China Mobile announces 2012 earnings

Northern, WI 03/15/2013 (avauncer) - Largest mobile operator by subscribers China Mobile Ltd. (HKG:0941) reported just 2.7% rise in its net profit for the fiscal year, which is the slowest in three years. The Company’s net income increased to 129.3 billion yuan from previous years’ 125.87 billion yuan.

In 2012, the Company’s operating revenue reached 560.4 billion yuan, up 6.1% over last year. Basic earnings per share grew 2.6% over last year to 6.43 billion yan.

China Mobile’s data business achieved rapid growth, of which, wireless data traffic business became a major driver of operating revenue growth, the company said. Wireless data traffic business sales jumped by 53.6% over last year, contributing to 12.2% of the total operating revenue.

The operator, backed by the government, is shifting to a 4G LTE network. In 2013, the Company’s capex is higher than expected.

China Mobile’s parent company, after doing a 4G network trail in 15 cities last year, said it will expand the network to 100 cities in 2013 with 2,00,000 base stations.

Shares of China Mobile Ltd. (HKG:0941) fell 1.08% to close at HKD82.45.