2019-04-12 08:59Financial Performance - In 2018, China Mobile's operating revenue was RMB 736.819 billion, a slight decrease from RMB 740.514 billion in 2017[14]. - Communication service revenue for 2018 was RMB 670.907 billion, compared to RMB 668.351 billion in 2017, indicating a growth in service revenue[14]. - EBITDA for 2018 reached RMB 275.541 billion, up from RMB 270.421 billion in 2017, with an EBITDA margin of 37.4%[14]. - Shareholders' profit attributable to the company was RMB 117.781 billion in 2018, an increase from RMB 114.279 billion in 2017, resulting in a profit margin of 16.0%[14]. - Basic earnings per share for 2018 were RMB 5.75, compared to RMB 5.58 in 2017, reflecting an increase in profitability[14]. - Total operating revenue reached RMB 736.8 billion, an increase of 1.8% year-on-year[32]. - Communication service revenue amounted to RMB 670.9 billion, growing by 3.7% year-on-year[32]. - Net profit attributable to shareholders reached RMB 117.8 billion, with earnings per share of RMB 5.75, a year-on-year increase of 3.1%[32]. - The company's profit for the year 2018 was RMB 117,781 million, compared to RMB 114,279 million in 2017, showing a growth of approximately 3.3%[171]. - The total comprehensive income for 2018 was RMB 120,191 million, an increase from RMB 112,636 million in 2017, representing a growth of about 6.4%[171]. Customer Base and Market Presence - China Mobile's customer base surpassed 900 million in May 2018, indicating strong market presence[7]. - The number of mobile customers reached 925 million, with a net increase of 37.9 million customers, and 4G customers increased by 63 million, totaling 713 million[55]. - The number of household broadband customers increased by 37.42 million, totaling 147 million, with a market share of 41.5%[33]. - The number of enterprise customers reached 7.18 million, a year-on-year growth of 19.2%[33]. - The number of IoT smart connections increased by 322 million, reaching a total of 551 million[36]. Technological Advancements - In December 2018, China Mobile was granted 5G trial frequency bands, marking a significant step towards 5G deployment[10]. - The company launched the first global 5G independent networking system for holographic video calls in June 2018, showcasing its technological advancements[8]. - The company is actively advancing 5G network trials and applications, with significant progress in network transformation and technology innovation[36]. - The average revenue per user (ARPU) for mobile services was RMB 53.1, leading the industry[32]. Operational Efficiency and Cost Management - The company aims to enhance its operational efficiency by leveraging intelligent methods to significantly reduce operational and maintenance costs[42]. - The average broadband cost for small and medium enterprises was reduced by 15%, while the average mobile network traffic cost decreased by 20%[40]. - The company is committed to promoting cost reduction and efficiency enhancement through meticulous management and resource sharing[42]. Corporate Governance and Shareholder Relations - The company has implemented a robust corporate governance framework, ensuring compliance with both Hong Kong and U.S. regulations[91]. - The company maintains a shareholder communication policy and has an investor relations department to provide necessary information and services[100]. - The company plans to continue enhancing its investor relations efforts to improve communication with shareholders and the capital market[101]. - The board consists of seven members, including the chairman, CEO, and CFO, with independent non-executive directors overseeing governance[105]. Environmental and Social Responsibility - The company has been recognized as the only mainland Chinese enterprise to enter the CDP Global Climate Change Highest Rating List for three consecutive years[18]. - The company’s "Precise Poverty Alleviation" system was implemented in 14 provinces and 71 cities, benefiting 8.11 million impoverished individuals[39]. - The group made donations totaling RMB 82,242,686 during the year, compared to RMB 89,532,505 in 2017[135]. Financial Position and Assets - The total assets at the end of 2018 were RMB 1,535.9 billion, with total liabilities of RMB 480.1 billion, resulting in a debt-to-asset ratio of 31.3%[85]. - As of December 31, 2018, total assets amounted to RMB 1,535,910 million, a 0.9% increase from RMB 1,522,113 million in 2017[86]. - The equity attributable to shareholders increased to RMB 1,052,405 million in 2018, up from RMB 985,636 million in 2017, reflecting a growth of about 6.8%[171]. Audit and Compliance - The audit committee is composed entirely of independent non-executive directors, with members possessing professional qualifications in finance, accounting, and law[111]. - The company completed a review of its risk management and internal control systems in 2018[113]. - The internal audit department conducts independent audits of all business units and reports directly to the audit committee four times a year[120]. Future Outlook - The company aims to achieve a total connection scale of over 2 billion in 2019, with good growth in communication service revenue and stable profit growth[49]. - The company plans to invest RMB 149.9 billion in capital expenditure for 2019, a decrease of 10.3% from 2018, excluding 5G trial commercial use[65].