CICC: China Telecom (00728) B-end revenue growth may slow down, maintaining H-share "outperform industry" rating for now.

According to the Securities Times APP, CICC issued a research report stating that China Telecom (00728) B-side revenue growth in the first quarter of this year was lower than expected, resulting in slightly lower revenue than market expectations. Additionally, due to the impact on revenue in the first quarter, its profit growth rate may be lower than the full-year performance. Considering the group's control of accounts receivable and project quality, B-side revenue growth may slow down, so the A-share revenue forecast for 2025 and 2026 is slightly lowered to 534 billion and 543.4 billion yuan, respectively, while the net profit forecast is adjusted downward by 1% and 1.3% to 34.7 billion yuan and 36.3 billion yuan. The H-share rating "outperform industry" is temporarily maintained with a target price of 6 Hong Kong dollars.