China Unicom (762) H1 2026 earnings summary

Executive summary

• Operating revenue for H1 2026 was RMB201.36 billion, up 0.6% year-over-year, while service revenue was RMB177.96 billion, down 0.2% year-over-year.

• Net profit attributable to equity shareholders was RMB9.47 billion, a 34.6% decrease year-over-year, mainly due to VAT changes and timing of employee benefit expenses.

• Net operating cash flow reached RMB32.94 billion, up 13.6% year-over-year, with free cash flow at RMB8.86 billion, up 0.9%.

• Organisational reforms reduced management departments by 38%, focusing on lean management and operational strength.

• No interim dividend was declared for H1 2026.

Financial highlights

• Operating costs rose 4.1% year-over-year to RMB193.96 billion.

• EBITDA was RMB47.42 billion, with an EBITDA margin of 26.6% on service revenue.

• Capital expenditure for H1 2026 was RMB24.08 billion.

• Basic earnings per share was RMB0.31, down from RMB0.47 year-over-year.

• Profit before income tax was RMB11.31 billion, down 36.4% year-over-year.

Outlook and guidance

• Full-year profit contraction is expected to narrow significantly as employee benefit expenses stabilize.

• The company will continue to focus on high-quality development, digital transformation, and value-based operations, emphasizing connectivity, computing power, service, and security.

• Commitment to creating greater value for shareholders, customers, and society.