China Mobile Ltd.

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Company Background

China Mobile is China's largest telecommunications company. It commands slightly more than 60% of the domestic mobile phone market, where some 1.3 billion people use handsets.

The company also boasts the largest number of subscribers in the world. Backed by its strong brand power and excellent name recognition, China Mobile far eclipses such rivals as China Telecom and China Unicom in scale.

Its parent company is state-owned behemoth China Mobile Communications Corp., which was created in 2000 by spinning off the mobile telecommunications division of the former posts and telecommunications ministry. China Mobile, a core unit of CMCC, is listed on the domestic stock market. Slightly more than 70% of its outstanding shares are owned by the asset-management arm of CMCC.

Because it is a large state-owned company, China Mobile acts in step with government policy. In late 2013, it was the first company in China to introduce the TD-LTE fourth-generation mobile communications format, developed mainly by local companies. China Mobile is leading the efforts to promote the standard at home, spending huge sums to set up new base stations and introduce handsets compatible with the 4G service.

An important issue facing China Mobile is how to deal with the expected slowdown in the home market, which is thought to be near saturation. The company is therefore targeting overseas markets, and has invested in a major telecommunications unit of Thai conglomerate Charoen Pokphand Group. China Mobile is trying to promote the TD-LTE format abroad by allying with local telecommunications equipment makers.

Business Summary

China Mobile Ltd. operates as an investment holding company. It provides telecommunications and other related services in Mainland China. The firm offers communications services in all 31 provinces, autonomous regions and directly-administered municipalities throughout Mainland China and in Hong Kong Special Administrative Region. Its Internet Protocol based core network is capable of supporting the GSM, TD-SCDMA, TD-LTE and LTE FDD networks. The company was founded on September 3, 1997 and is headquartered in Hong Kong.

Financial Highlights

Dec 2019	HKD	USD
Revenue	845,807.57M	107,949.73M
Gross Profit	216,769.67M	27,666.13M
Operating income	131,602.34M	16,796.30M
Income before tax	146,833.11M	18,740.19M
Net income	120,921.98M	15,433.17M
EBITDA	338,902.68M	43,253.87M
Diluted EPS	5.87	0.74
Dividends Per Share	3.25	0.41
Total Assets	1,822.46B	233,894.65M
Total liabilities	583,851.98M	74,931.59M
Total equity	1,234.67B	158,458.30M
Operating cash flow	296,239.08M	37,808.75M
	Currency in HKD	Currency in USD

Historical Data

HKD | USD

	Dec 2015	Dec 2016	Dec 2017	Dec 2018	Dec 2019
Revenue	824,378.30M	827,732.21M	853,876.98M	872,728.12M	845,807.57M
Gross Profit	400,623.41M	399,780.23M	418,501.35M	419,691.09M	216,769.67M
Operating income	136,339.08M	146,197.19M	153,045.76M	145,267.34M	131,602.34M
Income before tax	177,293.11M	168,792.07M	170,814.83M	182,281.53M	146,833.11M
Net income	133,880.75M	127,054.99M	131,773.61M	139,506.16M	120,921.98M
EBITDA	305,456.68M	308,127.15M	326,348.95M	327,855.65M	338,902.68M
Diluted EPS	6.53	6.20	6.43	6.81	5.87
Dividends Per Share	2.72	2.73	3.20	3.21	3.25
Total Assets	1,704.20B	1,696.88B	1,827.21B	1,751.48B	1,822.46B
Total liabilities	605,736.47M	601,170.06M	640,115.86M	547,486.60M	583,851.98M
Total equity	1,094.84B	1,092.23B	1,183.20B	1,200.11B	1,234.67B
Operating cash flow	312,261.79M	314,625.89M	301,322.36M	258,815.01M	296,239.08M

	Dec 2015	Dec 2016	Dec 2017	Dec 2018	Dec 2019
Revenue	106,336.08M	106,632.75M	109,572.31M	111,352.22M	107,949.73M
Gross Profit	51,676.18M	51,501.76M	53,703.47M	53,548.79M	27,666.13M
Operating income	17,586.30M	18,833.88M	19,639.33M	18,534.80M	16,796.30M
Income before tax	22,868.93M	21,744.67M	21,919.52M	23,257.47M	18,740.19M
Net income	17,269.20M	16,367.88M	16,909.62M	17,799.72M	15,433.17M
EBITDA	39,400.68M	39,694.53M	41,878.17M	41,831.42M	43,253.87M
Diluted EPS	0.84	0.79	0.82	0.86	0.74
Dividends Per Share	0.35	0.35	0.41	0.41	0.41
Total Assets	219,892.64M	218,863.79M	233,739.70M	223,707.71M	233,894.65M
Total liabilities	78,158.02M	77,538.81M	81,884.51M	69,927.46M	74,931.59M
Total equity	141,267.69M	140,876.46M	151,356.87M	153,284.44M	158,458.30M
Operating cash flow	40,278.47M	40,531.74M	38,666.68M	33,022.45M	37,808.75M

Valuation Measures

Dec 2019
PER	11.09
ROA	6.76%
ROE	9.93%
Operating margin	15.55%
Profit margin	14.29%

Key executives

Chief Financial Officer, Executive Director & VP: Xin Dong
Vice President: Tong Qing Gao
Vice President: Qin Jian
Vice President: Dachun Zhao
Head-Investor Relations: Calvin Lam

Shareholders

China State-Owned Assets Supervision & Admn Commission (72.7%)
The Vanguard Group, Inc. (0.9%)
BlackRock Fund Advisors (0.6%)
The Caisse de depot et placement du Quebec (0.3%)
Norges Bank Investment Management (0.3%)
Dimensional Fund Advisors LP (0.3%)
Thornburg Investment Management, Inc. (0.3%)
State Street Global Advisors Asia Ltd. (0.3%)
Hang Seng Investment Management Ltd. (0.3%)
FIL Investment Management (Hong Kong) Ltd. (0.2%)

Contact Details

Website:http://www.chinamobileltd.com
Address: 60th Floor, The Center, 99 Queen's Road Central, Hong Kong, Hong Kong
Phone: +852.3121.8888

Related Companies

China Mobile Communications Group Gansu Co., Ltd.
China Mobile Group Guangzhou Co., Ltd.
China Mobile International (UK) Ltd.
China Mobile Communications Group Fujian Co., Ltd.
China Mobile International (USA), Inc.
China Mobile Investment Holdings Co., Ltd.
China Mobile International Ltd. (Hong Kong)
China Mobile International Holdings Ltd.
Jiangxi Mobile Communications Co., Ltd.
Guizhou Mobile Communication Co., Ltd.
China Mobile Communications Group Hebei Co. (Xingtai Branch)
China Mobile Communications Group Hebei Co., (Chengde Branch)
China Mobile Communications Group Jiangxi (Ganzhou Branch)
China Mobile Group Terminal Co., Ltd.
China Mobile Communications Group Jiangxi (Jiujiang Branch)
China Mobile Communications Group Jiangxi /Nanchang Branch/
China Mobile Group Fujian Co., Ltd. (Xiamen Branch)
China Mobile Group Fujian Co., Ltd. (Quanzhou Branch)
China Mobile Internet Co. Ltd.
CM TieTong
MIGU Co. Ltd.
China Mobile Online Service Co. Ltd.
China Mobile (Hangzhou) Information Technology Co. Ltd.
China Mobile (Suzhou) Software Technology Co. Ltd.
China Mobile M2m Co. Ltd.
China Mobile Group Device Co., Ltd.
Aspire Technologies (Shenzhen) Ltd.
Aspire (BVI) Ltd.
China Mobile Holding Co. Ltd.
China Mobile Group Ningxia Co. Ltd.

Competitors

China Telecom Corp. Ltd. Class H
GDS Holdings Ltd. Sponsored ADR Class A
Shanghai AtHub Co., Ltd. Class A
Skyworth Digital Co., Ltd. Class A
VEON Ltd.

Last Updated on 6 Jul, 2020