PCCW : HKT reports solid interim financial results - Enlarged mobile business following CSL acquisition

HKT (SEHK:6823) - HONG KONG, August 5, 2014 -The directors of HKT Management Limited (in its capacity as the trustee-manager of the HKT Trust) and HKT Limited are pleased to announce the unaudited consolidated results of the HKT Trust and of HKT Limited together with HKT Limited's subsidiaries for the six months ended June 30, 2014. Some key figures are as follows:

• Total revenue increased by 13% to HK$12,520 million
• Total EBITDA increased by 15% to HK$4,425 million
• Profit attributable to holders of Share Stapled Units increased by 18% to HK$1,400 million; basic earnings per Share Stapled Unit were 21.84 HK cents
• Adjusted funds flow increased by 7% to HK$1,590 million; adjusted funds flow per Share Stapled Unit was 24.78 HK cents before the Rights Issue and 21.00 HK cents after the Rights Issue
• Interim distribution per Share Stapled Unit of 21.00 HK cents, on an enlarged basis of 7,571,742,334 Share Stapled Units in issue after the Rights Issue
• HKT reported another set of solid financial results for the six months ended June 30, 2014. These results reflect the robust performance of HKT's various lines of business and have consolidated the results of CSL New World Mobility Limited (now known as CSL Holdings Limited, "CSL") since the completion of HKT's acquisition of CSL in May 2014.

The board of directors of the trustee-manager has resolved an interim distribution of 21.00 HK cents per Share Stapled Unit for the six months ended June 30, 2014. This distribution is based on the total number of Share Stapled Units that is currently outstanding after the completion of the Rights Issue in July 2014.

Mr. Alex Arena, HKT's Group Managing Director, said, "Following the successful acquisition of CSL, HKT has immediately embarked on an integration exercise in order to offer customers an enhanced mobile experience via the combined retail channels and commencement of the network integration."

"Meanwhile, the broadband business and international connectivity are expected to remain key contributors to HKT's financial results, as we continue to monetize on the growing demand," he said.

The Hong Kong economy has been tracking at around 3% growth so far this year and is expected to hold up for the full year should recovery in the major global economies continue without disruption. Against this background, HKT will strive to further increase shareholder value by growing our business on the strong bases that we have built, now being the market leader in all three areas of fixed line, broadband and mobile services.

For further details of the 2014 interim results, please refer to the announcementthat has been filed with the Stock Exchange of Hong Kong.

About HKT

HKT (SEHK: 6823) is Hong Kong's premier telecommunications service provider. It meets the needs of the Hong Kong public and local and international businesses with a wide range of services including local telephony, local data and broadband, international telecommunications, mobile, and other telecommunications businesses such as customer premises equipment sale, outsourcing, consulting, and contact centers.

Together with the highly successful media business of its parent company, PCCW Limited, HKT offers innovative media content and services across the PCCW Group's unique quadruple-play platforms - fixed-line, broadband Internet access, TV and mobile.

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