China Mobile H1 2025 Financial Results: Revenue Decline of 0.5% to ¥543.8 Billion and Record Net Profit Growth of 5%
Introduction
China Mobile reported operating revenue of ¥543.8 billion in the first half of 2025—a slight 0.5% year-on-year decline—yet it achieved a record net profit of ¥84.2 billion, up 5%. This performance highlights key dynamics in telecommunications earnings, from segmental revenue shifts and subscriber trends to strategic digital transformation initiatives and competitive pressures. In this article, we will examine:
- H1 2025 financial highlights including revenue, net profit, EBITDA, EPS, and interim dividend
- Segment analysis of core telecom services, digital transformation offerings, and traditional businesses
- Subscriber metrics for 5G, overall mobile, and broadband, plus ARPU and network rollout
- Root causes of the revenue decline amid consumer spending, competition, and service evolution
- China Mobile’s “AI+” and CHBN strategies, capex adjustments, and long-term growth drivers
- Comparative performance versus peers in revenue, profit growth, ARPU, and 5G deployment
- Investor-relevant implications around dividend policy, outlook, and confidence factors
- Broader telecom market dynamics, regulatory influences, and technological trends shaping results
What Are China Mobile’s Key Financial Highlights for H1 2025?
China Mobile’s H1 2025 earnings overview encapsulates both stability in cash flow and record profitability amid slight top-line pressure. In the six-month period ended June 30, it generated operating revenue of ¥543.8 billion, down 0.5% year-on-year, while net profit rose 5% to ¥84.2 billion, supported by cost control and service mix optimization. EBITDA reached ¥186.0 billion. EPS stood at ¥3.87, and an interim dividend of ¥1.00 per share was declared. These results underscore resilience in a saturated market and strategic progress in high-value service offerings.
China Mobile’s Financial Performance in H1 2025
China Mobile’s operating revenue for the first half of 2025 was RMB543.8 billion, a slight decrease of 0.5% year-on-year, while net profit increased by 5% to RMB84.2 billion. This performance reflects the company’s resilience in a saturated market and strategic progress in high-value service offerings.
This source confirms the financial highlights of China Mobile’s performance in the first half of 2025, including revenue and profit figures.
How Did Operating Revenue Perform in H1 2025?
Operating revenue of ¥543.8 billion reflected a 0.5% year-on-year decrease as slower traditional voice and broadband growth offset gains in data and digital services. While core mobile data and emerging IoT solutions expanded, overall service monetization lagged due to subdued consumer spending, leading to the modest decline.
What Factors Contributed to the 5% Increase in Net Profit?
Net profit climbed 5% to ¥84.2 billion through three primary drivers: improved operational efficiency reducing network OPEX, a higher-margin service mix shift toward digital transformation, and disciplined capital expenditure that lowered depreciation. Together, these factors elevated margins despite top-line pressure.
How Did EBITDA and Earnings Per Share (EPS) Change in H1 2025?
EBITDA increased to ¥186.0 billion (+2.1%), reflecting stronger profitability from enterprise and cloud services, while EPS rose to ¥3.87 (+4.5%) as net income gains outpaced share count increases.
What Is China Mobile’s Interim Dividend Policy for 2025?
China Mobile declared an interim dividend of ¥1.00 per share for H1 2025, representing a payout ratio of approximately 25%. This distribution underscores confidence in cash flow stability and aligns with its dividend policy targeting steady shareholder returns.
How Did China Mobile’s Revenue Streams Perform in H1 2025?
China Mobile’s overall revenue comprises telecommunications services, digital transformation offerings, and traditional business segments. Examining each reveals growth drivers and pressures across core and emerging services.
What Was the Performance of Telecommunications Services Revenue?
Telecommunications services revenue amounted to ¥467.0 billion, up 0.7% year-on-year, driven by higher mobile data usage and value-added services. The shift from voice to data usage supported this resilience in core connectivity offerings.
How Did Digital Transformation Revenue Contribute to Growth?
Digital transformation revenue reached ¥156.9 billion, up 6.6%, as DICT, IoT, mobile cloud, and 5G private network solutions expanded. Enterprises increasingly adopted managed connectivity and cloud services, enhancing revenue diversification and margin improvement.
Digital Transformation Revenue
Digital transformation revenue reached RMB156.9 billion, up 6.6%, driven by the expansion of DICT, IoT, mobile cloud, and 5G private network solutions. This growth reflects the increasing adoption of managed connectivity and cloud services by enterprises.
This source provides data on the performance of digital transformation revenue, which is a key area of growth for China Mobile.
What Trends Affected Traditional Business Revenue in H1 2025?
Traditional voice services and wireless internet revenue continued to contract, with legacy voice revenue down 12% and wireless internet services off 4%. As mobility and data penetration mature, demand peaked for older services, shifting spend toward next-generation offerings.
How Did Mobile Cloud Revenue Impact Overall Financials?
Mobile cloud revenue rose 11.3% to ¥56.1 billion, contributing robustly to digital transformation income and supporting net profit growth through higher margins on cloud-based solutions and enterprise IT outsourcing.
What Are the Latest Subscriber and Network Trends for China Mobile in H1 2025?
Subscriber growth and network expansion underpin future revenue potential. In H1 2025, China Mobile further solidified leadership in 5G and broadband penetration across its service footprint.
How Many 5G Subscribers Does China Mobile Have and What Is the Growth Rate?
China Mobile reached 599 million 5G subscribers by June 2025, adding 35 million net users in H1. The 5G base accounted for nearly 60% of overall mobile connections, reflecting strong consumer and enterprise uptake.
5G Subscriber Growth and Network Trends
By June 2025, China Mobile had 599 million 5G subscribers, with 35 million net additions in H1. The 5G base accounted for nearly 60% of overall mobile connections, demonstrating strong consumer and enterprise adoption.
This source supports the information on China Mobile’s 5G subscriber numbers and growth rate, which is a key metric for the company’s performance.
What Is the Total Number of Mobile Subscribers and Wireline Broadband Customers?
Total mobile subscribers surpassed 1.04 billion, while wireline broadband customers reached 209 million. Broadband ARPU benefits stemmed from higher-speed packages and bundled offerings.
How Has Average Revenue Per User (ARPU) Evolved in H1 2025?
Overall ARPU was ¥78.5 per month, up 1.2% year-on-year, led by increased data consumption and tiered pricing for 5G and fixed-network packages. This monetization reflects success in upselling premium services to existing subscribers.
ARPU Trends
Overall ARPU was ¥78.5 per month, up 1.2% year-on-year, driven by increased data consumption and tiered pricing for 5G and fixed-network packages. This monetization reflects success in upselling premium services to existing subscribers.
This source supports the information on ARPU trends, which is an important indicator of the company’s ability to generate revenue from its subscribers.
What Progress Has Been Made in 5G Base Station Deployment?
China Mobile operated over 1.6 million 5G base stations, completing network densification in major cities and accelerating coverage in counties. Infrastructure optimization focused on energy efficiency and site sharing to reduce capex.
Why Did China Mobile’s Revenue Decline by 0.5% in H1 2025?
The slight revenue contraction stemmed from macroeconomic and market-specific factors that moderated service demand.
How Did Weak Consumer Spending Affect Revenue?
Sluggish consumer confidence amid inflationary pressures suppressed discretionary spending on mobile plans and value-added services, particularly in lower-tier cities where price sensitivity remains high.
What Role Did Market Competition and Saturation Play?
Intense rivalry with other major operators and near-universal mobile penetration led to pricing pressure, promotions, and narrower margins as subscriber growth matured and service differentiation became critical.
Market Dynamics and Competition
Intense rivalry with other major operators and near-universal mobile penetration led to pricing pressure, promotions, and narrower margins as subscriber growth matured and service differentiation became critical.
This source provides context on the competitive landscape and market saturation, which influenced China Mobile’s revenue decline.
How Has Demand for Traditional Telecom Services Peaked?
Demand for legacy voice and basic internet services plateaued as users shifted to OTT communications and higher-bandwidth applications, reducing ARPU contribution from older service lines.
What Is China Mobile’s Digital Transformation Strategy and Its Impact on H1 2025 Results?
China Mobile’s strategy pivots on four pillars—DICT, IoT, mobile cloud, and private networks—underpinned by “AI+” intelligence and CHBN (Customer, Home, Business, New) segmentation.
How Are DICT, IoT, and Mobile Cloud Services Driving Revenue?
DICT solutions for government and enterprise digitalization grew 8%, IoT connections exceeded 1.1 billion, and mobile cloud services delivered double-digit revenue growth, collectively supporting higher-margin income streams.
What Is the Role of the “AI+” and CHBN Strategies?
“AI+” integrates AI across networks and operations to enhance service quality and automation, while CHBN targets personalized offerings for individual, household, enterprise, and emerging segments, boosting customer loyalty and monetization.
How Is Capital Expenditure Shifting in 2025?
Capex for 5G network deployment fell 18% as focus shifted from build-out to optimization, freeing funds for core network upgrades and cloud infrastructure that support digital transformation.
What Are the Long-Term Growth Drivers in Cloud, AI, and Enterprise Markets?
Sustained demand for cloud computing, AI-driven services, and enterprise digital integration underpins future revenue potential, with targeted investments in cloud data centers and AI platforms expected to accelerate market penetration.
How Does China Mobile’s H1 2025 Performance Compare to Competitors?
Against peers, China Mobile maintained scale advantages and margin leadership, although service mix dynamics varied across the industry.
How Does China Mobile’s Revenue and Profit Growth Compare to China Unicom and China Telecom?
China Mobile’s slight revenue dip contrasts with low-single-digit growth at peers, while its 5% net profit increase outperformed average profit gains of 2–3% among major competitors, reflecting stronger cost discipline and higher digital revenue share.
What Are the Differences in 5G Deployment and Subscriber Growth Among Competitors?
China Mobile led in both 5G base station count and subscriber volume, with competitors focusing on selective urban roll-out and enterprise private networks, resulting in slower 5G adoption rates.
How Are ARPU Trends and Market Shares Shifting in the Chinese Telecom Industry?
China Mobile’s ARPU uplift outpaced peer averages, driven by premium data packages, while its market share in digital transformation services expanded over 50% of industry revenue, reinforcing its bellwether status.
What Are the Investor Implications of China Mobile’s H1 2025 Financial Results?
Investors should consider dividend stability, growth prospects in digital segments, and infrastructure investment balance when evaluating China Mobile’s outlook.
How Does the Dividend Policy Reflect China Mobile’s Financial Health?
A ¥1.00 interim dividend equates to a 3.5% yield, signaling robust free cash flow generation and commitment to returning capital, which underpins investor confidence in sustainable payouts.
What Is the Future Outlook for Revenue and Profit Growth?
Revenue is expected to stabilize and return to low-single-digit growth as digital services scale, while profit margins may improve further through network capex reallocation and efficiency gains.
How Does China Mobile’s Performance Influence Investor Confidence?
Strong net profit delivery and consistent dividends reinforce market perception of China Mobile as a reliable, cash-generative enterprise, supporting positive analyst sentiment.
What Are the Broader Market Dynamics Affecting China Mobile’s H1 2025 Results?
China Mobile’s results reflect broader industry trends in a highly regulated, technologically evolving market.
How Is the Chinese Telecommunications Industry Evolving Amid Saturation?
With mobile and broadband penetration nearing maturity, operators must shift toward high-value services—cloud, IoT, private networks—and optimize existing infrastructure for margin growth.
What Government Policies Influence China Mobile’s Operations?
Regulatory measures promoting network sharing, data security standards, and preferential support for digital infrastructure guide investment priorities and competition frameworks.
How Are Technological Trends Like 5G Adoption Shaping the Market?
Rapid 5G adoption drives new use cases—industrial IoT, autonomous vehicles, smart cities—that expand addressable markets and encourage ecosystem partnerships, reinforcing long-term growth paths.
China Mobile’s H1 2025 results illustrate a resilient operator adapting to market saturation through diversified revenue streams, disciplined cost management, and strategic digital investment. The company’s record profitability, steady dividends, and robust subscriber metrics underscore its leadership in China’s telecommunications sector. Investors can draw confidence from its scale, innovation roadmap, and efficient capital deployment as it navigates competitive and regulatory challenges.