China Mobile Performance Highlights H1 2022
Cost Control Overview:
Maintaining Good Cost Control
(RMB Mil)
Operating expenses
1H2021
1H2022
Change YoY
Major reasons / remarks
381,131
422,486
10.9%
Network operation and
121,146
138,194
14.1%
support expenses
Depreciation and
99,472
99,464
0.0%
Amortisation
Employee benefit and
55,910
63,934
14.4%
related expenses
Selling expenses
30,389
26,182
-13.8%
中国移动
China Mobile
Accelerated construction and commissioning of new information
infrastructure, and increased investments to support business transformation
Among which, maintenance and supporting expenses amounted to
RMB87.1bil, up by 22.6%; energy consumption expenses amounted to
RMB25.2bil, up by 3.5%
The scale of assets increased due to accelerated network upgrades and
business transformation
Adjustments were made to the residual value of certain assets in the same
period last year
More resources were spent on R&D talents in the fields of 5G and
AICDE, and management talents for the "business" and "new" markets
Enhanced online sales and service capabilities resulting from
accelerated transformation of sales channels
Cost of products sold
50,042
68,900
37.7%
Handset sales grew significantly as 5G handsets were available with
more varieties and at more affordable prices
Other operating expenses
24,172
25,812
6.8%
Increased investments in R&D and innovation but strictly controlled
administrative and business entertainment expenses
of which: Interconnection
9,796
10,676
9.0%
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