China United Network Communications (600050) Q3 2024 earnings summary

Executive summary

• Operating revenue for the first nine months of 2024 reached RMB 290.1 billion, up 3.0% year-over-year; net profit attributable to shareholders was RMB 8.34 billion, up 10.0% year-over-year.

• Mobile users reached 345 million, with 5G package users at 286 million and 5G penetration at 83%.

• IoT connections reached 594 million, and fixed broadband users totaled 121 million, both showing strong growth.

• Unicom Cloud revenue rose 19.5% year-over-year to RMB 43.86 billion; data center revenue increased 6.8% to RMB 19.69 billion.

• The company continues to invest in digital infrastructure, with 1.36 million 5G mid-band base stations and 80% 10G PON port penetration.

Financial highlights

• Q3 2024 operating revenue was RMB 92.78 billion, up 3.3% compared to the same quarter last year.

• Net profit attributable to shareholders for Q3 was RMB 2.30 billion, up 7.7% year-over-year.

• Basic and diluted EPS for Q3 were RMB 0.074, up 8.8% year-over-year.

• Total assets at quarter-end were RMB 671.53 billion, up 1.3% from year-end 2023.

• Net cash flow from operating activities for the first nine months was RMB 58.25 billion.

Outlook and guidance

• The company aims for steady revenue growth and double-digit profit growth for the full year, focusing on high-quality development and global competitiveness.