China Mobile posts 14% growth on rapid 5G uptake

China Mobile posted a revenue growth of 14 percent in the first half due to an increase in 5G users, the world's biggest mobile carrier said on Thursday. 

The company had 946 million users by June, including 251 million 5G users. China Mobile is seeking a domestic listing through an IPO which is expected to be the biggest this year. 

The carrier's revenue in the first half hit 443.6 billion yuan (US$69.3 billion), up 13.8 percent year on year. Net profit was 59.1 billion yuan, reflecting 6.0 percent growth from a year ago.

In the first half, China Mobile's ARPU, or average revenue per user, reached 52.2 yuan per month, 3.8 percent up from a year ago. ARPU is a key index to measure a carrier's income level. 

The 5G popularity helped China Mobile improve its ARPU which has been declining since 2018.

The company is fast tracking the building of more 5G base stations nationwide as its benefits from network development. Accordingly in 2021, it plans to spend 183.6 billion yuan, including 110 billion yuan on 5G investment.

China Mobile is in the process of seeking a domestic listing after the three major Chinese carriers were delisted from the New York market. 

China Telecom has already launched its 54.2-billion-yuan IPO in Shanghai as the biggest in China this year. It issued online subscriptions on Shanghai Stock Market on Monday.

China Mobile, with a bigger scale and more users, will generate a record high IPO value in Shanghai. The carriers' domestic pivot is to neutralize the impact of its US delisting.