CHINA UNICOM Reports 17.6% Decline in First-Quarter Profit Attributable to Shareholders

Stock News
04/21

CHINA UNICOM (00762) has announced its key financial and operational metrics for the first quarter of 2026. The group achieved operating revenue of RMB 102.8 billion, representing a decrease of 0.5% year-on-year. Pre-tax profit was RMB 6.114 billion, down 19.54% compared to the same period last year. Profit attributable to equity shareholders of the company amounted to RMB 4.885 billion, a decline of 17.6%.

During the first quarter, CHINA UNICOM firmly adhered to its guiding principle of "Upholding Integrity while Innovating for Sustainable Growth." The company focused on its four core strategic areas: "Connectivity," "Computing Power," "Services," and "Security," seizing strategic opportunities to achieve new milestones in high-quality development.

In strengthening its "Connectivity" foundation, the company solidified its role as a "stabilizer" for operational development. Its subscriber base experienced steady growth, with net additions of over 3.58 million mobile and broadband subscribers. Value retention efforts showed significant results, with the blended Average Revenue Per User (ARPU) remaining above RMB 100. The company also expanded and upgraded connectivity scenarios, with the number of Internet of Things (IoT) connections exceeding 750 million, a net increase of 32.03 million.

In enhancing its "Computing Power" capabilities, the company activated this segment as a "propeller" for revenue enhancement. Revenue from computing power services reached RMB 15.4 billion, an increase of 8.3% year-on-year. Within this, revenue from intelligent computing centers grew by 11.7%. The company's Unicom Cloud service now serves nearly 440,000 major government and enterprise customers. Furthermore, by facilitating digital consumption upgrades, paid users for cloud and intelligent products surpassed 110 million, with a net addition of 5.49 million users.

By optimizing its "Services," the company created an "accelerator" for revenue growth. It accelerated the large-scale application of 5G, having cumulatively developed over 53,000 commercial 5G projects and implemented more than 9,800 5G-enabled factories. The company also sped up its international market expansion, with international business revenue growing by 14.9% year-on-year. It upgraded its intelligent customer service systems, with smart services now accounting for 85.6% of customer interactions and the customer issue resolution satisfaction rate improving to 96.5%.

In ensuring "Security," the company fortified this area as a "safeguard" for sustainable growth. It activated product momentum, achieving scaled development for specialized products such as Secure Dedicated Lines, Unicom Shield, and the MOKONG security operation service platform, cumulatively serving over 460,000 government and enterprise clients. The company fostered a thriving industrial ecosystem through its cybersecurity industry chain supply-demand对接 platform, "Security Hub," which has listed over 240 security products. It also forged security services as a new growth driver, with revenue increasing by 14.2% year-on-year.

The year 2026 marks the beginning of the 15th Five-Year Plan period. The company will remain true to its original aspirations and mission, adhering to its core principle of "Upholding Integrity while Innovating for Sustainable Growth." By focusing on the strategic areas of "Connectivity," "Computing Power," "Services," and "Security," and pursuing a differentiated path, CHINA UNICOM aims to take solid steps in advancing its high-quality development and strive to create greater value for shareholders, customers, and society.

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