Business Summary

• HKT Trust and HKT Ltd. is Hong Kong's telecommunications service provider.

• The Company is principally engaged in the provision of telecommunications and related services.

• The Company operates in three segments: telecommunications services, which provides telecommunications products and services including local telephony, broadband access services, local and international data, international direct dial, sales of equipment, technical, maintenance and subcontracting services and teleservices businesses; mobile, which includes the Company's mobile businesses in Hong Kong, and other businesses, which provide network integration and related services to telecommunications operators in the People's Republic Of China (PRC).

Financial Summary

• For the six months ended 30 June 2015, HKT Trust revenues increased 28% to HK$15.97B.

• Net income increased 27% to HK$1.78B.

• Revenues reflect Mobile segment increase from HK$2.9B to HK$6.04B, TSS segment increase of 5% to HK$9.85B.

• Net income was partially offset by General and administrative expenses increase of 34% to HK$6.85B (expense), Share of results of joint ventures decrease from HK$15M (income) to HK$1M (expense).

Recommendation

• According to the selected data provided by THOMSON REUTERS, out of the 14 market analysts; 3 of them rated “BUY” grade, 6 of them rated “OUTPERFORM”, the remaining 5 of them rated “HOLD”.

• As a result, the market consensus Recommendation = OUTPERFORM.

• MARKET CONSENSUS TARGET PRICE = HK$10.897.

I, Michael Fung, am a licensed person under the Securities and Futures Commission. Until the date this commentary was published, neither I and/or my affiliates are the beneficiary of the securities mentioned herein or are entitled to any financial interests in relation thereto.