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6-K 1 d902934d6k.htm FORM 6-K Form 6-K

1934 Act Registration No. 1-31731

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16 OF

THE SECURITIES EXCHANGE ACT OF 1934

Dated May 9, 2025

Chunghwa Telecom Co., Ltd.

(Translation of Registrant’s Name into English)

21-3 Xinyi Road Sec. 1,

Taipei, Taiwan, 100 R.O.C.

(Address of Principal Executive Office)

(Indicate by check mark whether the registrant files or will file annual reports under cover of form 20-F or Form 40-F.)

Form 20-F ☒ Form 40-F ☐

(Indicate by check mark whether the registrant by furnishing the information contained in this form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.)

Yes ☐ No ☒

(If “Yes” is marked, indicated below the file number assigned to the registrant in connection with Rule 12g3-2(b): Not applicable)

EXHIBIT INDEX


Exhibit		Description

99.1		To announce the differences between consolidated financial statements for the three months ended March 31, 2025 under Taiwan-IFRSs and that under IFRSs

99.2		Consolidated Financial Statements for the Three Months Ended March 31, 2025 and 2024 and Independent Auditors’ Review Report pursuant to International Financial Reporting Standards adopted by ROC (“Taiwan-IFRSs”)

99.3		Consolidated Financial Statements for the Three Months Ended March 31, 2025 and 2024 pursuant to International Financial Reporting Standards issued by the International Accounting Standards Board (“IFRSs”)

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant Chunghwa Telecom Co., Ltd. has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Date: May 9, 2025


Chunghwa Telecom Co., Ltd.

By:		/s/ Wen-Hsin Hsu
Name:		Wen-Hsin Hsu
Title:		Chief Financial Officer

EX-99.1 2 d902934dex991.htm EX-99.1 EX-99.1

Exhibit 99.1

To announce the differences between consolidated financial statements for the three months ended March 31, 2025 under Taiwan-IFRSs and that under IFRSs

Date of events: 2025/05/09

Contents:

1.	Date of occurrence of the event: 2025/05/09

2.	Year/Quarter of the financial report: The first quarter of 2025

3.	Accounting principles applied for securities listed domestically:

Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34 “Interim Financial Reporting” endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China (“Taiwan-IFRSs”)

4.	Inconsistent items/amounts in financial reports for securities listed domestically:

Under Taiwan-IFRSs, Chunghwa Telecom Co., Ltd. and its subsidiaries (or the “Company”) reported consolidated net income of NT$10,195,811 thousand, consolidated net income attributable to stockholders of the parent of NT$9,799,194 thousand, and basic earnings per share of NT$1.26 for the three months ended March 31, 2025, respectively. The Company also reported total consolidated assets of NT$537,230,081 thousand, total consolidated liabilities of NT$128,954,737 thousand, and total consolidated equity of NT$408,275,344 thousand as of March 31, 2025.

5.	Accounting principles applied for securities issued overseas:

IAS 34 “Interim Financial Reporting” as issued by the International Accounting Standards Board (“IFRSs”)

6.	Inconsistent items/ amounts (securities issued overseas):

Under IFRSs, the Company reported consolidated net income of NT$9,732 million, consolidated net income attributable to stockholders of the parent of NT$9,319 million, and basic earnings per share of NT$1.20 for the three months ended March 31, 2025, respectively. The Company also reported total consolidated assets of NT$537,032 million, total consolidated liabilities of NT$131,519 million, and total consolidated equity of NT$405,513 million as of March 31, 2025.

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7.	Inconsistent items/amounts in financial information for securities issued overseas:

The differences between consolidated net income under Taiwan-IFRSs and that under IFRSs followed by the Company mainly come from the timing of the recognition of income tax on unappropriated earnings. In addition, prior to incorporation, the Company was subject to the laws and regulations applicable to state-owned enterprises in Taiwan which differed from the generally accepted accounting principles as applicable to commercial companies. As such, revenue from providing fixed line connection service and selling prepaid phone cards was recognized at the time the service was performed or the card was sold by the Company. Upon incorporation, net assets greater than the capital stock was credited as additional paid-in-capital and part of the additional paid-in-capital was from the unearned revenues generated from connection fees and prepaid cards as of the date of incorporation. Under IFRSs, revenue from connection fees and prepaid phone cards was deferred at the time of the service performed or sale and recognized as revenue over time as the service is continuously performed or as consumed. This reclassification from additional paid-in capital to retained earnings did not affect total equity.

8.	Any other matters that need to be specified:

Chunghwa Telecom’s earnings distribution and stockholders’ equity matters are in accordance with Taiwan-IFRSs.

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EX-99.2 3 d902934dex992.htm EX-99.2 EX-99.2

Exhibit 99.2

Chunghwa Telecom Co., Ltd. and Subsidiaries

Consolidated Financial Statements for the

Three Months Ended March 31, 2025 and 2024 and

Independent Auditors’ Review Report

INDEPENDENT AUDITORS’ REVIEW REPORT

PWCR25000313

To the Board of Directors and Stockholders of Chunghwa Telecom Co., Ltd.

Introduction

We have reviewed the accompanying consolidated balance sheets of Chunghwa Telecom Co., Ltd. and its subsidiaries (the “Company”) as of March 31, 2025 and 2024, and the related consolidated statements of comprehensive income, of changes in equity and of cash flows for the three-month period then ended, and notes to the consolidated financial statements, including a summary of material accounting policy information. Management is responsible for the preparation and fair presentation of these consolidated financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34, “Interim Financial Reporting”, that came into effect as endorsed by the Financial Supervisory Commission. Our responsibility is to express a conclusion on these consolidated financial statements based on our reviews.

Scope of Review

We conducted our reviews in accordance with the Standards on Review Engagements 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” of the Republic of China. A review of consolidated financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our reviews, nothing has come to our attention that caused us to believe that the accompanying consolidated financial statements do not present fairly, in all material respects, the consolidated financial position of the Company as of March 31, 2025 and 2024, and of its consolidated financial performance and its consolidated cash flows for the three-month period then ended in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34, “Interim Financial Reporting”, that came into effect as endorsed by the Financial Supervisory Commission.


/s/ Huang, Shih-Chun				/s/ Hsu, Chien-Yeh

For and on behalf of PricewaterhouseCoopers, Taiwan

May 9, 2025

Notice to Readers

The accompanying consolidated financial statements are not intended to present the financial position and results of operations and cash flows in accordance with accounting principles generally accepted in countries and jurisdictions other than the Republic of China. The standards, procedures and practices in the Republic of China governing the audit of such financial statements may differ from those generally accepted in countries and jurisdictions other than the Republic of China. Accordingly, the accompanying consolidated financial statements and independent auditors’ review report are not intended for use by those who are not informed about the accounting principles or auditing standards generally accepted in the Republic of China, and their applications in practice. As the financial statements are the responsibility of the management, PricewaterhouseCoopers cannot accept any liability for the use of, or reliance on, the English translation or for any errors or misunderstandings that may derive from the translation.

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CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(In Thousands of New Taiwan Dollars)


	March 31, 2025				December 31, 2024				March 31, 2024
ASSETS	Amount		%		Amount		%		Amount		%
CURRENT ASSETS
Cash and cash equivalents (Notes 6, 14 and 38)	$	29,047,839		5	$	36,259,689		6	$	33,330,473		6
Financial assets at fair value through profit or loss (Note 7)		5,048		—		290		—		1,507		—
Hedging financial assets (Note 21)		30		—		1,133		—		29		—
Contract assets (Note 30)		8,486,649		2		8,401,343		2		6,985,515		1
Trade notes and accounts receivable, net (Notes 10 and 30)		22,496,724		4		26,025,696		5		22,623,592		4
Receivables from related parties (Note 38)		154,602		—		193,004		—		76,646		—
Inventories (Notes 11, 30, 39 and 40)		11,916,341		2		12,087,118		2		11,113,440		2
Prepayments (Note 12)		6,408,832		1		3,138,313		1		5,921,499		1
Other current monetary assets (Notes 13 and 38)		36,773,359		7		23,408,001		4		27,794,732		6
Incremental costs of obtaining contracts (Note 30)		339,172		—		339,172		—		271,077		—
Other current assets (Notes 20 and 39)		2,994,656		1		3,114,554		1		3,120,896		1

Total current assets		118,623,252		22		112,968,313		21		111,239,406		21

NONCURRENT ASSETS
Financial assets at fair value through profit or loss (Note 7)		1,082,818		—		1,005,236		—		1,079,847		—
Financial assets at fair value through other comprehensive income (Note 8)		5,300,400		1		4,666,976		1		5,068,811		1
Financial assets at amortized cost (Note 9)		2,000,000		—		2,000,000		—		—		—
Investments accounted for using equity method (Note 15)		9,124,013		2		9,073,464		2		8,561,336		2
Contract assets (Note 30)		4,353,711		1		4,327,424		1		4,017,392		1
Property, plant and equipment (Notes 14, 16, 35, 39 and 40)		286,589,967		54		289,840,144		55		287,065,209		55
Right-of-use assets (Notes 17 and 38)		11,320,565		2		10,912,329		2		11,123,239		2
Investment properties (Note 18)		12,292,561		2		12,301,719		2		11,516,870		2
Intangible assets (Notes 19 and 38)		64,647,191		12		66,283,202		12		71,095,912		13
Deferred income tax assets (Note 3)		1,748,558		—		1,661,402		—		2,076,300		—
Incremental costs of obtaining contracts (Note 30)		1,209,212		—		1,221,652		—		975,660		—
Net defined benefit assets (Note 3)		9,072,610		2		8,883,719		2		6,137,580		1
Prepayments (Notes 12 and 40)		4,789,717		1		4,461,017		1		3,618,175		1
Other noncurrent assets (Notes 20, 39 and 40)		5,075,506		1		4,885,230		1		4,802,621		1

Total noncurrent assets		418,606,829		78		421,523,514		79		417,138,952		79

TOTAL	$	537,230,081		100	$	534,491,827		100	$	528,378,358		100

LIABILITIES AND EQUITY
CURRENT LIABILITIES
Short-term loans (Notes 14 and 22)	$	530,000		—	$	215,000		—	$	465,000		—
Financial liabilities at fair value through profit or loss (Note 7)		—		—		—		—		200		—
Hedging financial liabilities (Note 21)		—		—		1,907		—		—		—
Contract liabilities (Notes 30 and 40)		16,582,177		3		16,300,986		3		14,293,408		3
Trade notes and accounts payable (Note 25)		10,692,983		2		17,742,532		3		9,806,485		2
Payables to related parties (Note 38)		120,174		—		480,401		—		185,951		—
Current tax liabilities (Note 3)		7,141,579		1		4,718,103		1		6,895,807		1
Lease liabilities (Notes 17, 35 and 38)		3,738,416		1		3,557,874		1		3,448,987		1
Other payables (Notes 26 and 35)		23,586,489		5		26,581,353		5		22,936,744		5
Provisions (Note 27)		668,780		—		441,801		—		316,748		—
Current portion of long-term liabilities (Notes 23, 24 and 39)		8,805,183		2		8,802,526		2		1,600,000		—
Other current liabilities		1,016,527		—		1,050,559		—		982,041		—

Total current liabilities		72,882,308		14		79,893,042		15		60,931,371		12

NONCURRENT LIABILITIES
Long-term loans (Notes 23 and 39)		1,629,167		—		1,631,354		—		—		—
Bonds payable (Note 24)		21,690,253		4		21,689,326		4		30,484,156		6
Contract liabilities (Notes 30 and 40)		7,407,333		1		7,540,730		2		7,559,425		2
Deferred income tax liabilities (Note 3)		2,713,617		1		2,658,419		—		2,516,784		—
Provisions (Note 27)		307,725		—		534,684		—		492,286		—
Lease liabilities (Notes 17, 35 and 38)		7,462,150		2		7,333,503		2		7,398,566		1
Customers’ deposits (Note 38)		5,160,925		1		5,310,453		1		5,105,091		1
Net defined benefit liabilities (Note 3)		2,119,689		—		2,107,224		—		2,125,559		—
Other noncurrent liabilities		7,581,570		1		7,688,236		2		7,125,182		1

Total noncurrent liabilities		56,072,429		10		56,493,929		11		62,807,049		11

Total liabilities		128,954,737		24		136,386,971		26		123,738,420		23

EQUITY ATTRIBUTABLE TO STOCKHOLDERS OF THE PARENT (Notes 14 and 29)
Common stocks		77,574,465		15		77,574,465		15		77,574,465		15

Additional paid-in capital		171,596,531		32		171,587,279		32		171,365,339		32

Retained earnings
Legal reserve		77,574,465		15		77,574,465		15		77,574,465		15
Special reserve		2,675,419		—		2,675,419		—		2,898,503		1
Unappropriated earnings		64,752,573		12		54,953,379		10		62,010,096		12

Total retained earnings		145,002,457		27		135,203,263		25		142,483,064		28

Others		1,230,537		—		585,683		—		1,080,707		—

Total equity attributable to stockholders of the parent		395,403,990		74		384,950,690		72		392,503,575		75
NONCONTROLLING INTERESTS (Notes 14 and 29)		12,871,354		2		13,154,166		2		12,136,363		2

Total equity		408,275,344		76		398,104,856		74		404,639,938		77

TOTAL	$	537,230,081		100	$	534,491,827		100	$	528,378,358		100

The accompanying notes are an integral part of the consolidated financial statements.

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CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(In Thousands of New Taiwan Dollars, Except Earnings Per Share)


	Three Months Ended March 31
	2025					2024
	Amount			%		Amount			%
REVENUES (Notes 30, 38 and 44)	$	55,808,409			100	$	54,943,471			100
OPERATING COSTS (Notes 11, 28, 30, 31 and 38)		34,203,238			61		34,454,292			63

GROSS PROFIT		21,605,171			39		20,489,179			37

OPERATING EXPENSES (Notes 10, 28, 31 and 38)
Marketing		6,140,628			11		5,931,519			11
General and administrative		1,793,499			3		1,637,107			3
Research and development		1,029,841			2		943,067			1
Expected credit loss		119,535			—		55,786			—

Total operating expenses		9,083,503			16		8,567,479			15

OTHER INCOME AND EXPENSES (Note 31)		1,018			—		2,520			—

INCOME FROM OPERATIONS		12,522,686			23		11,924,220			22

NON-OPERATING INCOME AND EXPENSES
Interest income (Note 38)		211,517			—		155,800			—
Other income (Notes 31 and 38)		38,448			—		37,769			—
Other gains and losses (Notes 14, 31, 37 and 38)		(25,118	)		—		(61,264	)		—
Interest expense (Notes 17, 31 and 38)		(89,357	)		—		(83,287	)		—
Share of profits of associates and joint ventures accounted for using equity method (Note 15)		40,835			—		14,502			—

Total non-operating income and expenses		176,325			—		63,520			—

INCOME BEFORE INCOME TAX		12,699,011			23		11,987,740			22
INCOME TAX EXPENSE (Notes 3 and 32)		2,503,200			5		2,383,557			4

NET INCOME		10,195,811			18		9,604,183			18

TOTAL OTHER COMPREHENSIVE INCOME (LOSS)
Items that will not be reclassified to profit or loss:
Unrealized gain or loss on investments in equity instruments at fair value through other comprehensive income (Notes 29 and 37)		568,424			1		626,468			1

(Continued)

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CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(In Thousands of New Taiwan Dollars, Except Earnings Per Share)


	Three Months Ended March 31
	2025				2024
	Amount		%		Amount			%
Gain or loss on hedging instruments subject to basis adjustment (Note 21)	$	804		—	$	73			—
Share of other comprehensive income (loss) of associates and joint ventures (Notes 15 and 29)		669		—		(124	)		—

		569,897		1		626,417			1

Items that may be reclassified subsequently to profit or loss:
Exchange differences arising from the translation of the foreign operations		73,809		—		103,779			—
Share of other comprehensive income of associates and joint ventures (Notes 15 and 29)		7,268		—		25,632			—

		81,077		—		129,411			—

Total other comprehensive income, net of income tax		650,974		1		755,828			1

TOTAL COMPREHENSIVE INCOME	$	10,846,785		19	$	10,360,011			19

NET INCOME ATTRIBUTABLE TO
Stockholders of the parent	$	9,799,194		17	$	9,391,419			18
Noncontrolling interests		396,617		1		212,764			—

	$	10,195,811		18	$	9,604,183			18

COMPREHENSIVE INCOME ATTRIBUTABLE TO
Stockholders of the parent	$	10,444,048		18	$	10,119,234			19
Noncontrolling interests		402,737		1		240,777			—

	$	10,846,785		19	$	10,360,011			19

EARNINGS PER SHARE (Note 33)
Basic	$	1.26			$	1.21

Diluted	$	1.26			$	1.21


The accompanying notes are an integral part of the consolidated financial statements.		(Concluded)

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CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

(In Thousands of New Taiwan Dollars)


	Equity Attributable to Stockholders of the Parent (Notes 14, 21 and 29)
												Others
															Unrealized Gain or Loss on Financial Assets at Fair Value Through Other Comprehensive Income
												Exchange Differences Arising from the Translation of the Foreign Operations


						Retained Earnings											Gain or Loss on Hedging Instruments						Noncontrolling Interests (Notes 14 and 29)
	Common Stocks		Additional Paid-in Capital			Legal Reserve		Special Reserve		Unappropriated Earnings							Gain or Loss on Hedging Instruments			Total			Noncontrolling Interests (Notes 14 and 29)			Total Equity
BALANCE, JANUARY 1, 2024	$	77,574,465	$	171,289,086		$	77,574,465	$	2,898,503	$	52,618,677	$	(167,812	)	$	520,748	$	(44	)	$	382,308,088		$	12,596,252		$	394,904,340
Cash dividends by subsidiaries		—		—			—		—		—		—			—		—			—			(716,689	)		(716,689	)
Change in additional paid-in capital from investments in associates and joint ventures accounted for using equity method		—		76,658			—		—		—		—			—		—			76,658			—			76,658
Net income for the three months ended March 31, 2024		—		—			—		—		9,391,419		—			—		—			9,391,419			212,764			9,604,183
Other comprehensive income for the three months ended March 31, 2024		—		—			—		—		—		101,022			626,720		73			727,815			28,013			755,828

Total comprehensive income for the three months ended March 31, 2024		—		—			—		—		9,391,419		101,022			626,720		73			10,119,234			240,777			10,360,011

Changes in equities of subsidiaries		—		(405	)		—		—		—		—			—		—			(405	)		16,023			15,618

BALANCE, MARCH 31, 2024	$	77,574,465	$	171,365,339		$	77,574,465	$	2,898,503	$	62,010,096	$	(66,790	)	$	1,147,468	$	29		$	392,503,575		$	12,136,363		$	404,639,938

BALANCE, JANUARY 1, 2025	$	77,574,465	$	171,587,279		$	77,574,465	$	2,675,419	$	54,953,379	$	22,852		$	563,605	$	(774	)	$	384,950,690		$	13,154,166		$	398,104,856
Cash dividends by subsidiaries		—		—			—		—		—		—			—		—			—			(710,530	)		(710,530	)
Net income for the three months ended March 31, 2025		—		—			—		—		9,799,194		—			—		—			9,799,194			396,617			10,195,811
Other comprehensive income for the three months ended March 31, 2025		—		—			—		—		—		69,868			574,182		804			644,854			6,120			650,974

Total comprehensive income for the three months ended March 31, 2025		—		—			—		—		9,799,194		69,868			574,182		804			10,444,048			402,737			10,846,785

Changes in equities of subsidiaries		—		9,252			—		—		—		—			—		—			9,252			(6,767	)		2,485
Net increase in noncontrolling interests		—		—			—		—		—		—			—		—			—			31,748			31,748

BALANCE, MARCH 31, 2025	$	77,574,465	$	171,596,531		$	77,574,465	$	2,675,419	$	64,752,573	$	92,720		$	1,137,787	$	30		$	395,403,990		$	12,871,354		$	408,275,344

The accompanying notes are an integral part of the consolidated financial statements.

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CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In Thousands of New Taiwan Dollars)


	Three Months Ended March 31
	2025			2024
CASH FLOWS FROM OPERATING ACTIVITIES
Income before income tax	$	12,699,011		$	11,987,740
Adjustments for:
Depreciation		8,340,188			8,236,489
Amortization		1,668,887			1,672,272
Amortization of incremental costs of obtaining contracts		238,217			214,720
Expected credit loss		119,535			55,786
Valuation loss (gain) on financial assets and liabilities at fair value through profit or loss, net		(193	)		61,657
Interest expense		89,357			83,287
Interest income		(211,517	)		(155,800	)
Compensation cost of share-based payment transactions		1,225			2,373
Share of profits of associates and joint ventures accounted for using equity method		(40,835	)		(14,502	)
Gain on disposal of property, plant and equipment		(1,018	)		(2,520	)
Gain on disposal of financial instruments		—			(1,073	)
Provision for impairment loss and obsolescence of inventory		38,153			25,576
Gain on disposal of subsidiaries		(15,290	)		—
Others		50,931			16,442
Changes in operating assets and liabilities:
Decrease (increase) in:
Contract assets		(120,849	)		(522,119	)
Trade notes and accounts receivable		3,407,094			2,163,421
Receivables from related parties		38,402			1,443
Inventories		126,103			381,749
Prepayments		(3,258,324	)		(3,028,232	)
Other current assets		117,602			(298,637	)
Other current monetary assets		(119,227	)		33,411
Incremental cost of obtaining contracts		(225,777	)		(311,125	)
Increase (decrease) in:
Contract liabilities		155,170			204,065
Trade notes and accounts payable		(7,040,550	)		(4,589,472	)
Payables to related parties		(360,227	)		(199,138	)
Other payables		(2,348,547	)		(1,628,332	)
Provisions		20			(13,639	)
Other current liabilities		(35,396	)		(506	)
Net defined benefit plans		(176,426	)		(146,868	)

Cash generated from operations		13,135,719			14,228,468
Interests paid		(71,376	)		(65,425	)
Income taxes paid		(113,327	)		(34,601	)

Net cash provided by operating activities		12,951,016			14,128,442

(Continued)

- 6 -

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In Thousands of New Taiwan Dollars)


	Three Months Ended March 31
	2025			2024
CASH FLOWS FROM INVESTING ACTIVITIES
Acquisition of financial assets at fair value through other comprehensive income	$	(65,000	)	$	(30,000	)
Proceeds from capital reduction of financial assets at fair value through other comprehensive income		—			3,326
Acquisition of financial assets at fair value through profit or loss		(82,191	)		(109,617	)
Proceeds from disposal of financial assets at fair value through profit or loss		—			4,468
Net cash outflow from loss of control of subsidiaries		(8,664	)		—
Acquisition of property, plant and equipment		(5,407,350	)		(5,042,549	)
Proceeds from disposal of property, plant and equipment		2,168			4,914
Acquisition of intangible assets		(32,751	)		(40,274	)
Acquisition of investment properties		(2,067	)		—
Acquisition of time deposits, negotiable certificates of deposit and commercial paper with maturities of more than three months		(23,031,073	)		(19,413,662	)
Proceeds from disposal of time deposits, negotiable certificates of deposit and commercial paper with maturities of more than three months		9,704,902			11,842,467
Increase in other noncurrent assets		(204,163	)		(165,262	)
Increase in prepayments for leases		(342,190	)		(341,388	)
Interests received		168,718			149,223
Dividends received		156,220			150,946
Proceeds from capital reduction and profit distribution of financial assets at fair value through profit or loss		44			16

Net cash used in investing activities		(19,143,397	)		(12,987,392	)

CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from short-term loans		530,000			265,000
Repayments of short-term loans		(150,000	)		(385,000	)
Decrease in customers’ deposits		(141,038	)		(204,798	)
Payments for the principal of lease liabilities		(1,203,598	)		(1,055,215	)
Decrease in other noncurrent liabilities		(106,666	)		(280,376	)
Cash dividends distributed to noncontrolling interests		(688	)		(4,283	)
Change in other noncontrolling interests		13,474			13,245

Net cash used in financing activities		(1,058,516	)		(1,651,427	)

EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS		39,047			16,966

NET DECREASE IN CASH AND CASH EQUIVALENTS		(7,211,850	)		(493,411	)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD		36,259,689			33,823,884

CASH AND CASH EQUIVALENTS, END OF PERIOD	$	29,047,839		$	33,330,473


The accompanying notes are an integral part of the consolidated financial statements.		(Concluded)

- 7 -

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

THREE MONTHS ENDED MARCH 31, 2025 AND 2024

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

GENERAL

Chunghwa Telecom Co., Ltd. (“Chunghwa”; Chunghwa together with its subsidiaries are hereinafter referred to collectively as the “Company”.) was incorporated on July 1, 1996 in the Republic of China (“ROC”). Chunghwa is a company limited by shares and, prior to August 2000, was wholly owned by the Ministry of Transportation and Communications (“MOTC”). Prior to July 1, 1996, the current operations of Chunghwa were carried out under the Directorate General of Telecommunications (“DGT”). The DGT was established by the MOTC in June 1943 to take primary responsibility in the development of telecommunications infrastructure and to formulate policies related to telecommunications. On July 1, 1996, the telecom operations of the DGT were spun-off as Chunghwa which continues to carry out the business and the DGT continues to be the industry regulator.

Effective August 12, 2005, the MOTC completed the process of privatizing Chunghwa by reducing the government ownership to below 50% in various stages. In July 2000, Chunghwa received approval from the Securities and Futures Commission (the “SFC”) for a domestic initial public offering and its common stocks were listed and traded on the Taiwan Stock Exchange (the “TWSE”) on October 27, 2000. Certain of Chunghwa’s common stocks were sold, in connection with the foregoing privatization plan, in domestic public offerings at various dates from August 2000 to July 2003. Certain of Chunghwa’s common stocks were also sold in an international offering of securities in the form of American Depository Shares (“ADS”) on July 17, 2003 and were listed and traded on the New York Stock Exchange (the “NYSE”). The MOTC sold common stocks of Chunghwa by auction in the ROC on August 9, 2005 and completed the second international offering on August 10, 2005. Upon completion of the share transfers associated with these offerings on August 12, 2005, the MOTC owned less than 50% of the outstanding shares of Chunghwa and completed the privatization plan.

The consolidated financial statements are presented in Chunghwa’s functional currency, New Taiwan dollars.

2.	APPROVAL OF FINANCIAL STATEMENTS

The consolidated financial statements were approved by the Board of Directors on May 9, 2025.

3.	SUMMARY OF MATERIAL ACCOUNTING POLICY INFORMATION

Except for the following items, the accounting policies applied in these consolidated financial statements are consistent with those applied in the consolidated financial statements for the year ended December 31, 2024. Please refer to the consolidated financial statements for the year ended December 31, 2024 for the details.

Statement of Compliance

The accompanying consolidated financial statements have been prepared in conformity with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and the International Accounting Standard 34 “Interim Financial Reporting” endorsed and issued into effect by the Financial Supervisory Commission (the “FSC”). The consolidated financial statements do not present all the disclosures required for a complete set of annual consolidated financial statements as required by International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), International Financial Reporting Interpretations Committee (IFRIC) and SIC Interpretations (SIC) (collectively, the “IFRSs”) endorsed and issued into effect by the FSC.

- 8 -

Basis of Consolidation

The detail information of the subsidiaries at the end of reporting period was as follows:


			Percentage of Ownership Interests
Name of Investor	Name of Investee	Main Businesses and Products	March 31, 2025	December 31, 2024	March 31, 2024	Note
Chunghwa Telecom Co., Ltd.	Senao International Co., Ltd. (“SENAO”)	Handset and peripherals retailer, sales of CHT mobile phone plans as an agent	28	28	28	a.
	Light Era Development Co., Ltd. (“LED”)	Planning and development of real estate and intelligent buildings, and property management	100	100	100
	Donghwa Telecom Co., Ltd. (“DHT”)	International private leased circuit, IP VPN service, and IP transit services	100	100	100
	Chunghwa Telecom Singapore Pte., Ltd. (“CHTS”)	International private leased circuit, IP VPN service, and IP transit services	100	100	100
	Chunghwa System Integration Co., Ltd. (“CHSI”)	Providing system integration services and telecommunications equipment	100	100	100
	Chunghwa Investment Co., Ltd. (“CHI”)	Investment	89	89	89
	CHIEF Telecom Inc. (“CHIEF”)	Network integration, internet data center (“IDC”), communications integration and cloud application services	56	56	56	b.
	CHYP Multimedia Marketing & Communications Co., Ltd. (“CHYP”)	Digital information supply services and advertisement services	100	100	100
	Prime Asia Investments Group Ltd. (“Prime Asia”)	Investment	100	100	100
	Spring House Entertainment Tech. Inc. (“SHE”)	Software design services, internet contents production and play, and motion picture production and distribution	56	56	56
	Chunghwa Telecom Global, Inc. (“CHTG”)	International private leased circuit, internet services, and transit services	100	100	100
	Chunghwa Telecom Vietnam Co., Ltd. (“CHTV”)	Intelligent energy saving solutions, international circuit, and information and communication technology (“ICT”) services.	100	100	100
	Smartfun Digital Co., Ltd. (“SFD”)	Providing diversified family education digital services	65	65	65
	Chunghwa Telecom Japan Co., Ltd. (“CHTJ”)	International private leased circuit, IP VPN service, and IP transit services	100	100	100
	Chunghwa Sochamp Technology Inc. (“CHST”)	Design, development and production of Automatic License Plate Recognition software and hardware	—	37	37	c.
	Honghwa International Co., Ltd. (“HHI”)	Telecommunications engineering, sales agent of mobile phone plan application and other business services, etc.	100	100	100
	Chunghwa Leading Photonics Tech Co., Ltd. (“CLPT”)	Production and sale of electronic components and finished products	70	70	75	d.
	Chunghwa Telecom (Thailand) Co., Ltd. (“CHTT”)	International private leased circuit, IP VPN service, ICT and cloud VAS services	100	100	100

(Continued)

- 9 -


			Percentage of Ownership Interests
Name of Investor	Name of Investee	Main Businesses and Products	March 31, 2025	December 31, 2024	March 31, 2024	Note
	CHT Security Co., Ltd. (“CHTSC”)	Computing equipment installation, wholesale of computing and business machinery equipment and software, management consulting services, data processing services, digital information supply services and internet identity services	63	63	66	e.
	International Integrated Systems, Inc. (“IISI”)	IT solution provider, IT application consultation, system integration and package solution	50	50	51	f.
	Chunghwa Digital Cultural and Creative Capital Co., Ltd (“CDCC Capital”)	Investment and management consulting	100	100	100	g.
	Chunghwa Telecom Europe GmbH (“CHTEU”)	International private leased circuit, internet services, transit services and ICT services	100	100	—	h.
Senao International Co., Ltd.	Youth Co., Ltd. (“Youth”)	Sale of information and communication technologies products	96	96	96
	Aval Technologies Co., Ltd. (“Aval”)	Sale of information and communication technologies products	100	100	100
	Senyoung Insurance Agent Co., Ltd. (“SENYOUNG”)	Property and liability insurance agency	100	100	100
Youth Co., Ltd.	ISPOT Co., Ltd. (“ISPOT”)	Sale of information and communication technologies products	100	100	100
Aval Technologies Co., Ltd.	Wiin Technology Co., Ltd. (“Wiin”)	Sale of information and communication technologies products	100	100	100
CHIEF Telecom Inc.	Unigate Telecom Inc. (“Unigate”)	Telecommunications and internet service	100	100	100
	Chief International Corp. (“CIC”)	Telecommunications and internet service	100	100	100
	Shanghai Chief Telecom Co., Ltd. (“SCT”)	Telecommunications and internet service	49	49	49	i.
Chunghwa Investment Co., Ltd.	Chunghwa Precision Test Tech. Co., Ltd. (“CHPT”)	Production and sale of semiconductor testing components and printed circuit board	34	34	34	j.
Chunghwa Precision Test Tech. Co., Ltd.	Chunghwa Precision Test Tech USA Corporation (“CHPT (US)”)	Design and after-sale services of semiconductor testing components and printed circuit board	100	100	100
	CHPT Japan Co., Ltd. (“CHPT (JP)”)	Related services of electronic parts, machinery processed products and printed circuit board	100	100	100
	Chunghwa Precision Test Tech. International, Ltd. (“CHPT (International)”)	Wholesale and retail of electronic materials, and investment	100	100	100
	TestPro Investment Co., Ltd. (“TestPro”)	Investment	100	100	100

(Continued)

- 10 -


			Percentage of Ownership Interests
Name of Investor	Name of Investee	Main Businesses and Products	March 31, 2025	December 31, 2024	March 31, 2024	Note
TestPro Investment Co., Ltd. (“TestPro”)	NavCore Tech. Co., Ltd (“NavCore”)	Sale and manufacturing of smart equipment, smart factory software and hardware integration and technical consulting service	54	54	54
Prime Asia Investments Group Ltd.	Chunghwa Hsingta Co., Ltd. (“CHC”)	Investment	100	100	100
Chunghwa Precision Test Tech. International, Ltd.	Shanghai Taihua Electronic Technology Limited (“STET”)	Design of printed circuit board and related consultation service	100	100	100
	Su Zhou Precision Test Tech. Ltd. (“SZPT”)	Assembly processed of circuit board, design of printed circuit board and related consultation service	100	100	100
International Integrated Systems, Inc.	Unitronics Technology Corp. (“UTC”)	Development and maintenance of information system	100	100	100

(Concluded)

a.	Chunghwa continues to control more than half of seats of the Board of Directors of SENAO through the support of large beneficial stockholders. As a result, the Company treated SENAO as a subsidiary.

b.	CHIEF issued new shares in December 2024 and March 2025 as its employees exercised options. Therefore, the Company’s ownership interest in CHIEF decreased to 58.57% and 58.56% as of December 31, 2024 and March 31, 2025, respectively.

Chunghwa controlled more than half of seats of the Board of Directors of CHST as of December 31, 2024; therefore, the Company treated CHST as a subsidiary. Chunghwa no longer had more than half of seats of the Board of Directors of CHST since January 2025. As a result, the Company lost control over CHST and recognized CHST as an investment in associate. Please refer to Note 14(c) for details.

d.	CLPT issued new shares in July 2024 as its employees exercised options. Therefore, the Company’s ownership interest in CLPT decreased to 69.87% as of December 31, 2024.

CHTSC issued new shares in January 2024, March 2024, December 2024 and February 2025 as its employees exercised options. In addition, Chunghwa disposed of some shares of CHTSC in August 2024 before CHTSC traded its shares on the emerging stock market according to the local requirements. Therefore, the Company’s ownership interest in CHTSC decreased to 66.08%, 63.45% and 63.44% as of March 31, 2024, December 31, 2024 and March 31, 2025, respectively.

Chunghwa disposed of some shares of IISI in August 2024 before IISI traded its shares on the emerging stock market according to the local requirements. Therefore, the Company’s ownership interest in IISI decreased to 49.64% as of December 31, 2024. Chunghwa continues to control more than half of seats of the Board of Directors of IISI. As a result, the Company treated IISI as a subsidiary.

g.	Chunghwa invested and established CDCC Capital in February 2024. Chunghwa obtained 100% ownership interest of CDCC Capital.

h.	Chunghwa invested and established CHTEU in July 2024. Chunghwa obtained 100% ownership interest of CHTEU.

- 11 -

i.	CHIEF has more than half of seats of the Board of Directors of SCT according to the mutual agreements among stockholders and gained control over SCT; hence, SCT is deemed as a subsidiary of the Company.

Though the Company’s ownership interest in CHPT is less than 50%, the management considered the absolute and relative size of ownership interest, and the dispersion of shares owned by the other stockholders and concluded that the Company has a sufficiently dominant voting interest to direct the relevant activities; hence, CHPT is deemed as a subsidiary of the Company.

The following diagram presented information regarding the relationship and percentages of ownership interests between Chunghwa and its subsidiaries as of March 31, 2025.

LOGO

Other Material Accounting Policies

Defined benefit retirement benefits

Pension cost for an interim period is calculated on a year-to-date basis by using the actuarially determined pension cost rate at the end of the prior financial year, adjusted for significant market fluctuations since that time and for other significant one-off events.

Taxation

Income tax expense represents the sum of the tax currently payable and deferred tax. Income taxes for interim period are assessed on an annual basis and calculated by applying to an interim period’s pre-tax income the tax rate that would be applicable to expected total annual earnings.

The measurement of deferred tax assets and liabilities reflects the tax consequences that would follow from the manner in which the Company expects to recover or settle the carrying amount of its assets and liabilities at balance sheet date.

- 12 -

Loss of control of subsidiaries

When the Company loses control of a subsidiary, a gain or loss is recognized in profit or loss and is calculated as the difference between (a) the aggregate of the fair value of the consideration received and any investment retained in the former subsidiary at its fair value at the date when control is lost and (b) the assets (including any goodwill) and liabilities and any non-controlling interests of the former subsidiary at their carrying amounts at the date when control is lost. The Company accounts for all amounts recognized in other comprehensive income in relation to that subsidiary on the same basis as would be required had the Company directly disposed of the related assets or liabilities.

The fair value of any investment retained in the former subsidiary at the date when control is lost is regarded as the cost on initial recognition of an investment in an associate.

4.	MATERIAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF ESTIMATION, UNCERTAINTY AND ASSUMPTION

In the application of the Company’s accounting policies, the management is required to make judgments, estimates and assumptions which are based on historical experience and other factors that are not readily apparent from other sources. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed by the management on an ongoing basis.

For the material accounting judgments and key sources of estimation, uncertainty and assumption applied in these consolidated financial statements, please refer to the consolidated financial statements for the year ended December 31, 2024.

5.	APPLICATION OF NEW AND REVISED STANDARDS AND INTERPRETATIONS

Initial application of the amendments to the IFRSs endorsed and issued into effect by the FSC

The initial application of the amendments to the IFRSs issued by the International Accounting Standards Board and endorsed and issued into effect by the FSC does not have a material impact on the Company’s consolidated financial statements.

IFRSs issued by the IASB but not yet endorsed and issued into effect by the FSC


New, Revised or Amended Standards and Interpretations		Effective Date Announced by IASB
Amendments to IFRS 9 and IFRS 7	Amendments to the Classification and Measurement of Financial Instruments	January 1, 2026
Amendments to IFRS 9 and IFRS 7	Contracts Referencing Nature-Dependent Electricity	January 1, 2026
Amendments to IFRS 10 and IAS 28	Sale or Contribution of Assets between an Investor and Its Associate or Joint Venture	To be determined by IASB
IFRS 18	Presentation and Disclosure in Financial Statements	January 1, 2027
IFRS 19	Subsidiaries without Public Accountability: Disclosures	January 1, 2027
Amendments to IFRS Accounting Standards	Annual Improvements—Volume 11	January 1, 2026

As of the date the consolidated financial statements were authorized for issue, the Company is continuously assessing the possible impact that the application of above standards and interpretations will have on the Company’s financial position and operating result and will disclose the relevant impact when the assessment is completed.

- 13 -

6.	CASH AND CASH EQUIVALENTS


	March 31, 2025		December 31, 2024		March 31, 2024
Cash
Cash on hand	$	462,783	$	443,745	$	437,166
Bank deposits		11,020,474		13,242,716		10,089,820

		11,483,257		13,686,461		10,526,986

Cash equivalents (with maturities of less than three months)
Commercial paper		14,307,959		16,887,390		11,213,868
Negotiable certificates of deposit		—		2,800,000		8,300,000
Time deposits		3,256,322		2,883,479		3,288,653
Stimulus vouchers		301		2,359		966

		17,564,582		22,573,228		22,803,487

	$	29,047,839	$	36,259,689	$	33,330,473

The annual yield rates of bank deposits, commercial paper, negotiable certificates of deposit and time deposits as of balance sheet dates were as follows:


	March 31, 2025	December 31, 2024	March 31, 2024
Bank deposits	0.00%~2.55%	0.00%~2.55%	0.00%~3.10%
Commercial paper	1.07%~1.53%	0.95%~1.56%	0.90%~1.44%
Negotiable certificates of deposit	—	1.55%~1.70%	1.38%~1.43%
Time deposits	0.01%~4.45%	0.01%~4.90%	0.01%~5.50%

7.	FINANCIAL INSTRUMENTS AT FAIR VALUE THROUGH PROFIT OR LOSS


	March 31, 2025		December 31, 2024		March 31, 2024
Financial assets-current
Mandatorily measured at FVTPL
Derivatives (not designated for hedge)
Forward exchange contracts	$	5,048	$	290	$	1,086
Non-derivatives
Listed stocks - domestic		—		—		421

	$	5,048	$	290	$	1,507

Financial assets-noncurrent
Mandatorily measured at FVTPL
Non-derivatives
Non-listed stocks - domestic	$	626,277	$	628,737	$	648,456
Non-listed stocks - foreign		34,979		32,415		85,287
Limited partnership - domestic		362,982		307,327		316,646
Other investing agreements		58,580		36,757		29,458

	$	1,082,818	$	1,005,236	$	1,079,847

(Continued)

- 14 -


	March 31, 2025		December 31, 2024		March 31, 2024
Financial liabilities-current
Held for trading
Derivatives (not designated for hedge)
Forward exchange contracts	$	—	$	—	$	200

(Concluded)

Chunghwa’s Board of Directors approved an investment in TRF 1 L.P. at the amount of $300,000 thousand in January 2025. As of March 31, 2025, Chunghwa invested $60,000 thousand.

Chunghwa’s Board of Directors approved an investment in Taiwania Capital Buffalo Fund VI, L.P. at the amount of $600,000 thousand in January 2022. As of March 31, 2025, Chunghwa invested $300,000 thousand.

Outstanding forward exchange contracts not designated for hedge as of balance sheet dates were as follows:

Currency

Maturity
Period

Contract Amount
(In Thousands)

March 31, 2025

Forward exchange contracts - buy

NT$/EUR

June 2025

NT$78,434/EUR2,300

Forward exchange contracts - buy

NT$/USD

April 2025

NT$183,337/USD5,560

December 31, 2024

Forward exchange contracts - buy

NT$/EUR

March 2025

NT$10,177/EUR300

Forward exchange contracts - buy

NT$/USD

January 2025

NT$45,879/USD1,408

March 31, 2024

Forward exchange contracts - buy

NT$/EUR

April to June 2024

NT$236,119/EUR6,900

The Company entered into the above forward exchange contracts to manage its exposure to foreign currency risk due to fluctuations in exchange rates. However, the aforementioned derivatives did not meet the criteria for hedge accounting.

- 15 -

8.	FINANCIAL ASSETS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME - NONCURRENT


	March 31, 2025		December 31, 2024		March 31, 2024
Domestic investments
Listed and emerging stocks	$	117,170	$	126,013	$	217,220
Non-listed stocks		4,446,802		3,873,647		4,407,720
Foreign investments
Non-listed stocks		736,428		667,316		443,871

	$	5,300,400	$	4,666,976	$	5,068,811

The Company holds the above foreign and domestic stocks for medium to long-term strategic purposes and expects to profit from long-term investment. Accordingly, the management elected to designate these investments in equity instruments at FVOCI as they believe that recognizing short-term fair value fluctuations of these investments in profit or loss is not consistent with the Company’s strategy of holding these investments for long-term purposes.

9.	FINANCIAL ASSETS AT AMORTIZED COST - NONCURRENT


	March 31, 2025		December 31, 2024		March 31, 2024
Corporate bonds	$	2,000,000	$	2,000,000	$	—

The Company acquired the 10-year unsecured cumulative subordinated corporate bond of Fubon Life Insurance Co., Ltd. at the amount of $2,000,000 thousand in October 2024.

10.	TRADE NOTES AND ACCOUNTS RECEIVABLE, NET


	March 31, 2025			December 31, 2024			March 31, 2024
Trade notes and accounts receivable	$	23,729,417		$	27,168,306		$	23,743,073
Less: Loss allowance		(1,232,693	)		(1,142,610	)		(1,119,481	)

	$	22,496,724		$	26,025,696		$	22,623,592

The main credit terms range from 30 to 90 days.

The Company serves a large consumer base for telecommunications business; therefore, the concentration of credit risk is limited. When having transactions with customers, the Company considers the record of arrears in the past. In addition, the Company may also collect some telecommunication charges in advance to reduce the payment arrears in subsequent periods.

The Company adopted a policy of dealing with counterparties with certain credit ratings for project business and to obtain collateral where necessary to mitigate the risk of loss arising from defaults. Credit rating information is provided by independent rating agencies where available and, if such credit rating information is not available, the Company uses other publicly available financial information and its own historical transaction experience to rate its major customers. The Company continues to monitor the credit exposure and credit ratings of its counterparties and spread the credit risk amongst qualified counterparties.

- 16 -

In order to mitigate credit risk, the management of the Company has delegated a team responsible for determining credit limits, credit approvals and other monitoring procedures to ensure the recoverability of receivables. In addition, the Company reviews the recoverable amount of receivables at balance sheet dates to ensure that adequate allowance is provided for possible irrecoverable amounts. In this regard, the management believes the Company’s credit risk could be reasonably reduced.

The Company applies the simplified approach to recognize expected credit losses prescribed by IFRS 9, which permits the use of lifetime expected loss provision for receivables. The expected credit losses on receivables are estimated using a provision matrix by reference to past default experience of the customers and an analysis of the customers’ current financial positions, as well as the forward-looking indicators such as macroeconomic business indicators.

When there is evidence indicating that the counterparty is in evasion, bankruptcy, deregistration or the accounts receivable are over two years past due and the recoverable amount cannot be reasonable estimated, the Company writes off the trade notes and accounts receivable. For accounts receivable that have been written off, the Company continues to engage in enforcement activity to attempt to recover the receivables due. Where recoveries are made, these are recognized in profit or loss.

Except for receivables arising from telecommunications business and project business, the Company’s remaining accounts receivable are insignificant. Therefore, only Chunghwa’s provision matrix arising from telecommunications business and project business is disclosed below:

March 31, 2025


	Not Past Due			Past Due Less than 30 Days			Past Due 31 to 60 Days			Past Due 61 to 90 Days			Past Due 91 to 120 Days			Past Due 121 to 180 Days			Past Due over 180 Days			Total
Telecommunications business
Expected credit loss rate (Note a)		0%~1%			2%~22%			2%~68%			12%~84%			22%~91%			41%~96%			100%
Gross carrying amount	$	16,194,883		$	410,585		$	193,720		$	74,541		$	47,009		$	38,940		$	601,885		$	17,561,563
Loss allowance (lifetime ECL)		(69,927	)		(39,443	)		(36,873	)		(33,611	)		(26,641	)		(24,956	)		(601,885	)		(833,336	)

Amortized cost	$	16,124,956		$	371,142		$	156,847		$	40,930		$	20,368		$	13,984		$	—		$	16,728,227

Project business
Expected credit loss rate (Note b)		0%~5%			5%			10%			30%			50%			80%			100	%
Gross carrying amount	$	2,716,339		$	37,725		$	24,380		$	11,347		$	126,291		$	1,597		$	279,018		$	3,196,697
Loss allowance (lifetime ECL)		(2,704	)		(1,862	)		(2,438	)		(3,404	)		(63,222	)		(1,277	)		(279,018	)		(353,925	)

Amortized cost	$	2,713,635		$	35,863		$	21,942		$	7,943		$	63,069		$	320		$	—		$	2,842,772

December 31, 2024


	Not Past Due			Past Due Less than 30 Days			Past Due 31 to 60 Days			Past Due 61 to 90 Days			Past Due 91 to 120 Days			Past Due 121 to 180 Days			Past Due over 180 Days			Total
Telecommunications business
Expected credit loss rate (Note a)		0%~1%			1%~22%			2%~68%			11%~84%			21%~92%			39%~96%			100%
Gross carrying amount	$	16,477,102		$	335,307		$	138,573		$	74,834		$	49,884		$	48,247		$	605,994		$	17,729,941
Loss allowance (lifetime ECL)		(51,501	)		(23,505	)		(34,429	)		(31,370	)		(33,080	)		(34,412	)		(605,994	)		(814,291	)

Amortized cost	$	16,425,601		$	311,802		$	104,144		$	43,464		$	16,804		$	13,835		$	—		$	16,915,650

Project business
Expected credit loss rate (Note b)		0%~5%			5%			10%			30%			50%			80%			100	%
Gross carrying amount	$	5,547,739		$	44,167		$	82,518		$	3,204		$	1,242		$	44		$	279,974		$	5,958,888
Loss allowance (lifetime ECL)		(3,355	)		(2,215	)		(8,252	)		(993	)		(621	)		(35	)		(279,974	)		(295,445	)

Amortized cost	$	5,544,384		$	41,952		$	74,266		$	2,211		$	621		$	9		$	—		$	5,663,443

- 17 -

March 31, 2024


	Not Past Due			Past Due Less than 30 Days			Past Due 31 to 60 Days			Past Due 61 to 90 Days			Past Due 91 to 120 Days			Past Due 121 to 180 Days			Past Due over 180 Days			Total
Telecommunications business
Expected credit loss rate (Note a)		0%~1%			1%~20%			3%~65%			11%~82%			25%~91%			54%~96%			100%
Gross carrying amount	$	16,965,432		$	393,127		$	141,699		$	52,636		$	32,285		$	25,558		$	575,024		$	18,185,761
Loss allowance (lifetime ECL)		(71,092	)		(34,375	)		(27,318	)		(27,742	)		(24,938	)		(23,189	)		(575,024	)		(783,678	)

Amortized cost	$	16,894,340		$	358,752		$	114,381		$	24,894		$	7,347		$	2,369		$	—		$	17,402,083

Project business
Expected credit loss rate (Note b)		0%~5%			5%			10%			30%			50%			80%			100%
Gross carrying amount	$	2,377,209		$	57,877		$	33,335		$	45,635		$	74		$	—		$	285,726		$	2,799,856
Loss allowance (lifetime ECL)		(2,153	)		(2,894	)		(3,333	)		(13,690	)		(59	)		—			(285,726	)		(307,855	)

Amortized cost	$	2,375,056		$	54,983		$	30,002		$	31,945		$	15		$	—		$	—		$	2,492,001

Note a:

Please refer to Note 44 for the information of disaggregation of telecommunications service revenue. The expected credit loss rate applicable to different business revenue varies so as to reflect the risk level indicating by factors like historical experience.

Note b:

The project business has different loss types according to the customer types. The expected credit loss rate listed above is for general customers. When the customer is a government-affiliated entity, it is anticipated that there will not be an instance of credit loss. Customers with past history of bounced checks or accounts receivable exceeding six months overdue are classified as high-risk customers, with an expected credit loss rate of 50%, increasing by period as the days overdue increase.

Movements of loss allowance for trade notes and accounts receivable were as follows:


	Three Months Ended March 31
	2025			2024
Beginning balance	$	1,142,610		$	1,101,640
Add: Provision for credit loss		117,733			56,172
Less: Amounts written off		(27,650	)		(38,331	)

Ending balance	$	1,232,693		$	1,119,481

11.	INVENTORIES


	March 31, 2025		December 31, 2024		March 31, 2024
Merchandise	$	4,341,573	$	4,874,164	$	4,149,699
Project in process		5,001,963		4,564,444		4,546,340
Work in process		176,035		268,570		69,276
Raw materials		190,163		221,856		232,380

		9,709,734		9,929,034		8,997,695
Land held under development		1,998,733		1,998,733		1,998,733
Construction in progress		207,874		159,351		117,012

	$	11,916,341	$	12,087,118	$	11,113,440

- 18 -

The operating costs related to inventories were $11,954,062 thousand (including the valuation loss on inventories of $38,153 thousand) and $12,588,852 thousand (including the valuation loss on inventories of $25,576 thousand) for the three months ended March 31, 2025 and 2024, respectively.

As of March 31, 2025, December 31, 2024 and March 31, 2024, inventories of $2,206,607 thousand, $2,158,084 thousand and $2,115,745 thousand, respectively, were expected to be realized from the sale after more than twelve months. The aforementioned amount of inventories is related to property development owned by LED.

Land held under development and construction in progress was mainly developed by LED for Qingshan Sec., Dayuan Dist., Taoyuan City project. The Board of Directors of LED resolved to sign a joint construction and separate sale contract with Farglory Land Development Co., Ltd. in June 2021. LED entrusts Land Bank of Taiwan to execute fund control and property right management for the land held under development.

Construction in progress also included the Datong S. Sec., Sanchong Dist., New Taipei City project. The Board of Directors of Chunghwa resolved to sign a joint construction with separate sale and partition contract with LED in August 2021. Chunghwa classified the land of the project as investment properties.

Regarding the aforementioned two projects, the Company has signed the house and land presale contracts with customers and has received payments in accordance with the contracts. Please refer to Notes 30 and 40 for details.

12.	PREPAYMENTS


	March 31, 2025		December 31, 2024		March 31, 2024
Prepayments for leases - satellite (Note 40)	$	3,471,382	$	3,129,192	$	2,070,506
Prepaid salary and bonus		3,082,019		4,556		2,917,486
Prepaid rents		1,747,363		1,761,848		2,077,928
Others		2,897,785		2,703,734		2,473,754

	$	11,198,549	$	7,599,330	$	9,539,674

Current
Prepaid salary and bonus	$	3,082,019	$	4,556	$	2,917,486
Prepaid rents		494,567		496,790		572,333
Others		2,832,246		2,636,967		2,431,680

	$	6,408,832	$	3,138,313	$	5,921,499

Noncurrent
Prepayments for leases - satellite (Note 40)	$	3,471,382	$	3,129,192	$	2,070,506
Prepaid rents		1,252,796		1,265,058		1,505,595
Others		65,539		66,767		42,074

	$	4,789,717	$	4,461,017	$	3,618,175

Prepaid rents comprised the prepayments from the lease agreements applying the recognition exemption and the prepayments for leases that do not meet the definition of leases under IFRS 16.

- 19 -

13.	OTHER CURRENT MONETARY ASSETS


	March 31, 2025		December 31, 2024		March 31, 2024
Time deposits, negotiable certificates of deposit and commercial paper with maturities of more than three months	$	35,042,708	$	21,679,910	$	26,195,432
Accrued custodial receipts		809,717		725,414		833,276
Others		920,934		1,002,677		766,024

	$	36,773,359	$	23,408,001	$	27,794,732

The annual yield rates of time deposits, negotiable certificates of deposit and commercial paper with maturities of more than three months at the balance sheet dates were as follows:

March 31, 2025

December 31,
2024

March 31, 2024

Time deposits, negotiable certificates of deposit and commercial paper with maturities of more than three months

0.03%~5.10%

0.03%~5.00%

14.	SUBSIDIARIES

Information on subsidiaries with material noncontrolling interests


	Principal		Proportion of Ownership Interests and Voting Rights Held by Noncontrolling Interests
Subsidiaries	Place of Business		March 31, 2025			December 31, 2024			March 31, 2024
SENAO		Taiwan		72	%		72	%		72	%
CHPT		Taiwan		66	%		66	%		66	%


	Profit Allocated to Noncontrolling Interests				Accumulated Noncontrolling Interests
	Three Months Ended March 31				March 31,		December 31,		March 31,
	2025		2024		2025		2024		2024
SENAO	$	82,718	$	96,826	$	4,462,311	$	4,683,629	$	4,412,858

CHPT	$	142,154	$	2,385		5,449,884		5,305,195		5,004,863

Individually immaterial subsidiaries with noncontrolling interests						2,959,159		3,165,342		2,718,642

					$	12,871,354	$	13,154,166	$	12,136,363

- 20 -

Summarized financial information in respect of SENAO and its subsidiaries that has material noncontrolling interests is set out below. The summarized financial information below represented amounts before intercompany eliminations.


	March 31, 2025			December 31, 2024			March 31, 2024
Current assets	$	6,315,261		$	6,737,556		$	7,132,733
Noncurrent assets		3,709,616			3,675,523			3,365,022
Current liabilities		(3,480,860	)		(3,549,249	)		(3,938,838	)
Noncurrent liabilities		(404,000	)		(415,771	)		(487,134	)

Equity	$	6,140,017		$	6,448,059		$	6,071,783

Equity attributable to the parent	$	1,677,706		$	1,764,430		$	1,658,925
Equity attributable to noncontrolling interests		4,462,311			4,683,629			4,412,858

	$	6,140,017		$	6,448,059		$	6,071,783


	Three Months Ended March 31
	2025			2024
Revenues and income	$	7,646,727		$	8,171,181
Costs and expenses		7,531,442			8,036,271

Profit for the period	$	115,285		$	134,910

Profit attributable to the parent	$	32,567		$	38,084
Profit attributable to noncontrolling interests		82,718			96,826

Profit for the period	$	115,285		$	134,910

Other comprehensive income attributable to the parent	$	786		$	7,940
Other comprehensive income attributable to noncontrolling interests		2,004			20,236

Other comprehensive income for the period	$	2,790		$	28,176

Total comprehensive income attributable to the parent	$	33,353		$	46,024
Total comprehensive income attributable to noncontrolling interests		84,722			117,062

Total comprehensive income for the period	$	118,075		$	163,086

Net cash flow from operating activities	$	(326,746	)	$	327,163
Net cash flow from investing activities		(14,732	)		(6,819	)
Net cash flow from financing activities		(75,820	)		(75,378	)
Effect of exchange rate changes on cash and cash equivalents		1			19

Net cash inflow (outflow)	$	(417,297	)	$	244,985

- 21 -

Summarized financial information in respect of CHPT and its subsidiaries that has material noncontrolling interests is set out below. The summarized financial information below represented amounts before intercompany eliminations.


	March 31, 2025			December 31, 2024			March 31, 2024
Current assets	$	5,273,480		$	4,936,011		$	3,788,825
Noncurrent assets		4,138,193			4,222,292			4,416,004
Current liabilities		(1,113,385	)		(1,079,055	)		(591,800	)
Noncurrent liabilities		(18,752	)		(21,470	)		(21,410	)

Equity	$	8,279,536		$	8,057,778		$	7,591,619

Equity attributable to CHI	$	2,829,652		$	2,752,583		$	2,586,756
Equity attributable to noncontrolling interests		5,449,884			5,305,195			5,004,863

	$	8,279,536		$	8,057,778		$	7,591,619


	Three Months Ended March 31
	2025			2024
Revenues and income	$	1,170,288		$	697,630
Costs and expenses		952,384			690,450

Profit for the period	$	217,904		$	7,180

Profit attributable to CHI	$	75,750		$	4,795
Profit attributable to noncontrolling interests		142,154			2,385

Profit for the period	$	217,904		$	7,180

Other comprehensive income attributable to CHI	$	1,320		$	3,739
Other comprehensive income attributable to noncontrolling interests		2,534			7,177

Other comprehensive income for the period	$	3,854		$	10,916

Total comprehensive income attributable to CHI	$	77,070		$	8,534
Total comprehensive income attributable to noncontrolling interests		144,688			9,562

Total comprehensive income for the period	$	221,758		$	18,096

Net cash flow from operating activities	$	582,333		$	(35,657	)
Net cash flow from investing activities		(16,753	)		(34,200	)
Net cash flow from financing activities		(10,160	)		(6,605	)
Effect of exchange rate changes on cash and cash equivalents		4,580			13,187

Net cash inflow (outflow)	$	560,000		$	(63,275	)

- 22 -

Equity transactions with noncontrolling interests

CHIEF issued new shares in December 2024 and March 2025 as its employees exercised options. Therefore, the Company’s ownership interest in CHIEF decreased. See Note 34(a) for details.

CHTSC issued new shares in January 2024, March 2024, December 2024 and February 2025 as its employees exercised options. Therefore, the Company’s ownership interest in CHTSC decreased. See Note 34(b) for details.

The above transactions were accounted for as equity transactions since the Company did not cease to have control over these subsidiaries.

Information of the Company’s equity transactions with noncontrolling interests for the three months ended March 31, 2025 and 2024 was as follows:


	Three Months Ended March 31, 2025
	CHTSC Share-Based Payment			CHIEF Share-Based Payment
Cash consideration received from noncontrolling interests	$	95		$	1,165
The proportionate share of the carrying amount of the net assets of the subsidiary transferred from (to) noncontrolling interests		(184	)		8,176

Differences arising from equity transactions	$	(89	)	$	9,341

Line items for equity transaction adjustments
Additional paid-in capital - arising from changes in equities of subsidiaries	$	(89	)	$	9,341


	Three Months Ended March 31, 2024
	CHTSC Share-Based Payment
Cash consideration received from noncontrolling interests (Note)	$	13,245
The proportionate share of the carrying amount of the net assets of the subsidiary transferred to noncontrolling interests		(13,650	)

Differences arising from equity transactions	$	(405	)

Line items for equity transaction adjustments
Additional paid-in capital - arising from changes in equities of subsidiaries	$	(405	)

Note:

The proceeds from the new shares issued in January 2024 by CHTSC have been received in advance in December 2023.

- 23 -

Loss of control of subsidiaries

Chunghwa no longer had more than half of seats of the Board of Directors of CHST since January 2025. As a result, the Company lost control over CHST and recognized CHST as an investment in associate.

The Company recognized the retained interest in CHST at the fair value on the date control was lost; therefore, the Company recognized the disposal gain of $15,920 thousand based on the difference between the fair value and the carrying amount. The disposal gain was included in other gains or losses in the consolidated statements of comprehensive income.

Analysis of assets and liabilities over which the Company lost control:


	CHST
Current assets
Cash and cash equivalents	$	8,664
Contract assets		9,132
Trade notes and accounts receivable, net		9,148
Inventories		6,521
Others		6,631
Noncurrent assets
Property, plant and equipment		202
Right-of-use assets		3,369
Deferred income tax assets		1,645
Other noncurrent assets		12,415
Current liabilities
Short-term loans		(65,000	)
Contract liabilities		(7,376	)
Trade notes and accounts payable		(9,036	)
Others		(2,309	)
Noncurrent liabilities
Customers’ deposits		(7,126	)
Others		(1,704	)

Net liabilities	$	(34,824	)

15.	INVESTMENTS ACCOUNTED FOR USING EQUITY METHOD


	March 31, 2025		December 31, 2024		March 31, 2024
Investments in associates	$	9,114,825	$	9,064,213	$	8,551,936
Investment in joint venture		9,188		9,251		9,400

	$	9,124,013	$	9,073,464	$	8,561,336

- 24 -

Investments in associates

Investments in associates were as follows:


	Carrying Amount
	March 31, 2025		December 31, 2024		March 31, 2024
Material associate
Non-listed
Next Commercial Bank Co., Ltd. (“NCB”)	$	3,871,773	$	3,950,922	$	4,207,893

Associates that are not individually material
Listed
Senao Networks, Inc. (“SNI”)		2,051,979		1,998,346		1,608,490
KingwayTek Technology Co., Ltd. (“KWT”)		284,437		278,967		270,090
Non-listed
Viettel-CHT Co., Ltd. (“Viettel-CHT”)		605,329		573,275		567,596
Taiwan International Standard Electronics Co., Ltd. (“TISE”)		390,400		379,357		312,238
ST-2 Satellite Ventures Pte., Ltd. (“STS”)		364,913		313,467		322,008
WiAdvance Technology Corporation (“WATC”)		270,306		273,440		285,617
Taiwania Hive Technology Fund L.P. (“TWTF”)		270,060		276,180		—
Chunghwa PChome Fund I Co., Ltd. (“CPFI”)		251,256		252,625		256,115
So-net Entertainment Taiwan Limited (“So-net”)		180,792		192,968		224,102
KKBOX Taiwan Co., Ltd. (“KKBOXTW”)		143,944		151,241		171,342
Taiwan International Ports Logistics Corporation (“TIPL”)		143,208		133,836		129,330
Porrima Inc. (“PORRIMA”)		76,679		77,634		—
CHT Infinity Singapore Pte., Ltd. (“CISG”)		58,097		60,782		58,474
Imedtac Co., Ltd. (“IME”)		56,431		56,667		46,295
Click Force Co., Ltd. (“CF”)		50,320		51,011		44,828
AgriTalk Technology Inc. (“ATT”)		26,228		26,254		29,572
Baohwa Trust Co., Ltd. (“BHT”)		13,400		11,967		10,383
Cornerstone Ventures Co., Ltd. (“CVC”)		5,273		5,274		7,563
Chunghwa Sochamp Technology Inc. (“CHST”) (Note 14)		—		—		—

		5,243,052		5,113,291		4,344,043

	$	9,114,825	$	9,064,213	$	8,551,936

- 25 -

The percentages of ownership interests and voting rights in associates held by the Company as of balance sheet dates were as follows:


	% of Ownership Interests and Voting Rights
	March 31, 2025		December 31, 2024		March 31, 2024
Material associate
Non-listed
Next Commercial Bank Co., Ltd. (“NCB”)		46		46		46
Associates that are not individually material
Listed
Senao Networks, Inc. (“SNI”)		33		33		34
KingwayTek Technology Co., Ltd. (“KWT”)		23		23		23
Non-listed
Viettel-CHT Co., Ltd. (“Viettel-CHT”)		30		30		30
Taiwan International Standard Electronics Co., Ltd. (“TISE”)		40		40		40
ST-2 Satellite Ventures Pte., Ltd. (“STS”)		38		38		38
WiAdvance Technology Corporation (“WATC”)		16		16		16
Taiwania Hive Technology Fund L.P. (“TWTF”)		42		42		—
Chunghwa PChome Fund I Co., Ltd. (“CPFI”)		50		50		50
So-net Entertainment Taiwan Limited (“So-net”)		30		30		30
KKBOX Taiwan Co., Ltd. (“KKBOXTW”)		30		30		30
Taiwan International Ports Logistics Corporation (“TIPL”)		27		27		27
Porrima Inc. (“PORRIMA”)		10		10		—
CHT Infinity Singapore Pte., Ltd. (“CISG”)		40		40		40
Imedtac Co., Ltd. (“IME”)		10		10		7
Click Force Co., Ltd. (“CF”)		49		49		49
AgriTalk Technology Inc. (“ATT”)		29		29		29
Baohwa Trust Co., Ltd. (“BHT”)		25		25		25
Cornerstone Ventures Co., Ltd. (“CVC”)		49		49		49
Chunghwa Sochamp Technology Inc. (“CHST”) (Note 14)		37		—		—

- 26 -

Summarized financial information of NCB was set out below:


	March 31, 2025			December 31, 2024			March 31, 2024
Assets	$	51,785,156		$	48,636,633		$	39,498,355
Liabilities		(43,366,071	)		(40,043,113	)		(30,339,323	)

Equity	$	8,419,085		$	8,593,520		$	9,159,032

The percentage of ownership interest held by the Company		46.26%			46.26%			46.26%
Equity attributable to the Company	$	3,894,668		$	3,975,362		$	4,236,968
Unrealized gain or loss from downstream transactions		(22,895	)		(24,440	)		(29,075	)

The carrying amount of investment	$	3,871,773		$	3,950,922		$	4,207,893


	Three Months Ended March 31
	2025			2024
Net revenues	$	89,521		$	68,964

Net loss for the period	$	(183,577	)	$	(185,512	)
Other comprehensive income (loss)		9,142			(2,532	)

Total comprehensive loss for the period	$	(174,435	)	$	(188,044	)

Except for NCB, no associate is considered individually material to the Company. Summarized financial information of associates that are not individually material to the Company was as follows:


	Three Months Ended March 31
	2025		2024
The Company’s share of profits	$	124,276	$	98,838
The Company’s share of other comprehensive income		3,708		26,679

The Company’s share of total comprehensive income	$	127,984	$	125,517

The Level 1 fair values of associates based on the closing market prices as of the balance sheet dates were as follows:


	March 31, 2025		December 31, 2024		March 31, 2024
SNI	$	3,857,743	$	3,838,161	$	3,556,203

KWT	$	932,362	$	896,747	$	896,169

CVC was approved to end and dissolve its business in November 2024. The liquidation of CVC is still in process. The Company invested and obtained 49% ownership interest in CVC. However, as the Company has only two out of five seats of the Board of Directors of CVC, the Company has no control but significant influence over CVC. Therefore, the Company recognized CVC as an investment in associate.

- 27 -

KWT transferred its treasury stock repurchased from December 2019 to February 2020 to employees in October 2024. Therefore, the Company’s ownership interest in KWT decreased to 22.58% as of December 31, 2024.

The Company increased its investment in SNI in lower proportion to the original shareholder percentage in October 2024. Therefore, the Company’s ownership interest in SNI decreased to 33.16% as of December 31, 2024.

The Company did not participate in the capital increase of WATC in January 2024. WATC issued new shares in March 2024 and September 2024 as its employees exercised option. Therefore, the Company’s ownership interest in WATC decreased to 16.35% and 16.24% as of March 31, 2024 and December 31, 2024, respectively. However, as the Company continues to control one out of five seats of the Board of Directors of WATC, the Company has significant influence over WATC.

Chunghwa’s Board of Directors approved an investment in TWTF at the amount of USD 30,000 thousand in February 2024. The Company initially invested in TWTF in August 2024 and obtained 41.75% ownership interest. TWTF mainly engages in investment.

The Company participated in the capital increase of PORRIMA in May 2024 and obtained 10.00% ownership interest. PORRIMA mainly engages in designing and selling zero-emission ships. As the Company has one out of five seats of the Board of Directors of PORRIMA, the Company has significant influence over PORRIMA.

The Company increased its investment in IME in higher proportion to the original shareholder percentage in April 2024. Therefore, the Company’s ownership interest in IME increased to 10.00% as of December 31, 2024. As the Company continues to control one out of five seats of the Board of Directors of IME, the Company has significant influence over IME.

Although Chunghwa is the single largest stockholder of NCB, it only obtained six out of fifteen seats of the Board of Directors of NCB. In addition, the management considered the size of ownership interest and the dispersion of shares owned by the other stockholders, other holdings are not extremely dispersed. Chunghwa is not able to direct its relevant activities. Therefore, Chunghwa does not have control over NCB and merely has significant influence over NCB and treats it as an associate.

The Company invested and obtained 50% ownership interest in CPFI. However, as the Company has only two out of five seats of the Board of Directors of CPFI, the Company has no control but significant influence over CPFI. Therefore, the Company recognized CPFI as an investment in associate.

The Company’s share of profits and other comprehensive income (loss) of associates was recognized based on the reviewed financial statements.

Investment in joint venture

Investment in joint venture was as follows:


	Carrying Amount						% of Ownership Interests and Voting Rights
Name of Joint Venture	March 31, 2025		December 31, 2024		March 31, 2024		March 31, 2025		December 31, 2024		March 31, 2024
Non-listed
Chunghwa SEA Holdings (“CHT SEA”)	$	9,188	$	9,251	$	9,400		51%		51%		51%

- 28 -

The Company invested and established a joint venture, CHT SEA, with Delta Electronics, Inc. and Kwang Hsing Industrial Co., Ltd. and obtained 51% ownership interest of CHT SEA. However, according to the mutual agreements among stockholders, the Company does not individually direct CHT SEA’s relevant activities and has joint control with the other party; therefore, the Company treated CHT SEA as a joint venture.

The joint venture is not considered individually material to the Company. Summarized financial information of CHT SEA was set out below:


	Three Months Ended March 31
	2025			2024
The Company’s share of loss	$	(63	)	$	(63	)
The Company’s share of other comprehensive income		—			—

The Company’s share of total comprehensive loss	$	(63	)	$	(63	)

The Company’s share of loss and other comprehensive income of the joint venture was recognized based on the reviewed financial statements.

16.	PROPERTY, PLANT AND EQUIPMENT


	March 31, 2025		December 31, 2024		March 31, 2024
Assets used by the Company	$	280,810,739	$	284,714,764	$	280,840,400
Assets subject to operating leases		5,779,228		5,125,380		6,224,809

	$	286,589,967	$	289,840,144	$	287,065,209

Assets used by the Company


	Land			Land Improvements			Buildings			Computer Equipment			Telecommuni- cations Equipment			Transportation Equipment			Miscellaneous Equipment			Construction in Progress and Equipment to be Accepted			Total
Cost
Balance on January 1, 2024	$	102,885,454		$	1,709,236		$	71,754,783		$	11,044,831		$	721,434,979		$	4,049,661		$	12,091,029		$	15,937,187		$	940,907,160
Additions		—			—			5,242			18,379			23,002			2,839			14,608			3,550,693			3,614,763
Disposal		—			—			—			(249,084	)		(4,697,374	)		(59,735	)		(89,651	)		—			(5,095,844	)
Effect of foreign exchange differences		—			—			—			41			91,121			98			6,151			8,105			105,516
Others		(528,935	)		1,652			(301,140	)		228,301			5,501,226			73			76,673			(5,831,630	)		(853,780	)

Balance on March 31, 2024	$	102,356,519		$	1,710,888		$	71,458,885		$	11,042,468		$	722,352,954		$	3,992,936		$	12,098,810		$	13,664,355		$	938,677,815

Accumulated depreciation and impairment
Balance on January 1, 2024	$	—		$	(1,507,932	)	$	(33,283,812	)	$	(9,221,060	)	$	(599,131,991	)	$	(3,654,724	)	$	(9,022,741	)	$	—		$	(655,822,260	)
Depreciation expenses		—			(8,344	)		(358,607	)		(182,451	)		(6,394,220	)		(29,325	)		(205,976	)		—			(7,178,923	)
Disposal		—			—			—			248,665			4,695,821			59,735			89,229			—			5,093,450
Effect of foreign exchange differences		—			—			—			(39	)		(55,411	)		(14	)		(3,360	)		—			(58,824	)
Others		—			—			162,600			(72	)		(29,857	)		(147	)		(3,382	)		—			129,142

Balance on March 31, 2024	$	—		$	(1,516,276	)	$	(33,479,819	)	$	(9,154,957	)	$	(600,915,658	)	$	(3,624,475	)	$	(9,146,230	)	$	—		$	(657,837,415	)

Balance on January 1, 2024, net	$	102,885,454		$	201,304		$	38,470,971		$	1,823,771		$	122,302,988		$	394,937		$	3,068,288		$	15,937,187		$	285,084,900

Balance on March 31, 2024, net	$	102,356,519		$	194,612		$	37,979,066		$	1,887,511		$	121,437,296		$	368,461		$	2,952,580		$	13,664,355		$	280,840,400

Cost
Balance on January 1, 2025	$	102,346,031		$	1,749,614		$	74,178,077		$	10,448,407		$	718,353,045		$	4,183,540		$	12,680,123		$	16,572,752		$	940,511,589
Additions		—			—			1,037			16,471			64,065			—			6,621			3,904,326			3,992,520
Disposal		—			—			(90	)		(49,055	)		(2,067,426	)		(81,274	)		(47,767	)		—			(2,245,612	)
Effect of deconsolidation of subsidiaries (Note 14)		—			—			—			—			—			(2,009	)		(3,213	)		—			(5,222	)
Effect of foreign exchange differences		—			—			—			31			26,393			156			2,808			2,702			32,090
Others		(459,049	)		8,211			(376,545	)		15,641			4,910,310			115,166			100,134			(5,122,984	)		(809,116	)

Balance on March 31, 2025	$	101,886,982		$	1,757,825		$	73,802,479		$	10,431,495		$	721,286,387		$	4,215,579		$	12,738,706		$	15,356,796		$	941,476,249

(Continued)

- 29 -


	Land		Land Improvements			Buildings			Computer Equipment			Telecommuni- cations Equipment			Transportation Equipment			Miscellaneous Equipment			Construction in Progress and Equipment to be Accepted		Total
Accumulated depreciation and impairment
Balance on January 1, 2025	$	—	$	(1,543,373	)	$	(34,721,367	)	$	(8,727,171	)	$	(597,674,608	)	$	(3,629,903	)	$	(9,500,403	)	$	—	$	(655,796,825	)
Depreciation expenses		—		(11,497	)		(377,384	)		(163,282	)		(6,411,938	)		(44,292	)		(227,324	)		—		(7,235,717	)
Disposal		—		—			90			49,052			2,066,645			81,274			47,401			—		2,244,462
Effect of deconsolidation of subsidiaries (Note 14)		—		—			—			—			—			2,009			3,011			—		5,020
Effect of foreign exchange differences		—		—			—			(27	)		(17,877	)		(95	)		(1,850	)		—		(19,849	)
Others		—		—			148,868			(79	)		1,673			(417	)		(12,646	)		—		137,399

Balance on March 31, 2025	$	—	$	(1,554,870	)	$	(34,949,793	)	$	(8,841,507	)	$	(602,036,105	)	$	(3,591,424	)	$	(9,691,811	)	$	—	$	(660,665,510	)

Balance on January 1, 2025, net	$	102,346,031	$	206,241		$	39,456,710		$	1,721,236		$	120,678,437		$	553,637		$	3,179,720		$	16,572,752	$	284,714,764

Balance on March 31, 2025, net	$	101,886,982	$	202,955		$	38,852,686		$	1,589,988		$	119,250,282		$	624,155		$	3,046,895		$	15,356,796	$	280,810,739

(Concluded)

There was no indication that property, plant and equipment was impaired; therefore, the Company did not recognize any impairment loss for the three months ended March 31, 2025 and 2024.

Depreciation expense for assets used by the Company is computed using the straight-line method over the following estimated service lives:


Land improvements			10~30 years
Buildings
Main buildings			20~60 years
Other building facilities			3~15 years
Computer equipment			2~8 years
Telecommunications equipment
Telecommunication circuits			2~30 years
Telecommunication machinery and antennas equipment			2~30 years
Transportation equipment			2~10 years
Miscellaneous equipment
Leasehold improvements			1~18 years
Mechanical and air conditioner equipment			3~16 years
Others			1~15 years

Assets subject to operating leases


	Land			Buildings			Total
Cost
Balance on January 1, 2024	$	4,924,387		$	4,131,031		$	9,055,418
Additions		—			99			99
Others		(1,181,880	)		279,033			(902,847	)

Balance on March 31, 2024	$	3,742,507		$	4,410,163		$	8,152,670

Accumulated depreciation and impairment
Balance on January 1, 2024	$	—		$	(1,802,576	)	$	(1,802,576	)
Depreciation expenses		—			(19,304	)		(19,304	)
Others		—			(105,981	)		(105,981	)

Balance on March 31, 2024	$	—		$	(1,927,861	)	$	(1,927,861	)

Balance on January 1, 2024, net	$	4,924,387		$	2,328,455		$	7,252,842

Balance on March 31, 2024, net	$	3,742,507		$	2,482,302		$	6,224,809

(Continued)

- 30 -


	Land		Buildings			Total
Cost
Balance on January 1, 2025	$	3,104,874	$	3,737,084		$	6,841,958
Others		459,049		351,848			810,897

Balance on March 31, 2025	$	3,563,923	$	4,088,932		$	7,652,855

Accumulated depreciation and impairment
Balance on January 1, 2025	$	—	$	(1,716,578	)	$	(1,716,578	)
Depreciation expenses		—		(17,869	)		(17,869	)
Others		—		(139,180	)		(139,180	)

Balance on March 31, 2025	$	—	$	(1,873,627	)	$	(1,873,627	)

Balance on January 1, 2025, net	$	3,104,874	$	2,020,506		$	5,125,380

Balance on March 31, 2025, net	$	3,563,923	$	2,215,305		$	5,779,228

(Concluded)

The Company leases out land and buildings with lease terms between 1 to 20 years. The lessees do not have bargain purchase options to acquire the assets at the expiry of the lease periods.

The future aggregate lease collection under operating lease for the freehold plant, property and equipment was as follows:


	March 31, 2025		December 31, 2024		March 31, 2024
Year 1	$	316,153	$	305,357	$	287,684
Year 2		185,488		197,780		184,484
Year 3		122,211		121,845		125,358
Year 4		90,854		92,431		81,970
Year 5		56,926		62,415		54,715
Onwards		125,534		136,567		122,943

	$	897,166	$	916,395	$	857,154

The above items of property, plant and equipment subject to operating leases are depreciated on a straight-line basis over their estimated useful lives as follows:


Buildings
Main buildings			35~60 years
Other building facilities			3~15 years

- 31 -

17.	LEASE ARRANGEMENTS

Right-of-use assets


	March 31, 2025		December 31, 2024		March 31, 2024
Land and buildings
Handsets base stations	$	7,755,557	$	7,648,470	$	7,596,291
Others		1,805,447		1,564,104		1,696,547
Equipment		1,759,561		1,699,755		1,830,401

	$	11,320,565	$	10,912,329	$	11,123,239


	Three Months Ended March 31
	2025		2024
Additions to right-of-use assets	$	1,560,497	$	979,391

Depreciation charge for right-of-use assets
Land and buildings
Handsets base stations	$	759,682	$	743,846
Others		201,303		195,986
Equipment		114,392		87,323

	$	1,075,377	$	1,027,155

The Company did not have significant sublease or impairment of right-of-use assets for the three months ended March 31, 2025 and 2024.

Lease liabilities


	March 31, 2025		December 31, 2024		March 31, 2024
Lease liabilities
Current	$	3,738,416	$	3,557,874	$	3,448,987
Noncurrent		7,462,150		7,333,503		7,398,566

	$	11,200,566	$	10,891,377	$	10,847,553

Ranges of discount rates for lease liabilities were as follows:

March 31, 2025

December 31,
2024

March 31, 2024

Land and buildings

Handsets base stations

0.37%~2.00%

0.37%~1.78%

Others

0.37%~9.00%

Equipment

0.37%~3.50%

- 32 -

Important lease-in activities and terms

The Company mainly enters into lease-in agreements of land and buildings for handsets base stations located throughout Taiwan with lease terms ranging from 1 to 20 years. The lease agreements do not contain bargain purchase options to acquire the assets at the expiration of the respective leases. For majority of the lease-in agreements on handsets base station, the Company has the right to terminate the agreement prior to the expiration date if the Company is unable to build the required telecommunication equipment, either due to legal restrictions, controversial events, or other events.

The Company also leases land and buildings for the use of offices, server rooms, and stores with lease terms from 1 to 30 years. Most of the lease agreements for national land adjust the lease payment according to the changes of the announced land values by the authority. At the expiry of the lease term, the Company does not have bargain purchase options to acquire the assets.

The lease agreements for equipment include a contract between Chunghwa and ST-2 Satellite Ventures Pte., Ltd. to lease capacity on the ST-2 satellite. For the information of lease agreements with related parties, please refer to Note 38 for details.

Other lease information


	Three Months Ended March 31
	2025		2024
Expenses relating to low-value asset leases	$	2,254	$	2,063

Expenses relating to variable lease payments not included in the measurement of lease liabilities	$	1,604	$	1,478

Total cash outflow for leases	$	1,244,847	$	1,088,205

The Company leases certain equipment which qualifies as low-value asset leases. The Company has elected to apply the recognition exemption and, thus, not to recognize right-of-use assets and lease liabilities for these leases.

Lease-out arrangements under operating leases for freehold property, plant, and equipment and investment properties were set out in Notes 16 and 18.

18.	INVESTMENT PROPERTIES


Cost
Balance on January 1, 2024	$	11,161,834
Reclassification		1,747,177

Balance on March 31, 2024	$	12,909,011

Accumulated depreciation and impairment
Balance on January 1, 2024	$	(1,356,371	)
Depreciation expense		(11,107	)
Reclassification		(24,663	)

Balance on March 31, 2024	$	(1,392,141	)

Balance on January 1, 2024, net	$	9,805,463

Balance on March 31, 2024, net	$	11,516,870

(Continued)

- 33 -


Cost
Balance on January 1, 2025	$	13,592,694
Additions		2,067

Balance on March 31, 2025	$	13,594,761

Accumulated depreciation and impairment
Balance on January 1, 2025	$	(1,290,975	)
Depreciation expense		(11,225	)

Balance on March 31, 2025	$	(1,302,200	)

Balance on January 1, 2025, net	$	12,301,719

Balance on March 31, 2025, net	$	12,292,561

(Concluded)

Depreciation expense is computed using the straight-line method over the following estimated service lives:


Land improvements			15~30 years
Buildings
Main buildings			8~60 years
Other building facilities			10~35 years

The fair values of the Company’s investment properties as of December 31, 2024 and 2023 were determined by Level 3 fair value measurements inputs based on the appraisal reports conducted by independent appraisers. The Company used the aforementioned appraisal reports as the basis to determine the fair values as of March 31, 2025 and 2024 because there was no material change in the economic environment or the market transaction price. Those appraisal reports are based on the comparison approach, income approach or cost approach. Key assumptions and the fair values were as follows:


	March 31, 2025	December 31, 2024	March 31, 2024
Fair value	$41,286,825	$41,284,758	$35,336,628

Overall capital interest rate	1.47%~5.81%	1.47%~5.81%	1.43%~5.51%
Profit margin ratio	12%~20%	12%~20%	10%~20%
Discount rate	0%~10%	0%~10%	—
Capitalization rate	1.12%~2.13%	1.12%~2.13%	0.23%~2.28%

All of the Company’s investment properties are held under freehold interest.

The future aggregate lease collection under operating lease for investment properties is as follows:


	March 31, 2025		December 31, 2024		March 31, 2024
Year 1	$	279,978	$	274,163	$	270,731
Year 2		247,592		247,997		249,088
Year 3		215,352		216,256		224,283
Year 4		194,029		192,062		192,871

(Continued)

- 34 -


	March 31, 2025		December 31, 2024		March 31, 2024
Year 5	$	188,972	$	190,020	$	172,931
Onwards		1,259,643		1,306,456		1,283,870

	$	2,385,566	$	2,426,954	$	2,393,774

(Concluded)

19.	INTANGIBLE ASSETS


	Mobile Broadband Concession			Computer Software			Goodwill			Others			Total
Cost
Balance on January 1, 2024	$	109,963,431		$	2,532,249		$	291,206		$	421,835		$	113,208,721
Additions-acquired separately		—			38,579			—			1,695			40,274
Disposal		—			(103,569	)		—			(7,044	)		(110,613	)
Effect of foreign exchange differences		—			170			—			(10	)		160
Others		—			1,271			—			—			1,271

Balance on March 31, 2024	$	109,963,431		$	2,468,700		$	291,206		$	416,476		$	113,139,813

Accumulated amortization and impairment
Balance on January 1, 2024	$	(38,202,416	)	$	(1,954,096	)	$	(73,624	)	$	(252,040	)	$	(40,482,176	)
Amortization expenses		(1,597,535	)		(67,167	)		—			(7,570	)		(1,672,272	)
Disposal		—			103,569			—			7,044			110,613
Effect of foreign exchange differences		—			(71	)		—			5			(66	)

Balance on March 31, 2024	$	(39,799,951	)	$	(1,917,765	)	$	(73,624	)	$	(252,561	)	$	(42,043,901	)

Balance on January 1, 2024 net	$	71,761,015		$	578,153		$	217,582		$	169,795		$	72,726,545

Balance on March 31, 2024 net	$	70,163,480		$	550,935		$	217,582		$	163,915		$	71,095,912

Cost
Balance on January 1, 2025	$	109,963,431		$	2,427,063		$	291,206		$	418,959		$	113,100,659
Additions-acquired separately		—			31,914			—			837			32,751
Disposal		—			(49,639	)		—			(351	)		(49,990	)
Effect of foreign exchange differences		—			155			—			15			170

Balance on March 31, 2025	$	109,963,431		$	2,409,493		$	291,206		$	419,460		$	113,083,590

Accumulated amortization and impairment
Balance on January 1, 2025	$	(44,592,555	)	$	(1,877,275	)	$	(73,624	)	$	(274,003	)	$	(46,817,457	)
Amortization expenses		(1,597,536	)		(65,113	)		—			(6,238	)		(1,668,887	)
Disposal		—			49,639			—			351			49,990
Effect of foreign exchange differences		—			(35	)		—			(10	)		(45	)

Balance on March 31, 2025	$	(46,190,091	)	$	(1,892,784	)	$	(73,624	)	$	(279,900	)	$	(48,436,399	)

Balance on January 1, 2025 net	$	65,370,876		$	549,788		$	217,582		$	144,956		$	66,283,202

Balance on March 31, 2025 net	$	63,773,340		$	516,709		$	217,582		$	139,560		$	64,647,191

- 35 -

The concessions are granted and issued by the National Communications Commission (“NCC”). The concession fees are amortized using the straight-line method over the period from the date operations commence through the date the license expires or the useful life, whichever is shorter. The 4G concession fees will be fully amortized by December 2030 and December 2033 and 5G concession fees will be fully amortized by December 2040.

The computer software is amortized using the straight-line method over the estimated useful lives of 1 to 10 years. Other intangible assets, except for those assessed as having indefinite useful lives, are amortized using the straight-line method over the estimated useful lives of 3 to 20 years. Goodwill is not amortized.

20.	OTHER ASSETS


	March 31, 2025		December 31, 2024		March 31, 2024
Refundable deposits	$	2,120,994	$	2,161,983	$	1,942,580
Spare parts		1,908,601		2,005,946		2,393,762
Other financial assets		1,000,000		1,000,000		1,000,000
Others		3,040,567		2,831,855		2,587,175

	$	8,070,162	$	7,999,784	$	7,923,517

Current
Spare parts	$	1,908,601	$	2,005,946	$	2,393,762
Others		1,086,055		1,108,608		727,134

	$	2,994,656	$	3,114,554	$	3,120,896

Noncurrent
Refundable deposits	$	2,120,994	$	2,161,983	$	1,942,580
Other financial assets		1,000,000		1,000,000		1,000,000
Others		1,954,512		1,723,247		1,860,041

	$	5,075,506	$	4,885,230	$	4,802,621

Other financial assets - noncurrent was Piping Fund. As part of the government’s effort to upgrade the existing telecommunications infrastructure, Chunghwa and other public utility companies were required by the ROC government to contribute to a Piping Fund administered by the Taipei City Government. This fund was used to finance various telecommunications infrastructure projects. Net assets of this fund will be returned proportionately after the project is completed.

21.	HEDGING FINANCIAL INSTRUMENTS

Chunghwa’s hedge strategy is to enter into forward exchange contracts—buy to avoid its foreign currency exposure to certain foreign currency denominated equipment payments in the following six months. In addition, Chunghwa’s management considers the market condition to determine the hedge ratio and enters into forward exchange contracts with the banks to avoid the foreign currency risk.

Chunghwa signed equipment purchase contracts with suppliers and entered into forward exchange contracts to avoid foreign currency risk exposure to Euro-denominated purchase commitments. Those forward exchange contracts were designated as cash flow hedges. When forecast purchases actually take place, basis adjustments are made to the initial carrying amounts of hedged items.

- 36 -

For the hedges of highly probable forecast sales and purchases, as the critical terms (i.e. the notional amount, life and underlying) of the forward foreign exchange contracts and their corresponding hedged items are the same, the Company performs a qualitative assessment of effectiveness and it is expected that the value of the forward contracts and the value of the corresponding hedged items will systematically change in opposite direction in response to movements in the underlying exchange rates.

The main source of hedge ineffectiveness in these hedging relationships is the effect of credit risks of the Company and the counterparty on the fair value of the forward exchange contracts. Such credit risks do not impact the fair value of the hedged item attributable to changes in foreign exchange rates. No other sources of ineffectiveness emerged from these hedging relationships.

The following tables summarized the information relating to the hedges for foreign currency risk.

March 31, 2025

Notional
Amount

Forward
Rate

Line Item in

Carrying Amount

Change in Fair
Values of
Hedging
Instruments Used
for Calculating
Hedge

Hedging Instruments

Currency

(In Thousands)

Maturity

(In Dollars)

Balance Sheet

Asset

Liability

Ineffectiveness

Cash flow hedge

Forecast purchases - forward exchange contracts

NT$

/EUR

NT$ 6,067
/EUR 170

June 2025

35.69

Hedging financial
assets (liabilities)

—

804


	Change in Value of Hedged Item Used for Calculating Hedge Ineffectiveness			Accumulated Gain or Loss on Hedging Instruments in Other Equity
Hedged Items				Continuing Hedges		Hedge Accounting No Longer Applied
Cash flow hedge
Forecast equipment purchases	$	(804	)	$	30	$	—

December 31, 2024

Notional
Amount

Forward Rate

Line Item in

Carrying Amount

Change in Fair
Values of
Hedging
Instruments Used
for Calculating
Hedge

Hedging Instruments

Currency

(In Thousands)

Maturity

(In Dollars)

Balance Sheet

Asset

Liability

Ineffectiveness

Cash flow hedge

Forecast purchases - forward exchange contracts

NT$

/EUR

NT$341,036
/EUR10,000

March 2025

34.10

Hedging financial
assets (liabilities)

1,133

1,907

(730

)


	Change in Value of Hedged Item Used for Calculating Hedge Ineffectiveness		Accumulated Gain or Loss on Hedging Instruments in Other Equity
Hedged Items			Continuing Hedges			Hedge Accounting No Longer Applied
Cash flow hedge
Forecast equipment purchases	$	730	$	(774	)	$	—

- 37 -

March 31, 2024

Notional
Amount

(In Thousands)

Forward
Rate

(In Dollars)

Line Item in

Carrying Amount

Change in Fair
Values of
Hedging
Instruments
Used for
Calculating
Hedge

Hedging Instruments

Currency

Maturity

Balance Sheet

Asset

Liability

Ineffectiveness

Cash flow hedge

Forecast purchases - forward exchange contracts

NT$

/EUR

NT$47,915
/EUR 1,400

June 2024

34.23

Hedging financial
assets (liabilities)

—


	Change in Value of Hedged Item Used for Calculating Hedge Ineffectiveness			Accumulated Gain or Loss on Hedging Instruments in Other Equity
Hedged Items				Continuing Hedges		Hedge Accounting No Longer Applied
Cash flow hedge
Forecast equipment purchases	$	(73	)	$	29	$	—

Three months ended March 31, 2025


	Comprehensive Income						Reclassification from Equity to Assets and the Adjusted Line Item
Hedge Transaction	Hedging Gain or Loss Recognized in OCI		Amount of Hedge Ineffectiveness Recognized in Profit or Loss		Line Item in Which Hedge Ineffectiveness is Included		Amount Reclassified to Assets and the Adjusted Line Item		Due to Hedged Future Cash Flows No Longer Expected to Occur
Cash flow hedge
Forecast equipment purchases	$	804	$	—		—	$	1,626	$	—
								Construction in progress and equipment to be accepted		Other gains and losses

Three months ended March 31, 2024


	Comprehensive Income						Reclassification from Equity to Assets and the Adjusted Line Item
Hedge Transaction	Hedging Gain or Loss Recognized in OCI		Amount of Hedge Ineffectiveness Recognized in Profit or Loss		Line Item in Which Hedge Ineffectiveness is Included		Amount Reclassified to Assets and the Adjusted Line Item		Due to Hedged Future Cash Flows No Longer Expected to Occur
Cash flow hedge
Forecast equipment purchases	$	73	$	—		—	$	1,551	$	—
								Construction in progress and equipment to be accepted		Other gains and losses

- 38 -

22.	SHORT-TERM LOANS


	March 31, 2025		December 31, 2024		March 31, 2024
Unsecured bank loans	$	530,000	$	215,000	$	465,000

The annual interest rates of bank loans were as follows:

March 31, 2025

December 31,
2024

March 31, 2024

Unsecured bank loans

2.29%~2.35%

1.82%~3.49%

1.70%~3.49%

23.	LONG-TERM LOANS


	March 31, 2025			December 31, 2024			March 31, 2024
Secured bank loans (Note 39)	$	1,600,000		$	1,600,000		$	1,600,000
Unsecured bank loans		35,000			35,000			—
Less: Current portion		(5,833	)		(3,646	)		(1,600,000	)

	$	1,629,167		$	1,631,354		$	—

The annual interest rates of bank loans were as follows:


	March 31, 2025			December 31, 2024			March 31, 2024
Secured bank loans		2.10	%		2.09	%		1.87	%
Unsecured bank loans		2.22	%		2.22	%		—

LED obtained a secured loan from Chang Hwa Bank with monthly interest payments. LED entered into a contract with Chang Hwa Bank to renew the contract upon the maturity of the aforementioned contract in August 2024, and the due date of the renewed contract is September 2027.

CLPT entered into an unsecured loan contract with Mega International Commercial Bank, interest is paid monthly, and the principal will be repaid in 48 equal installments from August 2025 to July 2029.

24.	BONDS PAYABLE


	March 31, 2025			December 31, 2024			March 31, 2024
Unsecured domestic bonds	$	30,500,000		$	30,500,000		$	30,500,000
Less: Discounts on bonds payable		(10,397	)		(11,794	)		(15,844	)
		30,489,603			30,488,206			30,484,156
Less: Current portion		(8,799,350	)		(8,798,880	)		—

	$	21,690,253		$	21,689,326		$	30,484,156

- 39 -

The major terms of unsecured domestic bonds issued by Chunghwa were as follows:


Issuance	Tranche	Issuance Period	Total Amount		Coupon Rate			Repayment and Interest Payment
2020-1	A	July 2020 to July 2025	$	8,800,000		0.50	%	One-time repayment upon maturity; interest payable annually
	B	July 2020 to July 2027		7,500,000		0.54	%	The same as above
	C	July 2020 to July 2030		3,700,000		0.59	%	The same as above
2021-1	A	April 2021 to April 2026		1,900,000		0.42	%	The same as above
	B	April 2021 to April 2028		4,100,000		0.46	%	The same as above
	C	April 2021 to April 2031		1,000,000		0.50	%	The same as above
2022-1 (Sustainable Bond)	-	March 2022 to March 2027		3,500,000		0.69	%	The same as above

25.	TRADE NOTES AND ACCOUNTS PAYABLE


	March 31, 2025		December 31, 2024		March 31, 2024
Trade notes and accounts payable	$	10,692,983	$	17,742,532	$	9,806,485

Trade notes and accounts payable were attributable to operating activities and the trading conditions were agreed separately.

26.	OTHER PAYABLES


	March 31, 2025		December 31, 2024		March 31, 2024
Accrued salary and compensation	$	7,924,564	$	10,721,819	$	7,774,277
Accrued compensation to employees and remuneration to directors and supervisors		3,105,520		2,499,932		2,688,772
Amounts collected for others		1,999,761		1,706,744		1,623,358
Payables to contractors		1,003,031		2,264,856		1,167,660
Accrued maintenance costs		986,069		1,116,992		1,069,055
Payables to equipment suppliers		713,642		720,361		813,574
Others		7,853,902		7,550,649		7,800,048

	$	23,586,489	$	26,581,353	$	22,936,744

27.	PROVISIONS


	March 31, 2025		December 31, 2024		March 31, 2024
Employee benefits	$	421,373	$	415,477	$	391,808
Warranties		273,114		280,679		238,655
Onerous contracts		266,103		266,755		175,504
Others		15,915		13,574		3,067

	$	976,505	$	976,485	$	809,034

(Continued)

- 40 -


	March 31, 2025		December 31, 2024		March 31, 2024
Current	$	668,780	$	441,801	$	316,748
Noncurrent		307,725		534,684		492,286

	$	976,505	$	976,485	$	809,034

(Concluded)


	Employee Benefits			Warranties			Onerous Contracts			Others			Total
Balance on January 1, 2024	$	387,082		$	237,873		$	194,651		$	3,067		$	822,673
Additional / (reversal of) provisions recognized		9,131			8,136			(19,147	)		—			(1,880	)
Used / forfeited during the period		(4,405	)		(7,408	)		—			—			(11,813	)
Effect of foreign exchange differences		—			54			—			—			54

Balance on March 31, 2024	$	391,808		$	238,655		$	175,504		$	3,067		$	809,034

Balance on January 1, 2025	$	415,477		$	280,679		$	266,755		$	13,574		$	976,485
Additional / (reversal of) provisions recognized		10,121			23,103			(706	)		2,658			35,176
Used / forfeited during the period		(4,225	)		(30,690	)		—			(317	)		(35,232	)
Effect of foreign exchange differences		—			22			54			—			76

Balance on March 31, 2025	$	421,373		$	273,114		$	266,103		$	15,915		$	976,505

The provision for warranty claims represents the present value of the management’s best estimate of the future outflow of economic benefits that will be required under the Company’s obligation for warranties in sales agreements. The estimate has been made based on historical warranty experience.

The provision for employee benefits represents vested long-term service compensation accrued.

The provision for onerous contracts represents the present obligation resulting from the measurement for the unavoidable costs of meeting the Company’s contractual obligations exceed the economic benefits expected to be received from the contracts.

28.	RETIREMENT BENEFIT PLANS

Relevant pension costs for defined benefit plans which were determined by the pension cost rates of actuarial valuation as of December 31, 2024 and 2023 were as follows:


	Three Months Ended March 31
	2025		2024
Operating costs	$	80,433	$	104,906
Marketing expenses		63,244		77,832
General and administrative expenses		15,130		17,883
Research and development expenses		7,076		8,012

	$	165,883	$	208,633

- 41 -

29.

EQUITY

Share capital

Common stocks


	March 31, 2025		December 31, 2024		March 31, 2024
Number of authorized shares (thousand)		12,000,000		12,000,000		12,000,000

Authorized shares	$	120,000,000	$	120,000,000	$	120,000,000

Number of issued and paid shares (thousand)		7,757,447		7,757,447		7,757,447

Issued shares	$	77,574,465	$	77,574,465	$	77,574,465

Each issued common stock with par value of $10 is entitled the right to vote and receive dividends.

Global depositary receipts

The MOTC and some stockholders sold some common stocks of Chunghwa in an international offering of securities in the form of American Depositary Shares (“ADS”) (one ADS represents 10 common stocks) in July 2003, August 2005, and September 2006. The ADSs were traded on the New York Stock Exchange since July 17, 2003. As of March 31, 2025, the outstanding ADSs were 177,552 thousand common stocks, which equaled 17,755 thousand units and represented 2.29% of Chunghwa’s total outstanding common stocks.

The ADS holders generally have the same rights and obligations as other common stockholders, subject to the provision of relevant laws. The exercise of such rights and obligations shall comply with the related regulations and deposit agreement, which stipulate, among other things, that ADS holders are entitled to, through deposit agents:

Exercise their voting rights,

Sell their ADSs, and

Receive dividends declared and subscribe to the issuance of new shares.

Additional paid-in capital

The adjustments of additional paid-in capital for the three months ended March 31, 2025 and 2024 were as follows:


	Share Premium		Movements of Additional Paid-in Capital for Associates and Joint Ventures Accounted for Using Equity Method		Movements of Additional Paid-in Capital Arising from Changes in Equities of Subsidiaries			Difference between Consideration Received or Paid and Carrying Amount of the Subsidiaries’ Net Assets during Actual Disposal or Acquisition		Donated Capital		Stockholders’ Contribution due to Privatization		Total
Balance on January 1, 2024	$	147,329,386	$	151,952	$	2,144,727		$	987,607	$	27,336	$	20,648,078	$	171,289,086
Change in additional paid-in capital from investments in associates and joint ventures accounted for using equity method		—		76,658		—			—		—		—		76,658
Changes in equities of subsidiaries		—		—		(405	)		—		—		—		(405	)

Balance on March 31, 2024	$	147,329,386	$	228,610	$	2,144,322		$	987,607	$	27,336	$	20,648,078	$	171,365,339

(Continued)

- 42 -


	Share Premium		Movements of Additional Paid-in Capital for Associates and Joint Ventures Accounted for Using Equity Method		Movements of Additional Paid-in Capital Arising from Changes in Equities of Subsidiaries		Difference between Consideration Received or Paid and Carrying Amount of the Subsidiaries’ Net Assets during Actual Disposal or Acquisition		Donated Capital		Stockholders’ Contribution due to Privatization		Total
Balance on January 1, 2025	$	147,329,386	$	223,835	$	2,145,041	$	1,211,494	$	29,445	$	20,648,078	$	171,587,279
Changes in equities of subsidiaries		—		—		9,252		—		—		—		9,252

Balance on March 31, 2025	$	147,329,386	$	223,835	$	2,154,293	$	1,211,494	$	29,445	$	20,648,078	$	171,596,531

(Concluded)

Additional paid-in capital from share premium, donated capital and the difference between the consideration received or paid and the carrying amount of the subsidiaries’ net assets during actual disposal or acquisition may be utilized to offset deficits. Furthermore, when Chunghwa has no deficit, it may be distributed in cash or capitalized, which however is limited to a certain percentage of Chunghwa’s paid-in capital except the additional paid-in capital arising from unclaimed dividend can only be utilized to offset deficits.

The additional paid-in capital from movements of paid-in capital arising from changes in equities of subsidiaries may only be utilized to offset deficits.

Among additional paid-in capital from movements of investments in associates and joint ventures accounted for using equity method, the portion arising from the difference between the consideration received or paid and the carrying amount of the subsidiaries net assets during actual disposal or acquisition may be utilized to offset deficits; furthermore, when the Company has no deficit, it may be distributed in cash or capitalized. However, other additional paid-in capital recognized in proportion of share ownership may only be utilized to offset deficits.

Retained earnings and dividends policy

In accordance with the Chunghwa’s Articles of Incorporation, Chunghwa must pay all outstanding taxes, offset deficits in prior years and set aside a legal reserve equal to 10% of its net income before distributing a dividend or making any other distribution to stockholders, except when the accumulated amount of such legal reserve equals to Chunghwa’s total issued capital, and depending on its business needs or requirements, may also set aside or reverse special reserves. No less than 50% of the remaining earnings comprising remaining balance of net income, if any, plus cumulative undistributed earnings shall be distributed as stockholders’ dividends, of which cash dividends to be distributed shall not be less than 50% of the total amount of dividends to be distributed. If cash dividend to be distributed is less than $0.10 per share, such cash dividend shall be distributed in the form of common stocks.

The Company should appropriate a special reserve when the net amount of other equity items is negative at the end of reporting period upon the earnings distribution. Distributions can be made out of any subsequent reversal of the debit to other equity items.

The appropriation for legal reserve shall be made until the accumulated reserve equals the aggregate par value of the outstanding capital stock of Chunghwa. This reserve can only be used to offset a deficit, or, when the legal reserve has exceeded 25% of Chunghwa’s paid-in capital, the excess may be transferred to capital or distributed in cash.

- 43 -

The appropriations of the 2024 earnings of Chunghwa proposed by the Chunghwa’s Board of Directors on February 26, 2025 and the appropriations of the 2023 earnings of Chunghwa approved by the stockholders in their meetings on May 31, 2024 were as follows:


	Appropriation of Earnings					Dividends Per Share (NT$)
	For Fiscal Year 2024		For Fiscal Year 2023			For Fiscal Year 2024		For Fiscal Year 2023
Reversal of special reserve	$	—	$	(223,084	)
Cash dividends		38,787,232		36,909,931		$	5.000	$	4.758

The appropriations of earnings for 2024 are subject to the resolution of the stockholders’ meeting planned to be held on May 29, 2025. Information of the appropriation of Chunghwa’s earnings proposed by the Board of Directors and approved by the stockholders is available on the Market Observation Post System website.

Others

Exchange differences arising from the translation of the foreign operations

The exchange differences arising from the translation of the foreign operations from their functional currency to New Taiwan dollars were recognized as exchange differences arising from the translation of the foreign operations in other comprehensive income.

Unrealized gain or loss on financial assets at FVOCI


	Three Months Ended March 31
	2025		2024
Beginning balance	$	563,605	$	520,748
Recognized for the period
Unrealized gain or loss
Equity instruments		569,284		628,015
Share of profits (loss) of associates and joint ventures accounted for using equity method		4,898		(1,295	)

Ending balance	$	1,137,787	$	1,147,468

Noncontrolling interests


	Three Months Ended March 31
	2025			2024
Beginning balance	$	13,154,166		$	12,596,252
Shares attributed to noncontrolling interests
Net income for the period		396,617			212,764
Exchange differences arising from the translation of the foreign operations		4,796			10,298
Unrealized gain or loss on financial assets at FVOCI		(860	)		(1,547	)
Share of other comprehensive income of associates and joint ventures accounted for using equity method		2,184			19,262
Cash dividends distributed by subsidiaries		(710,530	)		(716,689	)

(Continued)

- 44 -


	Three Months Ended March 31
	2025		2024
Loss of control of subsidiaries (Note 14)	$	19,534	$	—
Net increase in noncontrolling interests		5,447		16,023

Ending balance	$	12,871,354	$	12,136,363

(Concluded)

30.

REVENUES


	Three Months Ended March 31
	2025		2024
Revenue from contracts with customers	$	55,164,052	$	54,329,761

Other revenues
Government grants income		379,865		274,352
Rental income		213,485		291,500
Others		51,007		47,858

		644,357		613,710

	$	55,808,409	$	54,943,471

For the information of performance obligations related to customer contracts, please refer to Note 3 Summary of Material Accounting Policy Information to the consolidated financial statements for the year ended December 31, 2024 for details.

Disaggregation of revenue

Please refer to Note 44 Segment Information for details.

Contract balances


	March 31, 2025			December 31, 2024			March 31, 2024			January 1, 2024
Trade notes and accounts receivable (Note 10)	$	22,496,724		$	26,025,696		$	22,623,592		$	24,841,995

Contract assets
Products and service bundling	$	10,483,736		$	10,445,758		$	9,679,196		$	9,297,181
Others		2,380,593			2,306,854			1,346,077			1,205,973
Less: Loss allowance		(23,969	)		(23,845	)		(22,366	)		(21,282	)

	$	12,840,360		$	12,728,767		$	11,002,907		$	10,481,872

Current	$	8,486,649		$	8,401,343		$	6,985,515		$	6,713,227
Noncurrent		4,353,711			4,327,424			4,017,392			3,768,645

	$	12,840,360		$	12,728,767		$	11,002,907		$	10,481,872

(Continued)

- 45 -


	March 31, 2025		December 31, 2024		March 31, 2024		January 1, 2024
Contract liabilities
Telecommunications business	$	13,836,198	$	13,931,238	$	13,961,741	$	14,015,949
Project business		8,180,447		8,014,350		6,637,247		6,654,364
Advance house and land receipts (Notes 11 and 40)		1,064,150		1,064,150		576,826		459,697
Others		908,715		831,978		677,019		518,758

	$	23,989,510	$	23,841,716	$	21,852,833	$	21,648,768

Current	$	16,582,177	$	16,300,986	$	14,293,408	$	14,088,416
Noncurrent		7,407,333		7,540,730		7,559,425		7,560,352

	$	23,989,510	$	23,841,716	$	21,852,833	$	21,648,768

(Concluded)

The changes in the contract asset and the contract liability balances primarily result from the timing difference between the satisfaction of performance obligations and the payments collected from customers.

The Company applies the simplified approach to recognize expected credit losses prescribed by IFRS 9, which permits the use of lifetime expected loss provision for receivables. Contract assets will be reclassified to trade receivables when the corresponding invoice is billed to the client. Contract assets have substantially the same risk characteristics as the trade receivables of the same types of contracts. Therefore, the Company concluded that the expected loss rates for trade receivables can be applied to the contract assets.

Incremental costs of obtaining contracts


	March 31, 2025		December 31, 2024		March 31, 2024
Current
Incremental costs of obtaining contracts	$	339,172	$	339,172	$	271,077

Noncurrent
Incremental costs of obtaining contracts	$	1,209,212	$	1,221,652	$	975,660

The Company considered the past experience and the default clauses in the telecommunications service contracts and believes the commissions and equipment subsidies paid for obtaining such contracts are expected to be recoverable; therefore, such costs were capitalized. The Company also believes the commissions paid for obtaining real estate sale contracts are expected to be recoverable; therefore, such costs were capitalized. Amortization expenses for the three months ended March 31, 2025 and 2024 are $238,217 thousand and $214,720 thousand, respectively.

- 46 -

31.	NET INCOME

Other income and expenses


	Three Months Ended March 31
	2025		2024
Gain on disposal of property, plant and equipment, net	$	1,018	$	2,520

Other income


	Three Months Ended March 31
	2025		2024
Rental income	$	19,222	$	17,487
Others		19,226		20,282

	$	38,448	$	37,769

Other gains and losses


	Three Months Ended March 31
	2025			2024
Valuation gain (loss) on financial assets and liabilities at fair value through profit or loss, net	$	193		$	(61,657	)
Foreign currency exchange loss, net		(39,187	)		(6,644	)
Gain on disposal of financial instruments, net		—			1,073
Gain on disposal of subsidiaries		15,290			—
Others		(1,414	)		5,964

	$	(25,118	)	$	(61,264	)

Interest expenses


	Three Months Ended March 31
	2025		2024
Interest on bonds payable	$	41,978	$	41,970
Interest on lease liabilities		37,391		29,449
Interest paid to financial institutions		9,732		11,199
Others		256		669

	$	89,357	$	83,287

Impairment loss (reversal of impairment loss)


	Three Months Ended March 31
	2025		2024
Contract assets	$	124	$	1,084

Trade notes and accounts receivable	$	117,733	$	56,172

Other receivables	$	1,678	$	(1,470	)

Inventories	$	38,153	$	25,576

- 47 -

Depreciation and amortization expenses


	Three Months Ended March 31
	2025		2024
Property, plant and equipment	$	7,253,586	$	7,198,227
Right-of-use assets		1,075,377		1,027,155
Investment properties		11,225		11,107
Intangible assets		1,668,887		1,672,272
Incremental costs of obtaining contracts		238,217		214,720

Total depreciation and amortization expenses	$	10,247,292	$	10,123,481

Depreciation expenses summarized by functions
Operating costs	$	7,787,168	$	7,701,733
Operating expenses		553,020		534,756

	$	8,340,188	$	8,236,489

Amortization expenses summarized by functions
Operating costs	$	1,862,288	$	1,838,789
Marketing expenses		23,525		20,433
General and administrative expenses		12,150		15,746
Research and development expenses		9,141		12,024

	$	1,907,104	$	1,886,992

Employee benefit expenses


	Three Months Ended March 31
	2025		2024
Post-employment benefit
Defined contribution plans	$	289,836	$	256,170
Defined benefit plans		165,883		208,633

		455,719		464,803

Share-based payment
Equity-settled share-based payment		1,225		2,373

Other employee benefit (Note)		12,010,134		11,383,272

Total employee benefit expenses	$	12,467,078	$	11,850,448

Summary by functions
Operating costs	$	5,776,994	$	5,522,712
Operating expenses		6,690,084		6,327,736

	$	12,467,078	$	11,850,448

Note: Other employee benefit mainly includes salaries, compensation and labor and health insurance expenses, etc.

The amendments to the Chunghwa’s Articles of Incorporation were approved by the Chunghwa’s stockholders in their meeting on May 31, 2024. The distribution rate of employees’ compensation increased from 1.7% to 4.3% of pre-tax income to 2% to 5% of pre-tax income, while the distribution rate of directors’ remuneration remained at no higher than 0.17%.

- 48 -

If there is a change in the proposed amounts after the annual consolidated financial statements are authorized for issue, the difference is recorded as a change in accounting estimate.

The compensation to the employees and remuneration to the directors of 2024 and 2023 approved by the Board of Directors on February 26, 2025 and February 23, 2024, respectively, were as follows. The compensation to the employees and remuneration to the directors of 2024 will be reported to the stockholders in their meeting planned to be held on May 29, 2025.


	Cash
	2024		2023
Compensation distributed to the employees	$	1,931,610	$	1,522,481
Remuneration paid to the directors		40,440		39,797

There was no difference between the initial accrued amounts recognized in 2024 and 2023 and the amounts approved by the Board of Directors in 2025 and 2024 of the aforementioned compensation to employees and the remuneration to directors.

Information of the appropriation of Chunghwa’s employees compensation and remuneration to directors and those approved by the Board of Directors is available on the Market Observation Post System website.

32.	INCOME TAX

Income tax recognized in profit or loss

The major components of income tax expense were as follows:


	Three Months Ended March 31
	2025			2024
Current tax
Current tax expenses recognized for the period	$	2,533,710		$	2,302,333
Income tax adjustments on prior years		713			1,768
Others		17			27

		2,534,440			2,304,128

Deferred tax
Deferred tax expenses recognized for the period		(31,240	)		79,429

Income tax recognized in profit or loss	$	2,503,200		$	2,383,557

The applicable tax rate used by the entities subject to the Income Tax Act of the Republic of China is 20%. Tax rates used by other entities of the Company operating in other jurisdictions are based on the tax laws in those jurisdictions.

Income tax examinations

Income tax returns of Chunghwa, SENYOUNG, CHYP, CHSI, LED, CHIEF, Unigate, CHPT, SFD, HHI, IISI and UTC have been examined by the tax authorities through 2022. Income tax returns of SENAO, Youth, ISPOT, Aval, Wiin, SHE, CHI, NavCore, TestPro, CLPT and CHTSC have been examined by the tax authorities through 2023.

- 49 -

Pillar Two Model Rules

The application of the Pillar Two rules does not have a material impact on the Company’s consolidated financial statements. The Company will continue to review the possible impact on the Company’s future financial performance.

33.	EARNINGS PER SHARE (“EPS”)

Net income and weighted average number of common stocks used in the calculation of earnings per share were as follows:

Net Income


	Three Months Ended March 31
	2025			2024
Net income used to compute the basic earnings per share
Net income attributable to the parent	$	9,799,194		$	9,391,419
Assumed conversion of all dilutive potential common stocks
Employee stock options and employee compensation of subsidiaries		(622	)		(546	)

Net income used to compute the diluted earnings per share	$	9,798,572		$	9,390,873

Weighted Average Number of Common Stocks


	(Thousand Shares)
	Three Months Ended March 31
	2025		2024
Weighted average number of common stocks used to compute the basic earnings per share		7,757,447		7,757,447
Assumed conversion of all dilutive potential common stocks
Employee compensation		13,572		11,169

Weighted average number of common stocks used to compute the diluted earnings per share		7,771,019		7,768,616

As Chunghwa may settle the employee compensation in shares or cash, Chunghwa shall presume that it will be settled in shares and take those shares into consideration when calculating the weighted average number of outstanding shares used in the calculation of diluted EPS if the shares have a dilutive effect. The dilutive effect of the shares needs to be considered until the approval of the number of shares to be distributed to employees as compensation in the following year.

34.	SHARE-BASED PAYMENT ARRANGEMENT

CHIEF share-based compensation plan (“CHIEF Plan”) described as follows:

The Board of Directors of CHIEF resolved to issue 200 stock options on November 13, 2020. Each option is eligible to subscribe for one thousand common stocks when exercisable and the exercise price is $206.00 per share. The options are granted to specific employees that meet the vesting conditions. The CHIEF Plan has an exercise price adjustment formula upon the changes in common stocks or distribution of cash dividends. The options of the CHIEF Plan are valid for five years and the graded vesting schedule will vest two years after the grant date.

- 50 -

CHIEF did not recognize any compensation costs for stock options for the three months ended March 31, 2025. The compensation costs for stock options for the three months ended March 31, 2024 were $816 thousand.

CHIEF modified the plan terms of stock options granted on November 13, 2020 in July 2024; therefore, the exercise price changed from $171.70 to $166.50 per share. The modification did not cause any incremental fair value granted.

Information about CHIEF’s outstanding stock options for the three months ended March 31, 2025 and 2024 was as follows:


	Three Months Ended March 31, 2025					Three Months Ended March 31, 2024
	Granted on November 13, 2020					Granted on November 13, 2020
	Number of Options			Weighted Average Exercise Price (NT$)		Number of Options		Weighted Average Exercise Price (NT$)
Employee stock options
Options outstanding at beginning of the period		7		$	166.50		93	$	171.70
Options exercised		(7	)		166.50		—		—

Options outstanding at end of the period		—			—		93		171.70

Options exercisable at end of the period		—			—		—		—

Weighted average remaining contractual life (years)		—					1.62

CHIEF used the fair value method to evaluate the options using the Black-Scholes model and binomial option pricing model and the related assumptions and the fair value of the options were as follows:


	Stock Options Granted on November 13, 2020
Grant-date share price (NT$)	$	356.00
Exercise price (NT$)	$	206.00
Dividend yield		—
Risk-free interest rate		0.18	%
Expected life		5 years
Expected volatility		34.61	%
Weighted average fair value of grants (NT$)	$	173,893

The expected volatility for the options granted in 2020 was based on CHIEF’s average annualized historical share price volatility from June 5, 2018, CHIEF’s listing date on Taipei Exchange, to the grant date.

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CHTSC share-based compensation plan (“CHTSC Plan”) described as follows:

The Board of Directors of CHTSC resolved to issue 4,500 and 3,500 stock options on December 20, 2019 and February 20, 2021, respectively. Each option is eligible to subscribe for one thousand common stocks when exercisable and the exercise prices are both $19.085 per share. The options are granted to specific employees that meet the vesting conditions. The CHTSC Plan has an exercise price adjustment formula upon the changes in common stocks. The options of the CHTSC Plan are valid for five years and the graded vesting schedule will vest one year after the grant date.

The compensation costs for stock options for the three months ended March 31, 2025 and 2024 were $89 thousand and $194 thousand, respectively.

Information about CHTSC’s outstanding stock options for the three months ended March 31, 2025 and 2024 was as follows:


	Three Months Ended March 31, 2025
	Granted on February 20, 2021
	Number of Options			Weighted Average Exercise Price (NT$)
Employee stock options
Options outstanding at beginning of the period		655		$	19.085
Options exercised		(640	)		19.085

Options outstanding at end of the period		15			19.085

Options exercisable at end of the period		6			19.085

Weighted average remaining contractual life (years)		0.89


	Three Months Ended March 31, 2024
	Granted on February 20, 2021					Granted on December 20, 2019
	Number of Options			Weighted Average Exercise Price (NT$)		Number of Options			Weighted Average Exercise Price (NT$)
Employee stock options
Options outstanding at beginning of the period		1,519		$	19.085		40		$	19.085
Options exercised		(689	)		19.085		(5	)		19.085
Options forfeited		(111	)		—		—			—

Options outstanding at end of the period		719			19.085		35			19.085

(Continued)

- 52 -


	Three Months Ended March 31, 2024
	Granted on February 20, 2021				Granted on December 20, 2019
	Number of Options		Weighted Average Exercise Price (NT$)		Number of Options		Weighted Average Exercise Price (NT$)
Options exercisable at end of the period		14	$	19.085		35	$	19.085

Weighted average remaining contractual life (years)		1.89				0.72

(Concluded)

CHTSC used the fair value method to evaluate the options using the Black-Scholes model and the related assumptions and the fair value of the options were as follows:


	Stock Options Granted on Ferbuary 20, 2021			Stock Options Granted on December 20, 2019
Grant-date share price (NT$)	$	23.76		$	20.17
Exercise price (NT$)	$	19.085		$	19.085
Dividend yield		15.18	%		12.49	%
Risk-free interest rate		0.25	%		0.54	%
Expected life		5 years			5 years
Expected volatility		47.35	%		42.41	%
Weighted average fair value of grants (NT$)	$	3,350		$	2,470

Expected volatility was based on the average annualized historical share price volatility of CHTSC’s comparable companies before the grant date.

CLPT share-based compensation plan (“CLPT Plan”) described as follows:

The Board of Directors of CLPT resolved to issue 690, 600 and 755 stock options on February 26, 2021, May 31, 2022 and September 26, 2023, respectively. Each option is eligible to subscribe for one thousand common stocks when exercisable and the exercise prices are all $16.87 per share. The options are granted to specific employees that meet the vesting conditions. The CLPT Plan has an exercise price adjustment formula upon the changes in common stocks or distribution of cash dividends. The options of the CLPT Plan are valid for four years and the graded vesting schedule will vest two years after the grant date.

The compensation costs for stock options for the three months ended March 31, 2025 and 2024 were $1,136 thousand and $1,363 thousand, respectively.

CLPT modified the plan terms of stock options granted on September 26, 2023 in October 2024; therefore, the exercise price changed from $15.30 to $14.10 per share. The modification did not cause any incremental fair value granted.

CLPT modified the plan terms of stock options granted on May 31, 2022 in October 2024; therefore, the exercise price changed from $15.30 to $14.10 per share. The modification did not cause any incremental fair value granted.

- 53 -

CLPT modified the plan terms of stock options granted on February 26, 2021 in October 2024; therefore, the exercise price changed from $14.40 to $13.30 per share. The modification did not cause any incremental fair value granted.

Information about CLPT’s outstanding stock options for the three months ended March 31, 2025 and 2024 was as follows:


	Three Months Ended March 31, 2025
	Granted on September 26, 2023				Granted on May 31, 2022				Granted on February 26, 2021
	Number of Options		Weighted Average Exercise Price (NT$)		Number of Options		Weighted Average Exercise Price (NT$)		Number of Options			Weighted Average Exercise Price (NT$)
Employee stock options
Options outstanding at beginning of the period		750	$	14.10		220	$	14.10		25		$	13.30
Options forfeited		—		—		—		—		(25	)		—

Options outstanding at end of the period		750		14.10		220		14.10		—			—

Weighted average remaining contractual life (years)		2.49				1.17				—


	Three Months Ended March 31, 2024
	Granted on September 26, 2023				Granted on May 31, 2022				Granted on February 26, 2021
	Number of Options		Weighted Average Exercise Price (NT$)		Number of Options		Weighted Average Exercise Price (NT$)		Number of Options		Weighted Average Exercise Price (NT$)
Employee stock options
Options outstanding at beginning and end of the period		755	$	15.30		440	$	15.30		440	$	14.40

Options exercisable at end of the period		—		—		—		—		440		14.40

Weighted average remaining contractual life (years)		3.49				2.17				0.91

CLPT used the fair value method to evaluate the options using the Black-Scholes model and the related assumptions and the fair value of the options were as follows:


	Stock Options Granted on September 26, 2023			Stock Options Granted on May 31, 2022			Stock Options Granted on February 26, 2021
Grant-date share price (NT$)	$	28.43		$	18.66		$	17.63
Exercise price (NT$)	$	16.87		$	16.87		$	16.87
Dividend yield		—			—			—
Risk-free interest rate		1.10	%		0.98	%		0.31	%
Expected life		4 years			4 years			4 years
Expected volatility		31.99	%		35.76	%		35.22	%
Weighted average fair value of grants (NT$)	$	13,225		$	5,665		$	4,750

- 54 -

Expected volatility was based on the average annualized historical share price volatility of CLPT’s comparable companies before the grant date.

35.	CASH FLOW INFORMATION

Except for those disclosed in other notes, the Company entered into the following non-cash investing and financing activities:


Investing activities	Three Months Ended March 31
	2025		2024
Additions of property, plant and equipment	$	3,992,520	$	3,614,862
Changes in other payables		1,414,830		1,427,687

Payments for acquisition of property, plant and equipment	$	5,407,350	$	5,042,549

Financing Activities


	Balance on January 1,		Cash Flows from Financing			Changes in Non-Cash Transactions					Cash Flows from Operating Activities -			Balance on March 31,
	2025		Activities			New Leases		Others			Interest Paid			2025
Lease liabilities	$	10,891,377	$	(1,203,598	)	$	1,560,497	$	(10,319	)	$	(37,391	)	$	11,200,566


	Balance on January 1,		Cash Flows from Financing			Changes in Non-Cash Transactions					Cash Flows From Operating Activities -			Balance on March 31,
	2024		Activities			New Leases		Others			Interest Paid			2024
Lease liabilities	$	10,975,181	$	(1,055,215	)	$	979,391	$	(22,355	)	$	(29,449	)	$	10,847,553

36.	CAPITAL MANAGEMENT

The Company manages its capital to ensure that entities in the Company will be able to continue as going concerns while maximizing the return to stakeholders through the optimization of the debt and equity balance.

The capital structure of the Company consists of debt of the Company and the equity attributable to the parent.

Some consolidated entities are required to maintain minimum paid-in capital amount as prescribed by the applicable laws.

The management reviews the capital structure of the Company as needed. As part of this review, the management considers the cost of capital and the risks associated with each class of capital. According to the management’s suggestions, the Company maintains a balanced capital structure through paying cash dividends, increasing its share capital, purchasing outstanding shares, and issuing new debt or repaying debt.

- 55 -

37.	FINANCIAL INSTRUMENTS

Fair Value Information

The fair value measurement guidance establishes a framework for measuring fair value and expands disclosure about fair value measurements. The standard describes a fair value hierarchy based on three levels of inputs that may be used to measure fair value. These levels are:

Level 1 fair value measurements: These measurements are those derived from quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2 fair value measurements: These measurements are those derived from inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).

Level 3 fair value measurements: These measurements are those derived from valuation techniques that include inputs for the asset or liability that are not based on observable market data (unobservable inputs).

Financial instruments that are not measured at fair value but for which fair value is disclosed

Except those listed in the table below, the Company considers that the carrying amounts of financial assets and liabilities not measured at fair value approximate their fair values.


	March 31, 2025				December 31, 2024				March 31, 2024
	Carrying Value		Fair Value		Carrying Value		Fair Value		Carrying Value		Fair Value
Financial assets
Financial assets at amortized cost
Corporate bonds	$	2,000,000	$	2,029,710	$	2,000,000	$	2,002,268	$	—	$	—

Financial liabilities
Financial liabilities at amortized cost
Bonds payable	$	30,489,603	$	30,489,167	$	30,488,206	$	30,485,103	$	30,484,156	$	30,472,704

The fair value of bonds is measured using Level 2 inputs. The valuation of fair value is based on the quoted market prices provided by third party pricing services.

Financial instruments that are measured at fair value on a recurring basis

March 31, 2025


	Level 1		Level 2		Level 3		Total
Financial assets at FVTPL
Derivatives	$	—	$	5,048	$	—	$	5,048
Non-listed stocks		—		—		661,256		661,256
Limited partnership		—		—		362,982		362,982
Other investing agreements		—		—		58,580		58,580

	$	—	$	5,048	$	1,082,818	$	1,087,866

(Continued)

- 56 -


	Level 1		Level 2		Level 3		Total
Financial assets at FVOCI
Listed and emerging stocks	$	117,170	$	—	$	—	$	117,170
Non-listed stocks		—		—		5,183,230		5,183,230

	$	117,170	$	—	$	5,183,230	$	5,300,400

Hedging financial assets	$	—	$	30	$	—	$	30

(Concluded)

December 31, 2024


	Level 1		Level 2		Level 3		Total
Financial assets at FVTPL
Derivatives	$	—	$	290	$	—	$	290
Non-listed stocks		—		—		661,152		661,152
Limited partnership		—		—		307,327		307,327
Other investing agreements		—		—		36,757		36,757

	$	—	$	290	$	1,005,236	$	1,005,526

Financial assets at FVOCI
Listed and emerging stocks	$	126,013	$	—	$	—	$	126,013
Non-listed stocks		—		—		4,540,963		4,540,963

	$	126,013	$	—	$	4,540,963	$	4,666,976

Hedging financial assets	$	—	$	1,133	$	—	$	1,133

Hedging financial liabilities	$	—	$	1,907	$	—	$	1,907

March 31, 2024


	Level 1		Level 2		Level 3		Total
Financial assets at FVTPL
Derivatives	$	—	$	1,086	$	—	$	1,086
Listed stocks		421		—		—		421
Non-listed stocks		—		—		733,743		733,743
Limited partnership		—		—		316,646		316,646
Other investing agreements		—		—		29,458		29,458

	$	421	$	1,086	$	1,079,847	$	1,081,354

(Continued)

- 57 -


	Level 1		Level 2		Level 3		Total
Financial assets at FVOCI
Listed and emerging stocks	$	217,220	$	—	$	—	$	217,220
Non-listed stocks		—		—		4,851,591		4,851,591

	$	217,220	$	—	$	4,851,591	$	5,068,811

Hedging financial assets	$	—	$	29	$	—	$	29

Financial liabilities at FVTPL
Derivatives	$	—	$	200	$	—	$	200

(Concluded)

There were no transfers between Levels 1 and 2 for the three months ended March 31, 2025 and 2024.

The reconciliations for financial assets measured at Level 3 were listed below:

Three months ended March 31, 2025


Financial Assets	Measured at Fair Value through Profit or Loss			Measured at Fair Value through Other Comprehensive Income		Total
Balance on January 1, 2025	$	1,005,236		$	4,540,963	$	5,546,199
Acquisition		82,191			65,000		147,191
Recognized in profit or loss under “Other gains and losses”		(4,565	)		—		(4,565	)
Recognized in other comprehensive income under “Unrealized gain or loss on financial assets at fair value through other comprehensive income”		—			577,267		577,267
Proceeds from profit distribution of the investees		(44	)		—		(44	)

Balance on March 31, 2025	$	1,082,818		$	5,183,230	$	6,266,048

Unrealized gain or loss for the three months ended March 31, 2025	$	(4,565	)

- 58 -

Three months ended March 31, 2024


Financial Assets	Measured at Fair Value through Profit or Loss			Measured at Fair Value through Other Comprehensive Income		Total
Balance on January 1, 2024	$	1,035,701		$	4,168,694	$	5,204,395
Acquisition		106,222			30,000		136,222
Recognized in profit or loss under “Other gains and losses”		(62,060	)		—		(62,060	)
Recognized in other comprehensive income under “Unrealized gain or loss on financial assets at fair value through other comprehensive income”		—			652,897		652,897
Proceeds from profit distribution of the investees		(16	)		—		(16	)

Balance on March 31, 2024	$	1,079,847		$	4,851,591	$	5,931,438

Unrealized gain or loss for the three months ended March 31, 2024	$	(62,060	)

The fair values of financial assets and financial liabilities of Level 2 are determined as follows:

The fair values of financial assets and financial liabilities with standard terms and conditions and traded in active markets are determined with reference to quoted market prices.

For derivatives, fair values are estimated using discounted cash flow model. Future cash flows are estimated based on observable inputs including forward exchange rates at the end of the reporting periods and the forward and spot exchange rates stated in the contracts, discounted at a rate that reflects the credit risk of various counterparties.

The fair values of non-listed domestic and foreign equity investments and other investing agreements were Level 3 financial assets and determined using the market approach by reference the Price-to-Book ratios (P/B ratios) of peer companies that traded in active markets, using the income approach, in which the discounted cash flow is used to capture the present value of the expected future economic benefits to be derived from the investments, or using assets approach. The significant unobservable inputs used were listed in the below table. An increase in growth rate of long-term revenue, a decrease in discount for the lack of marketability or noncontrolling interests discount, or a decrease in the discount rate would result in increases in the fair values.


	March 31, 2025	December 31, 2024	March 31, 2024
Discount for lack of marketability	20.00%~30.00%	20.00%~30.00%	4.91%~20.00%
Noncontrolling interests discount	15.00%~29.04%	15.00%~29.04%	17.01%~25.00%
Growth rate of long-term revenue	1.33%	0.12%	0.12%
Discount rate	8.14%~14.80%	8.32%~14.40%	7.08%~9.00%

- 59 -

If the inputs to the valuation model were changed to reflect reasonably possible alternative assumptions while all the other variables were held constant, the fair values of Level 3 financial assets would increase (decrease) as below table.


	March 31, 2025			March 31, 2024
Discount for lack of marketability
5% increase	$	(63,808	)	$	(49,062	)

5% decrease	$	63,808		$	48,788

Noncontrolling interests discount
5% increase	$	(52,040	)	$	(21,359	)

5% decrease	$	52,040		$	21,359

Growth rate of long-term revenue
0.1% increase	$	38,672		$	38,699

0.1% decrease	$	(37,963	)	$	(37,978	)

Discount rate
1% increase	$	(463,572	)	$	(462,559	)

1% decrease	$	569,057		$	569,394

Categories of Financial Instruments


	March 31, 2025		December 31, 2024		March 31, 2024
Financial assets
Measured at FVTPL
Mandatorily measured at FVTPL	$	1,087,866	$	1,005,526	$	1,081,354
Hedging financial assets		30		1,133		29
Financial assets at amortized cost (Note a)		93,593,518		91,048,373		86,768,023
Financial assets at FVOCI		5,300,400		4,666,976		5,068,811
Financial liabilities
Measured at FVTPL
Held for trading		—		—		200
Hedging financial liabilities		—		1,907		—
Financial liabilities at amortized cost (Note b)		61,185,090		69,231,194		60,120,378


Note a:		The balances included cash and cash equivalents, trade notes and accounts receivable, receivables from related parties, other current monetary assets, financial assets at amortized cost and refundable deposits (classified as other noncurrent assets).

Note b:		The balances included short-term loans, trade notes and accounts payable, payables to related parties, partial other payables, customers’ deposits, bonds payable (including the current portion) and long-term loans (including the current portion).

Financial Risk Management Objectives

The main financial instruments of the Company include investments in equity and debt instruments, trade notes and accounts receivable, trade notes and accounts payable, lease liabilities, loans and bonds payable. The Company’s Finance Department provides services to its business units, co-ordinates access to domestic and international capital markets, monitors and manages the financial risks relating to the operations of the Company through internal risk reports which analyze exposures by degree and magnitude of risks. These risks include market risk (including foreign currency risk, interest rate risk and other price risk), credit risk, and liquidity risk.

- 60 -

The Company seeks to minimize the effects of these risks by using derivative financial instruments to hedge risk exposures. The use of financial derivatives is governed by the Company’s policies approved by the Board of Directors. Those derivatives are used to hedge the risks of exchange rate fluctuation arising from operating or investment activities. Compliance with policies and risk exposure limits is reviewed by the Company’s Finance Department on a continuous basis. The Company does not enter into or trade financial instruments, including derivative financial instruments, for speculative purposes.

Chunghwa reports the significant risk exposures and related action plans timely and actively to the audit committee and if needed to the Board of Directors.

a.	Market risk

The Company is exposed to market risks of changes in foreign currency exchange rates and interest rates. The Company uses forward exchange contracts to hedge the exchange rate risk arising from assets and liabilities denominated in foreign currencies.

There were no changes to the Company’s exposure to market risks or the manner in which these risks are managed and measured.

Foreign currency risk

For details about the carrying amounts of the Company’s foreign currency denominated monetary assets and monetary liabilities at the balance sheet dates, please refer to Note 42 Significant Assets and Liabilities Denominated in Foreign Currencies.

The carrying amounts of the Company’s derivatives with exchange rate risk exposures at the balance sheet dates were as follows:


	March 31, 2025		December 31, 2024		March 31, 2024
Assets
USD	$	1,001	$	263	$	—
EUR		4,077		1,160		1,115
Liabilities
EUR		—		1,907		200

Foreign currency sensitivity analysis

The Company is mainly exposed to the fluctuations of the currencies USD, EUR, SGD and RMB.

The following table details the Company’s sensitivity to a 5% increase and decrease in the functional currency against the relevant foreign currencies. 5% is the sensitivity rate used when reporting foreign currency risk internally to key management personnel and represents management’s assessment of the reasonably possible changes in foreign exchange rates. The sensitivity analysis includes only outstanding foreign currency denominated monetary items and forward exchange contracts. A positive number below indicates an increase in pre-tax profit or equity where the functional currency weakens 5% against the relevant currency.

- 61 -


	Three Months Ended March 31
	2025			2024
Profit or loss
Monetary assets and liabilities (a)
USD	$	56,642		$	31,943
EUR		(24,096	)		(30,842	)
SGD		(24,264	)		(39,060	)
RMB		3,875			6,004
Derivatives (b)
USD		9,230			—
EUR		4,137			(1,206	)
Equity
Derivatives (c)
EUR		306			2,412

This is mainly attributable to the exposure to foreign currency denominated receivables and payables of the Company outstanding at the balance sheet dates.

This is mainly attributable to forward exchange contracts.

This is mainly attributable to the changes in the fair value of derivatives that are designated as cash flow hedges.

For a 5% strengthening of the functional currency against the relevant currencies, there would be an equal and opposite effect on the pre-tax profit or equity for the amounts shown above.

Interest rate risk

The carrying amounts of the Company’s exposures to interest rates on financial assets and financial liabilities at the balance sheet dates were as follows:


	March 31, 2025		December 31, 2024		March 31, 2024
Fair value interest rate risk
Financial assets	$	55,909,740	$	47,562,672	$	49,803,317
Financial liabilities		41,940,169		41,444,583		41,581,709
Cash flow interest rate risk
Financial assets		10,228,959		12,949,846		9,740,595
Financial liabilities		1,915,000		1,785,000		1,815,000

Interest rate sensitivity analysis

The sensitivity analyses below have been determined based on the exposure to interest rates for non-derivative instruments at the end of the reporting period. A 25 basis point increase or decrease is used when reporting interest rate risk internally to key management personnel and represents management’s assessment of the reasonably possible change in interest rates.

If interest rates had been 25 basis points higher/lower and all other variables were held constant, the Company’s pre-tax income would increase/decrease by $20,785 thousand and $19,814 thousand for the three months ended March 31, 2025 and 2024, respectively. This is mainly attributable to the Company’s exposure to floating interest rates on its financial assets, short-term and long-term loans.

- 62 -

Other price risk

The Company is exposed to equity price risks arising from holding other company’s equity. Equity investments are held for strategic rather than trading purposes. The management managed the risk through holding various risk portfolios. Further, the Company assigned finance and investment departments to monitor the price risk.

Equity price sensitivity analysis

The sensitivity analyses below have been determined based on the exposure to equity price risks at the end of the reporting period.

If equity prices had been 5% higher/lower, pre-tax profit and pre-tax other comprehensive income would have increased/decreased by $51,212 thousand and $265,020 thousand, respectively, as a result of the changes in fair value of financial assets at FVTPL and financial assets at FVOCI for the three months ended March 31, 2025. If equity prices had been 5% higher/lower, pre-tax profit and pre-tax other comprehensive income would have increased/decreased by $52,541 thousand and $253,441 thousand, respectively, as a result of the changes in fair value of financial assets at FVTPL and financial assets at FVOCI for the three months ended March 31, 2024.

Credit risk

Credit risk refers to the risk that a counterparty would default on its contractual obligations resulting in financial loss to the Company. The maximum credit exposure of the aforementioned financial instruments is equal to their carrying amounts recognized in the consolidated balance sheet as of the balance sheet date.

The Company has large trade receivables outstanding with its customers. A substantial majority of the Company’s outstanding trade receivables are not covered by collateral or credit insurance. The Company has implemented ongoing measures including enhancing credit assessments and strengthening overall risk management to reduce its credit risk. While the Company has procedures to monitor and limit exposure to credit risk on trade receivables, there can be no assurance such procedures will effectively limit its credit risk and avoid losses. This risk is heightened during periods when economic conditions worsen. As the Company serves a large number of unrelated consumers, the concentration of credit risk was limited.

The Company mitigates its financial credit risk by selecting counterparties with investment grade credit ratings and by limiting the exposure to any individual counterparty. The Company regularly monitors and reviews market conditions, and adjusts the limit applied to counterparties according to their credit standing.

In accordance with the Company’s investment and risk management policies, counterparties for debt investments must be financial institutions with investment grade or higher, and thus there is no significant credit exposure resulting from such investments. The Company assesses whether there has been a significant increase in credit risk on debt instruments since initial recognition by reviewing changes in financial market conditions, and external credit ratings and material information of the issuers.

The Company assesses the 12-month expected credit loss and lifetime expected credit loss for debt instruments based on the probability of default and loss given default provided by external credit rating agencies.

- 63 -

Liquidity risk

The Company manages and maintains sufficient cash and cash equivalent position to support the operations and reduce the impact on fluctuation of cash flow.

Liquidity and interest risk tables

The following tables detailed the Company’s remaining contractual maturity for its non-derivative financial liabilities with agreed repayment periods. The tables had been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the Company is required to pay.

March 31, 2025


	Weighted Average Effective Interest Rate (%)		Less than 1 Month		1-3 Months		3 Months to 1 Year		1-5 Years		More than 5 Years		Total
Non-derivative financial liabilities
Non-interest bearing		—	$	31,193,259	$	—	$	3,105,520	$	5,160,925	$	—	$	39,459,704
Floating interest rate instruments		2.13		3,904		106,706		211,972		1,680,673		—		2,003,255
Fixed interest rate instruments		0.55		43,434		278,007		8,963,294		17,225,427		4,712,692		31,222,854

			$	31,240,597	$	384,713	$	12,280,786	$	24,067,025	$	4,712,692	$	72,685,813

Information about the maturity analysis for lease liabilities was as follows:


	Less than 1 Year		1-3 Years		3-5 Years		More than 5 Years		Total
Lease liabilities	$	3,766,707	$	5,516,994	$	2,022,421	$	158,836	$	11,464,958

December 31, 2024


	Weighted Average Effective Interest Rate (%)		Less than 1 Month		1-3 Months		3 Months to 1 Year		1-5 Years		More than 5 Years		Total
Non-derivative financial liabilities
Non-interest bearing		—	$	42,220,071	$	—	$	2,499,932	$	5,310,453	$	—	$	50,030,456
Floating interest rate instruments		2.08		103,653		5,794		79,384		1,691,150		—		1,879,981
Fixed interest rate instruments		0.54		78,746		45,166		8,968,938		17,248,299		4,719,401		31,060,550

			$	42,402,470	$	50,960	$	11,548,254	$	24,249,902	$	4,719,401	$	82,970,987

Information about the maturity analysis for lease liabilities was as follows:


	Less than 1 Year		1-3 Years		3-5 Years		More than 5 Years		Total
Lease liabilities	$	3,586,029	$	5,255,191	$	2,142,230	$	164,061	$	11,147,511

March 31, 2024


	Weighted Average Effective Interest Rate (%)		Less than 1 Month		1-3 Months		3 Months to 1 Year		1-5 Years		More than 5 Years		Total
Non-derivative financial liabilities
Non-interest bearing		—	$	30,139,431	$	—	$	2,688,772	$	5,105,091	$	—	$	37,933,294
Floating interest rate instruments		1.95		3,646		220,445		1,604,989		—		—		1,829,080
Fixed interest rate instruments		0.54		163,877		56,523		293,616		26,120,293		4,737,287		31,371,596

			$	30,306,954	$	276,968	$	4,587,377	$	31,225,384	$	4,737,287	$	71,133,970

- 64 -

Information about the maturity analysis for lease liabilities was as follows:


	Less than 1 Year		1-3 Years		3-5 Years		More than 5 Years		Total
Lease liabilities	$	3,462,694	$	4,871,329	$	2,320,025	$	413,018	$	11,067,066

The following table detailed the Company’s liquidity analysis for its derivative financial instruments. The table had been drawn up based on the undiscounted gross inflows and outflows on those derivatives that require gross settlement.


	Less than 1 Month			1-3 Months			3 Months to 1 Year		1-5 Years		Total
March 31, 2025
Gross settled
Forward exchange contracts
Inflow	$	184,338		$	88,578		$	—	$	—	$	272,916
Outflow		183,337			84,501			—		—		267,838

	$	1,001		$	4,077		$	—	$	—	$	5,078

December 31, 2024
Gross settled
Forward exchange contracts
Inflow	$	46,142		$	350,466		$	—	$	—	$	396,608
Outflow		45,879			351,213			—		—		397,092

	$	263		$	(747	)	$	—	$	—	$	(484	)

March 31, 2024
Gross settled
Forward exchange contracts
Inflow	$	130,824		$	154,125		$	—	$	—	$	284,949
Outflow		131,024			153,010			—		—		284,034

	$	(200	)	$	1,115		$	—	$	—	$	915

Financing facilities


	March 31, 2025		December 31, 2024		March 31, 2024
Unsecured bank loan facilities
Amount used	$	565,000	$	250,000	$	465,000
Amount unused		50,454,845		56,438,486		57,588,866

	$	51,019,845	$	56,688,486	$	58,053,866

Secured bank loan facilities
Amount used	$	1,600,000	$	1,600,000	$	1,600,000
Amount unused		15,000		15,000		20,000

	$	1,615,000	$	1,615,000	$	1,620,000

- 65 -

38.	RELATED PARTIES TRANSACTIONS

The ROC Government has significant equity interest in Chunghwa. Chunghwa provides fixed-line services, mobile services, internet and data and other services to the various departments and institutions of the ROC Government in the normal course of business and at arm’s-length prices. Except for those disclosed in other notes or this note, the transactions with the ROC government bodies have not been disclosed because the transactions are not individually or collectively significant. However, the related revenues and operating costs have been appropriately recorded.

The Company engages in business transactions with the following related parties:


Company		Relationship
Taiwan International Standard Electronics Co., Ltd.		Associate
So-net Entertainment Taiwan Limited		Associate
KKBOX Taiwan Co., Ltd.		Associate
KingwayTek Technology Co., Ltd.		Associate
Taiwan International Ports Logistics Corporation		Associate
Senao Networks, Inc.		Associate
EnGenius Networks Inc.		Subsidiary of the Company’s associate, SNI
EnRack Technology Inc.		Subsidiary of the Company’s associate, SNI
Emplus Technologies, Inc.		Subsidiary of the Company’s associate, SNI
ST-2 Satellite Ventures Pte., Ltd.		Associate
CHT Infinity Singapore Pte., Ltd.		Associate
Viettel-CHT Co., Ltd.		Associate
PT. CHT Infinity Indonesia		Subsidiary of the Company’s associate, CISG
Click Force Co., Ltd.		Associate
Chunghwa PChome Fund I Co., Ltd.		Associate
Cornerstone Ventures Co., Ltd.		Associate
Next Commercial Bank Co., Ltd.		Associate
WiAdvance Technology Corporation		Associate
AgriTalk Technology Inc.		Associate
Imedtac Co., Ltd.		Associate
Baohwa Trust Co., Ltd.		Associate
Porrima Inc.		Associate
Taiwania Hive Technology Fund L.P.		Associate
Chunghwa Sochamp Technology Inc.		Associate
Chunghwa SEA Holdings		Joint venture
Other related parties
Chunghwa Telecom Foundation		A nonprofit organization of which the funds donated by Chunghwa exceeds one third of its total funds
Senao Technical and Cultural Foundation		A nonprofit organization of which the funds donated by SENAO exceeds one third of its total funds
Tsann Kuen Enterprise Co., Ltd.		Substantial related party of SENAO
E-Life Mall Co., Ltd.		Substantial related party of SENAO
Engenius Technologies Co., Ltd.		Substantial related party of SENAO
Cheng Keng Investment Co., Ltd.		Substantial related party of SENAO
Cheng Feng Investment Co., Ltd.		Substantial related party of SENAO
All Oriented Investment Co., Ltd.		Substantial related party of SENAO
Hwa Shun Investment Co., Ltd.		Substantial related party of SENAO
Yu Yu Investment Co., Ltd.		Substantial related party of SENAO
Kangsin Co., Ltd.		Substantial related party of SENAO

(Continued)

- 66 -


Company		Relationship
United Daily News Co., Ltd.		Investor of significant influence over SFD
Shenzhen Century Communication Co., Ltd.		Investor of significant influence over SCT
Advantech Co., Ltd.		Investor of significant influence over IISI

(Concluded)

Balances and transactions between Chunghwa and its subsidiaries, which are related parties of Chunghwa, have been eliminated on consolidation and are not disclosed in this note. Terms of the foregoing transactions with related parties were not significantly different from transactions with non-related parties. When no similar transactions with non-related parties can be referenced, terms were determined in accordance with mutual agreements. Details of transactions between the Company and other related parties are disclosed below:

Operating transactions


	Revenues
	Three Months Ended March 31
	2025		2024
Associates	$	80,905	$	79,579
Others		43,126		5,163

	$	124,031	$	84,742


	Operating Costs and Expenses
	Three Months Ended March 31
	2025		2024
Associates	$	190,994	$	217,009
Others		70,290		70,428

	$	261,284	$	287,437

Non-operating transactions


	Non-operating Income and Expenses
	Three Months Ended March 31
	2025		2024
Associates	$	10,462	$	9,513
Others		—		100

	$	10,462	$	9,613

Receivables


	March 31, 2025		December 31, 2024		March 31, 2024
Associates	$	132,130	$	183,753	$	75,164
Others		22,472		9,251		1,482

	$	154,602	$	193,004	$	76,646

- 67 -

Payables


	March 31, 2025		December 31, 2024		March 31, 2024
Associates	$	110,482	$	476,069	$	181,223
Others		9,692		4,332		4,728

	$	120,174	$	480,401	$	185,951

Customers’ deposits


	March 31, 2025		December 31, 2024		March 31, 2024
Associates	$	3,144	$	3,557	$	19,399
Others		—		—		284

	$	3,144	$	3,557	$	19,683

Acquisition of intangible assets


	Three Months Ended March 31
	2025		2024
Associates	$	—	$	429

Lease-in agreements

Chunghwa entered into a contract with ST-2 Satellite Ventures Pte., Ltd. on March 12, 2010 to lease capacity on the ST-2 satellite. This lease term is for 15 years which should start from the official operation of ST-2 satellite and the total contract value is approximately $6,000,000 thousand (SGD 260,723 thousand), including a prepayment of $3,067,711 thousand at the inception of the lease, and the rest of amount should be paid annually when ST-2 satellite starts its official operation. ST-2 satellite was launched in May 2011 and began its official operation in August 2011. As ST-2 satellite is in good operating condition, the useful life is extended for another 3 years and 3 months after evaluation in 2021. The Board of Directors of Chunghwa approved to extend the lease period accordingly with the original contract terms in December 2021; therefore, Chunghwa acquired right-of-use asset of $1,124,780 thousand from the aforementioned lease extension.

The lease liabilities of ST-2 Satellite Ventures Pte., Ltd. as of balance sheet dates were as follows:


	March 31, 2025		December 31, 2024		March 31, 2024
Lease liabilities - current	$	209,814	$	204,393	$	200,920
Lease liabilities - noncurrent		1,451,040		1,463,029		1,583,785

	$	1,660,854	$	1,667,422	$	1,784,705

The interest expense recognized for the aforementioned lease liabilities for the three months ended March 31, 2025 and 2024 were $1,763 thousand and $1,898 thousand, respectively.

- 68 -

Others

The bank deposits and other financial assets of NCB as of balance sheet dates were as follows:


	March 31, 2025		December 31, 2024		March 31, 2024
Bank deposits and other financial assets	$	2,757,493	$	2,708,878	$	1,266,920

The interest income recognized for the aforementioned bank deposits and other financial assets for the three months ended March 31, 2025 and 2024 were $15,063 thousand and $3,856 thousand, respectively.

Compensation of key management personnel

The compensation of directors and key management personnel was as follows:


	Three Months Ended March 31
	2025		2024
Short-term employee benefits	$	120,873	$	101,443
Post-employment benefits		2,439		2,298
Share-based payment		154		324

	$	123,466	$	104,065

The compensation of directors and key management personnel was mainly determined by the compensation committee having regard to the performances and market trends.

39.	PLEDGED ASSETS

The following assets are mainly pledged as collaterals for bank loans, customs duties of the imported materials and warranties of contract performance, or the trust account the Company entrusts to Land Bank of Taiwan for fund control and property rights management.


	March 31, 2025		December 31, 2024		March 31, 2024
Property, plant and equipment	$	2,431,942	$	2,439,320	$	2,461,456
Land held under development (included in inventories)		1,998,733		1,998,733		1,998,733
Restricted assets (included in other assets - others)		1,185,874		1,189,118		665,077

	$	5,616,549	$	5,627,171	$	5,125,266

40.	SIGNIFICANT CONTINGENT LIABILITIES AND UNRECOGNIZED COMMITMENTS

Except for those disclosed in other notes, the Company’s significant commitments and contingent liabilities as of March 31, 2025 were as follows:

Acquisitions of property, plant and equipment of $15,578,686 thousand.

- 69 -

Acquisitions of telecommunications-related inventory of $5,018,172 thousand.

Unused letters of credit amounting to $10,000 thousand.

A commitment to contribute $2,000,000 thousand to a Piping Fund administered by the Taipei City Government, of which $1,000,000 thousand was contributed by Chunghwa on August 15, 1996 (classified as other financial assets - noncurrent). If the fund is not sufficient, Chunghwa will contribute the remaining $1,000,000 thousand upon notification from the Taipei City Government.

Chunghwa committed that when its ownership interest in NCB is greater than 25% and NCB encounters financial difficulty or the capital adequacy ratio of NCB cannot meet the related regulation requirements, Chunghwa will provide financial support to assist NCB in maintaining a healthy financial condition.

Chunghwa signed a contract, the ST-2 Satellite Succession Plan, with Singapore Telecommunications Limited, for a total transaction price of EUR 177,000 thousand and SGD 51,000 thousand. As of March 31, 2025, Chunghwa had paid the amount of EUR 99,120 thousand (classified as prepayments - noncurrent).

The Company has signed the house and land presale contracts amounting to $7,703,522 thousand and has received $1,064,150 thousand in accordance with the contracts (classified as contract liabilities).

Chunghwa’s Board of Directors approved an investment in Cultural Content Industry Fund in February 2024. The investment amount is capped at $1,200,000 thousand.

41.	SIGNIFICANT SUBSEQUENT EVENTS

Chunghwa’s Board of Directors approved a satellite investment project with Astranis Space Technologies Corp. in April 2025, with an investment amount not exceeding USD 115,000 thousand.

42.	SIGNIFICANT ASSETS AND LIABILITIES DENOMINATED IN FOREIGN CURRENCIES

The following information summarizes the disclosure of foreign currencies other than the functional currency of Chunghwa and its subsidiaries. The following exchange rates are the exchange rates used to translate to the presentation currency of the consolidated financial statements, which is the NTD:


	March 31, 2025
	Foreign Currencies (Thousands)		Exchange Rate		New Taiwan Dollars (Thousands)
Assets denominated in foreign currencies
Monetary items
USD	$	68,543		33.21	$	2,275,962
EUR		1,679		35.97		60,376
SGD		50,440		24.77		1,249,398
RMB		25,662		4.573		117,351

(Continued)

- 70 -


	March 31, 2025
	Foreign Currencies (Thousands)		Exchange Rate		New Taiwan Dollars (Thousands)
Non-monetary items
Investments accounted for using equity method
USD	$	8,133		33.21	$	270,060
SGD		14,732		24.77		364,913
VND		472,913,382		0.0013		605,329
Liabilities denominated in foreign currencies
Monetary items
USD		34,426		33.21		1,143,129
EUR		15,077		35.97		542,303
SGD		70,032		24.77		1,734,687
RMB		8,714		4.573		39,850

(Concluded)


	December 31, 2024
	Foreign Currencies (Thousands)		Exchange Rate		New Taiwan Dollars (Thousands)
Assets denominated in foreign currencies
Monetary items
USD	$	90,344		32.79	$	2,961,914
EUR		1,663		34.14		56,783
SGD		44,547		24.13		1,074,925
RMB		39,339		4.478		176,160
Non-monetary items
Investments accounted for using equity method
USD		8,424		32.79		276,180
SGD		12,991		24.13		313,467
VND		451,398,010		0.0013		573,275
Liabilities denominated in foreign currencies
Monetary items
USD		37,087		32.79		1,215,887
EUR		30,433		34.14		1,038,994
SGD		72,054		24.13		1,738,668
RMB		9,244		4.478		41,394

- 71 -


	March 31, 2024
	Foreign Currencies (Thousands)		Exchange Rate		New Taiwan Dollars (Thousands)
Assets denominated in foreign currencies
Monetary items
USD	$	56,619		32.00	$	1,811,804
EUR		1,499		34.46		51,665
SGD		45,094		23.72		1,069,620
RMB		36,927		4.408		162,773
Non-monetary items
Investments accounted for using equity method
SGD		13,575		23.72		322,008
VND		446,926,254		0.0013		567,596
Liabilities denominated in foreign currencies
Monetary items
USD		36,655		32.00		1,172,953
EUR		19,399		34.46		668,501
SGD		78,027		23.72		1,850,812
RMB		9,686		4.408		42,697

The unrealized foreign currency exchange gains and losses were loss of $62,823 thousand and gain of $5,185 thousand for the three months ended March 31, 2025 and 2024, respectively. Due to the various foreign currency transactions and the functional currency of each individual entity of the Company, foreign exchange gains and losses cannot be disclosed by the respective significant foreign currency.

43.	ADDITIONAL DISCLOSURES

Following are the additional disclosures required by the FSC for the Company:

Financing provided: None.

Endorsement/guarantee provided: Please see Table 1.

Significant marketable securities held (excluding investments in subsidiaries, associates and interests in joint ventures): Please see Table 2.

Total purchases from or sales to related parties amounting to at least $100 million or 20% of the paid-in capital: Please see Table 3.

Receivables from related parties amounting to $100 million or 20% of the paid-in capital: Please see Table 4.

Names, locations, and other information of investees on which the Company exercises significant influence (excluding investments in Mainland China): Please see Table 5.

- 72 -

Investments in Mainland China: Please see Table 6.

Intercompany relationships and significant intercompany transactions: Please see Table 7.

44.	SEGMENT INFORMATION

The Company’s reportable segments are “Consumer Business”, “Enterprise Business”, “International Business” and “Others”, which are managed separately because each segment represents a strategic business unit that serves different customers. Segment information is provided to the chief operating decision maker who allocates resources and assesses segment performance. The Company’s measure of segment performance is mainly based on revenues and income before income tax.

Some operating segments have been aggregated into a single operating segment taking into account the following factors: (a) the type or class of customer for the telecommunications products and services are similar; (b) the nature of the telecommunications products and services are similar; and (c) the methods used to provide the services to the customers are similar.

The accounting policies of the operating segments are the same as those described in Note 3.

Segment Revenues and Operating Results

Analysis by reportable segment of revenues and operating results of continuing operations are as follows:


	Consumer Business		Enterprise Business		International Business		Others		Total
Three months ended March 31, 2025
Revenues
From external customers	$	34,569,028	$	17,335,780	$	2,435,256	$	1,468,345	$	55,808,409
Intersegment revenues		597,174		223,671		241,965		95,601		1,158,411

Segment revenues	$	35,166,202	$	17,559,451	$	2,677,221	$	1,563,946		56,966,820

Intersegment elimination										(1,158,411	)

Consolidated revenues									$	55,808,409

Segment income before income tax	$	8,131,135	$	3,286,461	$	632,544	$	648,871	$	12,699,011

Three months ended March 31, 2024
Revenues
From external customers	$	34,624,542	$	16,952,309	$	2,413,413	$	953,207	$	54,943,471
Intersegment revenues		587,834		176,059		239,926		90,976		1,094,795

Segment revenues	$	35,212,376	$	17,128,368	$	2,653,339	$	1,044,183		56,038,266

Intersegment elimination										(1,094,795	)

Consolidated revenues									$	54,943,471

Segment income before income tax	$	7,743,505	$	3,416,895	$	622,617	$	204,723	$	11,987,740

- 73 -

Main Products and Service Revenues


	Three Months Ended March 31
	2025		2024
Consumer Business
Mobile services	$	14,530,554	$	14,092,595
Fixed-line services		10,694,341		10,691,130
Sales		8,613,930		9,244,106
Others		730,203		596,711

		34,569,028		34,624,542

Enterprise Business
Fixed-line services		8,236,570		8,334,485
ICT business		5,926,892		5,311,234
Mobile services		2,287,993		2,252,916
Others		884,325		1,053,674

		17,335,780		16,952,309

International Business
Fixed-line services		1,265,630		1,267,581
ICT business		1,022,298		844,825
Others		147,328		301,007

		2,435,256		2,413,413

Others
Sales		1,236,957		720,099
Others		231,388		233,108

		1,468,345		953,207

	$	55,808,409	$	54,943,471

- 74 -

TABLE 1

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

ENDORSEMENTS/GUARANTEES PROVIDED

THREE MONTHS ENDED MARCH 31, 2025

(Amounts in Thousands of New Taiwan Dollars)

No.

(Note 1)

Endorsement/
Guarantee
Provider

Guaranteed Party

Limits on
Endorsement/
Guarantee
Amount
Provided to
Each
Guaranteed
Party

Maximum
Balance
for the
Period

Ending
Balance

Actual
Borrowing
Amount

Amount of
Endorsement/
Guarantee
Collateralized
by
Properties

Ratio of
Accumulated
Endorsement/
Guarantee to
Net
Equity Per
Latest
Financial
Statements

Maximum
Endorsement/
Guarantee
Amount
Allowable

Endorsement/
Guarantee
Given
by Parent on
Behalf of
Subsidiaries

Endorsement/
Guarantee
Given
by
Subsidiaries
on
Behalf of
Parent

Endorsement/
Guarantee
Given
on Behalf of
Companies in
Mainland
China

Note

Name

Nature of
Relationship
(Note 2)

Senao
International
Co., Ltd.

Aval
Technologies
Co., Ltd.

613,068

300,000

—

4.89

3,065,341

Yes

Notes 3 and 4

Wiin
Technology
Co., Ltd.

613,068

200,000

—

3.26

3,065,341

Yes

Notes 3 and 4

Note 1:

Significant transactions between the Company and its subsidiaries or among subsidiaries are numbered as follows:

“0” for the Company.

Subsidiaries are numbered from “1”.

Note 2:

Relationships between the endorsement/guarantee provider and the guaranteed party:

A company with which it does business.

A company in which the Company directly and indirectly holds more than 50 percent of the voting shares.

A company that directly and indirectly holds more than 50 percent of the voting shares in the Company.

Companies in which the Company holds, directly or indirectly, 90% or more of the voting shares.

The Company fulfills its contractual obligations by providing mutual endorsements/guarantees for another company in the same industry or for joint builders for purposes of undertaking a construction project.

All capital contributing shareholders make endorsements/guarantees for their jointly invested company in proportion to their shareholding percentages.

Companies in the same industry provide among themselves jointly and severally guarantee for a performance guarantee of a sales contract for pre-construction homes pursuant to the Consumer Protection Act for each other.

Note 3:

The limits on endorsement or guarantee amount provided to each guaranteed party is up to 10% of the net assets value of the latest financial statements of Senao International Co., Ltd.

Note 4:

The total amount of endorsement or guarantee that the Company is allowed to provide is up to 50% of the net assets value of the latest financial statements of Senao International Co., Ltd.

- 75 -

TABLE 2

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

SIGNIFICANT MARKETABLE SECURITIES HELD

MARCH 31, 2025

(Amounts in Thousands of New Taiwan Dollars)



Held Company Name	Marketable Securities Type and Name	Relationship with the Company		Financial Statement Account	March 31, 2025								Note
Held Company Name	Marketable Securities Type and Name	Relationship with the Company		Financial Statement Account	Shares (Thousands/ Thousand Units)		Carrying Value (Note 1)		Percentage of Ownership		Fair Value		Note
Chunghwa Telecom Co., Ltd.	Stocks
	Taipei Financial Center Corp.		—	Financial assets at FVOCI		172,927	$	4,326,530		12	$	4,326,530		—
	iKala Global Online Corp.		—	Financial assets at FVOCI		112,500		275,217		8		275,217		—
	KKCompany Technologies Inc.		—	Financial assets at FVOCI		2,762		274,321		2		274,321		—
	4 Gamers Entertainment Inc.		—	Financial assets at FVOCI		136		118,280		19.9		118,280		—
	Industrial Bank of Taiwan II Venture Capital Co., Ltd. (IBT II)		—	Financial assets at FVOCI		5,252		19,183		17		19,183		—
	Taiwan mobile payment Co., Ltd.		—	Financial assets at FVOCI		1,200		4,578		2		4,578		—
	Innovation Works Limited		—	Financial assets at FVOCI		1,000		3,610		2		3,610		—
	RPTI Intergroup International Ltd.		—	Financial assets at FVOCI		4,765		—		10		—		—
	Global Mobile Corp.		—	Financial assets at FVOCI		7,617		—		3		—		—
	Taiwania Capital Buffalo Fund Co., Ltd.		—	Financial assets at FVTPL - noncurrent		555,600		450,247		13		450,247		—
	TOP TAIWAN XIV VENTURE CAPITAL CO., LTD.		—	Financial assets at FVTPL - noncurrent		20,000		176,030		9		176,030		—
	Innovation Works Development Fund, L.P.		—	Financial assets at FVTPL - noncurrent		—		19,493		4		19,493		—
	Limited partnership
	Taiwania Capital Buffalo Fund VI, L.P.		—	Financial assets at FVTPL - noncurrent		—		273,238		10		273,238		—
	TRF 1 L.P.		—	Financial assets at FVTPL - noncurrent		—		60,000		10		60,000		—
	Corporate bonds
	Fubon Life Insurance Co., Ltd.		—	Financial assets at amortized cost		2		2,000,000		—		2,029,710		Note 3
Senao International Co., Ltd.	Stocks
	N.T.U. Innovation Incubation Corporation		—	Financial assets at FVOCI		1,200		10,842		9		10,842		—
CHIEF Telecom Inc.	Stocks
	WT Microelectronics Co., Ltd.		—	Financial assets at FVOCI		361		18,050		—		18,050		Note 2
	3 Link Information Service Co., Ltd.		—	Financial assets at FVOCI		37		6,390		10		6,390		—

(Continued)

- 76 -

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

SIGNIFICANT MARKETABLE SECURITIES HELD

MARCH 31, 2025

(Amounts in Thousands of New Taiwan Dollars)


Held Company Name	Marketable Securities Type and Name	Relationship with the Company		Financial Statement Account	March 31, 2025								Note
Held Company Name	Marketable Securities Type and Name	Relationship with the Company		Financial Statement Account	Shares (Thousands/ Thousand Units)		Carrying Value (Note 1)		Percentage of Ownership		Fair Value		Note
Chunghwa Investment Co., Ltd.	Stocks
	PChome Online Inc.		—	Financial assets at FVOCI		1,875	$	73,605		1	$	73,605		Note 2
	Tatung Technology Inc.		—	Financial assets at FVOCI		4,571		39,509		11		39,509		—
	Bossdom Digiinnovation Co., Ltd.		—	Financial assets at FVOCI		2,309		25,515		7		25,515		Note 2
	KEYXENTIC INC.		—	Financial assets at FVOCI		600		26,399		9		26,399		—
	ioNetworks Inc.		—	Financial assets at FVOCI		107		13,371		2		13,371		—
	iSing99 Inc.		—	Financial assets at FVOCI		10,000		—		7		—		—
	Powtec ElectroChemical Corporation		—	Financial assets at FVOCI		20,000		—		2		—		—
	Limited partnership
	Taiwania Capital Buffalo Fund V, L.P.		—	Financial assets at FVTPL - noncurrent		—		29,744		3		29,744		—
CHT Security Co., Ltd.	Stocks
	TXOne Networks Inc.		—	Financial assets at FVTPL - noncurrent		91		15,486		—		15,486		—
	CyCraft Technology Corporation		—	Financial assets at FVOCI		912		65,000		3		65,000		—

Note 1: Except debt instrument investments are shown at amortized cost, the remaining are shown at carrying amounts with fair value adjustments.

Note 2: Fair value was based on the closing price on the last trading day of the reporting period in the stock market.

Note 3: Fair value was based on the weighted average price per 100 units of par value for bonds on the last trading day of the reporting period in the over-the-counter market.

(Concluded)

- 77 -

TABLE 3

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

TOTAL PURCHASES FROM OR SALES TO RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL

THREE MONTHS ENDED MARCH 31, 2025

(Amounts in Thousands of New Taiwan Dollars)


Company Name	Related Party	Nature of Relationship	Transaction Details						Abnormal Transaction (Note 3)				Notes / Accounts Payable or Receivable
Company Name	Related Party	Nature of Relationship	Purchases/Sales (Note 1)	Amount (Note 4)		% to Total		Payment Terms	Unit Price		Payment Terms		Ending Balance (Notes 2 and 4)			% to Total
Chunghwa Telecom Co., Ltd.	Senao International Co., Ltd.	Subsidiary	Sales	$	1,021,885		2	30 days	$	—		—	$	263,440			1
			Purchase		350,193		1	30~90 days		—		—		(1,058,985	)		(14	)
	CHIEF Telecom Inc.	Subsidiary	Sales		126,837		—	30 days		—		—		68,064			—
	Chunghwa System Integration Co., Ltd.	Subsidiary	Purchase		243,061		1	30 days		—		—		(268,856	)		(4	)
	Honghwa International Co., Ltd.	Subsidiary	Purchase		1,692,476		6	30~60 days		—		—		(900,870	)		(12	)
	Donghwa Telecom Co., Ltd.	Subsidiary	Purchase		136,451		—	90 days		—		—		(109,689	)		(1	)
	International Integrated Systems, Inc.	Subsidiary	Purchase		186,752		1	30 days		—		—		(100,924	)		(1	)

Note 1: Purchases include costs to acquire services.

Note 2: Notes and accounts receivable did not include the amounts collected for others and other receivables.

Note 3: Transaction terms with related parties were determined in accordance with mutual agreements when there were no similar transactions with third parties. Other transactions with related parties were not significantly different from those with third parties.

Note 4: All intercompany transactions, balances, income and expenses are eliminated upon consolidation.

- 78 -

TABLE 4

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

RECEIVABLES FROM RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL

MARCH 31, 2025

(Amounts in Thousands of New Taiwan Dollars)


Company Name	Related Party	Nature of Relationship	Ending Balance			Turnover Rate (Note 1)		Overdue				Amounts Received in Subsequent Period		Allowance for Bad Debts
Company Name	Related Party	Nature of Relationship	Ending Balance			Turnover Rate (Note 1)		Amounts		Action Taken		Amounts Received in Subsequent Period		Allowance for Bad Debts
Chunghwa Telecom Co., Ltd.	Senao International Co., Ltd.	Subsidiary	$	373,226 (Note 2	)		10.92	$	—		—	$	119,443	$	—
Senao International Co., Ltd.	Chunghwa Telecom Co., Ltd.	Parent company		1,226,937 (Note 2	)		7.89		—		—		179,033		—
Chunghwa System Integration Co., Ltd.	Chunghwa Telecom Co., Ltd.	Parent company		268,856 (Note 2	)		3.65		—		—		29,623		—
Honghwa International Co., Ltd.	Chunghwa Telecom Co., Ltd.	Parent company		920,932 (Note 2	)		5.47		—		—		80,242		—
Donghwa Telecom Co., Ltd.	Chunghwa Telecom Co., Ltd.	Parent company		109,689 (Note 2	)		5.57		—		—		65,792		—
International Integrated Systems, Inc.	Chunghwa Telecom Co., Ltd.	Parent company		100,924 (Note 2	)		8.08		—		—		43,361		—
Chunghwa Precision Test Tech. Co., Ltd.	Su Zhou Precision Test Tech. Ltd.	Subsidiary		84,640 (Note 2	)		1.43		—		—		40,830		—

Note 1: Payments and receipts collected in trust for others are excluded from the accounts receivable in calculating the turnover rate.

Note 2: The amount was eliminated upon consolidation.

- 79 -

TABLE 5

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

NAMES, LOCATIONS, AND OTHER INFORMATION OF INVESTEES IN WHICH THE COMPANY EXERCISES SIGNIFICANT INFLUENCE (EXCLUDING INVESTMENT IN MAINLAND CHINA)

THREE MONTHS ENDED MARCH 31, 2025

(Amounts in Thousands of New Taiwan Dollars)


Investor Company	Investee Company	Location	Main Businesses and Products	Original Investment Amount				Balance as of March 31, 2025						Net Income (Loss) of the Investee			Recognized Gain (Loss) (Notes 1 and 2)			Note
Investor Company	Investee Company	Location	Main Businesses and Products	March 31, 2025		December 31, 2024		Shares (Thousands)		Percentage of Ownership (%)		Carrying Value		Net Income (Loss) of the Investee			Recognized Gain (Loss) (Notes 1 and 2)			Note
Chunghwa Telecom Co., Ltd.	Senao International Co., Ltd.	Taiwan	Handset and peripherals retailer; sales of CHT mobile phone plans as an agent	$	1,065,813	$	1,065,813		71,773		28	$	1,664,489	$	115,570			30,674		Subsidiary (Notes 3 and 5)
	Light Era Development Co., Ltd.	Taiwan	Planning and development of real estate and intelligent buildings, and property management		3,000,000		3,000,000		300,000		100		3,841,348		1,449			1,881		Subsidiary (Note 5)
	Donghwa Telecom Co., Ltd.	Hong Kong	International private leased circuit, IP VPN service, and IP transit services		691,163		691,163		178,590		100		965,100		26,631			26,631		Subsidiary (Note 5)
	Chunghwa Telecom Singapore Pte., Ltd.	Singapore	International private leased circuit, IP VPN service, and IP transit services		574,112		574,112		26,383		100		1,355,094		59,305			59,335		Subsidiary (Note 5)
	Chunghwa System Integration Co., Ltd.	Taiwan	Providing system integration services and telecommunications equipment		838,506		838,506		60,000		100		712,521		7,439			17,443		Subsidiary (Note 5)
	CHIEF Telecom Inc.	Taiwan	Network integration, internet data center (“IDC”), communications integration and cloud application services		459,652		459,652		43,368		56		1,963,019		278,616			161,526		Subsidiary (Note 5)
	Chunghwa Investment Co., Ltd.	Taiwan	Investment		639,559		639,559		68,085		89		3,230,668		75,951			67,652		Subsidiary (Note 5)
	Prime Asia Investments Group Ltd.	British Virgin Islands	Investment		385,274		385,274		1		100		187,798		136			136		Subsidiary (Note 5)
	Honghwa International Co., Ltd.	Taiwan	Telecommunication engineering, sales agent of mobile phone plan application and other business services, etc.		180,000		180,000		18,000		100		761,795		82,729			84,967		Subsidiary (Notes 3 and 5)
	CHYP Multimedia Marketing & Communications Co., Ltd.	Taiwan	Digital information supply services and advertisement services		150,000		150,000		15,000		100		212,140		2,410			1,559		Subsidiary (Note 5)
	Chunghwa Telecom Vietnam Co., Ltd.	Vietnam	Intelligent energy saving solutions, international circuit, and information and communication technology (“ICT”) services		148,275		148,275		—		100		87,648		10,643			10,643		Subsidiary (Note 5)
	Chunghwa Telecom Global, Inc.	United States	International private leased circuit, internet services, and transit services		70,429		70,429		6,000		100		893,153		26,805			26,805		Subsidiary (Note 5)
	CHT Security Co., Ltd.	Taiwan	Computing equipment installation, wholesale of computing and business machinery equipment and software, management consulting services, data processing services, digital information supply services and internet identify services		230,580		230,580		23,058		63		585,102		123,432			85,993		Subsidiary (Note 5)
	Chunghwa Telecom (Thailand) Co., Ltd.	Thailand	International private leased circuit, IP VPN service, ICT and cloud VAS services		119,624		119,624		1,300		100		155,117		1,853			1,853		Subsidiary (Note 5)
	Spring House Entertainment Tech. Inc.	Taiwan	Software design services, internet contents production and play, and motion picture production and distribution		62,209		62,209		8,251		56		169,616		5,727			3,210		Subsidiary (Note 5)
	Chunghwa Leading Photonics Tech Co., Ltd.	Taiwan	Production and sale of electronic components and finished products		70,500		70,500		7,050		70		217,186		29,819			20,835		Subsidiary (Note 5)
	Smartfun Digital Co., Ltd.	Taiwan	Providing diversified family education digital services		65,000		65,000		6,500		65		86,103		2,766			1,819		Subsidiary (Note 5)
	Chunghwa Telecom Japan Co., Ltd.	Japan	International private leased circuit, IP VPN service, and IP transit services		17,291		17,291		1		100		326,259		31,323			27,240		Subsidiary (Note 5)
	International Integrated Systems, Inc.	Taiwan	IT solution provider, IT application consultation, system integration and package solution		507,363		507,363		36,205		50		636,805		(34,358	)		(17,511	)	Subsidiary (Note 5)
	Chunghwa Digital Cultural and Creative Capital Co., Ltd	Taiwan	Investment and management consulting		50,000		50,000		5,000		100		36,867		(2,245	)		(2,333	)	Subsidiary (Note 5)
	Chunghwa Telecom Europe GmbH	Germany	International private leased circuit, internet services, transit services and ICT services		122,675		122,675		3,500		100		121,149		(1,789	)		(1,789	)	Subsidiary (Note 5)

(Continued)

- 80 -

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

NAMES, LOCATIONS, AND OTHER INFORMATION OF INVESTEES IN WHICH THE COMPANY EXERCISES SIGNIFICANT INFLUENCE (EXCLUDING INVESTMENT IN MAINLAND CHINA)

THREE MONTHS ENDED MARCH 31, 2025

(Amounts in Thousands of New Taiwan Dollars)


Investor Company	Investee Company	Location	Main Businesses and Products	Original Investment Amount				Balance as of March 31, 2025						Net Income (Loss) of the Investee			Recognized Gain (Loss) (Notes 1 and 2)			Note
Investor Company	Investee Company	Location	Main Businesses and Products	March 31, 2025		December 31, 2024		Shares (Thousands)		Percentage of Ownership (%)		Carrying Value		Net Income (Loss) of the Investee			Recognized Gain (Loss) (Notes 1 and 2)			Note
	Viettel-CHT Co., Ltd.	Vietnam	IDC services	$	288,327	$	288,327		—		30	$	605,329	$	106,846		$	32,054		Associate
	Taiwan International Standard Electronics Co., Ltd.	Taiwan	Manufacturing, selling, designing, and maintaining of telecommunications systems and equipment		164,000		164,000		1,760		40		390,400		22,123			11,043		Associate
	KKBOX Taiwan Co., Ltd.	Taiwan	Providing of music on-line, software, electronic information, and advertisement services		67,025		67,025		4,438		30		143,944		(24,323	)		(7,297	)	Associate
	So-net Entertainment Taiwan Limited	Taiwan	Online service and sale of computer hardware		120,008		120,008		9,429		30		180,792		(40,588	)		(12,176	)	Associate
	KingwayTek Technology Co., Ltd.	Taiwan	Design and sale of digital map, technical support for computer peripherals device, design and development of system programming projects		66,684		66,684		12,720		23		284,437		21,262			4,801		Associate
	Taiwan International Ports Logistics Corporation	Taiwan	Import and export storage, logistic warehouse, and ocean shipping service		80,000		80,000		8,000		27		143,208		35,139			9,371		Associate
	Chunghwa PChome Fund I Co., Ltd.	Taiwan	Investment, venture capital, investment advisor, management consultant and other consultancy service		200,000		200,000		20,000		50		251,256		(2,739	)		(1,369	)	Associate
	Cornerstone Ventures Co., Ltd.	Taiwan	Investment, venture capital, investment advisor, management consultant and other consultancy service		4,900		4,900		490		49		5,273		(2	)		(1	)	Associate
	Next Commercial Bank Co., Ltd.	Taiwan	Online banking business		5,733,847		5,733,847		462,643		46		3,871,773		(183,577	)		(83,378	)	Associate
	Chunghwa SEA Holdings	Taiwan	Investment business		10,200		10,200		1,020		51		9,188		(124	)		(63	)	Joint venture
	WiAdvance Technology Corporation	Taiwan	Software solution integration		273,800		273,800		3,700		16		270,306		(10,873	)		(3,134	)	Associate
	Taiwania Hive Technology Fund L.P.	Cayman Islands	Investment business		288,405		288,405		—		42		270,060		(14,660	)		(6,120	)	Associate
	Chunghwa Sochamp Technology Inc.	Taiwan	Design, development and production of Automatic License Plate Recognition software and hardware		20,400		20,400		2,040		37		—		(8,104	)		—		Associate
Senao International Co., Ltd.	Senao Networks, Inc.	Taiwan	Telecommunication facilities manufactures and sales		578,186		578,186		19,582		33		2,051,979		152,593			50,595		Associate
	Youth Co., Ltd.	Taiwan	Sale of information and communication technologies products		427,850		427,850		14,752		96		158,355		(1,036	)		(3,043	)	Subsidiary (Note 5)
	Aval Technologies Co., Ltd.	Taiwan	Sale of information and communication technologies products		89,550		89,550		13,266		100		143,369		649			648		Subsidiary (Note 5)
	Senyoung Insurance Agent Co., Ltd.	Taiwan	Property and liability insurance agency		59,000		59,000		8,909		100		147,569		9,867			9,867		Subsidiary (Note 5)
CHIEF Telecom Inc.	Unigate Telecom Inc.	Taiwan	Telecommunications and internet service		2,000		2,000		200		100		1,471		25			25		Subsidiary (Note 5)
	Chief International Corp.	Samoa Islands	Telecommunications and internet service		6,068		6,068		200		100		45,268		1,742			1,742		Subsidiary (Note 5)
Chunghwa Telecom Singapore Pte., Ltd.	ST-2 Satellite Ventures Pte., Ltd.	Singapore	Operation of ST-2 telecommunications satellite		21,309		21,309		943		38		364,913		123,141			46,954		Associate
	CHT Infinity Singapore Pte., Ltd.	Singapore	Investment business		55,720		55,720		2,000		40		58,097		74			29		Associate
Chunghwa Investment Co., Ltd.	Chunghwa Precision Test Tech. Co., Ltd.	Taiwan	Production and sale of semiconductor testing components and printed circuit board		178,608		178,608		11,230		34		2,829,652		221,173			75,749		Subsidiary (Note 5)
	CHIEF Telecom Inc.	Taiwan	Network integration, internet data center (“IDC”), communications integration and cloud application services		19,064		19,064		2,286		3		93,914		278,616			8,170		Associate (Note 5)
	Senao International Co., Ltd.	Taiwan	Selling and maintaining mobile phones and its peripheral products		49,731		49,731		1,001		—		44,507		115,570			448		Associate (Note 5)
	AgriTalk Technology Inc.	Taiwan	Providing smart agricultural solutions, scientific agricultural product, biological inhibitor, and biochips		65,175		65,175		3,300		29		26,228		(425	)		(26	)	Associate
	Imedtac Co., Ltd.	Taiwan	Providing medical AIoT solution, biomedical engineering services, and sales of medical device as an agent		91,381		91,381		1,828		10		56,431		493			(235	)	Associate
	Porrima Inc.	Taiwan	Designing and selling zero-emission ships		80,000		80,000		8,000		10		76,679		(9,549	)		(955	)	Associate

(Continued)

- 81 -

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

NAMES, LOCATIONS, AND OTHER INFORMATION OF INVESTEES IN WHICH THE COMPANY EXERCISES SIGNIFICANT INFLUENCE (EXCLUDING INVESTMENT IN MAINLAND CHINA)

THREE MONTHS ENDED MARCH 31, 2025

(Amounts in Thousands of New Taiwan Dollars)


Investor Company	Investee Company	Location	Main Businesses and Products	Original Investment Amount				Balance as of March 31, 2025						Net Income (Loss) of the Investee			Recognized Gain (Loss) (Notes 1 and 2)			Note
Investor Company	Investee Company	Location	Main Businesses and Products	March 31, 2025		December 31, 2024		Shares (Thousands)		Percentage of Ownership (%)		Carrying Value		Net Income (Loss) of the Investee			Recognized Gain (Loss) (Notes 1 and 2)			Note
Chunghwa Precision Test Tech. Co., Ltd.	Chunghwa Precision Test Tech USA Corporation	United States	Design and after-sale services of semiconductor testing components and printed circuit board	$	74,192	$	74,192		2,600		100	$	111,636	$	436		$	445		Subsidiary (Note 5)
	CHPT Japan Co., Ltd.	Japan	Related services of electronic parts, machinery processed products and printed circuit board		2,008		2,008		1		100		2,391		26			26		Subsidiary (Note 5)
	Chunghwa Precision Test Tech. International, Ltd.	Samoa Islands	Wholesale and retail of electronic materials, and investment		173,649		173,649		5,700		100		139,934		(15,022	)		(14,008	)	Subsidiary (Note 5)
	TestPro Investment Co., Ltd.	Taiwan	Investment		135,000		135,000		13,500		100		32,266		(4,187	)		(3,566	)	Subsidiary (Note 5)
TestPro Investment Co., Ltd.	NavCore Tech. Co., Ltd	Taiwan	Sale and manufacturing of smart equipment, smart factory software and hardware integration and technical consulting service		108,500		108,500		10,850		54		26,888		(7,759	)		(4,209	)	Subsidiary (Note 5)
Prime Asia Investments Group, Ltd.	Chunghwa Hsingta Co., Ltd.	Hong Kong	Investment		375,274		375,274		1		100		187,798		136			136		Subsidiary (Note 5)
Youth Co., Ltd.	ISPOT Co., Ltd.	Taiwan	Sale of information and communication technologies products		53,021		53,021		—		100		14,034		(49	)		(65	)	Subsidiary (Note 5)
Aval Technologies Co., Ltd.	Wiin Technology Co., Ltd.	Taiwan	Sale of information and communication technologies products		29,550		29,550		4,728		100		52,914		314			314		Subsidiary (Note 5)
CHYP Multimedia Marketing & Communications Co., Ltd	Click Force Marketing Company	Taiwan	Advertisement services		44,607		44,607		1,960		49		50,320		(1,410	)		(691	)	Associate
International Integrated Systems, Inc.	Unitronics Technology Corp.	Taiwan	Development and maintenance of information system		55,610		55,610		5,067		100		73,098		(1,176	)		(1,176	)	Subsidiary (Note 5)
CHT Security Co., Ltd.	Baohwa Trust Co., Ltd.	Taiwan	VR integration and AIoT security services		20,000		20,000		2,000		25		13,400		5,732			1,433		Associate

Note 1:

The amounts were based on reviewed financial statements.

Note 2:

Recognized gain (loss) of investees includes amortization of differences between the investment cost and net value and elimination of unrealized transactions.

Note 3:

Recognized gain (loss) and carrying value of the investees did not include the adjustment of the difference between the accounting treatment on standalone basis and consolidated basis as a result of the application of IFRS 15.

Note 4:

Investments in mainland China are included in Table 6.

Note 5:

The amount was eliminated upon consolidation.

(Concluded)

- 82 -

TABLE 6

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

INVESTMENTS IN MAINLAND CHINA

THREE MONTHS ENDED MARCH 31, 2025

(Amounts in Thousands of New Taiwan Dollars)


Investee	Main Businesses and Products	Total Amount of Paid-in Capital		Investment Type (Note 1)		Accumulated Outflow of Investment from Taiwan as of January 1, 2025		Investment Flows				Accumulated Outflow of Investment from Taiwan as of March 31, 2025		Net Income (Loss) of the Investee			% Ownership of Direct or Indirect Investment		Investment Gain (Loss) (Note 2)			Carrying Value as of March 31, 2025		Accumulated Inward Remittance of Earnings as of March 31, 2025		Note
Investee	Main Businesses and Products	Total Amount of Paid-in Capital		Investment Type (Note 1)				Outflow		Inflow				Net Income (Loss) of the Investee			% Ownership of Direct or Indirect Investment		Investment Gain (Loss) (Note 2)			Carrying Value as of March 31, 2025				Note
Chunghwa Telecom (China) Co., Ltd.	Integrated information and communication solution services for enterprise clients, and intelligent energy network service	$	177,176		2	$	177,176	$	—	$	—	$	177,176	$	—			100	$	—		$	—	$	—		Notes 6 and 9
Jiangsu Zhenghua Information Technology Company, LLC	Providing intelligent energy saving solution and intelligent buildings services		189,410		2		142,057		—		—		142,057		—			75		—			—		—		Notes 7 and 9
Shanghai Taihua Electronic Technology Limited	Design of printed circuit board and related consultation service		51,233		2		51,233		—		—		51,233		416			100		416			9,840		—		Notes 8 and 9
Su Zhou Precision Test Tech. Ltd.	Assembly processed of circuit board, design of printed circuit board and related consultation service		119,199		2		119,199		—		—		119,199		(15,478	)		100		(15,478	)		145,290		—		Notes 8 and 9
Shanghai Chief Telecom Co., Ltd.	Telecommunications and internet service		10,150		1		4,973		—		—		4,973		1,206			49		591			6,384		10,194		Note 9


Investee	Accumulated Investment in Mainland China as of March 31, 2025		Investment Amounts Authorized by Investment Commission, MOEA		Upper Limit on Investment Stipulated by Investment Commission, MOEA
Chunghwa Telecom Co., Ltd. (Note 3)	$	319,233	$	319,233	$	244,965,206
Chunghwa Precision Test Tech. Co., Ltd. and its subsidiaries (Note 4)		170,432		216,185		4,967,721
CHIEF Telecom Inc. and its subsidiaries (Note 5)		4,973		4,973		1,926,426

Note 1:

Investments are divided into three categories as follows:

Direct investment.

Investments through a holding company registered in a third region.

Others.

Note 2:

The amounts were calculated based on the investee’s reviewed financial statements.

Note 3:

Chunghwa Telecom Co., Ltd. was calculated based on the consolidated net assets value of Chunghwa Telecom Co., Ltd.

Note 4:

Chunghwa Precision Test Tech. Co., Ltd. and its subsidiaries were calculated based on the consolidated net assets value of Chunghwa Precision Test Tech. Co., Ltd.

Note 5:

CHIEF Telecom Inc. and its subsidiaries were calculated based on the consolidated net assets value of CHIEF Telecom Inc.

Note 6:

Chunghwa Telecom (China) Co., Ltd., a reinvestment through Chunghwa Hsingta Co., Ltd., completed its liquidation in October 2022.

Note 7:

Jiangsu Zhenhua Information Technology Company, LLC., a reinvestment through Chunghwa Hsingta Co., Ltd., completed its liquidation in December 2018.

Note 8:

Shanghai Taihua Electronic Technology Limited and Su Zhou Precision Test Tech. Ltd. were reinvestments through Chunghwa Precision Test Tech. International, Ltd.

Note 9:

The amount was eliminated upon consolidation.

(Concluded)

- 83 -

TABLE 7

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

INTERCOMPANY RELATIONSHIPS AND SIGNIFICANT TRANSACTIONS

THREE MONTHS ENDED MARCH 31, 2025

(Amounts in Thousands of New Taiwan Dollars)


Year	No. (Note 1)		Company Name	Related Party	Nature of Relationship (Note 2)		Transaction Details
Year	No. (Note 1)		Company Name	Related Party	Nature of Relationship (Note 2)		Financial Statement Account	Amount (Note 5)		Payment Terms (Note 3)		% to Total Sales or Assets (Note 4)
2025		0	Chunghwa Telecom Co., Ltd.	Senao International Co., Ltd.		a	Accounts receivable	$	263,440		—		—
							Accrued custodial receipts		109,786		—		—
							Accounts payable		1,058,985		—		—
							Amounts collected for others		167,952		—		—
							Revenues		1,021,885		—		2
							Operating costs and expenses		350,138		—		1
				CHIEF Telecom Inc.		a	Revenues		126,837		—		—
				Chunghwa System Integration Co., Ltd.		a	Accounts payable		268,856		—		—
							Operating costs and expenses		243,061		—		—
				Honghwa International Co., Ltd.		a	Accounts payable		900,870		—		—
							Operating costs and expenses		1,692,476		—		3
				Donghwa Telecom Co., Ltd.		a	Accounts payable		109,689		—		—
							Operating costs and expenses		136,451		—		—
				International Integrated Systems, Inc.		a	Accounts payable		100,924		—		—
							Operating costs and expenses		186,752		—		—

Note 1:

Significant transactions between the Company and its subsidiaries or among subsidiaries are numbered as follows:

“0” for the Company.

Subsidiaries are numbered from “1”.

Note 2:

Related party transactions are divided into three categories as follows:

The Company to subsidiaries.

Subsidiaries to the Company.

Subsidiaries to subsidiaries.

Note 3:

Transaction terms with the related parties were determined in accordance with mutual agreements when there were no similar transactions with third parties. Other transactions with related parties were not significantly different from those with third parties.

Note 4:

For assets and liabilities, amount is shown as a percentage to consolidated total assets as of March 31, 2025, while revenues, costs and expenses are shown as a percentage to consolidated revenues for the three months ended March 31, 2025.

Note 5:

The amount was eliminated upon consolidation.

- 84 -

EX-99.3 4 d902934dex993.htm EX-99.3 EX-99.3

Exhibit 99.3

Chunghwa Telecom Co., Ltd. and Subsidiaries

Consolidated Financial Statements for the

Three Months Ended March 31, 2025 and 2024

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(In Millions of New Taiwan Dollars)


	March 31, 2025 (Unaudited)				December 31, 2024 (Audited)				March 31, 2024 (Unaudited)
	Amount		%		Amount		%		Amount		%
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	29,048		5	$	36,260		7	$	33,330		6
Financial assets at fair value through profit or loss		5		—		—		—		1		—
Hedging financial assets		—		—		1		—		—		—
Contract assets		8,487		2		8,401		1		6,986		2
Trade notes and accounts receivable, net		22,497		4		26,026		5		22,624		4
Receivables from related parties		155		—		193		—		77		—
Inventories		11,916		2		12,087		2		11,113		2
Prepayments		6,409		1		3,138		1		5,921		1
Other current monetary assets		36,773		7		23,408		4		27,795		5
Incremental costs of obtaining contracts		339		—		339		—		271		—
Other current assets		2,994		1		3,115		1		3,121		1

Total current assets		118,623		22		112,968		21		111,239		21

NONCURRENT ASSETS
Financial assets at fair value through profit or loss		1,083		—		1,005		—		1,080		—
Financial assets at fair value through other comprehensive income		5,300		1		4,667		1		5,069		1
Financial assets at amortized cost		2,000		—		2,000		—		—		—
Investments accounted for using equity method		8,926		2		8,879		2		8,362		2
Contract assets		4,354		1		4,327		1		4,017		1
Property, plant and equipment		286,590		53		289,840		54		287,065		54
Right-of-use assets		11,321		2		10,912		2		11,123		2
Investment properties		12,293		2		12,302		2		11,517		2
Intangible assets		64,647		12		66,283		12		71,096		13
Deferred income tax assets		1,749		—		1,661		—		2,076		1
Incremental costs of obtaining contracts		1,209		—		1,222		—		976		—
Net defined benefit assets		9,072		3		8,884		2		6,138		1
Prepayments		4,790		1		4,461		1		3,618		1
Other noncurrent assets		5,075		1		4,886		2		4,803		1

Total noncurrent assets		418,409		78		421,329		79		416,940		79

TOTAL	$	537,032		100	$	534,297		100	$	528,179		100

LIABILITIES AND EQUITY
CURRENT LIABILITIES
Short-term loans	$	530		—	$	215		—	$	465		—
Hedging financial liabilities		—		—		2		—		—		—
Contract liabilities		16,582		3		16,301		3		14,293		3
Trade notes and accounts payable		10,693		2		17,743		3		9,806		2
Payables to related parties		120		—		480		—		186		—
Current tax liabilities		9,706		2		6,822		1		9,313		2
Lease liabilities		3,739		1		3,558		1		3,449		1
Other payables		23,586		4		26,581		5		22,937		4
Provisions		669		—		442		—		317		—
Current portion of long-term loans		8,805		2		8,803		2		1,600		—
Other current liabilities		1,017		—		1,050		—		982		—

Total current liabilities		75,447		14		81,997		15		63,348		12

NONCURRENT LIABILITIES
Long-term loans		1,629		—		1,631		1		—		—
Bonds payable		21,690		4		21,689		4		30,484		6
Contract liabilities		7,407		1		7,541		2		7,559		2
Deferred income tax liabilities		2,714		2		2,658		1		2,517		1
Provisions		308		—		535		—		492		—
Lease liabilities		7,462		1		7,334		1		7,399		1
Customers’ deposits		5,161		1		5,311		1		5,105		1
Net defined benefit liabilities		2,120		—		2,107		—		2,126		—
Other noncurrent liabilities		7,581		1		7,688		1		7,125		1

Total noncurrent liabilities		56,072		10		56,494		11		62,807		12

Total liabilities		131,519		24		138,491		26		126,155		24

EQUITY ATTRIBUTABLE TO STOCKHOLDERS OF THE PARENT
Common stocks		77,574		14		77,574		15		77,574		15

Additional paid-in capital		150,063		28		150,054		28		149,828		28

Retained earnings
Legal reserve		77,574		14		77,574		15		77,574		15
Special reserve		2,676		—		2,676		—		2,899		—
Unappropriated earnings		83,681		17		74,362		14		81,069		16

Total retained earnings		163,931		31		154,612		29		161,542		31

Others		1,231		—		586		—		1,081		—

Total equity attributable to stockholders of the parent		392,799		73		382,826		72		390,025		74
NONCONTROLLING INTERESTS		12,714		3		12,980		2		11,999		2

Total equity		405,513		76		395,806		74		402,024		76

TOTAL	$	537,032		100	$	534,297		100	$	528,179		100

- 1 -

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(In Millions of New Taiwan Dollars, Except Earnings Per Share)

(Unaudited)


	Three Months Ended March 31
	2025					2024
	Amount			%		Amount			%
REVENUES	$	55,808			100	$	54,943			100
OPERATING COSTS		34,203			61		34,454			63

GROSS PROFIT		21,605			39		20,489			37

OPERATING EXPENSES
Marketing		6,140			11		5,931			10
General and administrative		1,793			3		1,637			3
Research and development		1,030			2		943			2
Expected credit loss		120			—		56			—

Total operating expenses		9,083			16		8,567			15

OTHER INCOME AND EXPENSES		1			—		3			—

INCOME FROM OPERATIONS		12,523			23		11,925			22

NON-OPERATING INCOME AND EXPENSES
Interest income		212			—		156			—
Other income		37			—		38			—
Other gains and losses		(25	)		—		15			—
Interest expense		(89	)		—		(83	)		—
Share of profits of associates and joint ventures accounted for using equity method		38			—		13			—

Total non-operating income and expenses		173			—		139			—

INCOME BEFORE INCOME TAX		12,696			23		12,064			22
INCOME TAX EXPENSE		2,964			5		2,814			5

NET INCOME		9,732			18		9,250			17

TOTAL OTHER COMPREHENSIVE INCOME (LOSS)
Items that will not be reclassified to profit or loss:
Unrealized gain or loss on investments in equity instruments at fair value through other comprehensive income		568			1		627			1
Gain or loss on hedging instruments subject to basis adjustment		1			—		—			—

(Continued)

- 2 -

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(In Millions of New Taiwan Dollars, Except Earnings Per Share)

(Unaudited)


	Three Months Ended March 31
	2025				2024
	Amount		%		Amount		%
Share of other comprehensive income of associates and joint ventures	$	1		—	$	—		—

		570		1		627		1

Items that may be reclassified subsequently to profit or loss:
Exchange differences arising from the translation of the foreign operations		74		—		104		—
Share of other comprehensive income of associates and joint ventures		7		—		25		—

		81		—		129		—

Total other comprehensive income, net of income tax		651		1		756		1

TOTAL COMPREHENSIVE INCOME	$	10,383		19	$	10,006		18

NET INCOME ATTRIBUTABLE TO
Stockholders of the parent	$	9,319		17	$	9,010		17
Noncontrolling interests		413		1		240		—

	$	9,732		18	$	9,250		17

COMPREHENSIVE INCOME ATTRIBUTABLE TO
Stockholders of the parent	$	9,964		18	$	9,738		18
Noncontrolling interests		419		1		268		—

	$	10,383		19	$	10,006		18

EARNINGS PER SHARE
Basic	$	1.20			$	1.16

Diluted	$	1.20			$	1.16

(Concluded)

- 3 -

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

(In Millions of New Taiwan Dollars)

(Unaudited)


	Equity Attributable to Stockholders of the Parent
													Others
													Exchange
													Differences
													Arising			Unrealized
													from the			Gain or Loss							Total Equity
					Retained Earnings								Translation of			on Financial		Gain or Loss					Attributable to
			Additional				Special		Unappropriated		Total Retained		the Foreign			Assets at		on Hedging					Stockholders		Noncontrolling
	Common Stocks		Paid-in Capital		Legal Reserve		Reserve		Earnings		Earnings		Operations			FVOCI		Instruments			Total Others		of the Parent		Interests			Total Equity
BALANCE, JANUARY 1, 2024	$	77,574	$	149,828	$	77,574	$	2,899	$	72,059	$	152,532	$	(168	)	$	521	$	—		$	353	$	380,287	$	12,432		$	392,719
Cash dividends by subsidiaries		—		—		—		—		—		—		—			—		—			—		—		(717	)		(717	)
Net income for the three months ended March 31, 2024		—		—		—		—		9,010		9,010		—			—		—			—		9,010		240			9,250
Other comprehensive income for the three months ended March 31, 2024		—		—		—		—		—		—		101			627		—			728		728		28			756

Total comprehensive income for the three months ended March 31, 2024		—		—		—		—		9,010		9,010		101			627		—			728		9,738		268			10,006

Changes in equities of subsidiaries		—		—		—		—		—		—		—			—		—			—		—		16			16

BALANCE, MARCH 31, 2024	$	77,574	$	149,828	$	77,574	$	2,899	$	81,069	$	161,542	$	(67	)	$	1,148	$	—		$	1,081	$	390,025	$	11,999		$	402,024

BALANCE, JANUARY 1, 2025	$	77,574	$	150,054	$	77,574	$	2,676	$	74,362	$	154,612	$	23		$	564	$	(1	)	$	586	$	382,826	$	12,980		$	395,806
Cash dividends by subsidiaries		—		—		—		—		—		—		—			—		—			—		—		(710	)		(710	)
Net income for the three months ended March 31, 2025		—		—		—		—		9,319		9,319		—			—		—			—		9,319		413			9,732
Other comprehensive income for the three months ended March 31, 2025		—		—		—		—		—		—		70			574		1			645		645		6			651

Total comprehensive income for the three months ended March 31, 2025		—		—		—		—		9,319		9,319		70			574		1			645		9,964		419			10,383

Changes in equities of subsidiaries		—		9		—		—		—		—		—			—		—			—		9		(7	)		2
Net increase in noncontrolling interests		—		—		—		—		—		—		—			—		—			—		—		32			32

BALANCE, MARCH 31, 2025	$	77,574	$	150,063	$	77,574	$	2,676	$	83,681	$	163,931	$	93		$	1,138	$	—		$	1,231	$	392,799	$	12,714		$	405,513

- 4 -

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In Millions of New Taiwan Dollars)

(Unaudited)


	Three Months Ended March 31
	2025			2024
CASH FLOWS FROM OPERATING ACTIVITIES
Income before income tax	$	12,696		$	12,064
Adjustments to reconcile income before income tax to net cash provided by operating activities:
Depreciation		8,340			8,236
Amortization		1,669			1,672
Amortization of incremental costs of obtaining contracts		238			215
Expected credit loss		120			56
Valuation loss (gain) on financial assets and liabilities at fair value through profit or loss, net		—			62
Interest expense		89			83
Interest income		(212	)		(156	)
Compensation cost of share-based payment transactions		1			3
Share of profits of associates and joint ventures accounted for using equity method		(38	)		(13	)
Gain on disposal of property, plant and equipment		(1	)		(3	)
Gain on disposal of financial instruments		—			(1	)
Gain on disposal of investments accounted for using equity method		—			(77	)
Provision for impairment loss and obsolescence of inventory		38			26
Gain on disposal of subsidiaries		(15	)		—
Others		50			15
Changes in operating assets and liabilities:
Decrease (increase) in:
Contract assets		(121	)		(521	)
Trade notes and accounts receivable		3,407			2,163
Receivables from related parties		38			1
Inventories		127			382
Prepayments		(3,258	)		(3,028	)
Other current assets		118			(299	)
Other current monetary assets		(119	)		33
Incremental cost of obtaining contracts		(225	)		(312	)
Increase (decrease) in:
Contract liabilities		155			204
Trade notes and accounts payable		(7,041	)		(4,589	)
Payables to related parties		(360	)		(199	)
Other payables		(2,349	)		(1,628	)
Provisions		—			(13	)
Other current liabilities		(35	)		(1	)
Net defined benefit plans		(177	)		(147	)

Cash generated from operations		13,135			14,228
Interests paid		(71	)		(65	)
Income taxes paid		(113	)		(35	)

Net cash provided by operating activities		12,951			14,128

(Continued)

- 5 -

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In Millions of New Taiwan Dollars)

(Unaudited)


	Three Months Ended March 31
	2025			2024
CASH FLOWS FROM INVESTING ACTIVITIES
Acquisition of financial assets at fair value through other comprehensive income	$	(65	)	$	(30	)
Proceeds from capital reduction of financial assets at fair value through other comprehensive income		—			3
Acquisition of financial assets at fair value through profit or loss		(82	)		(109	)
Proceeds from disposal of financial assets at fair value through profit or loss		—			5
Net cash outflow from loss of control of subsidiaries		(9	)		—
Acquisition of property, plant and equipment		(5,407	)		(5,043	)
Proceeds from disposal of property, plant and equipment		2			5
Acquisition of intangible assets		(33	)		(40	)
Acquisition of investment properties		(2	)		—
Acquisition of time deposits, negotiable certificates of deposit and commercial paper with maturities of more than three months		(23,031	)		(19,414	)
Proceeds from disposal of time deposits, negotiable certificates of deposit and commercial paper with maturities of more than three months		9,705			11,842
Increase in other noncurrent assets		(204	)		(165	)
Increase in prepayments for leases		(342	)		(341	)
Interests received		169			149
Dividends received		156			151
Proceeds from capital reduction and profit distribution of financial assets at fair value through profit or loss		—			—

Net cash used in investing activities		(19,143	)		(12,987	)

CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from short-term loans		530			265
Repayments of short-term loans		(150	)		(385	)
Decrease in customers’ deposits		(141	)		(205	)
Payments for the principal of lease liabilities		(1,203	)		(1,055	)
Decrease in other noncurrent liabilities		(107	)		(281	)
Cash dividends distributed to noncontrolling interests		(1	)		(4	)
Change in other noncontrolling interests		13			13

Net cash used in financing activities		(1,059	)		(1,652	)

EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS		39			17

(Continued)

- 6 -

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In Millions of New Taiwan Dollars)

(Unaudited)


	Three Months Ended March 31
	2025			2024
NET DECREASE IN CASH AND CASH EQUIVALENTS	$	(7,212	)	$	(494	)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD		36,260			33,824

CASH AND CASH EQUIVALENTS, END OF PERIOD	$	29,048		$	33,330

(Concluded)

- 7 -

CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES

NOTE TO CONSOLIDATED FINANCIAL STATEMENTS

Three Months Ended March 31, 2025 and 2024

(Unaudited)

STATEMENT OF COMPLIANCE

The Company has prepared its consolidated balance sheets as of March 31, 2025 and 2024, the related consolidated statements of comprehensive income, changes in equity and cash flows for the three months ended March 31, 2025 and 2024 in accordance with IAS 34 “Interim Financial Reporting” as issued by the International Accounting Standards Board (IASB). The consolidated financial statements are incomplete as they omit the related footnote disclosures as required under International Financial Reporting Standards as issued by IASB.

- 8 -