special needs • Providing free fixed-line services to senior citizens through the “Care for the Elderly Line” for 34 consecutive years • Increased 5G AI Academy sessions by over 54% YoY , reaching over 15,000 customers, alongside 85 digital literacy sessions for the disadvantaged groups • Rolled out timely relief measures for residents affected by the Wang Fuk Court fire • Staff volunteering hours increased by 40% YoY , reaching over 3,500 hours Deepening Community Engagements
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OTT Business
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Significant EBITDA Growth Source: Media Partners Asia AMPD Online Video Consumer Insights Q4 2025 (covers Indonesia, Malaysia, Thailand, the Philippines and Singapore) 1. Amongst major video streaming platforms including Netflix, Disney+, iQIYI, Vidio, WeTV, excluding YouTube and Tiktok; also excludes authenticated services and smaller platforms. Research period for paid subs: Oct - Dec 2025. Sample size for MPA AMPD platform in the SEA is N=15,500 9 16.8million 2025 Paid Subscribers No. 1 Asian Platform in GSEA +13% 2025 SVOD Revenue Growth YoY • Expanded content slate to drive engagement and sustained growth • High-impact releases, such as Taxi Driver Season 3 and Love’s Ambition (許我耀眼), generated extraordinary subscriber acquisition • Accelerated growth in Thailand and Indonesia via deeper partnerships with local carriers • Refined pricing strategy focusing on premium packages across multiple markets +56% 2025 EBITDA Growth YoY • Prioritising high-growth Southeast Asian (“SEA”) markets • Prudent content investments focusing on high-performing titles • Enhanced customer acquisition capabilities and marketing effectiveness • Broadened advertising opportunities with ad-funded projects and increasing Connected TV penetration Viu Netflix1 Disney+ Vidio iQIYI 2 3 4 5 Underpinned by Solid Performance in Subscription, Prudent Investments and Enhanced Efficiency Paid Subscribers1
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Amazon Prime Video Content Diversity and Excellence Driving Viewer Engagement Monthly Active Users1 Streaming Minutes1 #1 by video minutes across 6 GSEA markets2 13+ million views within 6 weeks of release Rekindled viewership of Taxi Driver 2: Top 10 by video minutes across 5 markets3 Source: Media Partners Asia AMPD Online Video Consumer Insights Q4 2025 (covers Indonesia, Malaysia, Thailand, the Philippines and Singapore). 1. Amongst major video streaming platforms including Netflix, Disney+, iQIYI, Vidio, WeTV, excluding YouTube and Tiktok; also excludes authenticated services and smaller platforms. Research period for MAU: Oct – Dec 2025; and for streaming minutes: Jan - Dec 2025. Sample size for MPA AMPD platform in the SEA is N=15,500 2. Including Hong Kong, Indonesia, Malaysia, Philippines, Singapore and Thailand during simulcast period 3. Including Indonesia, Malaysia, Philippines, Singapore and Thailand in December 2025 till date 4. Performance ranking is based on video minutes during the simulcast period 10 Accelerated expansion of content library to build upon the growing international appeal of top titles Ranked #1 in HK, ID, MY , TH, SG4 High-performing sequels secured consistent viewership from a loyal audience base Produced titles that resonate with viewers in home countries and beyond Chinese DramaKorean DramaViu Originals Strong Slate Released in 2H 2025 Viu Netflix1 Vidio iQIYI 2 3 4 5 Viu Netflix1 WeTV Vidio iQIYI 2 3 4 5
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Strong Momentum for 2026 with New Growth Engines 11 • First-of-its-kind regional collaboration combining premium Asian content and the “best of Hollywood” • A compelling, curated content offering delivered in a single, competitively priced package • Now available in five key SEA markets including Singapore, Thailand, the Philippines, Malaysia and Indonesia • Capitalises on the rapid rise of the micro-drama format • Launched with a mix of Korean, Chinese, and local language titles purpose-built for mobile consumption and vertical viewing • Significantly expands our library of cost-efficient content and advertising inventory, unlocking new ad and sponsorship opportunities Viu-HBO Max Streaming Bundle: Expanding Reach Viu Shorts: Accelerating Engagement and Monetisation
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Free TV & Related Business
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New Dramas • COURT! – a legal drama from renowned filmmaker Johnnie To’s (杜琪峯) production company, featuring Stanley @MIRROR and George @P1X3L • Under the Rainbow (日落後的彩虹), depicts the everyday Hong Kong life in the iconic Choi Hung Estate prior to its redevelopment 12 Amplifying Local Content Impact and Driving Monetisation with Integrated Ad Capabilities ViuTV digital membership 3.4million +3.6%YoY1 Average weekday prime-time viewing time +6.7%YoY2 Compelling local content fueling engagement and monetisation 1 Source: ViuTV Internal Membership System 2025 Dec 31 vs. 2024 Dec 31 2 Source: CSM Media Research HKTAM 2025 Jan 1 – Dec 31 vs. 2024 Jan 1 – Dec 31; ViuTV; Weekday 18:55-24:05 3 Source: CSM Media Research – HKTAM 2024-2025 13 2025 Highlights Exciting Slate of New Content Planned for 2026 New IP Launches • Strategy game show, The Dicers (骰界), and Alpine Love (戀愛等高線), an innovative dating variety show set in striking natural landscapes • Engages young audiences and energises programme lineup Returning Iconic Shows • Comeback of successful IPs and dramas, such as Goal to Success Season 2 (足球女將 2) and In Geek We Trust II (IT狗2) • Enhances viewer retention and generates sponsorship opportunities 38% Young and highly engaged viewer base Appeals to advertisers in sectors such as Finance, Restaurants, Food & Beverage and Beauty & Fitness of viewers are under 443
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Harnessing Our Strength through Continued Talent Development, Live Performances and Content Creation • Elevated the international profile for our artistes through participation in prominent productions such as Taxi Driver Season 3 alongside A-list Korean actor Lee Je-hoon and performances at the Coldplay concerts in Hong Kong • Diversified revenue streams via collaborations with international brands including Sanrio and the NBA • Strengthening talent pipeline with a promising cohort of emerging artistes Talent Development * ZPOT Live Performances Content Creation • Delivered 28 shows across 11 concert series with a strong emphasis on solo performances • Showcased individual artistes and amplified their appeal, gaining strong momentum for the large- scale group concerts planned for 2026 • Extended regional footprint through co-organised events featuring top-tier artistes such as Angela Zhang, YOASOBI, LiSA * Keung To’s “Lava” | COLLAR’s “Game On” | Anson Lo’s “Kingdom” • Produced flagship ViuTV content including King Maker Season VI ( 全民造星 VI), Be ON Game IV (膠戰 4), and other original dramas featuring our in-house talent • Extended content distribution to 40+ markets across Asia, North America, Oceania, and Africa • Notable placement validated the quality and appeal of our productions – Fading Flavors (消失的味道) on Asian Food Network • Be ON Game IV (膠戰 4) 14
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Financial Overview Marco Wong Head of Investor Relations
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Adjusted Funds Flow grew to US$795 million. Full Year Distribution of 81.77 HK cents per SSU Strong Financial Performance HKT Revenue US $ Million 3,136 3,222 1,123 1,174 349 453 (152) (163) 4,456 4,686 2024 2025 Total Eliminations & Others Mobile Product Sales Mobile Services TSS • 8% growth in local data revenue reflecting accelerated demand from enterprise customers for digital transformation solutions powered by HKT’s integrated network infrastructure • 3% growth in broadband revenue driven by increasing demand for HKT’s high- bandwidth, ultra-low latency fibre services • 5% growth in Mobile services revenue benefitting from higher roaming revenues, further 5G upgrades, and growing demand for mobile enterprise solutions • 30% growth in Mobile product sales driven by the launch of flagship handsets HKT EBITDA US $ Million HKT EBITDA Margin Total 40% 39% Excl. Mobile Product Sales 42.9% 43.1% 1,222 1,246 681 714 (141) (135) 1,762 1,825 2024 2025 Total Others Mobile TSS 16 4% YoY Local Data + 8% YoY Broadband + 3% YoY Mobile Services + 5% YoY Mobile Product Sales + 30% YoY TSS + 2% YoY Mobile + 5% YoY 5% YoY • EBITDA margin impacted by relatively higher contribution from lower margin Mobile product sales • EBITDA margin excl. Mobile product sales improved slightly benefitting from continued operating efficiencies
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Prudent Investments and Economies of Scale OTT Business Revenue OTT Business EBITDA US $ Million 51 79 2024 2025 • Robust subscription revenue growth of 13% at Viu, driven by expanding subscriber base and a refined pricing strategy • Overall revenue growth moderated by softer advertising revenue amidst restrained ad spending 274 286 41 45 315 331 2024 2025 Total Others Viu • Remarkable uplift in EBITDA of 56% • Margin expansion by 8 p.p. to 24%, supported by growing subscriber base, enhanced operating efficiency and prudent content investments • Focusing on high-growth markets where we have established a strong foothold to drive economies of scale US $ Million EBITDA Margin 16% 24% 17 5% YoY 56% YoY
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Strengthening Talent Pool and Building Momentum for 2026 Free TV & Related Business Revenue US $ Million • Reflects a strategic focus on sub-group and solo performances to amplify the profile of individual artistes • Upcoming series of group concerts and a strengthened, expanded talent roster are expected to fuel revenue growth • Advertising revenue was stable despite the persistently weak retail environment in Hong Kong 136 133 2024 2025 25 20 2024 2025 • EBITDA and margin declined reflecting focus on solo concerts during the year • Profitability is expected to rebound with strong line-up of group performances scheduled for 2026 US $ Million 18 Free TV & Related Business EBITDA EBITDA Margin 18% 15%
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Enhanced Efficiency and Cost Optimisation Across the Group Operating Expenses 423 407 293 289 716 696 2024 2025 Total PCCW HKT US $ Million 19 Opex/ Revenue Ratio 14.9% 13.5% 3% YoY • Opex decreased by 3% driven by cost optimisation across the Group • OTT Business enhanced operating efficiency and marketing effectiveness through business process upgrades, including the integration of advanced CRM tools • HKT reduced opex by 4% driven by the deployment of AI to reshape its workflows and network management, and continued efforts in streamlining business structures, workforce optimisation as well as IT platform rationalisation • Opex-to-revenue ratio improved to 13.5%
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Emerging from the Capex Cycle with Heightened Discipline 172 168 88 85 16 11 24 18 300 282 2024 2025 Total Others Media Mobile TSS US $ Million 20 Capex / Revenue Ratio 6.2% 5.5% Capital Expenditure 6% YoY • Mobile capex decreased by 4% reflecting the efficiency gains from capacity upgrades and network maintenance following the achievement of territory-wide 5G coverage • TSS capex declined by 2% with investments largely to support growing demand for HKT’s integrated fixed-mobile enterprise solutions and the investments in subsea cable systems • Media capex decreased after the completion of the initial phase of the new production studio facilities • Capex-to-revenue ratio improved to 5.5%
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Debt Maturity Profile HKT PCCW 1,063 1,167 320 767 750 213 500 300 650 2026 2027 2028 2029 2030 2031 2032 HKT Bank Loans HKT Bonds (US $ million) As of 31 December 2025 764 691 64 231 100 2026 2027 2028 2029 2030 2031 2032 PCCW Bank Loans PCCW Bonds (US $ million) As of 31 December 2025 21 (US $ million) As of Jun 2025 As of Dec 2025 Proforma(1) Cash Balance 249 312 Undrawn Facilities 2,048 2,528 Total 2,297 2,840 • Current mix of fixed and floating rate debt approx. 53:47 • Effective interest rate approx. 3.9% • Average debt maturity of 2.9 years 1. Assuming debt repayment with the proceeds from the sale of additional interests in HKT’s passive network business
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Healthy Liquidity As of Jun 2025(5) As of Dec 2025 Proforma(5)(6) Gross Debt(1)) Cash Balance(4) Undrawn Facilities Gross Debt(1)) Cash Balance(4) Undrawn Facilities Gross Debt(1)) Cash Balance(4) Undrawn Facilities HKT 5,568 249 2,048 5,737 312 2,319 5,528 312 2,528 PCCW 1,775 50 784 1,850 81 1,024 1,850 81 1,024 Total 7,343 299 2,832 7,587 393 3,343 7,378 393 3,552 Net Debt(2) / EBITDA(3) 4.17x 4.22x 4.10x US$ million 1. Gross debt refers to the principal amount of short-term and long-term borrowings 2. Net debt refers to the principal amount of short-term and long-term borrowings minus cash balance 3. Based on net debt as at period end divided by EBITDA for the 12-month period 4. Includes short-term deposits 5. US$713 million perpetual capital securities are classified as equity 6. Assuming debt repayment with the proceeds from the sale of additional interests in HKT’s passive network business 22 As of Dec 2025(5)