China Mobile Drops After Profit Misses Analyst Estimates
China Mobile Ltd. (941), the world’s biggest phone carrier by users, fell the most in more than six months in Hong Kong trading after the company reported profit that missed analysts’ estimates.
China Mobile fell 3 percent to close at HK$84.80, the biggest decline since Oct. 7. It had the third-biggest percentage loss today on the city’s benchmark Hang Seng Index (HSI), which lost 1.8 percent.
First-quarter profit rose 3.5 percent to 27.8 billion yuan ($4.4 billion), China Mobile reported after the close of Hong Kong markets on April 20. That compared with the 28.2 billion yuan median of four analysts’ estimates in Bloomberg News survey.
Profit margin in the first-quarter fell to 21.8 percent from 22.7 percent a year earlier because of stronger competition, China Mobile said in its earnings release. The Beijing-based carrier increased spending to attract users.
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