Quam Securities

Since its inception in 1986, Quam Securities Limited (Quam Securities) has grown to become one of the few mid-tier securities brokerages in Hong Kong with global execution capabilities for both private and institutional clients. It boasts a well-established network in Greater China including Taiwan and in major world markets through the Global Alliance Partners (GAP). Quam Securities is well-positioned not only to harness and drive business within the China Tonghai International Financial Limited but also between China and the world markets.

Research from Quam Securities

Research from Quam Securities, Quam Securities

Quam Securities Research

Equity Bottom-Up

China Unicom Hong Kong / Equity Bottom-Up

<ul><li>1Q23 results dragged by slower than expected growth in industrial internet, which has been the brightest star of Chinese telcos in the past few years with that of CU growing at a 2017-22 revenue CAGR of 35%.</li><li>A higher base and the final impact of the pandemic late last year hit growth with 1Q slowed to 15%.</li><li>While that was countered by resilient traditional connectivity services, higher cost pressure prompted us to trim FY23-25 EBITDA by ~1-2% and adj. NP forecasts by ~1-3%.</li></ul>

1Q23 results dragged by slower than expected growth in industrial internet, which has been the brightest star of Chinese telcos in the past few years with that of CU growing at a 2017-22 revenue CAGR of 35%.A higher base and the final impact of the pandemic late last year hit growth with 1Q slowed to 15%.While that was countered by resilient traditional connectivity services, higher cost pressure prompted us to trim FY23-25 EBITDA by ~1-2% and adj. NP forecasts by ~1-3%.

China Unicom (762 HK) - The Brightest Star Dimmed a Little