China Mobile reported operating revenue for the first half of 2015 of CNY 340.7 billion, up 4.9 percent from a year earlier. Services revenue rose 0.5 percent to CNY 299.5 billion, as a 24.3 percent increase in data revenue to CNY 151.5 billion offset lower revenues from voice and messaging. EBITDA increased 7.3 percent to CNY 126.9 billion, while net profit was down 0.8 percent to CNY 57.3 billion.
The mobile operator ended the period with over 810 million customers, up 3.4 percent year-on-year and 10.56 million more than at the end of 2014. Growth was helped by the roll-out of its 4G network, which reached 940,000 base stations and coverage of 1 billion people by the end of June. Capital expenditure in the first half totaled CNY 69.7 billion, of which almost half went to 4G, and the full-year figure is expected to reach CNY 199.7 billion.
China Mobile sold over 140 million 4G phones in the first half, helping grow the 4G customer base by 99.6 million in the period to a total 190 million at the end of June. China Mobile said 4G customers were averaging 704 MB of data per month, or twice that of other data customers, while 4G ARPU was 1.6 times more than other customers. Total data traffic at the operator was up 154 percent year-on-year in the first half to over 1 billion MB. Over 60 percent of traffic is already going over the 4G network.
The operator said it will continue to focus on expanding its internet services business, as competition increases in the saturated market and on 4G after the issue of FDD licences. The strategy will include the planned acquisition of China TieTong Telecommunications, the fixed broadband provider previously known as China Railcom. China Mobile said the takeover will allow it to develop a "full-service" offering and gain core resources in fixed broadband.
