CHINA MOBILE(600941) Huachuang Securities·2024-10-22 16:06Investment Rating - The report maintains a "Recommended" investment rating for China Mobile (600941) [1] Core Views - The company's revenue for the first three quarters of 2024 reached CNY 791.46 billion, a year-on-year increase of 2.05%, while the net profit attributable to shareholders was CNY 110.88 billion, up 5.09% year-on-year [1] - Revenue growth is under pressure due to a slight decline in other business segments, but core business remains stable with a 1.0% increase in main business revenue [1] - The operating cash flow has significantly recovered, with a net cash flow from operating activities of CNY 224.08 billion, a decrease of only 5.7% year-on-year, showing improved cash flow quality [1] Summary by Sections Financial Performance - For Q3 2024, the company reported revenue of CNY 244.71 billion, a slight decrease of 0.05% year-on-year, with a net profit of CNY 30.68 billion, an increase of 4.59% year-on-year [1] - The gross profit margin for Q3 2024 was 30.82%, up 2.21 percentage points year-on-year, while the net profit margin was 12.56%, a slight increase of 0.56 percentage points year-on-year [1] Customer Growth - The number of mobile customers reached 1.004 billion, with a net increase of 4 million in Q3, and a 5G penetration rate of 53.7% [1] - The total number of broadband customers reached 314 million, with a net increase of 5 million in Q3, and an ARPU of CNY 43.2, up 2.6% year-on-year [1] Future Outlook - The report suggests a stable operational situation for the company, with profit growth in line with expectations, although revenue growth is under pressure [1] - The profit forecasts for 2024-2026 have been adjusted to CNY 138.48 billion, CNY 145.52 billion, and CNY 153.05 billion respectively, with EPS estimates of CNY 6.45, CNY 6.78, and CNY 7.13 [2][5]