Good afternoon, ladies and gentlemen. Welcome to Chunghwa Telecom Conference Call for the company's Second Quarter 2023 Operating Results [Operator Instructions]. For your information, this conference call is now being broadcasted live over the Internet. Webcast replay will be available within an hour after the conference is finished. Please visit CHT IR Web site, www.cht.com.tw/ir under the IR Calendar section. And now I would like to turn it over to Ms. Angela Tsai, the Director of Investor Relations. Thank you. Ms. Tsai. Please go ahead.

Thank you. I'm Angela Tsai, Assistant Vice President of Chunghwa Telecom's Financial Department. Welcome to our second quarter 2023 results conference call. Joining me on the call today are Harrison Kuo, our Chairman and CEO; Chau-Young Lin, our recently appointed President; and Vincent Chen, our Chief Financial Officer. Before I turn the call over to Chairman Kuo, I would like to briefly introduce our new President, Dr. Ivan Lin. President Lin holds a PhD degree in electronic engineering from National Taiwan University of Finance and Technology. He has served in various leadership positions in the areas of information technology, enterprise business and telecom laboratory at Chunghwa. President Lin also has a specialized interest and experience in IT advancements and AI-related development. On Slide 2, please read our disclaimers and most concerning our forward-looking statements. Now without further delay, I will turn the call over to Chairman. Chairman Kuo, please go ahead.

Thank you, Angela, and hello, everyone. Welcome to our second quarter results conference call. To begin, I would like to extend a warm welcome to our new President, Chau-Young Lin. We are happy to have his participation on today's call. Before Ivan walks us through our business overview and the segment performance, I would first like to share our views and the exploration for Chunghwa Telecom on Slide 4. As I took the office, I declare our mission publicly, that is leverage our 4 assets, which include customers, partners, tech platforms, infrastructures and the talents to forge digital-enabler ecosystems, empowering individuals, families, governments, enterprise customers, global clients and strategic partners to innovate and create value for customers, strategic partners, shareholders and employees. I reiterate our shared value as it is critical to drive business excellence and fulfill our missions. The shared value that underpin our corporate culture include integrity, customers' trust, innovation and value creation as well as commitment and accountability. I believe those are the fundamentals that make the whole company to move forward together. I also envisioned the company to become an international benchmark enterprise recognized for sustainable development as well as a leading brand for digital ecosystems enablers based on the four assets aforementioned. To guide our success, I reviewed our financial benchmark, which is to become a top technology conglomerate far exceeding the market value of TWD 1 trillion. As our new management recently onboard has AI-related experience in particular, I am confident in our ability to shift ourselves into a leading brand among digital ecosystem enablers. Our goal is to push forward the development of an ecosystem base industry environment of a leading telecom operator. Furthermore, we expect to continue outperforming our peers over such [Indiscernible] and even extend our lead in giving our exclusive technology and solid capabilities. We believe the digital transformation trend will continue to prepare the industry for further growth and remain available into the success. We rely more on ecosystem building the sale of typical industry competition. We aim to create accretive value for customers and then enhance the overall value for the industry, of course, including ourselves. In July, we were invited to the New York Stock Exchange to celebrate the company's anniversary for our [OISE] lead team. We greatly appreciate the achievement and look forward to our investors maintained and continued support. Now I will hand the call over to Ivan for the business overview.

Thank you, Chairman Kuo, and hello, everyone. I'm Ivan. I'm honored to be here today and happy to share the details of our second quarter business result. On Slide 5, please find our mobile business overview. In the second quarter, by marketing in Taiwan further consolidated toward sales restructured, and we are exciting to see our revenue share in Taiwan Mobile marketing had [Indiscernible] increased on a year-over-year basis, 39.2% to 39.9%, as well as the quarter-over-quarter gross revenue of 39.7%. Our subscriber share also turned to 37% from 36.3% compared with the second quarter of the last year. As a result, our incremental existing revenue of the share above our subscriber share increased to 2.9%, reflecting our healthy subscriber structure and better revenue generation compared to our peers. In addition, our postpaid ARPU report 4% Y-o-Y increase and continuing growth for 9 consequently quarterly. Our mobile service revenue also took a lead in industry with 6.5% increase, outperforming our peers and maintaining the growth for 22 consequent monthly on a year-over-year basis. And on to the upselling result from the 5G migration and the increase of the postpaid subscriber numbers for those who migrate from our 5G to -- our 4G to the 5G. We averaged a 44% uplift in the mobile monthly fee, maintain an upward trajectory the quarter-over-quarter. In addition, our international moment recovered and the prepared revenue increase continuing to win up in the second quarter. And really, overall revenue -- over the normal revenue this year is expect to recover to this, the pre-pandemic level. In terms of the mobile, more quality, we are going to be recognized by open signal to Taiwan based on overall and 5G coverage and fast and overall 5G experience in June, showcasing our outperformance in network coverage and quality.…

Thank you, President Lin. Good afternoon, everyone. I will now walk you through our second quarter financial results. Let's begin with Slide 13, income statement highlights. From the second quarter of 2023, we were glad to see our performance continue to exhibit growth momentum. Total revenues increased by 2% compared to same quarter last year, as a result of growing mobile and broadband service revenues. Income from operations and net income grew by 2% and 2.9% on year, respectively, and such growth were mainly attributable to our strong core business performance. EBITDA maintained quarterly and yearly growth. Overall, in the first half of the year, we delivered impressive operating performance as total revenues increased by 3.8% year-over-year, fueled by strong growth of our mobile, ICT and broadband services. Income from operations and net income grew by 3.2% and 4.6% on year, respectively, mainly due to our robust core businesses and growing ICT business. Notably, EPS increased by 4.6% on year to TWD 2.52, which hit a six year high. EBITDA continued to grow and EBITDA margin continued to stay at above 40%. Now move on to Page 15 for balance sheet highlights. Total assets on June 30 of 2023 compared to the end of 2022 grew by 1.3%, mainly due to the increase in our current monetary assets, such as negotiable certificate of deposits. Total liabilities rose by 21%, primarily attributable to the increase in dividend payable, leading debt ratio to increase from 25% to 29%. Furthermore, net debt over EBITDA remains zero. Altogether, these debt-related figures demonstrate the robustness of our balance sheet. Page 16 provides the summary of our cash flows. Cash flows from operating activities increased by 3.9% on year, mainly due to the decrease in payments to suppliers and maintenance contractors, which offset the impact of…

Thank you, Vincent. On Slide 18 is our awards and ESG recognitions received in the second quarter. To identify our overall commitment to sustainability, we officially joined the Renewable Energy 100 in May and committed to achieving 100% renewable energy usage by 2040. We have also passed the greenhouse gas reduction near-term targets reviewed by SBTi. Our goal is to achieve the reduction of Scope 1 and Scope 2 greenhouse gas emissions by 50% compared to the base year of 2020. Furthermore, we are among the foundries in Taiwan to commit to achieving Net Positive Impact on biodiversity and No Net Deforestation by 2030. In addition, our ESG practice and other achievements has been widely recognized globally. We received an upgraded AA rating for MSCI's ESG rating, most in the top quartile among telecommunications industry peers. These achievements solidify our position as one of the global 88 companies in the sustainable development. Thank you for your attention. At this time, I would like to open up our conference call for questions.

Thank you for your participation. Goodbye.

Thank you, Chairman Kuo, and thank you for your participation in Chunghwa Telecom's conference. There will be a webcast replay within an hour. Please visit www.cht.com.tw/ir under the IR Calendar section. You may now disconnect. Thank you, and goodbye.