Page 39 - SAMENA Trends - July-August 2022

REGIONAL & MEMBERS UPDATES SAMENA TRENDS

China Mobile Bullish on 5G User Growth

China Mobile predicted continued gains Covid-19 (coronavirus) and other external per cent to 970 million, with 5G package
in 5G network customer numbers over the complexities, China Mobile stepped up customers doubling to 511 million. Capex
second half, after doubling the number in H1 efforts to take advantage of rapid growth in was 7 per cent higher at CNY92 billion, with
alongside booking double-digit profit and the digital economy. Digital transformation CNY185.2 billion earmarked for the full year
revenue growth. The operator ended June revenue, covering enterprise, smart home (unchanged from 2021). Of its 1 million 5G
with 263 million 5G network customers and and new businesses, increased 39.2 per base stations, 300,000 were 700MHz sites.
expects to add another 130 million in the cent to CYNY110.8 billion and accounted Net profit increased 18.9 per cent to CNY3.3
second half, when China Mobile forecast for 26 per cent of telecoms service revenue. billion, with operating revenue growing 12
stable ARPU growth after the H1 figure was Mobile cloud sales rose 103.6 per cent to per cent. Mobile service revenue was flat
flat at CNY52.30 ($9.71). Chairman Yang CNY23.4 billion, with more than 3,500 cloud at CNY256.1 billion and product sales grew
Jie explained in a statement that despite services contracts in the bag by end-June. 39.8 per cent to CNY426.4 billion.
headwinds posed by rising cases of Total mobile subscribers increased 2.6

China Mobile Books First Half Revenues of US$74bn

Chinese full-service provider China Mobile
has published its financial results for the
first half of 2022, reporting a 12.0% year-on-
year increase in operating revenue, which
grew to CNY496.9 billion (USD73.7 billion).
Telecommunications service revenue
made up CNY426.4 billion of that figure,
up from CNY393.2 billion in H1 2021.
EBITDA, meanwhile, improved by 7.4% to
CNY173.9 billion and net profit attributable
to shareholders grew by 18.9% to CNY70.3
billion. Commenting on the performance,
China Mobile attributed the uptick in
turnover to subscription growth across its
four operating divisions: ‘Customer’, ‘Home’,
‘Business’ and ‘New’. In the Customer
segment (consisting primarily of the
operator’s retail mobile business) Mobile
recorded revenue growth of just 0.2% but
recorded nearly 13 million net subscription
additions y-o-y, with 970 million accounts at
the end of June 2022, including 511 million
5G package subscriptions. The rapid
uptake of 5G services served to counteract
downward pricing pressure and led to a
small improvement in ARPU to CNY52.3 (up
0.2% y-o-y). Its Home division (domestic
fixed broadband and related services) saw
sustained revenue growth, booking an H1 turnover from the Business sector a cumulative total of more than 11,000
18.7% y-o-y increase, to CNY59.4 billion in (cloud, data, ICT and IoT service) grew by agreements for commercial 5G projects
H1 2022. Mobile recorded 12.41 million net 24.6% y-o-y to CNY91.1 billion. Notably, across multiple sectors. The company also
fixed broadband subscription additions – the division includes the operator’s 5G added that it had connected more than 195
bringing its total to more than 230 million business services and Mobile highlighted million vehicles to its Internet of vehicles
– with gigabit broadband lines accounting that by the end of June 2022 it had (IoV) services.
for more than 88% of new subscriptions. launched 300 5G showcases and signed

39 JULY-AUGUST 2022