China Unicom(SH:600050) EBSCN·2025-08-15 10:23Investment Rating - The report maintains a "Buy" rating for China Unicom (600050.SH) [6] Core Views - The company reported a revenue of RMB 200.2 billion for the first half of 2025, a year-on-year increase of 1.45%, with a net profit attributable to the parent company of RMB 6.349 billion, up 5.12% year-on-year [1] - The company is focusing on enhancing its smart network capabilities and shareholder returns, with a proposed dividend of RMB 0.1112 per share, reflecting a 16% increase compared to the previous year [1] Summary by Sections Revenue and Profitability - In the first half of 2025, the company's EBITDA was RMB 50.604 billion, down 2.48% year-on-year, while the total profit reached RMB 17.697 billion, an increase of 5.22% year-on-year [1] - The revenue from the connected communication business reached RMB 131.9 billion, with a user base exceeding 1.2 billion, marking a net increase of over 11 million users [2] Business Segments - The smart network business generated RMB 45.4 billion in revenue, accounting for 26% of total revenue, with cloud revenue contributing RMB 37.6 billion [2] - The data center segment saw a revenue increase of 9.4% year-on-year, reaching RMB 14.4 billion, driven by more internet platform companies and financial institutions utilizing the data center [2] Investment and Infrastructure - Capital expenditure for the first half of 2025 was RMB 20.2 billion, a decrease of 15% year-on-year, with operational efficiency improvements leading to an annual OPEX saving of nearly RMB 1 billion [3] - The company is advancing its computing power infrastructure, with a total data center capacity of 2,650 MW and a computing scale of 30 EFLOPS [3] Profit Forecast and Valuation - The profit forecast for 2025 has been slightly adjusted down to RMB 9.7 billion, reflecting a 7% decrease, with future estimates showing a steady growth trajectory [4] - The report anticipates a long-term positive outlook for the company, supported by stable core communication business and robust growth in innovative sectors [4]