CK Hutchison Holdings Limited (CKH Holdings, 00001) released an unaudited trading update for its wholly owned telecom arm, CK Hutchison Group Telecom Holdings Limited (CKHGT), covering the three months ended 31 March 2026.

CKHGT’s consolidated revenue rose 15% year on year to €2.90 billion, while total margin increased 11% to €2.06 billion. The total-margin-to-revenue ratio (excluding handset sales) improved to 83%, compared with 77% a year earlier. The active customer base expanded 37% to 60.10 million, and average monthly contract churn narrowed by 0.20 percentage point to 1.0%.

Quarter on quarter, revenue fell 8% and total margin slipped 3% against the seasonally strong 2025 Q4. Capital expenditure contracted 43% year on year to €0.20 billion, reflecting tighter investment discipline, while net debt rose to €2.90 billion from €2.10 billion in 2025 Q1.

Segment performance • United Kingdom (VodafoneThree – 49% equity accounted): Q1 revenue totalled £0.98 billion, down 5% from 2025 Q4, with total margin at £0.65 billion (-2% QoQ). Net ARPU inched up to £15.25 and contract churn held at 1.0%. • Italy: Revenue slipped 6% quarter on quarter to €0.90 billion and margin to €0.70 billion. Capex was sharply lower at €0.10 billion (-64% QoQ), and monthly contract churn improved to 1.1%.

Strategic transaction On 5 May 2026 CKHGT agreed to dispose of its 49% interest in VodafoneThree for cash proceeds of £4.30 billion, targeting completion in the second half of 2026. The transaction is expected to generate an estimated disposal gain of about £0.40 billion and will strengthen liquidity for future expansion and potential acquisitions.

All figures in the update are unaudited. Shareholders and potential investors are advised to exercise caution when dealing in CKH Holdings’ securities.