China Unicom posts RMB12.5b profit in 2020

The company also achieved successful 5G network 'co-build co-share'.

Telecommunications company China Unicom (Hong Kong) Limited reported 10.3% YoY increase in profit to $14.95b (RMB12.5b) in 2020 from $13.5b (RMB11.3b) from the previous year.

Its total revenues rose 4.6% to $363.5b (RMB303.84b) in 2020, of which some $329.9b (RMB275.81b) were from service revenue, representing a 4.3% increase that outperformed the 3.6% industry average.

“The company’s profitability was steadily improved whilst quality and efficiency were remarkably enhanced,” chairman and CEO Wang Xiaochu said.

The company also took advantage of the COVID-19 pandemic to push for the implementation of the “co-build and co-share” 5G network with China Telecom. It has a total scale of 380,000 5G base stations.

The initiative also resulted in a $90.9b (RMB76b) worth of saving of network investment for both China Unicom and China Telecom.

China Unicom also released three 5G private network products and built a centralised 5G private network/MEC self-service platform.

In 2020, subscribers for the 5G package reached 70.83m, whilst the penetration rate of 5G package subscribers reached 23%, above the industry average of 20%.

In 2021, the company will further pursue opportunities in 5G development as well as accelerate the comprehensive digital transformation and focus on “Hive-high” new development edges. This includes high-quality services, high-quality development, highly effective governance, high-tech engine, and high-vitality operation.

“The company will also adhere to win-win cooperation, actively drive innovation, ignite organisational vibrancy and continuously promote development transformation and upgrade,” Wang said.