China Mobile's (00941) communications service revenue for the last quarter was RMB 219.3 billion, up 4.5% year on year and 1% higher than market expectations.
The Zhitong Finance App learned that UBS released a research report stating that it maintains China Mobile's (00941) “buy” rating, with a target price of HK$85. The company's communications service revenue last quarter was RMB 219.3 billion, up 4.5% year on year and 1% higher than market expectations. EBITDA was 78 billion yuan, down 2.3% year on year, below market expectations due to increased sales expenses and credit impairment losses. Net profit increased 5.5% year over year, benefiting from China Mobile extending the depreciation period for 5G assets from 7 to 10 years starting this year, thereby reducing depreciation. The bank expects investors to take a neutral view of the current results. According to the bank, the company's net profit growth in the first quarter was basically in line with management's good growth guidelines for the whole year. The bank understood this as an increase of 5% or more.