Bidness ETC - China Mobile Storms Ahead With Strong Customer Subscription in Its Latest Quarterly Earnings Report

Chinese telecom company records 143 million 4G subscribers by the end of March compared to 53 million during the first quarter.

China Mobile Ltd (ADR) (NYSE:CHL) has announced, in its latest quarterly report, a strong growth in earnings helped by the strong growth in customer subscription of its 4G services, a trend which shows no sign of slowing down anytime in the near future. Currently, the subscribers for 3G and 4G services constitute 46% of China Mobile Ltd.

In its quarterly financial report, China Mobile Ltd. has recorded more than 143 million new subscriptions of 4G services, compared to the 53 million being recorded during the first quarter. If this exponential trend continues, it is forecasted that the number of 4G users will climb up to more than 300 million users. The mobile data traffic saw growth clocked in at more than 160% from last year, whereas traffic per subscriber has also seen an increase of more than 150% since 2014. Meanwhile, mobile revenue per user for the company was seen a rise of 3.2% from the last quarterly report, which represents a significant advancement over the 6.7% decline recorded in 2014.

The startling figures of 4G growth mentioned above suggests a very bullish future where the Chinese people are expected to be connected to high-tech wireless technologies more than ever, enabling them to gain access to just about every portion of lives, from shopping to making reservations and ensuring banking and financial access to improve financial inclusion.

China Mobile is preparing itself for the upcoming, if not an ongoing, revolution of wireless cars, on top of self-driving and electric powered charged cars, which will define the next ten years of an unprecedented technological revolution that will changing the face of the transportation sector and the ways in which people can afford to have their cars drive powered by 4G network from their mobile phones. However, it may require a much stronger frequency given the size of the wireless cars that will be rolled out within a decade approximately. These are interesting times for the Chinese telecom operator and manufacturer and all signs are leading it into a bullish stance to take on the future.

China Mobile Ltd’s stock price ended on $74.29, a decline of 0.16%. The stock quote price has fluctuated between $74 and $75 for the last few days, when it jumped from $71 on April 21st. Perhaps the stock may jump up to between $77-78 once investors react to this news of stellar 4G growth.