数码通电讯(00315) - 2022 - 中期财报

Financial Performance - Shareholder profit for the period was HK$251 million, a decrease of 6% compared to HK$267 million in the same period last year[14]. - Service revenue increased by 3%, with mobile service ARPU rising by 4% to HK$210[14]. - The group's profit attributable to shareholders slightly decreased to HK$251 million, compared to HK$267 million in the same period last year[20]. - Service revenue increased by 3% to HK$2,242 million, driven by strong growth in 5G customer base and home broadband services[20]. - Total revenue rose by 17% to HK$3,792 million, primarily due to growth in local service revenue and mobile device sales[20]. - Mobile device and accessory sales increased by 44% to HK$1,549 million, attributed to strong sales of 5G flagship devices[20]. - Operating profit for the period was HKD 390,905, representing a 2.3% increase from HKD 380,015 in the previous year[59]. - Net profit after tax was HKD 252,077, a decrease of 4.8% compared to HKD 264,841 in the same period of 2020[60]. - Total comprehensive income for the period was HKD 249,716, compared to HKD 273,480 in the previous year[62]. - Total revenue for the six months ended December 31, 2021, was HKD 3,791,522, an increase of 16.9% from HKD 3,244,313 in the same period of 2020[59]. 5G Services and Infrastructure - Approximately 20% of SmarTone's postpaid customers are currently using 5G services, which offer a significant premium over 4G plans[14]. - The 5G home broadband service has shown strong customer growth, providing faster and more affordable internet options compared to existing providers[14]. - SmarTone's 5G network now covers 99% of the population in Hong Kong, including all major transport routes and quarantine centers[15]. - The company successfully acquired additional spectrum at a reasonable price, resulting in the highest per-customer spectrum resources among all operators[15]. - Over 90% of trial customers for the 5G home broadband service opted for long-term contracts, indicating strong market acceptance[15]. - SmarTone's 5G LAB has attracted around 400,000 visitors, showcasing the potential of 5G applications in business and daily life[5]. - SmarTone has established 5G networks at ten community isolation treatment facilities to support healthcare workers and isolated citizens[52]. - The company implemented a "5G STEM Classroom" initiative to educate local students on 5G applications[54]. Customer Service and Community Support - SmarTone received multiple awards for its customer service, including "Best Quality Service Retailer - Telecommunications" and "Best Store Technology Application - Silver Award" in 2021[8]. - The company provided additional local data, unlimited local calls, and free services to frontline healthcare workers during the pandemic[52]. - SmarTone's team delivered 5G Wi-Fi routers and free local data cards to healthcare workers in isolation facilities[52]. - The company has expanded its community support initiatives, including providing smartphones and free communication services to elderly individuals[53]. Financial Position and Investments - As of December 31, 2021, the group reported total equity of $5,167 million and total borrowings of $1,546 million, maintaining a strong financial position[23]. - Cash and bank balances stood at $2,101 million as of December 31, 2021, slightly up from $2,095 million on June 30, 2021[23]. - The group generated a net cash inflow from operations of $1,060 million during the period, with major outflows for fixed asset purchases and bank loan repayments[23]. - The company is actively investing in building world-class 5G and digital infrastructure, viewing it as key to Hong Kong's development as a technology hub[18]. - Spectrum costs are expected to exceed HK$400 million for the year, with a total of HK$7 billion paid or provided since 2011[18]. Employee and Management Information - Employee costs rose by 28% to HK$320 million, primarily due to the absence of government wage subsidies during the period[20]. - The group had 1,702 full-time employees as of December 31, 2021, with total employee costs amounting to $320 million for the period[29]. - The company has a strong focus on employee development, offering diverse training and career advancement opportunities[55]. - The total remuneration for key management personnel was HKD 11,176,000 for the six months ended December 31, 2021, down from HKD 18,398,000 in the same period of 2020, representing a decrease of approximately 39%[116]. Corporate Governance - The company has a strong commitment to corporate governance, with members actively participating in various committees and boards within the industry[37]. - The board includes members with extensive experience in finance and management, enhancing the company's governance and strategic direction[37]. - The company continues to maintain a strong governance structure with various committees, including audit and remuneration committees[40][43]. - The audit committee reviewed the interim financial statements for the six months ended December 31, 2021, and found the accounting policies and calculations appropriate and consistent with industry standards[140]. - All directors confirmed full compliance with the standard code of conduct for securities transactions during the six months ended December 31, 2021[144]. Shareholder Information - The company plans to continue paying a mid-term dividend of HK$0.145 per share, maintaining the same level as last year[18]. - The company declared an interim dividend of 14.5 cents per share, consistent with the previous year, amounting to HKD 160,767,000[100]. - The company is controlled by Cellular 8 Holdings Limited, which owns 68.72% of the shares, with the remaining 31.28% widely held[115]. - The company reported a significant decrease in performance guarantees from HKD 2,388,884,000 as of June 30, 2021, to HKD 798,383,000 as of December 31, 2021, indicating a reduction of approximately 67%[114].