CHINA TELECOM(601728) 中原证券·2025-04-02 12:01Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company achieved a revenue of 523.57 billion yuan in 2024, representing a year-on-year growth of 3.1%, with a net profit of 33.01 billion yuan, up 8.4% year-on-year [5] - The basic business shows steady growth, with mobile communication service revenue reaching 202.5 billion yuan, a 3.5% increase year-on-year, and mobile value-added services growing by 16.1% [8] - The digital industry revenue reached 146.6 billion yuan, a 5.5% increase, with Tianyi Cloud revenue at 113.9 billion yuan, up 17.1% [8] - The company plans to distribute a final dividend of 0.0927 yuan per share, with an expected total dividend payout ratio exceeding 70% [10] - Capital expenditure is expected to decrease to 83.6 billion yuan in 2025, with a focus on increasing investment in computing power [10] Summary by Sections Financial Performance - In Q4 2024, the company reported a revenue of 131.6 billion yuan, a 3.84% increase year-on-year, and a net profit of 3.71 billion yuan, up 11.01% [5] - The company’s operating costs were 373.5 billion yuan, a 3.3% increase, with sales expenses decreasing by 1.1% [8] Business Segments - The mobile user ARPU was 45.6 yuan, a 0.44% increase, while the broadband ARPU was 47.6 yuan [8] - The company is enhancing its product offerings with AI-enabled devices and services, maintaining a competitive edge in the market [8] Future Outlook - The company expects net profits for 2025, 2026, and 2027 to be 35.62 billion yuan, 38.19 billion yuan, and 40.80 billion yuan respectively, with corresponding PE ratios of 20.06X, 18.71X, and 17.52X [10] - The company aims to increase the proportion of cash dividends to over 75% of the annual profit within three years [10]