Very comprehensive! A comparison of the financial and operating data of the three major operators in the first quarter

Recently, the three major operators have announced their financial reports and operating data for the first quarter of 2018. Let's take a look at the comprehensive competition among the three major operators in this quarter.

Overall, the information and communications industry operated smoothly in the first quarter. The total number of 4G users reached 1.05 billion in the first quarter, accounting for 72.2% of the total number of mobile phone users, and telecommunications business revenue increased by 5.1% year-on-year.

The three major operators are growing in all aspects. Although China Mobile's revenue and net profit are high, its year-on-year revenue growth rate is only 0.8%. China Unicom's net profit year-on-year growth rate is as high as 374.8%, and its year-on-year revenue growth rate is also the largest, and the mixed reform has achieved remarkable results.

In terms of mobile business, China Mobile is still in the lead, but the net increase of 4G users of China Telecom and China Unicom has narrowed the gap with China Mobile. The number of 4G users of China Telecom has exceeded 200 million, and China Unicom is gradually approaching this number.

In terms of fixed-line business, China Telecom still leads the market, China Mobile faces strong challenges, and the net increase in China Unicom's fixed-line users has returned to normal, getting rid of the negative growth in December 2017.

Financial data:

• Move number increased significantly
• Telecommunications grew steadily
• China Unicom growth rate***

Comparison of revenues of the three major operators in the past five quarters:

(Unit: 100 million RMB)

Although China Mobile's revenue data has been stable in the past five quarters, it has fluctuated greatly. In the first quarter of 2018, it reversed the downward trend in the fourth quarter of 2017, but compared with the first quarter of 2017, the year-on-year growth was only 0.8%, the largest among the three.

China Telecom's revenue has been on a steady growth trend except for a slight decline in Q3 2017. Its revenue data for Q1 2018 also ranked in the middle among the three major operators.

China Unicom led the year-on-year revenue growth in Q1 2018, with its revenue data (74.935 billion yuan) hitting a three-year high. This is mainly due to its low-cost, low-subsidy user development model, large-scale innovative business development, and in-depth promotion of mixed-ownership reform.

Comparison of net profits of the three major operators in the past five quarters:

(Unit: 100 million RMB)

In terms of net profit, the three major operators have experienced large fluctuations in the past five quarters, all reaching their peak in Q4 2017, and all successfully emerged from the trough of declining net profit in Q1 2018.

China Mobile's net profit year-on-year growth rate (4.1%) ranked first, and the growth slowed down under the large base. This is due to its continuous increase in transformation investment and rigid expenditure. China Mobile's net profit still remained the highest, which is the result of its full efforts to promote low-cost and efficient operations.

China Telecom's net profit in Q1 2018 increased at a relatively stable rate year-on-year, and its month-on-month growth trend was very strong, successfully achieving "small profits but quick turnover".

China Unicom made a great comeback in Q1 2018, with a year-on-year increase of 374.8% in net profit, jumping out of the negative net profit trough in Q4 2017. Its net profit data in Q1 2018 (1.302 billion yuan) hit the highest level in the past five years, thanks to the good growth of main business income and effective cost control.

Mobile Services:

• The total number of mobile users increased by ***
• Telecom 4G user number exceeds 200 million
• China Unicom's net increase in 4G users exceeds China Telecom's

Comparison of the number of mobile customers of the three major operators in the past five quarters:

(Unit: 100 million households)

Comparison of 4G customer numbers of the three major operators in the past five quarters:

(Unit: 100 million households)

China Mobile ranked first in both total volume and growth of mobile business. In the first quarter of 2018, China Mobile continued to deepen traffic management, maintain market competition intensity, and strive to stimulate customer traffic consumption.

The number of China Telecom's mobile users hit a record high (265 million), and the number of 4G users exceeded 200 million. This is due to its differentiated advantages such as large-traffic products, full network access, and Wing Payment red envelopes, as well as its Internet cooperation and expansion of service platforms.

The number of China Unicom's 4G users is catching up with China Telecom and is about to exceed 200 million. The net increase in 4G users in the first quarter of 2018 exceeded that of China Telecom. This is due to its vigorous promotion of the transformation of its mobile business development model and the adoption of a low-cost, low-subsidy user development model.

Fixed-line services:

• Mobile growth is strong
• Telecom Hold***
• China Unicom reverses downward trend

Comparison of fixed-line user numbers of the three major operators in the past five quarters:

(Unit: 100 million households)

China Mobile's broadband business has been growing rapidly, challenging China Telecom's position as the "king of broadband". In the first quarter, China Mobile continued to optimize broadband products, improve access speeds, improve service systems, and enrich content and applications in the home market.

China Telecom's number of broadband users hit a record high (137 million), and it still maintains its leading position in the broadband market. This is due to its early start, large scale, strengthened integrated development, integration of smart home applications, and setting a new benchmark for broadband services.

China Unicom has gotten rid of the negative growth in fixed-line users in December 2017. The net increase in fixed-line customers in the first quarter of 2018 alone (1.52 million households) has exceeded the net increase in fixed-line customers for the whole of 2017 (1.303 million households). This is due to its correct choice of a differentiated competition strategy and its exploration of video, convergence and e-commerce around broadband.

postscript

Recently, the Ministry of Industry and Information Technology confirmed that it will cancel the data roaming fee as scheduled on July 1, and will continue to implement preferential policies for home broadband and further reduce the price of broadband dedicated lines for small and medium-sized enterprises. How to maintain impressive financial data while further improving speed and reducing fees is a question that the three major operators should consider in 2018. Judging from the data in the first quarter, the three major operators have achieved this well. 2018 has started successfully, and we will continue to work hard!