China Mobile will release its FY2022 financial data today. It is expected to become China’s most valuable stock. Photo: Takaki Kashiwabara

China Mobile will release its 2022 financial results today.

The Chinese telecom operator is expected to become the most valuable stock in China. Its shares reached a record high of 98.34 yuan per share on March 13. It is anticipated that China Mobile will distribute more than 70% of profits attributable to shareholders as cash dividends. Investors forecast the company’s profits to remain strong for the years 2022 to 2024, despite possible geopolitical or economic risks.

China Mobile’s strong financial position is largely attributable to its focus on digital projects. Advances in artificial intelligence and computing power have seen its connectivity projects develop strong coverage in the onshore market and internationally, especially those involved in the Belt and Road Initiative. China Mobile has notably helped Chinese car companies expand into overseas markets and established 5G smart ports abroad.

As Beijing hopes to be at the global forefront of digital development by 2035, the mobile operator is expected to capitalize on its growing cloud services to continue transforming traditional industries. China Mobile’s inherent advantage in digital technologies will likely help keep domestic earnings high, but an escalation in the China-U.S. technology rivalry could pose a risk to future international returns.