PCCW reports revenues of $1.5bn, down 2%, but mobile revenues growing 27% to $110m. EBITDA fell 5% to $440m.
China Telecom announced lower-than-expected results, with a 1H08 net income of $1.8bn, down 8%, on revenues of $13.2bn, up 1%. Its fixed business lost about 10m subscribers to 215m in 1H08, with revenues down 12% to $7.4bn. But broadband revenues grew 27% to $3.6bn generated by 40m subscribers. The shares lost 4.4% at the announcement. China Telecom will buy China Unicom' s Code Division Multiple Access operation for about $ 6.5bn, while its parent company will buy the CDMA network. This will not give a mobile business profitable until 2010 according to China Telecom. In addition, China Telecom would be granted a 3G license and said it will be ready to offer service one month after.
China Mobile posted better-than-expected results. Net income grew 44% to $8bn, while revenues increased 18% to $ 28.8bn. China Mobile will receive a 3G license, and said it will rent the network from its parent company, which will receive its 2G network. The 415m+ China Mobile' s customers will be able to access both 2G (GSM) and 3G services. The 3G technology would probably be TD-SCDMA home-grown standard. China Mobile has already spent over $2bn in developing the TD-SCDMA technology in the first phase of the 3G network trial. China Mobile has a 70% market share. Its parent company will buy China Tietong fixed operator, according to the Chinese telecom re-organization decided by the government.
China Netcom ?
OTE announced strong results, with a net profit rising 17% to €159m on revenues up 2.5% to €1.6bn. The fixed-line division posted good revenues at €647m, down only 3%, and OIBDA growing 3% to €205m. The mobile division reported strong results with a revenue of €800m, up 8%, and an OIBDA up 14% to €283m.
Vimpelcom reports very strong results. 2Q08 revenues reached $2.6bn, up 52%; OIBDA was $1.2bn, up 36%; and net income rose 31% to $ 470m. Growth was driven by the integration of Golden Telecom and by fast organic growth in both our mobile and fixed-line operations. Vimpelcom had 53.7m mobile subscribers and 610k fixed broadband users.
Chunghwa Telecom said its 1H08 revenues grew 5% to $3.3bn, while its net income was down 6% to $760m. Revenues were made of 28.5% from fixed-line services, 36% was from mobile services, 25% was from Internet and data services. Interestingly, mobile revenues declined 1%, but mobile VAS revenues grew by 32%. Internet and data revenues only grew by 2% and ADSL / FTTB revenues increased by 1%. EBITDA increased 3% to $1.7bn. Capex amounted to $370m, of which 74% for wireline equipment and 13% for mobile.
MTN announced a 12% rise in 1H08 net profit to $820m, on revenues up 35% to $ 6bn. MTN had 74m+ mobile subscribers at the end of June. The main recent event was the break of tie-up talks with Reliance Communications (India) in July and few weeks before with Bharti Airtel. MTN is poised for expansion both in S. Africa and outside in Africa, the Middle East and possibly south Asia.