China Mobile Limited Announces 2010 Interim Results
Achieved Consistent and Stable Growth Maintained Leading Position in the Industry
HONG KONG, Aug. 19 /PRNewswire-Asia-FirstCall/ --
-- Turnover reached RMB229.8 -- Profit attributable to shareholders of
billion, up by 7.9% RMB57.6 billion, up by 4.2%
-- EBITDA of RMB116.6 billion, -- Total customer number and net
up by 6.1% additions were 554 million and 31.76
-- EBITDA margin of 50.7%, million, respectively
maintained at high level -- Payment of an interim dividend of
HK$1.417 per share. The Company's
planned dividend payout ratio for
the full year of 2010 is 43%
China Mobile Limited (referred to below as the "Company", and together with its subsidiaries, the "Group") (HKEx: 941) (NYSE: CHL) announced its 2010 interim results today.
The Chinese economy continued to show healthy momentum in the first half of 2010, which provided a positive environment for the Group's business development. However, we also faced numerous external challenges, including high and increasing mobile penetration rates and intensifying industry competition. In this ever-changing and challenging environment, the Group has promoted rational competition and taken full advantage of our prominent brand, large-scale customer base, high quality network and customer service. Our sound management principles and effective operational approach, as well as the hard work and continuous innovations made by our staff, enabled the Group to achieve consistent, steady growth and maintain our leading position in the industry.
For the six months ended 30 June 2010, the Group's operating revenue maintained steady growth, reaching RMB229,818 million, up 7.9% over the same period last year. Continuing to lead the industry in profitability, the Group achieved a 4.2% increase in profit attributable to shareholders over the same period last year, which amounted to RMB57,643 million, arriving at a relatively high margin of 25.1%. EBITDA rose 6.1% over the same period last year to RMB116,612 million, with EBITDA margin reaching 50.7%. Basic earnings per share grew 4.2% over the same period last year to RMB2.87. Underpinned by its solid capital structure, strong financial position and cash flow generating capability, the Group is well-positioned to manage risks and achieve continued healthy growth.
In the first six months of 2010, the Group maintained relatively good momentum in its business development. The customer base experienced stable growth, and voice services achieved steady growth. The total customer base at the end of the reporting period reached 554 million, of which 31.76 million were net additions. Total voice usage volume was 1,664.654 billion minutes, up 20.0% over the same period last year. Average minutes of usage per user per month (MOU) was 520 minutes, up 6.1% over the same period last year, and average revenue per user per month (ARPU) was RMB72, exhibiting a moderately declining trend.
The Company determines and commits to hold in the highest regard the interests of its shareholders and returns achieved for them, especially the minority shareholders. In view of the Group's favorable operating results for the first half of 2010 and having taken into consideration its long-term future development, based on the dividend payout guidance for the full year of 2010, the Board declared an interim dividend of HK$1.417 per share for the six months ended 30 June 2010. The Board is of the view that the Group's favorable operating results and strong cash flow generating capability will continue to support the future sustainable development of the Company, while providing shareholders with a favorable return.
The Group's development faces new challenges amid the already high mobile penetration rate and the intensifying competition in China's telecommunications market. Meanwhile, the convergence of telecommunications, Internet and TV networks, and the innovation of business models brought about by technological advancement also brought changes to the Group's future development environment. At the same time, the Chinese government is likely to make necessary adjustments to the national economy by stimulating domestic demand and consumption, which will benefit the telecommunications industry. The development of some sectors of the market, including the rural market, the migrant worker market and the family market, are showing great growth potential. In addition, the flourishing of mobile internet and the "Internet of Things" being gradually integrated into people's daily lives also provide the Group with new models and areas for business growth. All of the above create promising opportunities.
In this environment, the Group will continue to follow its "Blue Ocean Strategy" and embrace innovation. The Group will consolidate advantages in economies of scale and enhance its core capabilities, including network capability, business innovation capability and customer service, and continue to adhere to its core management principles and effective management approach. We expect to maintain our leading position in network quality, offer top-tier customer services, realize a low-cost and high-efficiency operation, and generally strive for continuous improvement and sustainable growth. We will keep innovating and expanding into the new areas of mobile internet and the "Internet of Things". We will actively develop the 3G business and promote mobile broadband services that cater to individuals, families and corporate customers' needs, creating value for them as well as benefiting the Group. The Group will implement the development strategy of seamless coordination among networks while concurrently participating in the research and development of LTE mobile network evolution. In addition, the Group will actively and cautiously seek suitable investment opportunities and consider further expansion into a broader telecommunications market.
Our commitment is unwavering - we will create value for shareholders by building a prosperous and sustainable business.
Forward-looking Statements
Certain statements contained in this press release may be viewed as "forward-looking statements" within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual performance, financial condition or results of operations of China Mobile Limited (the "Company") to be materially different from any future performance, financial condition or results of operations implied by such forward-looking statements. Further information regarding these risks, uncertainties and other factors is included in the Company's most recent Annual Report on Form 20-F filed with the U.S. Securities and Exchange Commission (the "SEC") and in the Company's other filings with the SEC.
Press enquiries:
China Mobile Limited
Mr. Chen Gong or Ms. Rainie Lei
Tel: +852-3121-8888
Fax: +852-3121-8809
SOURCE China Mobile Limited
WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM?
Newsrooms &
Influencers
Digital Media
Outlets
Journalists
Opted In
Share this article