20 April 2016 For Immediate Release
Press Release
The Group continued to demonstrate 4G advantages and accelerated the migration of customers to 4G networks, solidified its market leading position. Data traffic business continued to grow rapidly, revenue structure further optimized.
The unaudited financial data of the Group for the first quarter of 2016
Operating revenue was RMB177.5 billion, up by 8.7% over the same period last year; of which, revenue from telecommunications services was RMB151.6 billion, up by 4.9% over the same period last year
EBITDA was RMB65.1 billion, up by 7.0% over the same period last year
Profit attributable to equity shareholders was RMB23.9 billion, up by 0.5% over the same period last year
Today, China Mobile Limited (the "Company", together with its subsidiaries, the "Group") (HKEx: 0941) (NYSE: CHL) announced certain selected unaudited key performance indicators of the Group for the first quarter of 2016.
Note: In this press release, unaudited operating data and comparative figures reflect such data after consolidating TieTong's certain assets and business.
SELECTED UNAUDITED KEY PERFORMANCE INDICATORS
For the period from | For the period from | |
1 January 2016 to | 1 January 2015 to | |
31 March 2016 | 31 March 2015 | Change |
Operating Revenue (RMB) | 177.5 billion | 163.3 billion | 8.7% |
Of which, Revenue from | |||
Telecommunications Services (RMB) | 151.6 billion | 144.5 billion | 4.9% |
EBITDA (RMB) | 65.1 billion | 60.9 billion | 7.0% |
EBITDA Margin | 36.7% | 37.3% | |
Profit before Taxation (RMB) | 31.2 billion | 31.1 billion | 0.5% |
Profit Attributable to Equity Shareholders (RMB) | 23.9 billion | 23.8 billion | 0.5% |
Margin of Profit Attributable to Equity Shareholders | 13.5% | 14.6% |
Mobile Business
Total Customers | 834 million | 826 million |
Net Additional Customers * | 7.61 million | 3.34 million |
4G Customers | 377 million | 312 million |
3G Customers | 153 million | 169 million |
Average Revenue per User per Month (ARPU) | ||
(RMB/user/month) * | 57.6 | 48.2 |
Total Voice Usage (minutes) * | 1,014.0 billion | 1,047.0 billion |
Average Minutes of Usage per User per Month (MOU) | ||
(minutes/user/month) * | 409 | 420 |
Mobile Data Traffic (MB) * | 1,216.0 billion | 943.0 billion |
Average Handset Data Traffic per Month (DOU) | ||
(MB/user/month) * | 551 | 443 |
SMS Usage (messages) * | 130.7 billion | 133.9 billion |
Wireline Broadband Business
Total Customers | 60.59 million | 55.03 million |
Net Additional Customer | 5.56 million | - |
* For the relevant reporting period
In the first quarter of 2016, the Group continued to demonstrate its 4G advantages. The Group vigorously promoted the sales of 4G terminals, comprehensively accelerated the migration of customers to 4G networks, continue solidified our market leading position.
As at 31 March 2016, our mobile customers were 834 million, of which 4G customers were 377 million. Net additional 4G customers for the first quarter reached 64.23 million. Benefitting from the favorable development of 4G services, the Group's data traffic business continued to grow rapidly. Mobile data traffic increased by 148% compared to the same period last year, revenue structure was further optimized. Meanwhile, as the substitution impact of OTT business on traditional communications services continued to intensify, voice services and SMS and MMS services further declined in the first quarter. Total voice usage and SMS usage decreased by 1.5% and 10.6%, respectively compared to the same period last year. Wireline broadband business developed steadily, with the number of customers reaching 60.59 million.
The Group's operating revenue was RMB177.5 billion, up by 8.7% compared to the same period last year, of which revenue from telecommunications services was RMB151.6 billion, up by 4.9% compared to the same period last year. As a result of revenue growth being no longer impacted by the policy of "transformation from business tax to value-added tax" since 2016, the favorable effects of stimulated customer spending in this quarter by tariff promotion and sales initiatives towards the end of last year as well as continued rapid growth of the sales of 4G terminals, revenue growth rate picked up again compared to that for the full year of 2015. Taking into consideration the factors of high pressure in tariff reduction and the carryover effect of terminal sales at the end of last year, the Group's revenue growth rate for the whole year faces challenge. In the first quarter of 2016, ARPU of mobile customers was RMB57.6 and recorded a slight increase compared to last year.
The Group is at a critical stage of transformation of its development. There is a high demand for resources from 4G network construction and optimization as well as business development, retention of existing customers, mobile Internet development and the deployment of wireline broadband. The Group endeavored in its promotion of low-cost, high-efficiency operations, deepened the transformation of its marketing and sales model and improved the efficiency and effectiveness of its marketing resource utilization. EBITDA for the first quarter of 2016 was RMB65.1 billion, up by 7.0% compared to the same period last year. Profit attributable to equity shareholders was RMB23.9 billion, up by 0.5% compared to the same period last year. Margin of profit attributable to equity shareholders was 13.5%, profitability continued to be maintained at a sound level.
The Group will continue to adhere to the principles of forward-looking planning, effective resource allocation, rational investment and refined management in cost allocation, endeavor to strike a balance between our short-term performance and long-term development, strive to increase revenue and save costs, and maintain favorable profitability, thereby continuously create value for investors.
The above key performance indicators are based on the Group's unaudited management accounts. Investors are cautioned not to unduly rely on such data, and exercise caution in dealing in the securities of the Company.
-END-
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 the Company to be materially different from any future performance, financial condition or results of operations implied by such forward-looking statements. These risks, uncertainties and other factors include statements relating to: the Company's business objectives and strategies;
its operations and prospects; its network expansion and capital expenditure plans; the expected impact of any acquisitions or other strategic transactions; its provision of services, including 4G services and services based on technological evolution, and its ability to attract customers to these services; the expected benefit from its acquisition and planned integration of TieTong; the expected impact of tariff changes on its business, financial condition and results of operations; the expected impact of new service offerings on its business, financial condition and results of operations; and future developments in the telecommunications industry in Mainland China, including changes in the regulatory and competitive landscape.
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.
China Mobile Ltd. issued this content on 20 April 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 20 April 2016 10:28:16 UTC
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