China Unicom, the second-biggest mainland mobile-telephone operator, said third-quarter net profit fell 5.3 per cent as sales at one of its networks declined.
Net profit fell to 1.39 billion yuan from 1.47 billion yuan a year earlier, as revenue gained 6.5 per cent to 23.5 billion yuan, according to a company announcement.
Unicom, which is adding subscribers at a slower rate than its larger rival China Mobile, saw revenue gains from its global system for mobile communications (GSM) network eroded by falling sales from its second system based on code division multiple access (CDMA) technology.
The GSM business boosted revenue 13.6 per cent from a year earlier to 14.9 billion yuan while the monthly average spending per user rose 2.5 per cent to 49.70 yuan. Usage per subscriber gained 13 per cent to 233 minutes a month.
Revenue from the CDMA business declined 4.4 per cent from a year earlier to 6.7 billion yuan with average spending per user each month falling 10 per cent to 66.80 yuan. Usage fell 2.1 per cent to 275 minutes per month.
The two-network operator is reported to have abandoned a strategy of cutting prices to boost its customer base in favour of maintaining profitability.