China Telecom earned a net profit of 17.545 million yuan (2.031 million euros) in 2013, which is up 17.4 percent over the previous year due to increased revenues from services and mobile Internet.
According to the company report submitted to the Stock Exchange of Hong Kong, its revenues reached high record of 321.584 million yuan (37.232 million euros), an increase of 13.6 percent compared to the end of 2012.
Unlike the previous year, the company managed to control the growth of operating expenses this year, as they rose to a lesser extent than income (12.3 percent vs. 13.6 percent).
China Telecom is the first operator in terms of fixed lines and has the State as shareholder in China, that has invested heavily in mobile phone services since 2008 when the operater buy China Unicom in the amount of 110,000 yuan.
At the end of 2013, the number of the company mobile customers reached 186 million, up 15.5 percent, while for the first time exceeded 100 million users who use 3G services, with 103 million.
The company started in 2013 to provide broadband service of up to 100 MB, which contributed to the growth of customers in this segment, which also exceeded 100 million.
However, the operating result (EBITDA) stood at 96.551 million yuan (11.178 million euros), up 28.1 percent, and operating profit (EBIT) amounted to 27.468 million yuan (3.180 million euros), grew by 29.5 percent.
President and CEO of the company, Wang Xiaochu, said the company accelerated expansion in 2013 and significantly increased its market influence. For the current year, Wang acknowledged that the reform of the economic model that holds the Asian giant offers a huge potential market.
“The mobile Internet business in China experiencing explosive growth. The rapid evolution of the industry and 4G licenses are a valuable opportunity for transformation and modernization of the information industry,” said Wang.
Photo Credit: Flickr/Chris