China Mobile net profit climbs 23%

21 Mar 2007

China Mobile, the world’s largest wireless operator has reported a 23% increase in net profit to RMB66.114 billion (USD8.54 billion) on the back of strong subscriber growth. Turnover climbed from RMB243.041 billion in 2005 to RMB295.358 billion a year later, with the group’s value added services businesses reporting a 38.1% increase over the year to RMB69.309 billion or 23.5% of total turnover, up more than two percentage points. EBITDA reached RMB159.574 billion, an increase of 19.7%.

At the end of December 2006 China Mobile claimed 301 million subscribers, with monthly ARPU of RMB90 and average monthly minutes of use of 381.

Fixed line operator China Netcom has meanwhile been reported in the local press as having reported a 2006 revenue figure of RMB96.9 billion, compared to the previous years figure of RMB91.5 bln. Company vice-president Zhu Lijun told reporters at a media conference that the firm’s broadband users totalled 16.44 million at the end of 2006, with the broadband business contributing 20% of the group’s total revenue.

China, China Mobile, China Netcom