01.04.2001
Optimistic forecast from Chunghwa

Chunghwa Telecom Co., Ltd. (Zhong Hua ‘2412’) estimates that after-tax EPS for 2001 will be NT$ 4.46, and that after-tax earnings will be NT$ 96.5b. We consider this early estimate overly optimistic and should be discounted by at least 10%. We thereby estimate an after tax EPS of NT$3.8-4.2, with increasing competitive pressure and eroding of profits in the telecom sector.
George Wu