Fiscal results of telecom carriers show good momentum

By Wu Jin
0 Comment(s)Print E-mail China.org.cn, August 25, 2016
Adjust font size:

China's three major telecom operators, China Mobile, China Unicom and China Telecom, recently reported an aggregate net profit of 73.674 billion yuan (US$11.10 billion) for the first half of this year, averaging more than 0.4 billion yuan a day.

According to their fiscal reports, the net profits of China Mobile grew by 5.6 percent year on year to 60.572 billion yuan, while China Telecom experienced growth of 6.3 percent, reaching 11.673 billion yuan. Although China Unicom underwent a precipitous drop of 79.6 percent on a yearly basis, it regained a net profit of 1.429 billion yuan after losing 3.36 billion yuan in the second half of last year.

Ma Jihua, an analyst of the telecom industry, said the three telecom firms' performances during the first half of this year are much better than those of the second half of last year, when the industry was affected by a market strategy promoted as "high speeds and low prices."

The fiscal reports of the three telecom operators also placed emphasis on the incomes of mobile internet flows. According to China Mobile, the company's wireless internet capacity became the major source of telecommunication incomes, surging by 39.7 percent year on year and accounting for 43.4 percent of the gains of its telecommunication service.

China Telecom also saw a whopping increase of mobile internet usage, of which the incomes jumped by 42 percent while the data traffic grew by 135 percent compared to the same period last year.

Fu Liang, an independent analyst of the telecom industry, said the flow of mobile internet service will become a major business model in coming years, as smart-phone games and online live streams contribute to the surge of mobile internet flows and incomes.

Follow China.org.cn on Twitter and Facebook to join the conversation.
Print E-mail Bookmark and Share

Go to Forum >>0 Comment(s)

No comments.

Add your comments...

  • User Name Required
  • Your Comment
  • Enter the words you see:   
    Racist, abusive and off-topic comments may be removed by the moderator.
Send your storiesGet more from China.org.cnMobileRSSNewsletter