HomeChina Stock News China Telecom Group sees slight growth in business turnover in 2007
China Telecom Group sees slight growth in business turnover in 2007
Written by Administrator
Friday, 04 January 2008
BEIJING, Jan. 2 (InfoChina) – China Telecommunications Corporation (China Telecom Group), the parent company of China Telecom Co., Ltd. (0728.HK; CHA.NYSE), estimated at its 2008 working conference that its main business turnover hit 177.1 billion yuan in 2007, up by a slight 2.4 percent year on year.
ND Daily reported that the company’s net profit was expected to reach 26.6 billion yuan, up 1.9 percent year on year.
Meanwhile, China Telecom said its telephone user number reached 227 million by the end of 2007, while its broadband user number reached 38.1 million, its Biz Navigation service subscriber population reached two million, and its e-Customer service subscriber population reached 11 million.
Though still keeping a big customer group, China Telecom Group lost 2.74 million users in the first 11 months of 2007, and is expected to record its first customer-churn year since it made the IPO in 2002.
However, the company made a breakthrough in the northern China market in 2007, where China Netcom Group, the parent company of China Netcom (0906.HK: CN.NYSE) is taking a lion’s share. It is estimated to generate 3.32 billion yuan in business turnover from this market in the year, up 7.4 percent year on year.
Besides, the company also reported a good performance in the non-speaking service sector, from which it generated 67.8 billion yuan in 2007, accounting for 38.2 percent of the total and growing by 6.8 percent year on year. According to its scheme, the proportion will further go up to 55 percent within three years.
Wang Xiaochu, the company’s general manager, said the broadband service sector and value-added service sector have become the main driving force to China Telecom’s growth in business turnover, while the Biz Navigator service and the e-Customer service have become the backbone.(Edited by Li Xiaoyu,
)