CHINA MOBILE(00941)2024-03-21 08:30Financial Performance - The company's basic earnings per share for the year ended December 31, 2023, were based on a profit attributable to shareholders of RMB 131,766 million, compared to RMB 125,459 million in 2022, with a weighted average number of shares of 21,376,288,436[5]. - The operating revenue reached RMB 1,009.3 billion, an increase of 7.7% year-on-year, with communication service revenue at RMB 863.5 billion, growing by 6.3%[54]. - Shareholders' profit attributable to the company was RMB 131.8 billion, up 5.0% year-on-year, with earnings per share at RMB 6.16[51]. - EBITDA was RMB 341.5 billion, reflecting a year-on-year growth of 3.7%, accounting for 39.5% of communication service revenue[51]. - Free cash flow increased by 29.2% year-on-year to RMB 123.5 billion, indicating strong operational efficiency[51]. - The total comprehensive income for the year was RMB 133,447 million, up from RMB 126,853 million in 2022, indicating a growth of 5.5%[114]. - The company's profit for the year reached RMB 131.935 billion, an increase from RMB 125.594 billion[95]. - The net profit attributable to shareholders for 2023 was RMB 131,935 million, representing an increase of 5.7% from RMB 125,594 million in 2022[113]. Customer Growth and Market Penetration - The cloud mobile service officially launched, achieving a customer base of 11.99 million by the end of December 2023, reflecting positive market feedback[1]. - In the public market sector, 17 products reached a customer scale of over 100 million, with 4 products exceeding 200 million customers[1]. - Six products in the government and enterprise market generated revenue exceeding RMB 100 billion, showcasing industry-leading service capabilities[1]. - The "Mobile Home" and "Thousand-Mile Eye" services reached a total customer scale of 56.26 million, indicating strong market penetration[1]. - The number of mobile customers reached 991 million, with 5G package subscribers totaling 795 million, reflecting a net increase of 18 million[60]. - The number of broadband customers reached 298 million, with household broadband customers at 264 million, and household ARPU at RMB 43.1[54]. - The number of enterprise customers grew to 28.37 million, with a net increase of 5.17 million[63]. - The number of 5G network customers reached 465 million, supporting a total of 33,000 commercial use cases[66]. Innovation and Technology Development - The company is committed to strengthening its innovation leadership and sustainable development capabilities through optimized management and expanded collaborative ecosystems[2]. - The company has established a "1+N" specialized large model system, releasing over 450 AI capabilities including intelligent voice recognition and natural language processing[28]. - The company led 60 international standards for 5G-A, ranking first among global operators, and successfully developed the first domestic reconfigurable 5G RF chip "Pofeng 8676"[28]. - The company launched 19 innovative achievements in 5G-A, with the RedCap technology already commercialized in 52 cities across the country[28]. - The company is focusing on the development of new products and technologies, including intelligent lightweight terminals and low-altitude coverage new business models[34]. - The company aims to enhance its core competitiveness and achieve sustainable high-quality development, targeting a revenue breakthrough of over RMB 1 trillion[68]. - The company is focusing on digitalization and network intelligence to enhance service quality and meet customer demands effectively[59]. Sustainability and Corporate Responsibility - The company is committed to sustainable development, emphasizing its responsibility as a corporate citizen to drive economic, social, and environmental progress[39]. - The company has launched the "C² Three Energy - Carbon Peak and Carbon Neutral Action Plan," focusing on energy conservation and low-carbon initiatives[40]. - In 2023, the total energy consumption per unit of telecom business decreased by 13.0%, while carbon emissions per unit dropped by 13.1%[40]. - The company was recognized as one of the top ten "China ESG Model" enterprises and received multiple awards for its performance in ESG and investor relations[32]. Strategic Initiatives and Partnerships - The company has established partnerships with over 1,300 upstream enterprises to enhance industrial chain collaboration and resilience[36]. - The company has strengthened its strategic cooperation with national agencies, local governments, and enterprises to promote cross-border collaboration in information services[36]. - The company has implemented a comprehensive governance structure, enhancing risk prevention capabilities and ensuring sustainable development[31]. Financial Management and Investments - The company aims to maintain its dividend per share amount, with the final dividend expected to be distributed around June 26, 2024, pending shareholder approval[23]. - The company proposed a dividend payout ratio of 71% for the year 2023, with a final dividend of HKD 2.40 per share, totaling HKD 4.83 for the year, a 9.5% increase from 2022[58]. - The company aims to increase cash distribution to shareholders to over 75% of the profit attributable to shareholders within three years starting from 2024[52]. - The company incurred tax and surcharges amounting to RMB 3,071 million in 2023, up from RMB 2,898 million in 2022, which is an increase of 5.9%[157]. Challenges and Market Conditions - The company has faced challenges due to complex external environments, including international trade and technology barriers affecting supply chain security[45]. - The company has reported a significant increase in the integration of AI technologies, which is transforming the information service landscape[45].