Financial Performance - In 2019, KunLun Energy reported a revenue of RMB 113,313 million, an increase from RMB 105,470 million in 2018, representing a growth of approximately 1.8%[26] - The profit attributable to owners of the company for 2019 was RMB 5,551 million, compared to RMB 4,760 million in 2018, marking an increase of about 16.6%[26] - The core profit attributable to owners of the company reached RMB 6,252 million in 2019, up from RMB 5,885 million in 2018, reflecting a growth of approximately 6.2%[25] - The dividend per share for 2019 was set at RMB 0.26, an increase from RMB 0.23 in 2018, indicating a growth of about 13%[26] - Profit for the year attributable to owners of the Company was $5,551 million, up from $4,634 million in 2018, reflecting a year-on-year increase of 19.8%[27] - Core profit attributable to owners of the Company reached $6,252 million, compared to $5,885 million in the previous year, marking an increase of 6.3%[27] - Profit before income tax expense was RMB 13,645 million, representing a year-on-year increase of RMB 1,660 million or 13.85%[66] - The profit for the year was approximately RMB 9,571 million, representing an increase of 16.53% from RMB 8,213 million last year[130] Operational Efficiency and Growth Strategies - The company aims to expand its market presence and enhance operational efficiency through strategic investments in new technologies and projects[22] - KunLun Energy is focusing on the development of new energy projects to diversify its portfolio and reduce reliance on traditional energy sources[22] - The company plans to explore potential mergers and acquisitions to strengthen its market position and drive future growth[22] - Future outlook remains positive with projected revenue growth driven by increased production capacity and market expansion initiatives[22] - The Group plans to fully expand the retail sales business scale by leveraging PetroChina's resources and establishing innovative business models[86] - The Group aims to enhance the development of natural gas generator projects and participate in complementary projects with renewable energy[86] - The Group will actively expand non-gas and new energy businesses, focusing on integrated development with hydrogen energy, photovoltaic, and wind power[93] Sales and Market Performance - User data indicates a steady increase in customer engagement and satisfaction, contributing to the overall revenue growth[22] - Crude oil sales volume for 2019 reached 1,354,000 barrels, an increase of 2% from 1,327,000 barrels in 2018[31] - Natural gas sales volume increased to 280 million cubic meters in 2019, up 27% from 220 million cubic meters in 2018[34] - City gas sales volume rose to 200,000 tonnes in 2019, a significant increase of 36% compared to 147,000 tonnes in 2018[31] - The total natural gas pipeline transmission volume reached 556 million cubic meters in 2019, an increase from 529 million cubic meters in 2018[35] - Natural gas sales volume reached 28.03 billion cubic meters, a year-on-year increase of 27.44%, with retail gas volume at 18.01 billion cubic meters, up 24.83%[72] Financial Ratios and Metrics - Net profit margin improved to 8.45% in 2019 from 7.79% in 2018, an increase of 0.66 percentage points[29] - Return on total assets (ROA) rose to 6.64% in 2019, up from 5.84% in 2018, indicating an increase of 0.80 percentage points[29] - The liabilities-to-adjusted EBITDA ratio decreased to 3.20 from 3.47, showing improved financial leverage[29] - Debts-to-net assets ratio improved significantly to 44.35% from 55.27%, a reduction of 10.92 percentage points[29] - The gearing ratio of the Group decreased to 30.72% as of December 31, 2019, from 35.60% as of December 31, 2018, a decrease of 4.88%[131] Corporate Governance - The Company has complied with all corporate governance code provisions throughout the year[157] - The Board is responsible for the overall management of the Company's business, ensuring leadership and control[159] - The Company has established a clear division of functions between the Board and management, with specific powers delegated to the Chief Executive Officer and senior management[161] - The Board comprises a balanced mix of skills and experience, with a strong element of independence to exercise independent judgment[164] - The Company has a policy concerning board diversity, ensuring a range of diversity criteria are considered in the selection of candidates[169] - The Company recognizes the importance of good corporate governance for its healthy growth and has implemented appropriate practices[156] Employee and Operational Metrics - As of December 31, 2019, the Group employed approximately 38,557 employees, a decrease from 42,278 employees in 2018[141] - Employee compensation costs rose by 5.96% to approximately RMB5,134 million, up from RMB4,845 million last year, due to increased salaries and bonuses[113] - Depreciation, depletion, and amortization increased by 2.60% to approximately RMB6,350 million, compared to RMB6,189 million last year, attributed to the increase in property, plant, and equipment[114] Dividends and Shareholder Returns - The final dividend proposed for 2019 is approximately RMB2,277 million, with a dividend per share of RMB26.3 cents, representing a payout ratio of approximately 39.42%[97] - The Company intends to distribute not less than 25% of the Group's annual consolidated profit attributable to the owners as dividends, subject to certain criteria[146] - The Board recommended a final dividend of RMB26.3 cents per share, an increase from RMB23.0 cents per share in 2018[151] Future Outlook and Strategic Initiatives - The Group is committed to maintaining a sustainable growth trajectory while adhering to environmental regulations and standards[22] - The LNG terminal expansion is progressing as planned, enhancing gasification and transmission capacity[65] - The Group will accelerate the construction of 9 major branch pipeline projects, including Chaozhou and Jieyang branch pipelines, to enhance operational efficiency and market reach[87]

Financial Performance - Profit attributable to owners of the Company was RMB3,143 million, representing an increase of 1.65%[8] - Revenue for the Period was approximately RMB53,543 million, representing an increase of 7.96% due to the expansion of natural gas business[8] - Profit before income tax was RMB 7,673 million, up RMB 442 million or 6.11%[14] - Profit for the Period was approximately RMB5,269 million, representing an increase of 4.54% compared to RMB5,040 million for the last period[38] - Total comprehensive income for the period was RMB 5,316 million, an increase from RMB 5,002 million in the previous year[67] - Basic earnings per share for profit attributable to owners of the Company was 38.90 RMB cents, compared to 38.31 RMB cents in the previous year, reflecting a growth of 1.54%[59] Revenue Breakdown - The Group's revenue from the Natural Gas Sales segment, LNG Processing and Terminal segment, and Natural Gas Pipeline segment accounted for 98.12% of total revenue, amounting to approximately RMB52,536 million[29] - The Natural Gas Sales segment generated revenue of RMB 44,069 million for the six months ended June 30, 2019, compared to RMB 43,420 million in the same period of 2018[154] - The LNG Processing and Terminal segment reported revenue of RMB 4,765 million, an increase from RMB 3,926 million year-over-year[154] - The Natural Gas Pipeline segment's revenue was RMB 5,199 million, reflecting a stable performance compared to the previous year[154] - The Exploration and Production segment's revenue was RMB 1,007 million, indicating a consistent contribution to overall performance[154] Natural Gas Operations - The Group's natural gas sales volume was 12,595 million cubic metres, representing an increase of 20.33%[8] - The transmission volume of Natural Gas Pipeline business was 28,268 million cubic metres, representing an increase of 7.61%[8] - LNG gasification and entrucking volume totaled 9,445 million cubic metres, representing an increase of 0.06%[8] - Total natural gas sales volume reached 12,595 million cubic metres, representing a year-on-year increase of 20.33%; city gas sales volume was 8,995 million cubic metres, up 25.17%[15] - The retail sales volume of natural gas retail sales business increased significantly due to the new sale integration system for natural gas[11] Capital Expenditure and Investments - The Group's capital expenditure for the first half of 2019 was RMB (4,980) million, up from RMB (4,065) million in the same period of 2018[69] - The company has capital commitments of RMB 1,539 million for contracted but not provided for other property, plant, and equipment as of June 30, 2019, compared to RMB 1,326 million as of December 31, 2018[161] - The Group's major investment in associates includes a 15.072% equity interest in Aktobe, located in Kazakhstan[41] Financial Position and Liabilities - The carrying value of total assets decreased by 0.70% to approximately RMB139,596 million from RMB140,587 million as of December 31, 2018[38] - Total liabilities decreased from RMB 70,493 million as of December 31, 2018, to RMB 66,214 million as of June 30, 2019, representing a reduction of approximately 6.4%[63] - Total borrowings amounted to RMB32,656 million, with repayment due within one year at RMB8,695 million[38] - The Group had net current liabilities of RMB 9,650 million, but the financial statements were prepared on a going concern basis due to expected adequate funds to meet obligations[40] Corporate Governance and Compliance - The Company has complied with all code provisions in the Code on Corporate Governance Practices during the period[41] - The Audit Committee reviewed the accounting policies and internal controls related to the preparation of the unaudited interim financial report[42] - The review was conducted in accordance with Hong Kong Standard on Review Engagements 2410, ensuring compliance with relevant accounting standards[180] Changes in Accounting Standards - The company applied HKFRS 16 starting January 1, 2019, affecting the reporting of lease liabilities[64] - The Group has adopted HKFRS 16, which requires the capitalization of all leases, impacting the accounting treatment of property, plant, and equipment[76] - The Group transitioned to HKFRS 16 on January 1, 2019, determining the remaining lease terms and measuring lease liabilities at the present value of remaining lease payments, with a weighted average incremental borrowing rate of 4.275%[88] Employee and Operational Costs - Employee compensation costs increased by 17.27% to approximately RMB2,295 million compared to RMB1,957 million for the last period[30] - Selling, general and administrative expenses rose by 13.22% to approximately RMB1,345 million from RMB1,188 million in the previous period[30] Shareholder Information - As of June 30, 2019, the Company has a substantial shareholder, PetroChina Hong Kong Ltd., holding 4,708,302,133 shares, representing 58.25% of the issued share capital[54] - The Board does not recommend the declaration of interim dividend for the period[27] - A final dividend of RMB 23.0 cents per share was distributed, amounting to RMB 1,831 million, compared to RMB 21.0 cents per share and RMB 1,742 million in the previous year[40]

Financial Performance - Revenue for the year ended December 31, 2018, was RMB 105,470 million, an increase of 19% from RMB 88,706 million in 2017[15] - Profit for the year attributable to owners of the Company was RMB 4,634 million, a decrease of 2.6% from RMB 4,760 million in 2017[15] - Core profit before income tax expense was RMB 13,279 million, up 13.9% from RMB 11,659 million in 2017[15] - Adjusted EBITDA for 2018 was RMB 20,303 million, representing an increase of 11.4% from RMB 18,244 million in 2017[15] - For the year ended December 31, 2018, the net profit margin decreased to 7.79% from 8.96% in 2017[18] - The return on total assets (ROA) slightly decreased to 5.84% from 5.90% in 2017[18] - Earnings per share (Basic) for 2018 was RMB 57.41, a decrease from RMB 58.97 in 2017[18] - Profit before income tax expense for the Year was approximately RMB 11,985 million, representing an increase of 4.40% compared to RMB 11,480 million from the previous year[101] - Profit attributable to owners of the Company for the year was approximately RMB 4,634 million, representing a decrease of 2.65% from RMB 4,760 million in the prior year[91] Asset and Liability Management - Non-current assets as of December 31, 2018, totaled RMB 109,930 million, an increase from RMB 107,663 million in 2017[16] - Current liabilities were RMB 39,141 million, slightly down from RMB 39,451 million in 2017[16] - Net assets increased to RMB 70,094 million from RMB 65,625 million in 2017, reflecting a growth of 6.5%[16] - The gearing ratio improved to 27.56% in 2018 from 31.79% in 2017[18] - The company reported a liabilities-to-EBITDA ratio of 3.47 in 2018, down from 4.11 in 2017, indicating improved financial stability[18] Sales and Volume Growth - The sales volume of crude oil increased to 1,327,000 barrels in 2018 from 1,306,000 barrels in 2017, representing a growth of 1.61%[19] - The sales volume of city gas rose to 147 million cubic meters in 2018, up from 118 million cubic meters in 2017, an increase of 24.58%[19] - The sales volume of natural gas reached 220 million cubic meters in 2018, compared to 188 million cubic meters in 2017, marking a growth of 17.02%[19] - In 2018, the sales volume of LPG reached 700,000 tonnes, an increase from 658,000 tonnes in 2017, representing a growth of approximately 6.4%[24] - The LNG gasification volume for 2018 was 228 million cubic metres, up from 160 million cubic metres in 2017, indicating a growth of 42.5%[24] - The natural gas pipeline transmission volume increased to 529 million cubic metres in 2018, compared to 417 million cubic metres in 2017, reflecting a growth of 26.8%[24] - Total sales volume of natural gas was 21,994 million cubic metres, a year-on-year increase of 17.16%, with city gas sales volume increasing by 24.41%[60] Dividends and Shareholder Returns - The dividend per share increased to RMB 23.0 in 2018 from RMB 21.0 in 2017, with a payout ratio of 40.06%[18] - The Group proposed a final dividend of RMB 23.0 cents per share, with a total dividend payment of RMB 1,858 million, resulting in a dividend payment ratio of 40.06%[54] - The proposed final dividend for 2018 is RMB 23.0 cents per share, amounting to a total of approximately RMB 1,858 million, with a payout ratio of about 40.06%[81] Operational Developments - The Group constructed 528 kilometres of branch pipelines and commenced operations of 5 new branch pipelines during the year[61] - The company was awarded the China Gas Association 30th Anniversary Outstanding Contribution Award in 2018, highlighting its significant impact in the natural gas sector[53] - The company has 15 LNG plants in operation as of 2018, an increase from 14 in 2017, representing a growth of 7.1%[25] - The number of CNG stations in operation rose to 561 in 2018, up from 543 in 2017, marking an increase of 3.3%[25] - The total number of LNG stations decreased slightly to 609 in 2018 from 603 in 2017, a decline of 1%[25] Corporate Governance - The Company has adopted a code of conduct for Directors' securities transactions in compliance with the Model Code[124] - The Company has complied with all Code Provisions of the Corporate Governance Code throughout the Year[130] - The Board is collectively responsible for promoting the success of the Company by directing and supervising its affairs[132] - The day-to-day management of the Company is delegated to the Chief Executive Officer and senior management, with periodic reviews of delegated functions[134] - The Board has a necessary balance of skills and experience appropriate to the requirements of the business, ensuring effective independent judgement[137] - The Company has received written annual confirmation from each Independent Non-executive Director of their independence, in accordance with Listing Rules[140] Audit and Compliance - The Audit Committee held 3 meetings during the year to review financial results and compliance procedures[170] - The Company’s annual results for the year have been reviewed by the Audit Committee, confirming no material uncertainties affecting its ability to continue as a going concern[170] - The Audit Committee is composed of three Independent Non-executive Directors, including one with appropriate professional qualifications in accounting or related financial management expertise[169] - The Company supports the division of responsibilities between the Chairman and the Chief Executive Officer to ensure a balance of power[164] Employee and Compensation - Employee compensation costs were approximately RMB 4,845 million, representing an increase of 11.92% compared to RMB 4,329 million from the last year, driven by improved business performance and economic inflation[94] - The Group employed approximately 42,278 employees globally as of December 31, 2018, an increase from 41,835 employees in 2017[121][125] Market Outlook - The percentage of natural gas consumption in China's primary energy consumption structure is expected to reach 10% by 2020, with a projected demand of approximately 440.0 billion cubic metres by 2025[74] - The government of the PRC is actively promoting natural gas as a major energy source, which is expected to maintain robust growth in demand[74]