China Telecom (600728) also released the 2021 annual performance report of the A-share company, handing over the report card of the opening year of the 14th Five-Year Plan.
1. Shareholding structure
On August 20, 2021, the company's A shares were officially listed on the Shanghai Stock Exchange, realizing the listing of Shanghai and Hong Kong.
After returning to A in 2021, the relationship between the company and the controlling shareholder can be seen in the following two figures.
Block diagram of the ownership and control relationship between the company and the controlling shareholder
Block diagram of the property rights and control relationship between the company and the actual controller
2. Senior management team
In 2021, Tang Ke, the post-70s deputy general manager newly promoted from within the group, and Zhu Min, the chief accountant of the group, were transferred to the chief accountant of the State Grid Co., Ltd. The financial report contains the current and reporting period directors, supervisors and senior management.
Stop by and look at executive compensation. Interestingly, the person who received the highest total remuneration from the company was an employee representative supervisor by winning his own shares!
Third, the performance profile
Let's start with a few data that can illustrate the total plate.
In 2021, the Company's operating income was RMB434.2 billion, an increase of 11.3% year-on-year, of which service revenue was RMB402.8 billion, an increase of 7.8% year-on-year. China Telecom gave a caliber, called: excluding the impact of the revenue of the sale of subsidiaries, the year-on-year growth rate reached 8.1%, the growth rate for 5 consecutive years higher than the industry average.
Net profit attributable to shareholders of the parent company was RMB25,952 million, an increase of 24.4% year-on-year. Net profit attributable to shareholders of listed companies, net of non-recurring gains and losses, was RMB25.044 billion, an increase of 19.2% year-on-year, and basic earnings per share were RMB0.31. Capital expenditure was RMB86.7 billion.
Mobile subscribers reached 372 million, a net increase of 21.41 million, China Telecom said that "the net increase in users for four consecutive years to maintain industry leadership"; 5G package users of 188 million households, penetration rate of 50.4%. Nearly 170 million wired broadband subscribers.
4. Business structure
- Mobile business
Highlight 5G leadership. In 2021, the company's mobile users reached 372 million, a net increase of 21.41 million, and the user market share continued to increase; ARPU for mobile users was 45.0 yuan, an increase of 2.0% year-on-year; 5G package users reached 188 million households, with a penetration rate of 50.4%, maintaining the industry's leading position; 5G network customers reached 24.1GB of DOU in December 2021.
In the mobile market, it is recommended to focus on keywords: 5G cloud package (the first in the industry, "connection + cloud disk"), application content and experience (video ringtones, ultra-high definition, cloud VR/AR, cloud games, cloud mobile phones, etc.), rights and interests operation system ("more convenient, more preferential, smarter, more secure" digital rights and services)
- Home business
The value of user scale has been doubled. In 2021, the company's fixed network and smart home service revenue reached RMB113.5 billion, an increase of 4.1% year-on-year, wired broadband subscribers reached nearly 170 million households, the penetration rate of smart home business users such as whole house WiFi and Tianyi Kanjia increased rapidly, smart home revenue increased by 25.1% year-on-year, and broadband integrated ARPU reached RMB45.9, an increase of 3.4% year-on-year.
The focus is on the "advantages of cloud-network integration capability", which is embodied in "gigabit broadband + whole house WiFi + Tianyi HD + Zhijia application", which brings together content applications and pan-intelligent terminal industry ecology with the Zhijia platform, promotes the interconnection of smart home products, continuously enriches the connotation of digital life services, provides smart customized service solutions for the whole house, and promotes the upgrading of life consumption quality.
In addition to the zhijia scene, China Telecom is also expanding to smart communities and digital villages.
- Industrial digitalization
Cloud-network convergence. In 2021, the company's industrial digital business revenue reached RMB98.9 billion, a comparable caliber increased by 19.4% year-on-year, and the growth rate increased significantly compared with 2020.
China Telecom's strategic determination is really strong, and in recent years, it has continued to mention the "cloud rotation change".
The company deeply integrates the elements of the digital economy and the real economy, and takes "cloud integration, security integration, 5G integration, digital integration, and wisdom integration" as the starting point to create comprehensive and intelligent scenario-based solutions and actively empower the transformation and upgrading of traditional industries.
In this section, I would like to draw your attention to the "Tianyi Cloud", which will be fully upgraded to a distributed cloud in 2021. In 2021, Tianyi Cloud's revenue doubled to RMB27.9 billion. (China Unicom has also upgraded its cloud to "China Unicom Cloud", with revenue of 16.3 billion yuan in 2021.) China Telecom's expression is: "Firmly ranked first in the industry and maintain a leading position in the government affairs public cloud market.".
The second proposal pays special attention to: in the context of "East Counting And West Calculation", the company strengthened the intensive development of data center scale, and IDC revenue reached 31.6 billion yuan, China Telecom said: "The market share continues to remain the first in the industry." ”
Next time, let's try to talk about a few strategic priorities of China Telecom.