CHINA TELECOM(SH:601728) Shanxi Securities·2025-04-11 09:13Investment Rating - The report maintains a "Buy-A" rating for China Telecom (601728.SH) [2] Core Views - The company achieved a revenue of 523.57 billion yuan in 2024, a year-on-year increase of 3.1%, with service revenue at 482.03 billion yuan, up 3.7% [4] - The company is focusing on expanding its capabilities in emerging fields, particularly in AI and quantum technologies, which are expected to drive future growth [5][10] Summary by Sections Market Performance - As of April 11, 2025, the closing price was 7.93 yuan, with a total market capitalization of 615.60 billion yuan [3] Financial Performance - In 2024, the company reported an EBITDA of 140.85 billion yuan, a 2.9% increase year-on-year, and a net profit attributable to shareholders of 33.01 billion yuan, up 8.4% [4] - The earnings per share (EPS) for 2024 was 0.36 yuan, reflecting an 8.4% increase [4] Business Segments - Mobile communication service revenue reached 202.5 billion yuan, a 3.5% increase, with mobile value-added services growing by 16.1% [5] - Fixed-line and smart home service revenue was 125.7 billion yuan, up 2.1%, with smart home business revenue increasing by 16.8% [6] - 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] Investment and Future Outlook - The company plans to invest 93.5 billion yuan in capital expenditures for 2024, a decrease of 5.4%, while maintaining a focus on computing power investments, which are expected to increase by 22% [10] - The company aims for steady growth in revenue, EBITDA, and net profit through 2025, with a projected net profit of 34.56 billion yuan [11]