China Tower H1 Profit Surges 30%, Commits to 77% Payout Ratio
SingTao · 2 SOURCESabout 1 hour ago2 MIN
Summary
China Tower Corporation Limited (stock code: 788) announced strong first-half 2025 results, with net profit reaching 74.89 billion yuan, representing a 30.1% year-on-year increase . The company declared an interim dividend of 0.19122 yuan per share, up 44.3% from the same period last year . Chairman Zhang Zhiyong confirmed that the full-year dividend payout ratio would be maintained at no less than 77%, reinforcing the company's commitment to shareholder returns .
Key Points
- Revenue declined 1.8% year-on-year to 486.93 billion yuan, with management describing the drop as a temporary phase
- Tower-related business revenue fell 6.7% to 352.63 billion yuan, while indoor antenna systems rose 9.2% to 50.94 billion yuan
- Smart connectivity and energy businesses delivered robust growth of 12.8% and 17.3% respectively
- Free cash flow turned negative at minus 45.15 billion yuan due to electronic reconciliation with telecom operators
- Chairman Zhang expects cash flow to improve significantly in the second half as electronic settlement systems mature
Why It Matters
The 30% profit surge demonstrates China Tower's ability to improve profitability amid declining traditional tower lease revenue, while the commitment to a 77% dividend payout signals stable returns for investors . The strong growth in smart connectivity and energy businesses indicates the company's successful diversification strategy, positioning it to capture opportunities in low-altitude economy infrastructure and edge computing .
The 30% profit surge demonstrates China Tower's ability to improve profitability amid declining traditional tower lease revenue, while the commitment to a 77% dividend payout signals stable returns for investors . The strong growth in smart connectivity and energy businesses indicates the company's successful diversification strategy, positioning it to capture opportunities in low-altitude economy infrastructure and edge computing .