Investment Rating - The report maintains a "Buy" rating for China Unicom with a target price of HKD 7.6, representing a potential upside of 17% from the current stock price of HKD 6.5 [1][3]. Core Insights - China Unicom has achieved double-digit profit growth for eight consecutive years, with a dividend payout ratio increased to 55% [1]. - The company's revenue for the first half of 2024 reached RMB 197.3 billion, a year-on-year increase of 2.9%, while service revenue was RMB 175.7 billion, up 2.7% year-on-year [1]. - The EBITDA for the same period was RMB 55 billion, reflecting a 2.7% year-on-year growth, and the net profit attributable to shareholders was RMB 13.8 billion, marking an 11.3% increase year-on-year [1]. Summary by Sections Financial Performance - In the first half of 2024, China Unicom's operating income was RMB 197.3 billion, with a year-on-year growth of 2.9%. The service revenue was RMB 175.7 billion, growing by 2.7% year-on-year. EBITDA reached RMB 55 billion, also up by 2.7% year-on-year, while net profit attributable to shareholders was RMB 13.8 billion, reflecting an 11.3% increase year-on-year [1][6]. - The company reported a return on equity of 3.7%, an increase of 0.26% year-on-year, and a debt-to-asset ratio of 45.5%, down by 1% year-on-year [1]. Business Segments - The internet communication service revenue for the first half of 2024 was RMB 125.1 billion, a year-on-year increase of 2.1%, accounting for three-quarters of the main business. The mobile user base reached 340 million, with a net addition of 6 million users, and the penetration rate of 5G packages exceeded 80% [1]. - The smart network business saw rapid growth, with revenue of RMB 43.5 billion, up 6.6% year-on-year, contributing over 60% of the new service revenue. Cloud revenue was RMB 31.7 billion, growing by 24.3% year-on-year [1]. Future Outlook - The report anticipates a gradual increase in the dividend payout ratio to 70% in the future, despite a downward adjustment in revenue growth expectations for 2024-2026 to 3.8%, 3.7%, and 3.6% respectively [1][4]. - The target price of HKD 7.6 is based on a 10x earnings multiple for 2024 profits, reflecting the company's solid fundamentals and potential for increased dividends [1].

China Unicom (00762) H1 2024 Earnings Call August 15, 2024 05:00 AM ET Speaker0 Respected investors, analysts, and friends from the media, ladies and gentlemen, good afternoon. I am Wang Yisheng from the Board of Directors Office of China Unicom. Welcome to our 2024 interim results briefing. Thank you for your support all along. We are having our briefing both in Beijing and in Hong Kong with an online and offline combination. With miss Meng Chu Sheng and myself, we'll be hosting the meeting on the two plac ...

Financial Performance - The company's operating revenue for the first half of 2024 reached RMB 197.3 billion, a year-on-year increase of 2.9%[3] - EBITDA for the same period was RMB 55 billion, reflecting a 2.7% year-on-year growth, while total profit amounted to RMB 16.9 billion, up 10.4% year-on-year[3] - The profit attributable to equity holders was RMB 13.8 billion, marking an 11.3% increase year-on-year, achieving double-digit growth for eight consecutive years[3] - The interim dividend declared was RMB 0.2481 per share (pre-tax), representing a 22.2% increase year-on-year, significantly higher than the growth rate of basic earnings per share[3] - Total comprehensive income for the period was RMB 14,062 million, compared to RMB 13,002 million in the same period of 2023, marking a growth of 8.1%[17] - The company's total revenue for the first half of 2024 was RMB 197.34 billion, representing a year-on-year growth of 2.9%[37] - Service revenue accounted for RMB 175.66 billion, with a year-on-year increase of 2.7%[38] - Net profit for the period was RMB 13,836 million, compared to RMB 12,500 million in the previous year, reflecting an increase of approximately 10.7%[17] - Basic and diluted earnings per share for the period were both RMB 0.45, up from RMB 0.40 in the same period last year, indicating a 12.5% increase[16] Revenue Breakdown - The service revenue reached RMB 175.7 billion, an increase of 2.7% year-on-year, with the internet communication business generating RMB 125.1 billion, up 2.1% year-on-year[5] - The cloud computing revenue reached RMB 31.7 billion, a significant year-on-year increase of 24.3%, showcasing the company's leading position in the industry[6] - International business revenue was RMB 6 billion, reflecting an 8.4% year-on-year growth, driven by increased roaming and overseas mobile service revenues[7] - Total service revenue for the six months ended June 30, 2024, was RMB 175,656 million, an increase from RMB 171,045 million for the same period in 2023, representing a growth of approximately 3.8%[28] - Sales of communication products for the six months ended June 30, 2024, amounted to RMB 21,685 million, compared to RMB 20,788 million for the same period in 2023, reflecting an increase of about 4.3%[28] Investment and Expenditures - Capital expenditures were effectively controlled at RMB 23.9 billion, a decrease of 13.4% compared to the previous year[3] - The company completed fixed asset investments of RMB 23.9 billion in the first half of the year, with a stable investment scale and continuous improvement in investment efficiency[10] - The company aims for stable revenue growth and double-digit profit growth for the full year, with fixed asset investments expected to remain within RMB 65 billion[13] Assets and Liabilities - Total assets as of June 30, 2024, amounted to RMB 667,740 million, an increase from RMB 661,051 million at the end of 2023[18] - Current liabilities totaled RMB 263,890 million, slightly up from RMB 263,652 million at the end of 2023, indicating a stable liability management[20] - The company's total liabilities to total assets ratio was 45.5% as of June 30, 2024, indicating a stable financial position[37] - The company's non-current assets decreased to RMB 493,899 million from RMB 502,950 million at the end of 2023, indicating a reduction of 1.9%[18] - The company’s total equity increased to RMB 364,071 million from RMB 353,898 million at the end of 2023, reflecting a growth of 2.4%[19] Operational Efficiency - The operating costs for the first half of 2024 were RMB 184.69 billion, reflecting a year-on-year increase of 2.2%[41] - The company’s network, operation, and support costs rose to RMB 30.45 billion, a 4.4% increase year-on-year[44] - The company’s employee compensation and benefits expenses decreased to RMB 28.71 billion, down from RMB 32.25 billion in the previous year[41] - In the first half of 2024, employee compensation and benefits expenses amounted to RMB 28.71 billion, a decrease of 11.0% year-on-year, representing 14.5% of operating revenue, down from 16.8% in the same period last year[45] - Sales expenses increased by 2.4% year-on-year to RMB 17.73 billion, maintaining a stable proportion of 9.0% of operating revenue compared to the same period last year[47] - Management expenses decreased by 3.4% year-on-year to RMB 2.29 billion, remaining stable at 1.2% of operating revenue[48] - Other operating expenses rose by 16.7% year-on-year to RMB 36.52 billion, increasing its share of operating revenue from 16.3% to 18.5%[48] Research and Development - R&D investment increased by 13% year-on-year in the first half of the year, focusing on original and leading technological breakthroughs[8] - The company launched an artificial intelligence shared dataset and a "trusted data resource space" platform to enhance data governance and security[9] - The blockchain TPS exceeded 100,000, ranking among the industry leaders[11] Environmental Commitment - The company reduced greenhouse gas emissions by approximately 6.78 million tons in the first half of the year, with a 6% decrease in energy consumption per unit of telecom business[12] Recognition and Awards - The company received multiple accolades, including ranking 279th in the 2024 Fortune Global 500 and being recognized as "Asia's Most Admired Telecom Company" for nine consecutive years[12] Corporate Governance - The board of directors includes four executive directors and four independent non-executive directors[64] - The group continues to operate under the assumption of going concern, with sufficient funds to meet operational commitments and anticipated capital expenditures[24]

Financial Performance - Revenue for 2023 reached RMB 3,726.0 billion, a 5.0% increase from RMB 3,549.4 billion in 2022[10] - Net profit for 2023 was RMB 187.3 billion, an 11.8% increase from RMB 167.4 billion in 2022[10] - EBITDA reached RMB 99.8 billion, while net profit attributable to equity holders was RMB 18.7 billion, reflecting an 11.8% year-on-year growth[13] - In 2023, the company achieved operating revenue of RMB 372.6 billion, a year-on-year increase of 5.0%[29] - The company reported a pre-tax profit of RMB 22.95 billion, showing an 11.5% year-on-year growth[42] - The company reported a total comprehensive income of RMB 19,038 million for the year ended December 31, 2023, compared to RMB 16,940 million in 2022, an increase of 12.3%[193] - The proposed final dividend for the year is RMB 4,088 million, up from RMB 3,335 million in the previous year, reflecting a growth of 22.6%[190] User Growth - The number of mobile users grew by 10.6 million, reaching 333 million[4] - The number of broadband users increased by 9.79 million, totaling 113 million[4] - The number of mobile internet users increased by 10.6 million, reaching a total of 333 million, with a 5G package penetration rate of 78%, up 12 percentage points year-on-year[14] - The broadband internet user base grew to 113 million, with a net increase of 9.79 million users, marking the highest growth in nearly a decade[14] Cloud and Data Services - Cloud revenue rose by 41.6% year-over-year, reaching RMB 51 billion[3] - Data service revenue grew by 32%[3] - The intelligent network and data services segment generated revenue of RMB 75.2 billion, with cloud services revenue reaching RMB 51.03 billion, a 41.6% increase year-on-year[15] - The company’s cloud computing revenue exceeded RMB 10 billion, driven by new information application products[25] Capital Expenditure and Financial Position - The company’s capital expenditure for 2023 was RMB 73.9 billion, with a focus on high-growth intelligent network and data services[13] - The company’s interest-bearing debt decreased by 19% to RMB 46.4 billion, maintaining a debt-to-asset ratio of 46.5%[13] - The asset-liability ratio stood at 46.5% by the end of 2023[29] - The company’s total assets increased from RMB 642.66 billion to RMB 661.05 billion, while total liabilities rose from RMB 299.13 billion to RMB 307.15 billion, maintaining a debt-to-asset ratio of 46.5%[46] Corporate Governance - The company emphasizes the importance of a healthy corporate culture as the core of good governance, focusing on innovation and integration to enhance competitiveness[61] - The company has adopted a corporate governance code that complies with all relevant regulations and best practices, confirming adherence to governance standards for the year ending December 31, 2023[65] - The board consists of seven members, including three executive directors and four independent non-executive directors, ensuring a diverse range of expertise[66] - The company has established mechanisms for independent non-executive directors to express their opinions openly and confidentially, enhancing governance quality[67] Risk Management - The company has established a comprehensive risk management system that combines routine comprehensive risk assessment with dynamic key risk management, ensuring effective operational management[97] - The company emphasizes the importance of network and information security, aligning with national laws and regulations to support the construction of a strong digital network[98] - In 2023, the company identified significant risks including network and information security, public opinion risk, and fixed asset investment risk, implementing appropriate countermeasures for each[98][99][101] Employee and Talent Management - The company emphasizes talent as the primary resource, with over 10,000 new hires in 2023 through campus and social recruitment[172] - Employee compensation and benefits expenses for the year ended December 31, 2023, were approximately RMB 62.94 billion, an increase from RMB 60.73 billion for the year ended December 31, 2022[143] - The group provides comprehensive welfare plans and career development opportunities for employees, including retirement benefits and training programs[143] Shareholder Communication and Investor Relations - The company has established a shareholder communication policy to ensure timely and balanced information is provided to shareholders, facilitating informed decision-making[114] - The company received multiple awards for its investor relations efforts, including recognition as the "Best Investor Relations Team (Telecom Sector) in Asia" at the 2023 Institutional Investor awards[114] - The company regularly holds analyst and investor meetings to provide detailed information and address inquiries regarding its performance and operations[111] Audit and Financial Reporting - Revenue recognition is identified as a key audit matter due to the complexity of the billing information system and the inherent risks associated with the accuracy of revenue recorded in the telecommunications industry[180] - The auditor's report provides reasonable assurance that the consolidated financial statements are free from material misstatement, but does not guarantee that all errors will be detected[185] - The financial statements and the auditor's report are prepared in accordance with the Hong Kong Financial Reporting Standards and the Companies Ordinance[177]

Investment Rating - The report maintains a "Buy" rating for China Unicom with a target price of HKD 7.66, corresponding to a P/E ratio of 10.2x/9.3x/8.5x for the fiscal years 2024-2026 and dividend yields of 6.0%/7.1%/8.3% for the same periods [1][2]. Core Insights - The first quarter of 2024 saw earnings slightly below expectations, but the company is expected to maintain double-digit profit growth for the full year. Service revenue and net profit for Q1 2024 were RMB 89.043 billion (up 3.4% year-on-year) and RMB 5.613 billion (up 8.9% year-on-year), respectively. The slight miss in profit growth was attributed to a decrease in net income from joint ventures and other income, while operating profit increased by 22.3% year-on-year [1][2]. - The company is expected to continue improving shareholder returns and maintain high dividend payouts, with a projected dividend yield of 6.2% for 2023 and expected yields of 7.6%, 9.0%, and 10.6% for 2024, 2025, and 2026, respectively [1][2]. Summary by Sections Financial Performance - In Q1 2024, China Unicom's service revenue was RMB 89.043 billion, reflecting a year-on-year growth of 3.4%, while net profit was RMB 5.613 billion, up 8.9% year-on-year. Operating profit showed a significant increase of 22.3% year-on-year [1][2]. Capital Expenditure and Efficiency - The company plans to reduce capital expenditure by 12% year-on-year to RMB 65 billion in 2024, which is expected to alleviate depreciation pressure. The depreciation and amortization expenses accounted for 23.7% of total operating expenses in 2023. Efforts to enhance operational efficiency are also underway, with good control over employee benefits and sales expenses [2]. Dividend Policy - The report anticipates that China Unicom will continue to enhance shareholder returns through increased dividends, with a projected payout ratio of approximately 60% for 2024, which is expected to rise in 2025 and 2026 [1][2].

Financial Performance - In Q1 2024, China Unicom reported operating revenue of RMB 99.496 billion, a year-on-year increase of 2.3%[1] - Service revenue reached RMB 89.043 billion, growing by 3.4% compared to the previous year[2] - Pre-tax profit was RMB 7.239 billion, reflecting a year-on-year growth of 10.6%[3] - Profit attributable to equity holders amounted to RMB 5.613 billion, an increase of 8.9% year-on-year[3] - The company aims for steady revenue growth and double-digit profit growth for the full year 2024[4] User and Connection Metrics - The number of mobile users reached 337 million, with 5G package users at 269 million, resulting in a penetration rate of 80%[3] - Internet of Things (IoT) connections totaled 529 million, with a net increase of 34.6 million[3] Cloud Business - Revenue from the cloud business (Unicom Cloud) was RMB 16.7 billion, marking a 30.3% year-on-year increase[3] Assets and Liabilities - Total assets as of March 31, 2024, were RMB 664.787 billion, while total liabilities were RMB 304.902 billion[2] Technological Innovation - The company authorized 362 patents in Q1 2024, indicating a steady increase in technological innovation[3]

Investment Rating - The report maintains a "Buy" investment rating for China Unicom with a target price of HK$7.66 [2][3][7] Core Views - The company is expected to see steady earnings growth and strong dividends, with service revenue and net profit for 2023 reaching RMB 335.2 billion (up 5.0% YoY) and RMB 18.7 billion (up 11.8% YoY), respectively [2][7] - The report anticipates that the dividend payout ratio will continue to increase, projecting a payout ratio of approximately 60% in 2024, with further increases in 2025 and 2026 [2][7] - China Unicom is positioned to benefit significantly from the data services market, with its data services revenue growing by 32% YoY to RMB 5.3 billion in 2023 [2][8] Summary by Sections Financial Performance - For 2023, China Unicom's service revenue was RMB 335.2 billion, and net profit was RMB 18.7 billion, aligning with market expectations [2][7] - The projected earnings per share (EPS) for 2024-2026 are RMB 0.694, RMB 0.761, and RMB 0.827, respectively [2][7] - The company’s dividend per share (DPS) is expected to yield 6.0%, 7.1%, and 8.3% for 2024-2026 [7] Market Opportunities - The telecommunications sector has inherent advantages in data sourcing, with China Unicom expected to invest RMB 10 billion in computing power by 2024 [2][8] - The data services market is projected to grow significantly, with the market size expected to reach RMB 200 billion by 2030 [2][8] - China Unicom is the first telecom operator in China to implement centralized data operations, which positions it well to capitalize on the expanding data services market [2][8] Strategic Initiatives - The company plans to deepen its involvement in the data services market, leveraging its extensive data resources and operational experience to create vertical-specific data products and services [2][8] - The report identifies catalysts for growth, including increasing dividend rates and promoting commercial data-related businesses [2][8]

Investment Rating - The report maintains a "Buy" rating for China Unicom with a target price of HKD 7.6, reflecting a focus on improving income quality and operational efficiency [2][4]. Core Insights - China Unicom is entering a phase of "quality improvement, efficiency enhancement, and shareholder return," with an emphasis on profit release rather than just revenue growth [2]. - The company has achieved a historical high in dividend payout ratio, reaching 55% [1]. - The report indicates that 2023 marks a turning point for 5G capital expenditures, with expectations of continued decline in capital spending and improvement in free cash flow [2]. Summary by Sections Financial Performance - For the year 2023, China Unicom reported total revenue of RMB 372.6 billion, a year-on-year increase of 5.0%, with service revenue also at RMB 335.2 billion, reflecting the same growth rate [1]. - EBITDA reached RMB 99.8 billion, showing a slight increase of 0.6% year-on-year, while net profit attributable to shareholders was RMB 18.7 billion, up 11.8% year-on-year [1][5]. - The company’s return on equity (ROE) improved to 5.4%, marking a recent high [1]. Capital Expenditure and Cash Flow - Capital expenditures for 2023 totaled RMB 73.9 billion, lower than the previous target of RMB 76.9 billion, with a planned reduction of 12% for 2024 [1]. - Free cash flow for the year was RMB 28.5 billion, representing an 8.3% increase year-on-year [1]. Business Segments - Traditional core business revenue was RMB 244.6 billion, growing by 3.1% year-on-year, accounting for three-quarters of the main business [1]. - The mobile user base reached 333 million, with a net addition of 10.6 million users, and a 5G package penetration rate of 78% [1]. - The digital business segment, particularly the industrial internet, generated RMB 75.3 billion in revenue, a 12.9% increase year-on-year, contributing significantly to new service revenue [1]. Dividend Policy - The total dividend for the year was RMB 0.3366 per share, a 22.8% increase year-on-year, significantly higher than the net profit growth rate [1]. - The report anticipates that the dividend payout ratio will gradually increase to 70% in the future [2].

Financial Performance - Revenue reached RMB 372.6 billion, a year-on-year increase of 5.0%[1][3] - Net profit attributable to equity holders was RMB 18.7 billion, up 11.8% year-on-year[1][3] - Return on equity reached 5.4%, the best level in recent years[1][3] - Revenue for 2023 reached RMB 372,597 million, a 5% increase from RMB 354,944 million in 2022[16] - Net profit attributable to equity holders of the company was RMB 18,726 million, up 11.8% from RMB 16,745 million in 2022[16] - Basic earnings per share (EPS) for 2023 were RMB 0.61, compared to RMB 0.55 in 2022[16] - Total comprehensive income for 2023 was RMB 19,241 million, a 13% increase from RMB 17,027 million in 2022[17] - Total service revenue for 2023 was RMB 335.17 billion, an increase from RMB 319.348 billion in 2022[29] - Sales revenue from communication products in 2023 was RMB 37.427 billion, up from RMB 35.596 billion in 2022[29] - Basic and diluted earnings per share for 2023 were RMB 0.61, up from RMB 0.55 in 2022[33] Capital Expenditure and Investment - Capital expenditure for 2023 was RMB 73.9 billion, with a shift in investment focus from traditional communication services to high-growth digital and intelligent network services[1][3] - Fixed assets increased to RMB 355,995 million in 2023, up 1% from RMB 352,433 million in 2022[18] Dividend and Shareholder Returns - Total annual dividend per share was RMB 0.3366, a 22.8% increase year-on-year[1][3] - Proposed final dividend for 2023 is RMB 4,088 million, subject to approval at the annual general meeting[19][14] - The company declared an interim dividend of RMB 0.203 per share for 2023, totaling RMB 6.211 billion[37] - The proposed final dividend for 2023 is RMB 0.1336 per share, amounting to RMB 4.088 billion[37] User Base and Market Penetration - Mobile user base reached 333 million, with a net addition of 10.6 million users in 2023, a 90% increase year-on-year[5] - 5G package user penetration rate reached 78%, up 12 percentage points year-on-year[5] - Fixed-line broadband user base reached 113 million, with a net addition of 9.79 million users, the highest in nearly a decade[5] Digital and Intelligent Network Business - Revenue from the digital and intelligent network business reached RMB 75.2 billion, accounting for about a quarter of total revenue from the two main businesses[7] - Revenue from China Unicom Cloud reached RMB 51.03 billion, a year-on-year increase of 41.6%[7] Financial Position and Liabilities - Total assets as of December 31, 2023, were RMB 661,051 million, up 2.9% from RMB 642,663 million in 2022[18] - Cash and cash equivalents decreased to RMB 47,733 million in 2023 from RMB 55,297 million in 2022[18] - Total equity attributable to equity holders of the company was RMB 351,474 million, up 2.9% from RMB 341,619 million in 2022[19] - Total liabilities increased to RMB 307.153 billion in 2023 from RMB 299.127 billion in 2022[20] - Current liabilities rose to RMB 263.652 billion in 2023 compared to RMB 250.870 billion in 2022[20] - Short-term bank borrowings increased to RMB 681 million in 2023 from RMB 331 million in 2022[20] - Accounts payable and accrued expenses grew to RMB 161.279 billion in 2023 from RMB 154.838 billion in 2022[20] - Lease liabilities slightly increased to RMB 12.640 billion in 2023 from RMB 12.495 billion in 2022[20] - The company has an unused revolving bank credit facility of approximately RMB 190.1 billion as of December 31, 2023[23] - The company's current liabilities exceeded current assets by approximately RMB 105.6 billion in 2023 (2022: RMB 104.6 billion)[23] Tax and Regulatory Compliance - Income tax expense for 2023 was RMB 4.023 billion, compared to RMB 3.751 billion in 2022[31] - The company's subsidiaries in mainland China are subject to a corporate income tax rate of 25%, with some eligible for a preferential rate of 15%[30] - The company was approved as a Chinese resident enterprise by the State Taxation Administration, exempting it from withholding tax on dividends distributed to overseas shareholders[37] Accounts Receivable and Credit Risk - Accounts receivable as of 2023 totaled RMB 38.692 billion, an increase from RMB 26.331 billion in 2022[34] - The company has no significant concentration of credit risk in accounts receivable due to its large customer base[34] Accounting Standards and Policies - The company adopted new and revised Hong Kong Financial Reporting Standards, including HKFRS 17 "Insurance Contracts" and amendments to HKAS 8 "Definition of Accounting Estimates"[24] - The company confirmed deferred tax assets and liabilities related to right-of-use assets and lease liabilities as of January 1, 2022[25] Miscellaneous - Total connected communication users as of January 2024 were not disclosed in the provided content[14]

Financial Performance - For the first three quarters of 2023, the company's operating revenue reached RMB 281.69 billion, an increase of 6.7% compared to the same period last year[3] - Service revenue amounted to RMB 252.52 billion, reflecting a year-on-year growth of 5.4%[2] - The company's attributable profit to equity holders was RMB 17.25 billion, up 10.1% year-on-year[2] - EBITDA for the period was RMB 78.82 billion, representing a 2.7% increase from the previous year[3] Revenue Breakdown - The industrial internet business generated revenue of RMB 60.69 billion, accounting for 24.0% of service revenue, an increase of 1.8 percentage points year-on-year[3] - The mobile user base reached 332 million, with a net increase of 9.67 million users, driving mobile service revenue to RMB 130.70 billion, a 2.6% increase year-on-year[3] - Broadband access and application revenue grew by 8.7% to RMB 46.04 billion, with a broadband ARPU of RMB 47.9[3] - The company reported a significant growth in its cloud services, achieving revenue of RMB 36.70 billion, a 36.6% increase year-on-year[4] - The number of IoT connections reached 467 million, contributing to an IoT business revenue of RMB 7.52 billion, a year-on-year increase of 21.9%[4] Research and Development - The company accelerated its R&D efforts, with the number of patents granted reaching 1,888, a 38.2% increase compared to the previous year[4] Financial Reporting and Governance - The company emphasizes that the financial and operational data presented are based on internal data and management accounts, which have not been reviewed or audited by auditors[6] - EBITDA is highlighted as a key performance indicator for the telecommunications industry, reflecting earnings before financial expenses, interest income, and other factors[6] - Broadband comprehensive ARPU is defined as the average monthly revenue from broadband access and applications divided by the average number of broadband users[6] - Revenue from the "Unicom Cloud" segment includes income from cloud resources, platforms, services, integration, interconnectivity, and security solutions[6] - Personal digital life products include video ringtones, Unicom Assistant, and Unicom Cloud Disk, while smart home products encompass Unicom Networking, Ultra HD, Home Monitoring, and Smart Fixed-line services[6] - The company warns that certain statements may be considered forward-looking and involve known and unknown risks and uncertainties that could lead to significant deviations from actual performance[6] - The board of directors consists of executive directors and independent non-executive directors, ensuring a diverse governance structure[7]