• - Profit attributable to equity holders of HK$525 million, up 10% year-on-year
• - Revenue of HK $6,604 million and underlying EBIT of HK $749 million, up 6% and 7% respectively on an underlying basis
• - Market remains challenging with total service revenue being down 3%; ARPU for postpaid mobile business also down by 1%
• - The Board has recommended a final dividend of 17.5 HK cents per share, bringing the full-year dividend to 32 HK cents per share, representing a dividend yield of 6.7%

HONG KONG SAR - Media OutReach Newswire - 3 September 2026 - SmarTone Telecommunications Holdings Limited ("SmarTone"; SEHK: 315), the telecommunication subsidiary of Sun Hung Kai Properties Limited (SEHK: 0016), today announced its financial results for the year ended 30 June 2026. 

Against an intensely competitive mobile market, SmarTone delivered profitable growth during the year. Profit attributable to equity holders increased by 10% to HK$525 million. Revenue reached HK$6,604 million and underlying EBIT reached HK$749 million, up 6% and 7% respectively on an underlying basis. The business continued to diversify its sources of revenue and contribution, with 5G Home Broadband revenue increasing by 10% and Enterprise Solutions revenue growing by 17%.

Competition in the core consumer postpaid market remained particularly intense. Total service revenue declined by 3%, while postpaid mobile ARPU decreased from HK$222 to HK$220. Our current 5G subscriber penetration rate is 50%, leaving significant room for improvement. We will continue to take actions to substantially strengthen our business and continue to improve operational efficiency through the use of AI tools. Operating costs decreased by 6% to HK$1,518 million, while capital expenditure declined by 21% following significant investment in its 5G network in previous years.

SmarTone continued to strengthen its network across locations where performance matters most. We have the most spectrum capacity per subscriber amongst all mobile operators in Hong Kong, which gives us an inherent advantage to serve our customers. Following the renewal of its exclusive 850MHz spectrum and the acquisition of new 6/7GHz spectrum, the company deployed 3.3GHz and 3.5GHz "Golden Spectrum" across high-density urban districts and transport hubs to enhance capacity and download speeds. Network investment covered major MTR stations, Kai Tak Sports Park, the Hong Kong Coliseum and other high-traffic locations, as well as emerging destinations such as GO PARK and the Northern Metropolis. The network is also being optimised to support changing customer behaviour as AI applications drive greater demand for both downloading and uploading data.

SmarTone also piloted SmarTone PRIORITY, a flagship membership programme for its top customers, offering dedicated relationship managers and practical overseas assistance when customers lose their mobile phone or SIM card. AI is also becoming an increasingly important part of the customer proposition. "AI Connect" provides more convenient and secure access to leading AI services, while personal consultations and dedicated AI hubs in retail stores help customers use AI more effectively. SmarTone's focus on service was recognised with nine awards at the 40th Hong Kong Retail Management Association Service Talent Awards.

SmarTone's Enterprise Solutions business continued to grow as enterprises accelerated their digital transformation. The company provides integrated connectivity, cloud, cybersecurity and digital solutions across SmartHome, SmartMall, SmartHotel, Smart Property Management, Smart Construction and SmarTransport. It also continued to work closely with SHKP across developments including International Gateway Centre, Cullinan Harbour, GO PARK, Sierra Sea and YOHO West, incorporating SmartConnect 5G Wi-Fi and smart IoT capabilities from the outset so that connectivity and digital services form part of the customer experience by design.

Ms. Fiona Lau, Executive Director and Chief Executive Officer of SmarTone, said: "This year's profit growth reflects the progress we have made in diversifying our revenue streams and improving efficiency despite intense competition. Looking ahead, we will continue to harness AI, deepen our family and premium propositions, and leverage the SHKP ecosystem to enhance customer experience and create sustainable value."

For further details of the 2025/2026 annual results, please refer to website:
https://www.smartoneholdings.com/jsp/site/investor_relations/results/english/index.jsp