CHINA MOBILE(SH:600941) Great Wall Securities·2024-10-28 03:15Investment Rating - The investment rating for China Mobile is "Buy" with a maintained rating [1][2] Core Views - The report highlights that China Mobile's household ARPU performance is impressive, and the company continues to invest heavily in research and development [1][2] - The company achieved a revenue of 791.5 billion yuan in the first three quarters of 2024, representing a year-on-year growth of 2.0%, while the net profit attributable to shareholders was 110.9 billion yuan, up 5.1% year-on-year [1][2] - The report emphasizes the continuous optimization of profitability indicators, with a net profit margin of 14.0% in Q3 2024, an increase of 0.4 percentage points year-on-year [2] - The company has seen a slight increase in household ARPU, with a comprehensive household ARPU of 43.2 yuan, up 2.6% year-on-year [2] - The DICT business has shown good growth, driven by integrated promotion of "network + cloud + DICT" and expansion in key areas [2] - R&D expenses for the first three quarters reached 20.3 billion yuan, a year-on-year increase of 34%, indicating a strong commitment to innovation [2] - The report forecasts revenue growth for 2024-2026, predicting revenues of 1,091.1 billion yuan, 1,194.7 billion yuan, and 1,316.6 billion yuan, with net profits of 142.4 billion yuan, 155.2 billion yuan, and 170.7 billion yuan respectively [2] Financial Summary - For 2022A, the operating revenue was 937.3 billion yuan, with a growth rate of 10.5% year-on-year [1] - The net profit attributable to shareholders for 2022A was 125.5 billion yuan, with a growth rate of 8.2% year-on-year [1] - The report provides projections for key financial metrics, including EPS of 6.65 yuan, 7.25 yuan, and 7.98 yuan for 2024E, 2025E, and 2026E respectively [1][2] - The P/E ratio is projected to decrease from 17.8 in 2022A to 13.1 in 2026E, indicating an improving valuation [1][2]