Handset subsidies hit Unicom profits

28 Oct 2005

China Unicom has seen a 7.4% drop in nine-month net profits to CNY3.8 billion after it booked a one-off amortisation expense of CNY4.55 billion (USD560 million) for handset subsidies. Third-quarter profits were more heartening, however, with the firm reporting a 22.5% increase to CNY1.47 billion. Revenues for the first three quarters of the year were up almost 11% to CNY65.3 billion. Unicom is China’s second largest cellular operator, with 124 million subscribers and a 35% market share at the end of September.

China, China Unicom