Exhibit 99.3
Chunghwa Telecom Co., Ltd. and
Subsidiaries
Consolidated Financial Statements for the
Six Months Ended June 30, 2014 and 2013
- 1 -
CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In Millions of New Taiwan Dollars)
June 30, 2014 (Unaudited) | December 31, 2013 (Audited) | June 30, 2013 (Unaudited) | ||||||||||||||||||||||
Amount | % | Amount | % | Amount | % | |||||||||||||||||||
ASSETS | ||||||||||||||||||||||||
CURRENT ASSETS | ||||||||||||||||||||||||
Cash and cash equivalents | $ | 28,141 | 6 | $ | 14,585 | 3 | $ | 58,988 | 13 | |||||||||||||||
Financial assets at fair value through profit or loss | — | — | — | — | 1 | — | ||||||||||||||||||
Available-for-sale financial assets | — | — | 24 | — | 2,667 | — | ||||||||||||||||||
Held-to-maturity financial assets | 4,467 | 1 | 4,264 | 1 | 4,243 | 1 | ||||||||||||||||||
Hedging derivative assets | — | — | — | — | — | — | ||||||||||||||||||
Trade notes and accounts receivable, net | 23,610 | 5 | 22,901 | 5 | 23,655 | 5 | ||||||||||||||||||
Accounts receivable from related parties, net | 70 | — | 69 | — | 51 | — | ||||||||||||||||||
Inventories | 8,194 | 2 | 7,848 | 2 | 7,657 | 2 | ||||||||||||||||||
Prepayments | 5,595 | 2 | 2,224 | 1 | 5,396 | 1 | ||||||||||||||||||
Other current monetary assets | 5,182 | 1 | 4,636 | 1 | 8,974 | 2 | ||||||||||||||||||
Other current assets | 5,267 | 1 | 3,962 | 1 | 3,735 | 1 | ||||||||||||||||||
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Total current assets | 80,526 | 18 | 60,513 | 14 | 115,367 | 25 | ||||||||||||||||||
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NONCURRENT ASSETS | ||||||||||||||||||||||||
Available-for-sale financial assets | 5,215 | 1 | 5,470 | 1 | 5,534 | 1 | ||||||||||||||||||
Held-to-maturity financial assets | 5,715 | 1 | 7,502 | 2 | 10,207 | 2 | ||||||||||||||||||
Investments accounted for using equity method | 2,328 | — | 2,359 | — | 2,130 | 1 | ||||||||||||||||||
Property, plant and equipment | 298,533 | 66 | 302,714 | 69 | 296,564 | 65 | ||||||||||||||||||
Investment properties | 8,010 | 2 | 8,018 | 2 | 7,781 | 2 | ||||||||||||||||||
Intangible assets | 43,763 | 10 | 44,399 | 10 | 5,481 | 1 | ||||||||||||||||||
Deferred income tax assets | 1,778 | — | 1,506 | — | 1,339 | — | ||||||||||||||||||
Prepayments | 3,410 | 1 | 3,608 | 1 | 3,554 | 1 | ||||||||||||||||||
Other noncurrent assets | 5,212 | 1 | 4,883 | 1 | 6,052 | 2 | ||||||||||||||||||
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Total noncurrent assets | 373,964 | 82 | 380,459 | 86 | 338,642 | 75 | ||||||||||||||||||
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TOTAL | $ | 454,490 | 100 | $ | 440,972 | 100 | $ | 454,009 | 100 | |||||||||||||||
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(Continued)
- 2 -
CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In Millions of New Taiwan Dollars)
June 30, 2014 (Unaudited) | December 31, 2013 (Audited) | June 30, 2013 (Unaudited) | ||||||||||||||||||||||
Amount | % | Amount | % | Amount | % | |||||||||||||||||||
LIABILITIES AND EQUITY | ||||||||||||||||||||||||
CURRENT LIABILITIES | ||||||||||||||||||||||||
Short-term loans | $ | 1,085 | — | $ | 254 | — | $ | 195 | — | |||||||||||||||
Financial liabilities at fair value through profit or loss | — | — | — | — | — | — | ||||||||||||||||||
Hedging derivative liabilities | — | — | — | — | 29 | — | ||||||||||||||||||
Trade notes and accounts payable | 12,387 | 3 | 15,589 | 4 | 11,717 | 3 | ||||||||||||||||||
Payables to related parties | 640 | — | 557 | — | 539 | — | ||||||||||||||||||
Current tax liabilities | 6,368 | 1 | 6,171 | 2 | 6,016 | 1 | ||||||||||||||||||
Dividends payable | 18,526 | 4 | — | — | 35,913 | 8 | ||||||||||||||||||
Other payables | 38,862 | 9 | 26,792 | 6 | 27,875 | 6 | ||||||||||||||||||
Provisions | 119 | — | 129 | — | 136 | — | ||||||||||||||||||
Advance receipts | 9,060 | 2 | 9,464 | 2 | 11,044 | 3 | ||||||||||||||||||
Current portion of long-term loans | 300 | — | 300 | — | — | — | ||||||||||||||||||
Other current liabilities | 1,607 | — | 1,599 | — | 1,571 | — | ||||||||||||||||||
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Total current liabilities | 88,954 | 19 | 60,855 | 14 | 95,035 | 21 | ||||||||||||||||||
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NONCURRENT LIABILITIES | ||||||||||||||||||||||||
Long-term loans | 1,748 | 1 | 1,400 | 1 | 1,700 | — | ||||||||||||||||||
Deferred income taxes liabilities | 111 | — | 101 | — | 104 | — | ||||||||||||||||||
Provisions | 121 | — | 123 | — | 149 | — | ||||||||||||||||||
Customers’ deposits | 4,775 | 1 | 4,835 | 1 | 4,811 | 1 | ||||||||||||||||||
Accrued pension liabilities | 5,679 | 1 | 5,482 | 1 | 4,713 | 1 | ||||||||||||||||||
Deferred revenue | 3,566 | 1 | 3,701 | 1 | 3,797 | 1 | ||||||||||||||||||
Other noncurrent liabilities | 1,329 | — | 1,335 | — | 289 | — | ||||||||||||||||||
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Total noncurrent liabilities | 17,329 | 4 | 16,977 | 4 | 15,563 | 3 | ||||||||||||||||||
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Total liabilities | 106,283 | 23 | 77,832 | 18 | 110,598 | 24 | ||||||||||||||||||
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EQUITY ATTRIBUTABLE TO STOCKHOLDERS OF THE PARENT | ||||||||||||||||||||||||
Common stock | 77,574 | 17 | 77,574 | 17 | 77,574 | 17 | ||||||||||||||||||
Additional paid-in capital | 146,717 | 32 | 163,294 | 37 | 163,292 | 36 | ||||||||||||||||||
Retained earnings | ||||||||||||||||||||||||
Legal reserve | 76,893 | 17 | 74,819 | 17 | 74,819 | 16 | ||||||||||||||||||
Special reserve | 2,820 | 1 | 2,676 | 1 | 2,676 | 1 | ||||||||||||||||||
Unappropriated earnings | 40,200 | 9 | 40,075 | 9 | 20,852 | 5 | ||||||||||||||||||
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Total retained earnings | 119,913 | 27 | 117,570 | 27 | 98,347 | 22 | ||||||||||||||||||
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Other adjustments | (412 | ) | — | (144 | ) | — | (103 | ) | — | |||||||||||||||
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Total equity attributable to stockholders of the parent | 343,792 | 76 | 358,294 | 81 | 339,110 | 75 | ||||||||||||||||||
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NONCONTROLLING INTERESTS | 4,415 | 1 | 4,846 | 1 | 4,301 | 1 | ||||||||||||||||||
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Total equity | 348,207 | 77 | 363,140 | 82 | 343,411 | 76 | ||||||||||||||||||
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TOTAL | $ | 454,490 | 100 | $ | 440,972 | 100 | $ | 454,009 | 100 | |||||||||||||||
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(Concluded)
- 3 -
CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(In Millions of New Taiwan Dollars, Except Earnings Per Share)
(Unaudited)
For the Three Months Ended June 30 | For the Six Months Ended June 30 | |||||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||||
Amount | % | Amount | % | Amount | % | Amount | % | |||||||||||||||||||||||||
REVENUES | $ | 55,784 | 100 | $ | 55,838 | 100 | $ | 110,834 | 100 | $ | 112,455 | 100 | ||||||||||||||||||||
OPERATING COSTS | 35,037 | 63 | 35,279 | 63 | 70,037 | 63 | 72,730 | 65 | ||||||||||||||||||||||||
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GROSS PROFIT | 20,747 | 37 | 20,559 | 37 | 40,797 | 37 | 39,725 | 35 | ||||||||||||||||||||||||
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OPERATING EXPENSES | ||||||||||||||||||||||||||||||||
Marketing | 6,428 | 11 | 5,963 | 11 | 12,596 | 11 | 11,952 | 11 | ||||||||||||||||||||||||
General and administrative | 1,084 | 2 | 1,011 | 2 | 2,167 | 2 | 2,060 | 2 | ||||||||||||||||||||||||
Research and development | 897 | 2 | 932 | 1 | 1,791 | 2 | 1,803 | 1 | ||||||||||||||||||||||||
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Total operating expenses | 8,409 | 15 | 7,906 | 14 | 16,554 | 15 | 15,815 | 14 | ||||||||||||||||||||||||
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OTHER INCOME AND EXPENSES | (11 | ) | — | (6 | ) | — | (20 | ) | — | (30 | ) | — | ||||||||||||||||||||
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INCOME FROM OPERATIONS | 12,327 | 22 | 12,647 | 23 | 24,223 | 22 | 23,880 | 21 | ||||||||||||||||||||||||
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NON-OPERATING INCOME AND EXPENSES | ||||||||||||||||||||||||||||||||
Interest income | 84 | — | 173 | — | 143 | — | 324 | — | ||||||||||||||||||||||||
Other revenue | 142 | — | 69 | — | 395 | — | 139 | — | ||||||||||||||||||||||||
Other gains and losses | 23 | — | (42 | ) | — | (10 | ) | — | (31 | ) | — | |||||||||||||||||||||
Financial costs | (10 | ) | — | (6 | ) | — | (19 | ) | — | (14 | ) | — | ||||||||||||||||||||
Share of the profit of associates and joint ventures accounted for using equity method | 256 | 1 | 239 | 1 | 417 | 1 | 333 | 1 | ||||||||||||||||||||||||
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Total non-operating income and expenses | 495 | 1 | 433 | 1 | 926 | 1 | 751 | 1 | ||||||||||||||||||||||||
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INCOME BEFORE INCOME TAX | 12,822 | 23 | 13,080 | 24 | 25,149 | 23 | 24,631 | 22 | ||||||||||||||||||||||||
INCOME TAX EXPENSE | 1,039 | 2 | (666 | ) | (1 | ) | 3,942 | 4 | 2,164 | 2 | ||||||||||||||||||||||
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NET INCOME | 11,783 | 21 | 13,746 | 25 | 21,207 | 19 | 22,467 | 20 | ||||||||||||||||||||||||
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OTHER COMPREHENSIVE INCOME (LOSS) | ||||||||||||||||||||||||||||||||
Items that will not be reclassified to profit or loss: | ||||||||||||||||||||||||||||||||
Share of remeasurements of defined benefit pension plans of associates | — | — | — | — | — | — | (40 | ) | — | |||||||||||||||||||||||
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Items that may be reclassified subsequently to profit or loss: | ||||||||||||||||||||||||||||||||
Unrealized gain (loss) on available-for-sale financial assets | 26 | — | (246 | ) | (1 | ) | (234 | ) | — | (333 | ) | — | ||||||||||||||||||||
Income tax relating to items that may be reclassified subsequently | 1 | — | — | — | 2 | — | — | — | ||||||||||||||||||||||||
Exchange differences arising from the translation of the foreign operations | (51 | ) | — | 16 | — | (37 | ) | — | 90 | — | ||||||||||||||||||||||
Share of exchange differences arising from the translation of the foreign operations of associates | (32 | ) | — | (8 | ) | — | (24 | ) | — | 3 | — | |||||||||||||||||||||
Cash flow hedges | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||
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(56 | ) | — | (238 | ) | (1 | ) | (293 | ) | — | (240 | ) | — | ||||||||||||||||||||
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Total other comprehensive loss, net of income tax | (56 | ) | — | (238 | ) | (1 | ) | (293 | ) | — | (280 | ) | — | |||||||||||||||||||
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(Continued)
- 4 -
CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(In Millions of New Taiwan Dollars, Except Earnings Per Share)
(Unaudited)
For the Three Months Ended June 30 | For the Six Months Ended June 30 | |||||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||||
Amount | % | Amount | % | Amount | % | Amount | % | |||||||||||||||||||||||||
TOTAL COMPREHENSIVE INCOME | $ | 11,727 | 21 | $ | 13,508 | 24 | $ | 20,914 | 19 | $ | 22,187 | 20 | ||||||||||||||||||||
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NET INCOME ATTRIBUTABLE TO | ||||||||||||||||||||||||||||||||
Stockholders of the parent | $ | 11,576 | 21 | $ | 13,411 | 24 | $ | 20,869 | 19 | $ | 21,758 | 19 | ||||||||||||||||||||
Noncontrolling interests | 207 | — | 335 | 1 | 338 | — | 709 | 1 | ||||||||||||||||||||||||
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$ | 11,783 | 21 | $ | 13,746 | 25 | $ | 21,207 | 19 | $ | 22,467 | 20 | |||||||||||||||||||||
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COMPREHENSIVE INCOME ATTRIBUTABLE TO | ||||||||||||||||||||||||||||||||
Stockholders of the parent | $ | 11,536 | 21 | $ | 13,162 | 23 | $ | 20,601 | 19 | $ | 21,454 | 19 | ||||||||||||||||||||
Noncontrolling interests | 191 | — | 346 | 1 | 313 | — | 733 | 1 | ||||||||||||||||||||||||
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$ | 11,727 | 21 | $ | 13,508 | 24 | $ | 20,914 | 19 | $ | 22,187 | 20 | |||||||||||||||||||||
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EARNINGS PER SHARE | ||||||||||||||||||||||||||||||||
Basic | $ | 1.49 | $ | 1.73 | $ | 2.69 | $ | 2.80 | ||||||||||||||||||||||||
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Diluted | $ | 1.49 | $ | 1.72 | $ | 2.69 | $ | 2.80 | ||||||||||||||||||||||||
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(Concluded)
- 5 -
CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY
(In Millions of New Taiwan Dollars)
(Unaudited)
Other Adjustments | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Retained Earnings | Exchange Differences Arising from the Translation | Unrealized Gain (Loss) on Available-for- | Total Equity | |||||||||||||||||||||||||||||||||||||||||||||||||
Common Stock | Additional Capital | Legal Reserve | Special Reserve | Unappropri- ated Earnings | Total Retained | of the Foreign | sale Financial | Cash Flow Hedges | Total Other Adjustments | Attributable to Stockholders | Noncontrolling Interests | Total Equity | ||||||||||||||||||||||||||||||||||||||||
BALANCE, JANUARY 1, 2013 | $ | 77,574 | $ | 168,877 | $ | 70,829 | $ | 2,676 | $ | 39,037 | $ | 112,542 | $ | (97 | ) | $ | 258 | $ | — | $ | 161 | $ | 359,154 | $ | 4,336 | $ | 363,490 | |||||||||||||||||||||||||
Appropriation of 2012 earnings | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Legal reserve | — | — | 3,990 | — | (3,990 | ) | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Cash dividends distributed by Chunghwa | — | — | — | — | (35,913 | ) | (35,913 | ) | — | — | — | — | (35,913 | ) | — | (35,913 | ) | |||||||||||||||||||||||||||||||||||
Cash dividends distributed by subsidiaries | — | — | — | — | — | — | — | — | — | — | — | (811 | ) | (811 | ) | |||||||||||||||||||||||||||||||||||||
Cash distributed from additional paid-in capital | — | (5,589 | ) | — | — | — | — | — | — | — | — | (5,589 | ) | — | (5,589 | ) | ||||||||||||||||||||||||||||||||||||
Net income for the six months ended June 30, 2013 | — | — | — | — | 21,758 | 21,758 | — | — | — | — | 21,758 | 709 | 22,467 | |||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) for the six months ended June 30, 2013 | — | — | — | — | (40 | ) | (40 | ) | 68 | (332 | ) | — | (264 | ) | (304 | ) | 24 | (280 | ) | |||||||||||||||||||||||||||||||||
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Total comprehensive income (loss) for the six months ended June 30, 2013 | — | — | — | — | 21,718 | 21,718 | 68 | (332 | ) | — | (264 | ) | 21,454 | 733 | 22,187 | |||||||||||||||||||||||||||||||||||||
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Exercise of employee stock options of subsidiaries | — | 4 | — | — | — | — | — | — | — | — | 4 | 26 | 30 | |||||||||||||||||||||||||||||||||||||||
Compensation cost of employee stock option of a subsidiary | — | — | — | — | — | — | — | — | — | — | — | 17 | 17 | |||||||||||||||||||||||||||||||||||||||
Increase in noncontrolling interests | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
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BALANCE, JUNE 30, 2013 | $ | 77,574 | $ | 163,292 | $ | 74,819 | $ | 2,676 | $ | 20,852 | $ | 98,347 | $ | (29 | ) | $ | (74 | ) | $ | — | $ | (103 | ) | $ | 339,110 | $ | 4,301 | $ | 343,411 | |||||||||||||||||||||||
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BALANCE, JANUARY 1, 2014 | $ | 77,574 | $ | 163,294 | $ | 74,819 | $ | 2,676 | $ | 40,075 | $ | 117,570 | $ | 6 | $ | (150 | ) | $ | — | $ | (144 | ) | $ | 358,294 | $ | 4,846 | $ | 363,140 | ||||||||||||||||||||||||
Appropriation of 2013 earnings | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Legal reserve | — | — | 2,074 | — | (2,074 | ) | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Special reserve | — | — | — | 144 | (144 | ) | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Cash dividends distributed by Chunghwa | — | — | — | — | (18,526 | ) | (18,526 | ) | — | — | — | — | (18,526 | ) | — | (18,526 | ) | |||||||||||||||||||||||||||||||||||
Cash dividends distributed by subsidiaries | — | — | — | — | — | — | — | — | — | — | — | (797 | ) | (797 | ) | |||||||||||||||||||||||||||||||||||||
Cash distributed from additional paid-in capital | — | (16,577 | ) | — | — | — | — | — | — | — | — | (16,577 | ) | — | (16,577 | ) | ||||||||||||||||||||||||||||||||||||
Net income for the six months ended June 30, 2014 | — | — | — | — | 20,869 | 20,869 | — | — | — | — | 20,869 | 338 | 21,207 | |||||||||||||||||||||||||||||||||||||||
Other comprehensive loss for the six months ended June 30, 2014 | — | — | — | — | — | — | (44 | ) | (224 | ) | — | (268 | ) | (268 | ) | (25 | ) | (293 | ) | |||||||||||||||||||||||||||||||||
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Total comprehensive income (loss) for the six months ended June 30, 2014 | — | — | — | — | 20,869 | 20,869 | (44 | ) | (224 | ) | — | (268 | ) | 20,601 | 313 | 20,914 | ||||||||||||||||||||||||||||||||||||
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Compensation cost of employee stock option of a subsidiary | — | — | — | — | — | — | — | — | — | — | — | 53 | 53 | |||||||||||||||||||||||||||||||||||||||
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BALANCE, JUNE 30, 2014 | $ | 77,574 | $ | 146,717 | $ | 76,893 | $ | 2,820 | $ | 40,200 | $ | 119,913 | $ | (38 | ) | $ | (374 | ) | $ | — | $ | (412 | ) | $ | 343,792 | $ | 4,415 | $ | 348,207 | |||||||||||||||||||||||
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- 6 -
CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In Millions of New Taiwan Dollars)
(Unaudited)
Six Months Ended June 30 | ||||||||
2014 | 2013 | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES | ||||||||
Income before income tax | $ | 25,149 | $ | 24,631 | ||||
Adjustments to reconcile income before income tax to net cash provided by operating activities: | ||||||||
Depreciation | 16,106 | 15,361 | ||||||
Amortization | 785 | 602 | ||||||
Provision for doubtful accounts | 148 | 138 | ||||||
Interest expenses | 19 | 14 | ||||||
Interest income | (143 | ) | (324 | ) | ||||
Dividend income | (77 | ) | (34 | ) | ||||
Compensation cost of employee share options | 53 | 17 | ||||||
Share of the profit of associates and joint ventures accounted for using equity method | (417 | ) | (333 | ) | ||||
Impairment loss on available-for-sale financial assets | 9 | 27 | ||||||
Impairment loss on intangible assets | — | 18 | ||||||
Provision for inventory and obsolescence | 248 | 138 | ||||||
Impairment loss on property, plant and equipment | — | 2 | ||||||
Loss (gain) on disposal of financial instruments | (44 | ) | 7 | |||||
Loss on disposal of property, plant and equipment | 20 | 10 | ||||||
Loss on disposal of investments accounted for by using equity method | 4 | — | ||||||
Valuation gain on financial instruments at fair value through profit or loss, net | — | (35 | ) | |||||
Gain arising on adjustments for hedged available-for-sale financial assets | — | (64 | ) | |||||
Valuation loss on hedging derivative liabilities, net | — | 58 | ||||||
Valuation loss on hedging derivative assets, net | — | 6 | ||||||
Loss (gain) on foreign exchange | 107 | (69 | ) | |||||
Changes in operating assets and liabilities: | ||||||||
Decrease (increase) in: | ||||||||
Financial assets held for trading | — | 5 | ||||||
Trade notes and accounts receivable | (855 | ) | 674 | |||||
Receivables from related parties | — | (8 | ) | |||||
Inventories | (593 | ) | (599 | ) | ||||
Other current monetary assets | (274 | ) | (527 | ) | ||||
Prepayments | (3,172 | ) | (3,410 | ) | ||||
Other current assets | (1,306 | ) | 741 | |||||
Increase (decrease) in: | ||||||||
Trade notes and accounts payable | (3,256 | ) | (1,875 | ) | ||||
Payables to related parties | 83 | (301 | ) | |||||
Other payables | (4,188 | ) | (3,622 | ) | ||||
Provisions | (13 | ) | 19 | |||||
Advance receipts | (403 | ) | (88 | ) |
(Continued)
- 7 -
CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In Millions of New Taiwan Dollars)
(Unaudited)
Six Months Ended June 30 | ||||||||
2014 | 2013 | |||||||
Other current liabilities | $ | 6 | $ | (33 | ) | |||
Deferred revenue | (135 | ) | (42 | ) | ||||
Accrued pension liabilities | 195 | 130 | ||||||
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Cash generated from operations | 28,056 | 31,234 | ||||||
Interest paid | (19 | ) | (22 | ) | ||||
Income tax paid | (4,005 | ) | (3,312 | ) | ||||
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Net cash provided by operating activities | 24,032 | 27,900 | ||||||
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CASH FLOWS FROM INVESTING ACTIVITIES | ||||||||
Acquisition of available-for-sale financial assets | (47 | ) | (1,798 | ) | ||||
Proceeds from disposal of available-for-sale financial assets | 84 | 1,342 | ||||||
Capital reduction of available-for-sale financial assets | 44 | 18 | ||||||
Acquisition of time deposits and negotiable certificate of deposits with maturities of more than three months | (411 | ) | (17,730 | ) | ||||
Proceeds from disposal of time deposits and negotiable certificate of deposits with maturities of more than three month | 435 | 33,820 | ||||||
Proceeds from disposal of held-to-maturity financial assets | 1,570 | 1,571 | ||||||
Proceeds from disposal of hedging derivative assets | — | 10 | ||||||
Derecognition of hedging derivative liabilities | — | (84 | ) | |||||
Acquisition of investments accounted for using equity method | (133 | ) | (60 | ) | ||||
Capital reduction of associates | — | 16 | ||||||
Acquisition of property, plant and equipment | (13,090 | ) | (15,586 | ) | ||||
Proceeds from disposal of property, plant and equipment | 4 | 36 | ||||||
Acquisition of intangible assets | (149 | ) | (321 | ) | ||||
Increase in other noncurrent assets | (341 | ) | (1,451 | ) | ||||
Interest received | 22 | 334 | ||||||
Cash dividends received | 452 | 361 | ||||||
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Net cash provided by (used in) investing activities | (11,560 | ) | 478 | |||||
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CASH FLOWS FROM FINANCING ACTIVITIES | ||||||||
Proceeds from short-term loans | 831 | 227 | ||||||
Repayment of short-term loans | — | (144 | ) | |||||
Proceeds from long-term loans | 348 | — | ||||||
Repayment of long-term loans | — | (358 | ) | |||||
Customers’ deposits refunded | (59 | ) | (95 | ) | ||||
Decrease in other noncurrent liabilities | (5 | ) | (84 | ) | ||||
Proceeds from exercise of employee stock option granted by subsidiaries | — | 30 | ||||||
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Net cash provided by (used in) financing activities | 1,115 | (424 | ) | |||||
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(Continued)
- 8 -
CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In Millions of New Taiwan Dollars)
(Unaudited)
Six Months Ended June 30 | ||||||||
2014 | 2013 | |||||||
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | $ | (31 | ) | $ | 96 | |||
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NET INCREASE IN CASH AND CASH EQUIVALENTS | 13,556 | 28,050 | ||||||
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 14,585 | 30,938 | ||||||
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CASH AND CASH EQUIVALENTS, END OF PERIOD | $ | 28,141 | $ | 58,988 | ||||
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(Concluded)
- 9 -
CHUNGHWA TELECOM CO., LTD. AND SUBSIDIARIES
NOTE TO CONSOLIDATED FINANCIAL STATEMENTS
SIX MONTHS ENDED JUNE 30, 2014 AND 2013
(Unaudited)
STATEMENT OF COMPLIANCE
The Company has prepared its consolidated balance sheets as of June 30, 2014, and 2013, the related consolidated statements of comprehensive income for the three months ended June 30, 2014 and 2013 and for the six months ended June 30, 2014 and 2013, as well as the consolidated statements of changes in equity and cash flows for the six months ended June 30, 2014 and 2013 in accordance with the International Financial Reporting Standards, International Accounting Standard and International Financial Reporting Interpretations Committee, as issued by the International Accounting Standard Board (collectively, “IFRSs”). The consolidated financial statements are incomplete as they omit the related footnote disclosures as required under IFRSs.
- 10 -