数码通电讯(00315) - 2025 - 年度业绩

Chairman's Report Business Review SmarTone achieved stable growth in FY2024/25, with 2% profit attributable to shareholders growth, driven by efficiency, AI, and strong 5G home broadband and roaming data services Key Financial Performance for FY2024/25 | Metric | Amount (HK$) | Y-o-Y Change | | :--- | :--- | :--- | | Profit Attributable to Shareholders (Excluding One-off Items) | HK$478.000 million | Up 2% | | Operating Expenses | Down HK$66.000 million | Down 4% | | Core Capital Expenditure | - | Down 10% | | Revenue | HK$6,253.000 million | Stable | | Consumer Outbound Roaming Data Revenue | - | Up 5.5% | | 5G Home Broadband Service Revenue | - | Up 16% | | 5G Home Broadband Service EBITDA | - | Up 18% | | Enterprise Solutions EBITDA | - | Up 24% | | Proposed Full-Year Dividend | 32.0 cents per share | Stable | - The company significantly improved productivity and cost-effectiveness by integrating AI and advanced analytics to address market competition and macro uncertainties[3] Excellent Network Quality SmarTone continuously invests in network infrastructure, securing 850MHz and 6/7GHz spectrums to solidify its 5G leadership and optimize network performance - Successfully secured exclusive 850MHz and 6/7GHz spectrums to enhance 5G network capabilities[5] - Strategically allocated optimal spectrum in 24 busiest MTR stations to improve peak-hour network performance[5] - Collaborated with a global leader in network automation to flexibly optimize network resources using AI scenario planning tools[6] Strict Cost and Capital Expenditure Control The company strengthened cost and capital control, achieving a 4% decrease in operating expenses and a 10% reduction in core capital expenditure Changes in Costs and Capital Expenditure | Metric | Y-o-Y Change | | :--- | :--- | | Operating Expenses | Down 4% | | Core Capital Expenditure | Down 10% | | Depreciation of Right-of-Use Assets | Down 6% | - Spectrum usage fees reached HK$534 million, exceeding total profit attributable to shareholders, with the company utilizing AI tools to enhance spectrum efficiency[7] - Returned Macau mobile network operator license, reallocating resources to the Hong Kong premium customer market[7] Catering to More Diverse Customer Needs SmarTone is committed to meeting diverse customer needs, with 5G home broadband services growing double-digits for three consecutive years and the launch of WiFi-7 - 5G home broadband services recorded double-digit growth for three consecutive years and was the first to launch WiFi-7 services[8] - Became the sole mobile network operator in Hong Kong offering Disney+ subscriptions and launched the 'Kids CARE' application[9] - Introduced 'Internet Butler', 'Call Butler', and suspicious SMS alert services, along with a 24-hour hotline, to enhance customer network security[9] Leveraging Sun Hung Kai Properties Group Resources The company collaborates closely with Sun Hung Kai Properties Group, achieving robust profit growth in enterprise solutions and expanding consumer market synergies - Utilized latest 5G-Advanced network technology, including network slicing and dedicated 5G networks, at the 2024 Hong Kong World Series events in Go Park[10] - Provided SmartHome services for SIERRA SEA, a new flagship residential project by Sun Hung Kai Properties, helping it achieve Hong Kong's first WiredScore Platinum pre-certification for a residential project[10] - Deepened collaboration with Sun Hung Kai Properties Group's 'The Point' loyalty program to offer more targeted promotions and benefits[10] Dividends The Board recommends a final dividend of 17.5 cents per share, bringing the total annual dividend to 32.0 cents per share FY2024/25 Dividends | Dividend Type | Amount Per Share (HK cents) | | :--- | :--- | | Final Dividend | 17.5 | | Total Annual Dividend | 32.0 | Outlook The company will continue to focus on service excellence, robust network, and strict cost management, leveraging AI to streamline operations and capture market opportunities - Will continue to invest in new AI technologies to further streamline operations, enhance cost-effectiveness, and improve productivity[12] - Identifies new arrivals and immigrants as a key growth area, developing suitable solutions to enhance market position[12] - Prepared to capitalize on market opportunities from the popularization of generative AI applications using 5G, AI, and IoT technologies[12] Management Discussion and Analysis Financial Business Review Group profit attributable to shareholders (excluding one-off items) increased by 2% to HK$478 million, with total revenue slightly up by 1% to HK$6,253 million FY2025 Financial Performance Summary | Metric | 2025 (HK$) | 2024 (HK$) | Y-o-Y Change | | :--- | :--- | :--- | :--- | | Profit Attributable to Shareholders (Excluding One-off Items) | HK$478.000 million | HK$470.000 million | Up 2% | | Total Revenue | HK$6,253.000 million | HK$6,221.000 million | Up 1% | | Cost of Services Provided | HK$395.000 million | HK$410.000 million | Down 4% | | Staff Costs | HK$715.000 million | HK$713.000 million | Stable | | Other Operating Expenses | HK$897.000 million | HK$964.000 million | Down 7% | | Depreciation, Amortization & Loss on Disposal | HK$1,693.000 million | HK$1,741.000 million | Down 3% | | Expected Credit Losses | HK$50.000 million | - | Increased | | Net Finance Costs | HK$35.000 million | HK$37.000 million | Stable | | Income Tax Expense | HK$189.000 million | HK$193.000 million | Decreased | | Effective Tax Rate | 28.3% | 29.1% | Decreased | - Improved gross profit margin in enterprise solutions business and increased revenue from handset and accessory sales offset stable total service revenue[14] - Current income tax liabilities include a HK$633 million provision, assuming all spectrum usage fees are non-deductible, with the company continuing to seek tax deductions[16] Capital Structure, Liquidity and Financial Resources The Group maintains a robust financial position with total equity increasing to HK$5,305 million and ample cash and bank balances of HK$2,028 million FY2025 Capital and Liquidity | Metric | June 30, 2025 (HK$) | June 30, 2024 (HK$) | | :--- | :--- | :--- | | Total Equity | HK$5,305.000 million | HK$5,186.000 million | | Cash and Bank Balances | HK$2,028.000 million | HK$1,577.000 million | | Total Borrowings | HK$62.000 million | HK$64.000 million | | Net Cash Generated from Operating Activities | HK$2,133.000 million | HK$2,162.000 million | - The Directors believe that internal cash resources are sufficient to meet capital expenditure and working capital requirements for the next financial year[18] Treasury Management Policy The Group manages treasury according to Board-approved policies, primarily holding surplus funds in bank deposits and amortized cost financial assets in HKD and USD - Surplus funds are primarily held in bank deposits and invested in financial assets measured at amortized cost, mainly in HKD and USD[19] Pledged Assets As of June 30, 2025, the Group's bank borrowings are secured by certain assets with a carrying value of HK$61 million Carrying Value of Pledged Assets | Date | Amount (HK$) | | :--- | :--- | | June 30, 2025 | HK$61.000 million | | June 30, 2024 | HK$63.000 million | Interest Rate Risk The Group's total borrowings of HK$62 million are at floating rates, and management considers the interest rate risk to be immaterial, with no hedging activities currently undertaken - The Group's total borrowings of HK$62 million are at floating rates, and management considers the interest rate risk to be immaterial[22] Functional Currency and Foreign Exchange Fluctuation Risk The company's functional currency is HKD, facing foreign exchange risk from USD-denominated receivables, bank deposits, and payables, partially hedged by USD deposits - The company's functional currency is HKD, with primary foreign exchange risk from USD-denominated assets and liabilities, partially hedged by USD deposits[23] Contingent Liabilities As of June 30, 2025, the Group's performance guarantees increased to HK$718 million compared to the previous year Performance Guarantee Amount | Date | Amount (HK$) | | :--- | :--- | | June 30, 2025 | HK$718.000 million | | June 30, 2024 | HK$523.000 million | Employees, Share Award Scheme and Share Option Scheme As of June 30, 2025, the Group had 1,656 full-time employees with total staff costs of HK$715 million, offering various benefits and incentive schemes Employee and Incentive Scheme Overview | Metric | June 30, 2025 | June 30, 2024 | | :--- | :--- | :--- | | Number of Full-time Employees | 1,656 | 1,756 | | Total Staff Costs | HK$715.000 million | HK$713.000 million | | Unvested Awarded Shares | None | None | | Number of Outstanding Share Options | 4,000,000 | 4,000,000 | - The company provides benefits such as retirement schemes, medical and dental insurance, and offers internal and external training for individual employees[25] Results Consolidated Statement of Profit or Loss For the year ended June 30, 2025, Group revenue slightly increased to HK$6,253 million, with operating profit growing to HK$752 million, and profit attributable to shareholders at HK$478 million Consolidated Statement of Profit or Loss Summary (For the year ended June 30, 2025) | Metric | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Revenue | 6,253,447 | 6,221,251 | | Operating Profit | 752,209 | 700,602 | | Expected Credit Losses on Financial Assets Measured at Amortized Cost | (50,000) | - | | Profit Before Income Tax | 667,618 | 663,176 | | Income Tax Expense | (188,717) | (193,050) | | Profit for the Year (Attributable to Company Shareholders) | 478,901 | 470,126 | | Basic Earnings Per Share (cents) | 43.5 | 42.6 | | Diluted Earnings Per Share (cents) | 43.5 | 42.6 | Consolidated Statement of Comprehensive Income For the year ended June 30, 2025, the Group's profit for the year was HK$478 million, with total comprehensive income for the year at HK$477 million due to fair value losses on financial assets Consolidated Statement of Comprehensive Income Summary (For the year ended June 30, 2025) | Metric | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Profit for the Year | 478,901 | 470,126 | | Currency Translation Differences | (79) | 112 | | Fair Value Loss on Financial Assets Measured at Fair Value Through Other Comprehensive Income | (1,789) | (640) | | Other Comprehensive Loss for the Year | (1,868) | (528) | | Total Comprehensive Income for the Year | 477,033 | 469,598 | Consolidated Statement of Financial Position As of June 30, 2025, total non-current assets were HK$7,860 million, total current assets HK$3,447 million, and net assets increased to HK$5,305 million Consolidated Statement of Financial Position Summary (As of June 30, 2025) | Metric | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Total Non-Current Assets | 7,860,433 | 8,152,969 | | Total Current Assets | 3,447,095 | 3,025,306 | | Cash and Cash Equivalents | 2,028,081 | 1,576,915 | | Total Current Liabilities | 2,973,299 | 2,943,905 | | Total Non-Current Liabilities | 3,028,975 | 3,048,721 | | Net Assets | 5,305,254 | 5,185,649 | | Total Equity | 5,305,254 | 5,185,649 | Notes to the Consolidated Financial Statements General Information SmarTone Telecommunications Group Limited primarily provides telecommunications services and sells handsets/accessories in Hong Kong, with shares listed on the HKEX - The Group's principal activities are telecommunications services and handset and accessory sales in Hong Kong[31] - The Company's shares are listed on The Stock Exchange of Hong Kong Limited[32] Summary of Significant Accounting Policies Consolidated financial statements are prepared under HKFRSs and HK Companies Ordinance, primarily using historical cost, with no significant impact from new standards - Consolidated financial statements are prepared in accordance with HKFRSs and HK Companies Ordinance Cap. 622, primarily using the historical cost convention[34][36] - Adopted amendments to standards had no significant impact on the Group's results and financial position[35] - HKFRS 18 may impact the presentation of consolidated financial statements for the year ending June 30, 2028[38] Revenue Total revenue for the year was HK$6,253 million, comprising mobile telecommunications services and handset/accessory sales, including a HK$51 million one-off gain from Macau exit Revenue Composition and Recognition Timing | Revenue Source | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Mobile Telecommunications Services | 4,415,349 | 4,508,713 | | Sales of Handsets and Accessories | 1,838,098 | 1,712,538 | | Total Revenue | 6,253,447 | 6,221,251 | | Revenue Recognition Timing | | | | Over time | 4,415,349 | 4,508,713 | | At a point in time | 1,838,098 | 1,712,538 | - Revenue for the year includes a HK$51 million one-off gain from exiting the Macau market[41] Finance Income Total finance income for the year was HK$69 million, primarily from interest income on bank deposits and financial assets measured at amortized cost Finance Income Composition | Income Source | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Interest Income from Financial Assets Measured at Amortized Cost | 2,442 | 6,937 | | Interest Income from Bank Deposits | 67,214 | 60,917 | | Total Finance Income | 69,656 | 67,854 | Finance Costs Total finance costs for the year were HK$104 million, mainly from accretion expenses on spectrum usage fee liabilities, lease liabilities, and bank loan interest Finance Costs Composition | Cost Item | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Interest Expense on Bank and Other Borrowings | 2,001 | 2,338 | | Accretion Expense on Spectrum Usage Fee Liabilities | 60,996 | 64,981 | | Accretion Expense on Lease Liabilities | 40,734 | 34,729 | | Accretion Expense on Asset Retirement Obligations | 527 | 493 | | Net Exchange (Gain)/Loss Arising from Financing Activities | (11) | 361 | | Loss on Early Redemption of Financial Assets Measured at Amortized Cost | - | 2,378 | | Total Finance Costs | 104,247 | 105,280 | Profit Before Income Tax Profit before income tax is stated after deducting various operating expenses, including network costs, depreciation, and HK$50 million in new expected credit losses Key Deductions from Profit Before Income Tax | Item | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Network Costs | 517,884 | 568,023 | | Impairment Loss on Trade Receivables | 4,504 | 2,970 | | Depreciation of Property, Plant and Equipment | 524,746 | 525,909 | | Depreciation of Right-of-Use Assets | 605,262 | 644,754 | | Amortization of Spectrum Usage Fees | 473,333 | 473,333 | | Expected Credit Losses on Financial Assets Measured at Amortized Cost | 50,000 | - | Income Tax Income tax expense for the year was HK$188 million, with an effective tax rate of 28.3%, primarily due to the uncertainty of tax deductibility for spectrum usage fees Income Tax Expense and Effective Tax Rate | Metric | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Total Current Income Tax Expense | 185,836 | 174,495 | | Deferred Income Tax Expense | 2,881 | 18,555 | | Income Tax Expense | 188,717 | 193,050 | | Profit Before Income Tax Expense | 667,618 | 663,176 | | Tax at Hong Kong Tax Rate of 16.5% | 110,157 | 109,424 | | Effective Tax Rate | 28.3% | 29.1% | - Current income tax liabilities include a HK$633 million provision, assuming all spectrum usage fees are non-deductible[45] Earnings Per Share Basic and diluted earnings per share for the year ended June 30, 2025, were both 43.5 cents, a slight increase from the previous year Earnings Per Share Overview | Metric | 2025 (cents) | 2024 (cents) | | :--- | :--- | :--- | | Basic Earnings Per Share | 43.5 | 42.6 | | Diluted Earnings Per Share | 43.5 | 42.6 | Weighted Average Number of Shares for EPS Calculation | Share Type | 2025 (Number) | 2024 (Number) | | :--- | :--- | :--- | | Weighted Average Number of Ordinary Shares for Basic EPS | 1,101,720,037 | 1,103,917,568 | | Weighted Average Number of Ordinary and Potential Ordinary Shares for Diluted EPS | 1,101,720,037 | 1,103,919,740 | Dividends The Board recommends a final dividend of 17.5 cents per share, bringing the total annual dividend to 32.0 cents per share, payable on November 21, 2025 Dividend Payout Details | Dividend Type | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Interim Dividend (14.5 cents per share) | 159,733 | 160,004 | | Proposed Final Dividend (17.5 cents per share) | 192,667 | 192,860 | | Total Dividends | 352,400 | 352,864 | - The proposed final dividend will be paid on November 21, 2025, to shareholders registered on November 12, 2025[56] Trade Receivables The Group generally grants 15 to 45 days credit, with total trade receivables at HK$414 million as of June 30, 2025, and an impairment loss of HK$4.5 million for the year Aging Analysis of Trade Receivables (Net of Provision) | Aging | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Current to 30 days | 302,753 | 323,423 | | 31 – 60 days | 17,618 | 14,989 | | 61 – 90 days | 5,090 | 10,152 | | Over 90 days | 88,605 | 61,751 | | Total | 414,066 | 410,315 | - For the year ended June 30, 2025, the impairment loss on trade receivables was HK$4.504 million[53] Trade Payables As of June 30, 2025, total trade payables decreased to HK$351 million, with the majority falling within the current to 30-day aging category Aging Analysis of Trade Payables | Aging | 2025 (HK$ Thousand) | 2024 (HK$ Thousand) | | :--- | :--- | :--- | | Current to 30 days | 175,680 | 146,192 | | 31 – 60 days | 47,362 | 81,128 | | 61 – 90 days | 38,176 | 52,846 | | Over 90 days | 90,637 | 86,042 | | Total | 351,855 | 366,208 | Other Information Review of Financial Statements The Group's consolidated financial statements for the year ended June 30, 2025, have been audited by PwC and will include an unmodified independent auditor's report - The Group's consolidated financial statements have been audited by PricewaterhouseCoopers and will include an unmodified independent auditor's report[55] Dividends The Board recommends a final dividend of 17.5 cents per share for FY2025, totaling 32.0 cents per share for the year, payable on November 21, 2025 FY2024/25 Dividend Payout | Dividend Type | Amount Per Share (cents) | | :--- | :--- | | Proposed Final Dividend | 17.5 | | Interim Dividend | 14.5 | | Total Annual Dividend | 32.0 | - The proposed final dividend will be paid on November 21, 2025, to shareholders registered on November 12, 2025[56] Closure of Register of Members The company will temporarily close its register of members from October 30 to November 4, 2025, and on November 12, 2025, to determine eligibility for AGM attendance and final dividend - Closure dates for AGM attendance eligibility: October 30 to November 4, 2025[57] - Closure date for final dividend eligibility: November 12, 2025[57] Purchases, Sales or Redemptions of Shares For the year ended June 30, 2025, the company repurchased and cancelled 1,307,500 shares on the HKEX for a total of HK$5.488 million, expected to increase EPS Share Repurchase Details (For the year ended June 30, 2025) | Month of Repurchase | Number of Shares Repurchased | Total Price Paid (HK$) | | :--- | :--- | :--- | | October 2024 | 203,000 | HK$848,000 | | November 2024 | 142,000 | HK$562,000 | | February 2025 | 312,500 | HK$1,346,000 | | March 2025 | 650,000 | HK$2,732,000 | | Total | 1,307,500 | HK$5.488 million | - Repurchased shares were cancelled before June 30, 2025, with Directors believing this will increase the company's earnings per share[58][59] Audit Committee Review of Annual Results The Audit Committee reviewed the Group's FY2025 financial statements, risk management, and internal audit reports, expressing satisfaction with policies and controls - The Audit Committee found the Group's accounting policies and calculation methods to be appropriate and consistent with industry practices[60] - The Committee concluded that the Group maintained appropriate and effective risk management and internal control systems during the year[60] Corporate Governance The company maintained high corporate governance standards, complying with Appendix C1 of the Listing Rules' Corporate Governance Code for the year ended June 30, 2025 - The company consistently applied and complied with the Corporate Governance Code in Appendix C1 of the Listing Rules during the year[61] - Two independent non-executive directors were unable to attend the AGM on November 5, 2024, due to overseas commitments, but 82% of other independent non-executive and non-executive directors attended[61]