China Mobile’s profit drops in first half of the year
The net profit of China Mobile, the world’s largest mobile operator by subscribers, fell 8.5 percent year on year to 57.74 billion yuan ($9.4 billion) in the first half of 2014, the company said.
Operating revenue in the first half rose 7.1 percent from a year earlier to 324.7 billion yuan. Of that, revenue from telecom services gained 4.7 percent to 297.9 billion yuan, the Beijing-based company said in a financial statement.
Hong Kong-listed China Mobile attributed the fall in profit to increasing investment in telecom equipment amid the explosive growth in data traffic, in particular the expansion of 4G business.
As of June 30, China Mobile had more than 790 million customers, an increase of 23.41 million from the end of 2013. Its 4G customers reached 13.94 million by the end of June. (Photo 1)