CHINA MOBILE(600941)2024-03-21 16:00Financial Performance - China Mobile's total revenue for 2023 reached RMB 1,009.3 billion, marking a significant growth compared to the previous year[9]. - The company's operating revenue for 2023 reached RMB 1,009,309 million, representing a 7.7% increase from RMB 937,259 million in 2022[18]. - Main business revenue was RMB 863,514 million, up 6.3% from RMB 812,058 million in the previous year[18]. - Net profit attributable to shareholders was RMB 131,766 million, a 5.0% increase compared to RMB 125,459 million in 2022[18]. - The net cash flow from operating activities was RMB 303,780 million, reflecting an 8.2% growth from RMB 280,750 million in 2022[18]. - Total assets increased to RMB 1,957,357 million, a 3.0% rise from RMB 1,900,238 million in 2022[18]. - EBITDA for 2023 was RMB 341,478 million, showing a 3.7% increase from RMB 329,176 million in 2022[19]. - The EBITDA margin decreased to 33.8%, down from 35.1% in the previous year, indicating a decline of 1.3 percentage points[19]. - Basic earnings per share rose to RMB 6.16, a 4.8% increase from RMB 5.88 in 2022[19]. - The weighted average return on equity was 10.2%, slightly up from 10.1% in 2022[19]. Customer Base and Market Growth - The company reported a mobile customer base of 991 million and a fixed broadband customer base of 298 million as of December 31, 2023[9]. - The total number of connections increased to 3.35 billion, with a net addition of 410 million connections[33]. - In the personal market, revenue reached RMB 490.2 billion, a slight increase of 0.3%, with mobile customers totaling 991 million, netting an increase of 15.99 million[36]. - The number of 5G package customers reached 795 million, with a net addition of 180 million customers[36]. - The revenue from the home market reached RMB 131.9 billion in 2023, a year-on-year increase of 13.1%[37]. - The number of home broadband customers reached 264 million, with a net increase of 20.12 million, leading the industry for several consecutive years[37]. - The enterprise market revenue reached RMB 192.1 billion in 2023, growing by 14.2% year-on-year, with a net increase of 5.17 million enterprise customers[38]. - The revenue from mobile cloud services reached RMB 83.3 billion, a significant increase of 65.6% year-on-year[38]. - The revenue from emerging markets reached RMB 49.3 billion, growing by 28.2% year-on-year, with international business revenue at RMB 20.7 billion, up 24.2%[40]. Dividend and Shareholder Returns - The proposed dividend for the year is HKD 4.83 per share, representing a 9.5% increase from 2022, with a payout ratio of 71%[4]. - The company plans to increase the dividend payout ratio to over 75% of the profit attributable to shareholders within three years, with a proposed final dividend of HKD 2.40 per share[34]. - For the fiscal year 2023, the final dividend per share is HKD 2.4002, and the total dividend per share is HKD 4.830, compared to HKD 4.410 in 2022, reflecting an increase in shareholder returns[135]. Innovation and Digital Transformation - The company is focusing on building a new information service system centered around 5G, computing networks, and capability platforms to meet the digital needs of society[10]. - Digital transformation revenue grew by 22.2% to RMB 253.8 billion, accounting for 29.4% of core business revenue[33]. - The digital transformation revenue contributed 89.7% to the growth of main business revenue, accounting for 29.4% of total revenue[41]. - The company is focusing on the "AI+" strategy to leverage artificial intelligence for transforming its information services and creating new growth opportunities[60]. - The company has set a vision to become a world-class information service technology innovation company, emphasizing the integration of 5G and AI technologies[60]. Sustainability and Corporate Governance - The company reported a 13.0% decrease in energy consumption per unit of telecom business and a 13.1% reduction in carbon emissions per unit of telecom business in 2023[54]. - The company has supported carbon reduction efforts, contributing approximately 310 million tons of carbon reduction across society[54]. - The company has established a sustainable development office to lead the management and disclosure of important sustainability issues[118]. - The company has published its sustainability report for 18 consecutive years, exceeding the requirements of the Hong Kong Stock Exchange's ESG reporting guidelines[123]. - The company aims to enhance its green development initiatives, achieving a 9% year-on-year increase in energy efficiency for new 5G base stations[112]. Employee and Talent Management - As of December 31, 2023, the company employed a total of 450,000 staff members[9]. - The company employed 451,830 employees by the end of 2023, with 236,487 being female employees, reflecting a commitment to diversity and non-discrimination in hiring practices[168]. - The company aims to strengthen its talent pool by integrating into national talent programs and enhancing the quality of its workforce, with over 5,000 provincial-level experts and more than 10,000 outstanding engineers selected in key fields[189]. - The company is focused on optimizing its compensation structure to drive performance growth, implementing various incentive policies to enhance productivity and innovation[190]. Risk Management and Internal Controls - The company has implemented a comprehensive policy system and internal control mechanisms to mitigate various risks[121]. - The company conducts annual evaluations of its risk management and internal control systems through its audit committee[127]. - The internal audit department conducts independent audits of business activities, reporting quarterly to the audit committee and ensuring management's commitment to addressing audit findings[175]. - The company has maintained effective internal controls over financial reporting and non-financial reporting, with no significant deficiencies identified as of December 31, 2023[182]. Investor Relations and Communication - The company held 38 investor conferences and 204 daily investor meetings in 2023, engaging over 2,500 investors to enhance communication and transparency[136]. - The company is committed to enhancing investor relations and maintaining active communication with stakeholders through various channels[136]. - The board has authorized a general mandate to repurchase up to 10% of the existing issued Hong Kong shares, with a 99.8487% approval rate[142].