China Communications Services Corp, the nation's biggest builder of phone networks, said yesterday that its 2007 profit rose 43 percent.
Net income climbed to 1.17 billion yuan (US$167 million), or 0.214 yuan a share, from a restated 816.8 million yuan, or 0.201 yuan, a year earlier, the Beijing-based company said in a statement to Hong Kong's stock exchange. Sales increased to 23.54 billion yuan from 19.3 billion yuan.
China Communications, a unit of state-owned China Telecommunications Corp, is winning more orders for network services from customers including China Mobile Communications Corp in the world's fastest-growing mobile-phone market by users. The engineering company's sales may rise as carriers boost spending on third-generation gear after the government issues 3G licenses.
The network builder was expected to post net income of 1.15 billion yuan, according to the median of four analysts' estimates compiled by Bloomberg News.
China Mobile, the world's largest mobile-phone company by users, may increase capital spending to about 127.2 billion yuan this year from 105.1 billion yuan in 2007 as it continues to add users, the company said last month. China Mobile signed up a record 15.4 million subscribers in the first two months of the year for a total of 384.4 million.
China Mobile's parent, China Mobile Communications, this month started commercial trials of a 3G service in 10 cities.
(Shanghai Daily April 9, 2008)
