CPCA reports 1-18 January numbers: EV retail down 16% YoY, wholesale down 23% YoY ab Global Research owered by UBS Evidence Lab YES P The China Passenger Car Association (CPCA) reported January 1-18 January 2026 retail EV sales volume of 312k units, down -16% YoY and -52% MoM, while wholesale EV volume declined to 348k, down -23% YoY and -46% MoM. The early numbers show signs of continued weakening, which adds more pressure to the 2026 demand outlook. UBS Evidence Lab's China Auto Model Search Monitor (> Ac ...

Summary of Key Points from the Conference Call Industry Overview: Greater China Auto, EV, and EV Battery Industry Forecasts - **China's Auto Industry**: Expected to face challenges in 2026 with a forecasted decline in auto wholesales by **1.6% YoY** compared to a **10% YoY** increase in 2025. This decline is attributed to front-loaded demand in 2025 [1] - **Domestic EV Sales**: Anticipated to grow only **7% YoY** in 2026 due to a **5% increase in purchase tax** and reduced trade-in subsidies [1] - **Export Sales**: Projected to increase by **12% YoY**, reaching **7.9 million units** in 2026, with EV exports expected to surge by **40% YoY** [1] - **Competition Dynamics**: Shift from price competition to configuration-based competition, necessitating more investment in autonomous driving (AD) and smart cabin technologies [1] Key Automotive/EV Themes for 2026 Theme 1: Export Growth - **Export Growth**: Companies like Chery and BYD are expected to benefit significantly from exports, especially with the EU's minimum EV price replacing tariffs [2] Theme 2: Autonomous Driving Development - **ADAS to AD Transition**: L3 permits issued to Changan and BAIC, with highway/city NOA penetration expected to exceed **40%** in 2026 and **85%** by 2030. L4/L5 penetration is projected to reach **8%** by 2030 [3] Theme 3: Cost Concerns - **Battery and Memory Costs**: Rising costs and supply stability of memory are key concerns for auto OEMs [3] Key Battery Themes for 2026 Theme 1: Energy Storage Systems (ESS) - **ESS Demand**: Global battery ESS installations expected to grow by **33% YoY** in 2026, with shipments increasing by **41% YoY** [4] Theme 2: Global Expansion - **Overseas Capacity Expansion**: Chinese battery manufacturers are accelerating their overseas capacity expansion, particularly in Europe and Southeast Asia, in response to rising tariffs and trade tensions [4] Theme 3: VAT Rebate Changes - **Export VAT Rebate Cut**: Anticipated to lead to a rush in battery production and shipment in Q1 2026, potentially increasing raw material prices and exerting cost pressure on battery makers and auto OEMs [5] Theme 4: Technological Innovation - **Sodium-Ion Battery**: Launch of Gen-2 sodium-ion battery expected, with ASSB (all-solid-state battery) small-batch production anticipated to start in 2027 and scale up significantly post-2029 [5] Investment Recommendations - **Top Picks**: - **XPeng**: Launch of Mona SUV and HR in 2H26, with a focus on AI-related businesses [6] - **CATL**: Growth driven by CEV, ESS, and overseas capacity despite short-term cost pressures [6] - **Tuopu**: Major supplier for humanoid robots with overseas expansion [6] - **Minth**: Resilient earnings growth supported by high overseas market exposure [6] - **Hesai**: Increased LiDAR adoption in China alongside L3 ADAS development [6] Additional Insights - **Market Dynamics**: The shift in competition and the focus on technological advancements highlight the evolving landscape of the automotive and EV sectors in China, emphasizing the need for companies to adapt to changing consumer preferences and regulatory environments [1][3][4][5]

Summary of the Conference Call on China EV Makers Industry Overview - **Industry**: Electric Vehicle (EV) sector in China - **Current Context**: The sector is experiencing a slowdown in demand as the Q4 volume guidance from major players is below market expectations, indicating a cautious outlook for the auto market as a whole [2][3] Key Company Insights - **XPeng and Nio**: Both companies provided Q4 volume guidance that was below street expectations, suggesting flat sales in November and December compared to October. Their share prices reacted negatively to this news [3] - **Li Auto**: While Li Auto's Q4 volume guidance is more optimistic (approximately 20% higher than October), management expressed caution regarding Q1 2026 volume and indicated weak margin guidance for Q4 2025, projecting a decrease of about 3-4 percentage points from Q3 [3] - **Demand Factors**: The expiration of local government trade-in subsidies is cited as a direct cause for the cooling demand, despite the continuation of central government scrappage subsidies and EV purchase tax exemptions until year-end [3] Market Outlook - **2026 Projections**: The overall domestic passenger vehicle (PV) market is expected to decline by 2%, with the EV market facing growth slowdowns due to policy retreats and diminishing stimulus effects. The premium segment may show resilience, while exports could become a key growth driver for mass-market companies [4][5] - **Strategic Shifts**: Some companies, like XPeng, are diversifying into new areas such as humanoid robots and robotaxis, which may take longer to yield returns [4] Valuation and Investment Strategy - **Cautious Stance**: The report maintains a cautious outlook for the near term, suggesting that the market needs time to adjust to the slowdown in domestic demand and increasing price competition [5] - **Long-term Drivers**: Continuous technological innovation, product mix upgrades, and global expansion are identified as long-term growth drivers for Chinese automakers [5] - **Recommended Companies**: Staying invested in industry leaders like CATL and BYD, as well as valuation-friendly companies like Great Wall Motor (GWM), is suggested as a prudent strategy [5] Risks and Challenges - **Traditional ICE Sector Risks**: Include economic slowdown, excessive capacity leading to oversupply, and regulatory changes affecting demand [7] - **NEV Sector Risks**: Include potential declines in government subsidies, new market entrants, and overcapacity in the NEV battery industry [7][10] - **Valuation Risks for BYD**: Changes in favorable policies, raw material price fluctuations, and overall competition in the NEV market are highlighted as downside risks [8] Conclusion - The conference call reflects a cautious sentiment in the Chinese EV market, with major players adjusting their forecasts downward amid a cooling demand environment. Strategic shifts and long-term growth drivers are emphasized, while various risks remain pertinent to the sector's outlook.

Financial Performance - The company's basic earnings per share for Q1 2025 remained unchanged at 0.0600 CNY compared to Q1 2024, but decreased from 0.0800 CNY in Q1 2023 [1] - The net asset per share decreased by 34.42% to 1.81 CNY from 2.76 CNY in Q1 2024, and slightly down from 2.74 CNY in Q1 2023 [1] - The company's operating revenue for Q1 2025 was 55.02 billion CNY, a decrease of 5.98% from 58.52 billion CNY in Q1 2024, and slightly down from 56.8 billion CNY in Q1 2023 [1] - The net profit for Q1 2025 was 1.17 billion CNY, a decrease of 4.1% from 1.22 billion CNY in Q1 2024, and comparable to 1.16 billion CNY in Q1 2023 [1] - The return on equity for Q1 2025 was 3.40%, an increase from 3.25% in Q1 2024 and 3.15% in Q1 2023 [1] Shareholder Structure - The top ten unrestricted shareholders collectively hold 116,469.21 million shares, accounting for 60.38% of the circulating shares, with an increase of 307.10 million shares from the previous period [1] - The largest shareholder, Huaxin Gas Group Co., Ltd., holds 89,113.64 million shares, representing 46.19% of the total share capital, with no change [2] - The second-largest shareholder, Taiyuan Hongzhan Real Estate Development Co., Ltd., holds 17,761.59 million shares, accounting for 9.21% of the total share capital, also unchanged [2] Dividend Policy - The company has decided not to distribute dividends or transfer shares in the current period [3]

Financial Performance - The company reported a basic earnings per share of -0.1800 yuan for 2024, a decrease of 550% compared to 0.0400 yuan in 2023 [1] - The net profit for 2024 was -3.4 billion yuan, representing a decline of 535.9% from a profit of 0.78 billion yuan in 2023 [1] - The return on equity (ROE) for 2024 was -9.99%, a significant drop of 577.99% from 2.09% in the previous year [1] - Total revenue for 2024 was 161.45 billion yuan, down 6.12% from 171.98 billion yuan in 2023 [1] - The net asset per share decreased by 34.46% to 1.75 yuan from 2.67 yuan in 2023 [1] Shareholder Structure - The top ten unrestricted shareholders hold a total of 116,162.11 million shares, accounting for 60.22% of the circulating shares, with a decrease of 567.21 million shares compared to the previous period [1] - The largest shareholder, Huaxin Gas Group Co., Ltd., holds 89,113.64 million shares, representing 46.19% of the total share capital, with no change [2] - New entrants among the top shareholders include Ji Xingmin with 870.00 million shares and the Eleventh Private Securities Investment Fund with 746.86 million shares [2] - Notable exits from the top ten shareholders include Guo Ziyan, Yang Minghuan, and Lu Linbing [2] Dividend Policy - The company has announced no distribution or capital increase for the current period [1]

Financial Performance - The company's operating revenue for the first half of 2024 was CNY 8,391,664,197.05, a decrease of 3.53% compared to the same period last year[12]. - Net profit attributable to shareholders of the listed company increased to CNY 54,358,166.25, reflecting a growth of 3.49% year-on-year[12]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY -73,378,525.51, an improvement of 20.14% compared to the previous year[12]. - The net cash flow from operating activities decreased by 56.59% to CNY 524,747,619.46, primarily due to increased cash payments for goods and services[12]. - Total assets at the end of the reporting period were CNY 27,509,812,975.91, down 4.95% from the previous year[12]. - The net assets attributable to shareholders of the listed company decreased by 3.11% to CNY 3,568,444,586.69[12]. - Basic earnings per share for the first half of 2024 were CNY 0.03, unchanged from the previous year[13]. - The weighted average return on net assets increased by 0.04 percentage points to 1.46%[13]. - The company reported a decrease in gas sales volume, which was the main reason for the decline in operating revenue[13]. - The reduction in financial expenses contributed to the increase in net profit attributable to shareholders[13]. Market Trends - In the first half of 2024, global natural gas demand grew at a rate significantly above historical averages, with Asia-Pacific, China, and India achieving double-digit growth rates[15]. - In the U.S., natural gas consumption increased by 1.5% (approximately 7 billion cubic meters) in the first half of 2024, primarily driven by the power sector[15]. - European natural gas consumption decreased by 3.5% (approximately 9 billion cubic meters) in the first half of 2024, influenced by the rise of renewable energy and improved nuclear availability[15]. - In the Asia-Pacific region, natural gas consumption rose by 8% (approximately 30 billion cubic meters) in the first half of 2024, with India experiencing a 10% increase[15]. - China's natural gas production reached 123.5 billion cubic meters in the first half of 2024, reflecting a year-on-year growth of 4.4%[15]. - The total natural gas imports in China for the first half of 2024 were 64.65 million tons (approximately 89.2 billion cubic meters), marking a 14.3% increase year-on-year[15]. - National natural gas apparent consumption reached 213.8 billion cubic meters in the first half of 2024, a year-on-year increase of 10%[16]. - The company anticipates continued growth in the global natural gas market, with a projected increase in demand of 2.5% (approximately 100 billion cubic meters) for 2024[15]. - The company expects natural gas consumption for 2024 to be between 420 billion and 425 billion cubic meters, representing a year-on-year growth of 6.5% to 7.7%[16]. Operational Developments - The company has a total gas storage capacity of 40 million cubic meters and operates three gas power plants with a total designed capacity of 412 MW[18]. - The company has built over 5,000 kilometers of natural gas pipeline, covering 11 cities and 104 counties in Shanxi Province, accounting for approximately 80% of the province's total pipeline length[18]. - The company has established a comprehensive sales network that covers the entire province and extends beyond, enhancing service quality and efficiency[18]. - The company has 92 patents, including 6 invention patents, and has made significant progress in technology research and development[18]. - The company aims to increase natural gas production by over 10 billion cubic meters annually, focusing on unconventional gas production[19]. - The LNG production and operation services provided by the company are the largest in Shanxi Province, with the highest storage capacity and market share[17]. - The company plans to optimize resource allocation to enhance efficiency and reduce procurement costs for stable gas supply[19]. - The company is committed to expanding its renewable energy business while strengthening its core natural gas operations[19]. Financial Management - Operating costs amount to 7,686,390,262.77 RMB, reflecting a decrease of 2.90% year-on-year[21]. - Research and development expenses dropped significantly by 76.50%, amounting to 1,934,631.03 RMB[21]. - The company has increased its prepayments by 31.68%, reaching 645,083,679.40 RMB[23]. - The company has reduced its financial expenses by 14.90%, with the current period amounting to 371,054,385.06 RMB[21]. - The company is actively expanding its market by integrating into local urban construction plans and developing new markets and users[20]. - The company is focusing on optimizing its production and operation system to ensure safe and stable pipeline operations[20]. - The company is exploring new energy markets and enhancing innovation capabilities, particularly in biogas and biomass energy projects[20]. - The company has implemented a centralized procurement model to reduce costs and improve efficiency in inventory management[20]. Environmental and Social Responsibility - The company has established emergency response plans for environmental incidents at its subsidiaries, ensuring timely and effective responses[32]. - All three power plants under the company have implemented environmental self-monitoring plans, with no instances of exceeding environmental standards reported[33]. - The company has implemented measures to minimize environmental pollution during construction projects, ensuring compliance with local environmental regulations[35]. - In the first half of 2024, the company provided a total of 191,000 yuan in support for poverty alleviation and rural revitalization efforts[37]. - The company has adopted closed-loop transportation processes to reduce methane emissions and enhance energy efficiency through optimized operational procedures[36]. - The company is focused on expanding its market presence while adhering to environmental protection and sustainability principles[35]. Corporate Governance - The company has committed to maintaining the independence of its listed entity, ensuring no conflicts of interest with its controlling shareholders[38]. - The company has pledged to manage and maintain the integrity of its assets and operational qualifications to prevent losses during asset transfers[40]. - The company has not provided any guarantees for shareholders, actual controllers, or their related parties[46]. - The company has not encountered any bankruptcy reorganization matters during the reporting period[42]. - The company has committed to avoid engaging in any competitive business activities that may harm its interests[41]. - There were no significant lawsuits or arbitration matters during the reporting period[42]. - The company confirmed a total of 1,234,039.93 million RMB in actual daily related transactions for 2023[42]. - The estimated amount for daily related transactions for 2024 is projected to be 1,738,569.00 million RMB[42]. Investment and Financing - The total amount of raised funds is CNY 48,000 million, with a net amount of CNY 46,584.91 million after deducting issuance costs[48]. - As of the reporting period, the cumulative investment of raised funds reached CNY 25,603.69 million, representing a progress rate of 54.96%[48]. - The project "Huairen-Yuanping Gas Pipeline Project" has a planned investment of CNY 16,122.11 million, with a cumulative investment of CNY 9,000.37 million, achieving a progress rate of 55.83%[50]. - The project "Dingxiang-Wutai Gas Pipeline Project" has a planned investment of CNY 11,201.54 million, with a cumulative investment of CNY 6,070.18 million, achieving a progress rate of 54.19%[50]. - The cumulative investment of raised funds for the "Hongtong-Anze Changzi Gas Pipeline Project" is CNY 6,543.58 million, with a progress rate of 66.28%[50]. - The cumulative investment of raised funds for the "Yuanping-Daixian-Fanzhi Gas Pipeline Project" is CNY 3,989.56 million, with a progress rate of 42.50%[50]. - The company has issued a medium-term note with a total balance of 500 million RMB and an interest rate of 5.14%[60]. - The company plans to ensure the repayment of its bonds by diversifying financing channels and managing its own funds effectively[60]. - There were no overdue bonds reported during the period[60]. Shareholder Information - The total number of ordinary shareholders as of the reporting period is 49,267[54]. - The top shareholder, Huaxin Gas Group Co., Ltd., holds 891,136,436 shares, representing 46.19% of the total shares[55]. - Taiyuan Hongzhan Real Estate Development Co., Ltd. increased its holdings by 50,747,388 shares, now holding 177,615,858 shares, which is 9.21%[55]. - The total number of shares held by the top ten shareholders amounts to 1,927,000,000 shares, accounting for a significant portion of the company's equity[55]. - The company completed a capital reserve conversion, increasing the total share capital from 1,377,994,126 shares to 1,929,191,776 shares[53]. - The earnings per share after the capital increase is CNY 0.03[53]. - The company has no shares under repurchase accounts among the top ten shareholders[56]. - There were no changes in the controlling shareholder or actual controller during the reporting period[59]. Accounting and Financial Reporting - The company's financial statements were approved by the board of directors on August 28, 2024, ensuring compliance with accounting standards[90]. - The company has evaluated its ability to continue as a going concern for the next 12 months and found no significant doubts regarding its operational viability[92]. - The company’s financial reports adhere to the accounting standards, accurately reflecting its financial position and operational results[94]. - The company’s accounting policies include specific thresholds for recognizing bad debt provisions and significant investments, ensuring financial accuracy[97]. - The company has undergone changes in its consolidation scope, reflecting strategic adjustments in its operational structure[89]. - The company recognizes transactions involving subsidiary equity investments as bundled transactions when they lead to the loss of control over the subsidiary, with the difference between the disposal price and the net asset share recognized as other comprehensive income until control is lost[109]. - The company applies a consistent accounting policy across all subsidiaries to ensure comparability in financial reporting[105]. - The company recognizes revenue when control of goods or services is transferred to the customer, based on the transaction price allocated to the performance obligation[182]. Risk Management - The company faces risks from tightening national environmental policies and increased competition in the gas industry[27]. - Global energy market adjustments and sanctions on Russian LNG are expected to cause price volatility in the gas market[27]. - The company has established a comprehensive emergency response plan for environmental incidents, including regular training and drills for staff[35]. - The company is actively pursuing strategies to address soil and water conservation during construction, focusing on restoring original land use types[35].

Financial Performance - The company's net profit for 2023 reached CNY 238,261,256.03, with a cumulative distributable profit of CNY 268,768,269.80 after accounting for retained earnings and reserves[7]. - Operating revenue increased by 10.32% year-on-year to CNY 17,197,957,669.37, driven primarily by increased gas sales volume[22]. - The basic earnings per share rose to CNY 0.06, reflecting a 20% increase compared to the previous year[24]. - The total assets decreased by 7.55% to CNY 28,942,173,193.93, compared to CNY 31,305,755,487.29 in 2022[23]. - The company plans to distribute a cash dividend of CNY 1.45 per 10 shares, totaling CNY 199,809,148.27, and to increase the share capital by 4 shares for every 10 shares held[7]. - The cash flow from operating activities amounted to CNY 2,514,003,243.07, an increase of 8.64% from the previous year[22]. - The weighted average return on net assets improved to 2.09%, an increase of 0.30 percentage points from 2022[24]. - The company reported a net loss of CNY 119,326,298.14 after deducting non-recurring gains and losses, an improvement of 11.77% compared to the previous year[22]. - The total equity attributable to shareholders decreased slightly by 0.16% to CNY 3,683,039,600.43[22]. - The net profit attributable to shareholders increased due to a reduction in management and financial expenses[25]. - The net profit attributable to shareholders after deducting non-recurring gains and losses increased primarily due to the rise in net profit and a decrease in non-recurring gains and losses[25]. - The net cash flow from operating activities increased due to higher cash received from sales of goods and services[25]. Revenue and Sales - In Q1 2023, operating revenue was approximately CNY 5.67 billion, while in Q2 it dropped to CNY 2.94 billion, and then increased to CNY 3.29 billion in Q3, with Q4 revenue at CNY 5.31 billion[27]. - The net profit attributable to shareholders was CNY 116.88 million in Q1, but showed losses in Q2 (CNY -66.13 million) and Q3 (CNY -92.98 million), before recovering to CNY 120.22 million in Q4[27]. - The company achieved a total operating revenue of CNY 17.198 billion in 2023, representing a year-on-year increase of 10.32%[50]. - The net profit attributable to shareholders was CNY 0.78 billion, an increase of 18.89% compared to the previous year[50]. - The company's total revenue from the natural gas and coalbed gas segment reached ¥16,509,052,234.48, with a year-on-year increase of 9.15%[56]. - The total revenue from the long-distance pipeline business was ¥15,507,704,656.05, reflecting a year-on-year increase of 14.31%[57]. Production and Consumption - In 2023, the company's domestic natural gas consumption reached 391 billion cubic meters, an increase of 27 billion cubic meters, representing a growth rate of 7.2%[41]. - The company's domestic natural gas production was 232.4 billion cubic meters, with an increase of 12.3 billion cubic meters, reflecting a growth rate of 5.6%[40]. - The company produced 57.73 billion cubic meters of natural gas, representing a year-on-year increase of 14.68%[58]. - Domestic natural gas consumption increased by 270 billion cubic meters in 2023, reaching a total of 3,910 billion cubic meters[76]. - The company expects natural gas consumption in China to reach 4,157 billion cubic meters in 2024, with production projected at 2,458 billion cubic meters[76]. Strategic Initiatives - The company aims for "high-quality development" focusing on five major business segments, including long-distance pipelines and new energy[34]. - The company is actively expanding its new energy business, leveraging biomass energy recycling projects for sustainable development[34]. - The company is optimizing resource procurement to increase network resources while reducing costs, particularly through enhanced coalbed methane procurement[34]. - The company is implementing refined management practices to improve operational efficiency and reduce financial costs, including tracking monetary policy adjustments[36]. - The company aims to optimize its long-distance gas pipeline network and enhance its operational capabilities to support the energy revolution in the province[78]. - The company plans to expand deep coalbed methane production capacity to enhance resource security, aiming for extraction volumes of 200 to 250 billion cubic meters by 2025[77]. Risk Management and Compliance - The company has outlined potential risks in its report, advising investors to be cautious regarding future plans and strategies[8]. - The company faces risks related to tightening environmental policies and increased competition in the gas industry[83]. - The company is focused on maintaining a clear separation from its controlling shareholder to ensure independent decision-making[85]. - The company has established a compliance management system and implemented a compliance management method to enhance legal compliance awareness and management levels[88]. - The company has committed to disclosing information accurately, timely, and completely, adhering to relevant regulations and maintaining effective communication with investors[88]. Corporate Governance - The board of directors consists of 11 members, including 4 independent directors, ensuring compliance with legal requirements[87]. - The company has established specialized committees, including the Audit Committee, Nomination Committee, Compensation and Assessment Committee, and Strategic Committee[104]. - The company has not reported any dissenting opinions from directors regarding company matters[104]. - The company has not identified any risks during the reporting period[108]. - The company has committed to maintaining the cessation of operations for certain subsidiaries until they are fully deregistered[88]. Environmental and Social Responsibility - The company has invested 2.8834 million yuan in environmental protection funds during the reporting period[136]. - The company has established emergency response plans for environmental incidents, with regular training and drills conducted to ensure preparedness[141]. - The company implemented carbon reduction measures, successfully reducing carbon dioxide equivalent emissions by 148.89 tons[147]. - Total donations for social responsibility projects amounted to 12.9495 million RMB, including 10 million RMB in cash donations[148]. - The company contributed 228.0186 million RMB towards poverty alleviation and rural revitalization projects, focusing on industrial consumption assistance[150]. Human Resources - The company employed a total of 6,061 staff, with 82 in the parent company and 5,979 in major subsidiaries[107]. - The workforce includes 2,488 production personnel, 416 sales personnel, 995 technical personnel, 320 financial personnel, and 1,842 administrative personnel[107]. - The company plans to enhance employee training focusing on management, compliance, and industry knowledge[110]. - The company has a total of 208 employees with postgraduate degrees and 2,862 with bachelor's degrees[107]. Financial Management - The company has a cash dividend policy that prioritizes cash dividends when conditions are met, with a minimum cash dividend ratio of 80% for mature companies without significant capital expenditure plans[114]. - The company’s profit distribution policy aligns with its articles of association and has clear standards and ratios for dividends[119]. - The company has established effective management control mechanisms over subsidiaries to enhance operational efficiency and risk management[124]. - The internal control system of the company is functioning well, with no significant deficiencies identified in financial and non-financial reporting[126]. Shareholder Information - The total number of ordinary shareholders increased from 49,524 to 50,244 during the reporting period, representing a growth of approximately 1.46%[176]. - The largest shareholder, Huaxin Gas Group Co., Ltd., holds 636,392,826 shares, accounting for 46.18% of the total shares, with a decrease of 133,200 shares during the reporting period[178]. - The top ten shareholders include new entrants such as Hainan Jingge Private Fund Management Partnership, which holds 10,870,000 shares, accounting for 0.79%[179]. Legal and Regulatory Matters - The company is involved in a major lawsuit regarding a claim for repayment of RMB 18.72 million, with the court ruling in favor of the claimant[162]. - The company has not reported any non-operating fund occupation or guarantee violations during the reporting period[156]. - The company has not violated any laws, regulations, or internal management systems during the reporting period[194].

Financial Performance - The company's operating revenue for Q1 2023 was ¥5,666,073,254.14, representing a year-on-year increase of 22.97%[4] - The net profit attributable to shareholders decreased by 32.66% to ¥116,883,036.55 compared to the same period last year[4] - The net profit after deducting non-recurring gains and losses was ¥39,348,987.09, down 63.28% year-on-year[4] - Net profit for Q1 2023 was ¥106,920,976.52, a decrease of 31% from ¥155,719,939.72 in Q1 2022[18] - The company's basic and diluted earnings per share were both ¥0.08, a decrease of 38.46% compared to the previous year[4] - Earnings per share for Q1 2023 was ¥0.08, down from ¥0.13 in Q1 2022[18] - The company's net profit for Q1 2023 reached CNY 59,300,789.33, compared to CNY 30,919,153.63 in Q1 2022, representing a growth of 92.0%[27] - The company achieved an operating profit of CNY 60,265,143.01 in Q1 2023, up from CNY 31,033,256.63 in Q1 2022, reflecting a growth of 94.3%[27] Cash Flow and Assets - The net cash flow from operating activities was ¥628,394,318.77, with no applicable year-on-year comparison[4] - The net cash flow from operating activities for Q1 2023 was ¥628,394,318.77, a significant improvement from -¥223,046,289.28 in Q1 2022[21] - Total cash inflow from operating activities was ¥6,735,144,959.01, compared to ¥4,882,481,660.99 in the same period last year, representing an increase of approximately 37.6%[21] - The total assets at the end of the reporting period were ¥31,862,437,318.32, an increase of 2.50% from the end of the previous year[5] - The total assets of the company amounted to ¥31,862,437,318.32 in Q1 2023, compared to ¥31,084,376,229.98 in Q1 2022[16] - Cash and cash equivalents at the end of Q1 2023 were ¥3,802,973,172.77, compared to ¥3,793,183,225.10 at the end of Q1 2022, showing a slight increase[22] - The company's cash and cash equivalents reached RMB 4,930,695,161.65, up from RMB 4,192,487,177.73, indicating an increase of about 17.6%[13] - The total current assets amounted to RMB 8,914,051,117.20, an increase from RMB 7,916,757,204.55 as of December 31, 2022, representing a growth of approximately 12.6%[13] Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 57,491[9] - The largest shareholder, Huaxin Gas Group Co., Ltd., held 46.15% of the shares, totaling 635,989,926 shares[9] - The top ten shareholders include Huaxin Gas Group Co., Ltd. with 342,659,492 shares, representing a significant portion of the company's equity[10] Research and Development - R&D expenses increased by 36.32% during the reporting period[7] - Research and development expenses for Q1 2023 were ¥2,090,572.31, compared to ¥1,533,632.95 in Q1 2022, indicating a 36% increase[17] Liabilities and Borrowings - The company's total liabilities increased to ¥27,636,741,152.32 in Q1 2023, compared to ¥26,978,561,524.85 in Q1 2022[16] - The total liabilities increased to ¥6,247,428,634.45 in Q1 2023 from ¥5,005,928,157.92 in Q1 2022, marking an increase of approximately 24.8%[25] - Short-term borrowings decreased to ¥5,925,157,660.54 from ¥7,288,598,874.96, a reduction of about 18.7%[14] - Long-term borrowings increased to ¥2,336,300,000.00 in Q1 2023 from ¥1,336,300,000.00 in Q1 2022, reflecting a growth of 75%[25] Investment Activities - The company reported an investment loss of ¥17,495,881.43 in Q1 2023, compared to a loss of ¥4,976,551.38 in Q1 2022[17] - The net cash flow from investing activities was negative at CNY -477,433,539.75 in Q1 2023, compared to a positive cash flow of CNY 416,853,075.83 in Q1 2022[29] Operational Highlights - The company reported no new strategies or product developments during the quarter, focusing on maintaining existing operations and financial stability[11] - The company has not made any changes to its stock holdings during the reporting period, maintaining its position in the market[12] - The company has engaged in securities lending, with a total of 536,100 shares lent out as of March 31, 2023[12]

Financial Performance - The company's operating revenue for Q3 2022 was CNY 3,061,422,169.08, representing a 5.33% increase compared to CNY 2,906,608,567.04 in the same period last year[5]. - The net profit attributable to shareholders was a loss of CNY 114,028,264.04, an improvement from a loss of CNY 134,590,654.36 year-over-year[5]. - The net profit for the third quarter of 2022 was a loss of CNY 129,637,513.34, an improvement from a loss of CNY 160,466,605.36 in the same quarter of 2021[18]. - The net profit attributable to shareholders for the year-to-date period improved by 39.35% due to increased downstream customer demand and higher sales prices[9]. - The diluted earnings per share for the year-to-date period increased by 50.00%, driven by higher operating revenue and net profit growth[9]. - Basic and diluted earnings per share for the third quarter of 2022 were both CNY -0.02, improving from CNY -0.04 in the same quarter of 2021[19]. - The company's total comprehensive income for the third quarter of 2022 was ¥18,171,676.66, down from ¥20,324,250.41 in the same quarter of 2021, indicating a decrease of approximately 10.6%[29]. Cash Flow and Liquidity - The net cash flow from operating activities for the year-to-date period was CNY 1,990,179,508.96, a decrease of 9.41% compared to CNY 2,196,911,220.90 in the previous year[5]. - Operating cash inflow for the first three quarters of 2022 reached CNY 13.27 billion, a significant increase from CNY 9.57 billion in the same period of 2021, representing a growth of approximately 38.3%[21]. - Net cash flow from operating activities for Q3 2022 was CNY 1.99 billion, down from CNY 2.20 billion in Q3 2021, indicating a decrease of about 9.5%[21]. - Total cash and cash equivalents at the end of Q3 2022 stood at CNY 2.92 billion, compared to CNY 2.75 billion at the end of Q3 2021, reflecting an increase of approximately 5.3%[22]. - The company reported a net cash outflow from investing activities of CNY 301.39 million in Q3 2022, an improvement from a net outflow of CNY 343.50 million in Q3 2021[22]. - Cash outflow from financing activities in Q3 2022 was CNY 8.76 billion, down from CNY 11.04 billion in Q3 2021, showing a reduction of about 20.6%[22]. Assets and Liabilities - The total assets at the end of the reporting period were CNY 30,553,071,450.67, reflecting a decrease of 5.94% from CNY 32,482,875,023.80 at the end of the previous year[5]. - The total liabilities as of the third quarter of 2022 amounted to CNY 26,465,828,228.77, a decrease from CNY 28,252,821,767.79 at the end of the previous year[16]. - The total equity attributable to shareholders of the parent company was CNY 3,550,360,341.84, slightly down from CNY 3,593,991,572.37 in the previous quarter[16]. - Current liabilities totaled CNY 2.68 billion as of September 30, 2022, down from CNY 3.77 billion at the end of 2021, indicating a decrease of about 29.0%[24]. - Long-term borrowings increased to CNY 945.20 million as of September 30, 2022, compared to CNY 895.00 million at the end of 2021, reflecting an increase of approximately 5.6%[24]. Shareholder Information - Total number of common shareholders at the end of the reporting period was 62,343[11]. - The largest shareholder, Huaxin Gas Group Co., Ltd., holds 636,526,026 shares, accounting for 46.19% of total shares[11]. - The company has no significant related party transactions with major shareholders[11]. Research and Development - Research and development expenses for the first three quarters of 2022 were CNY 13,492,109.00, compared to CNY 7,842,442.36 in the same period of 2021, reflecting a 72% increase[17]. Acquisitions - The company completed the acquisition of 100% equity in Shanxi Huaxin Natural Gas Eastern Pipeline Co., Ltd. for CNY 1.103 billion, which was approved in October 2021[6].

Financial Performance - The company's operating revenue for Q1 2022 was CNY 4,607,731,807.11, representing a 15.41% increase compared to CNY 3,992,317,716.44 in the same period last year[4] - Net profit attributable to shareholders was CNY 173,557,642.49, a 36.62% increase from CNY 127,032,716.57 year-on-year[4] - The net profit attributable to shareholders after deducting non-recurring gains and losses surged by 424.18% to CNY 107,167,935.26 from CNY 20,444,926.57 in the previous year[4] - The basic earnings per share increased to CNY 0.13, up 36.62% from CNY 0.09 in the same period last year[5] - Net profit for Q1 2022 was ¥155,719,939.72, representing a 18.2% increase from ¥131,697,789.78 in Q1 2021[21] - Earnings per share for Q1 2022 were ¥0.13, compared to ¥0.09 in Q1 2021[22] - The operating profit for Q1 2022 was ¥31,033,256.63, compared to ¥25,473,845.91 in the same period last year, indicating an increase of 21.91%[28] Assets and Liabilities - Total assets at the end of the reporting period were CNY 32,638,803,285.71, reflecting a 0.48% increase from CNY 32,482,875,023.80 at the end of the previous year[5] - The company's current assets totaled ¥8,555,066,093.58, compared to ¥8,229,805,178.81 in the previous period, reflecting a growth of approximately 3.96%[17] - Total liabilities as of Q1 2022 amounted to ¥28,251,883,060.64, slightly down from ¥28,252,821,767.79 in Q1 2021[19] - The total assets as of Q1 2022 were ¥32,638,803,285.71, compared to ¥32,482,875,023.80 in Q1 2021[19] - The total liabilities decreased to 3,795,272,737.02 RMB in Q1 2022 from 5,165,482,890.75 RMB in Q4 2021, a reduction of about 26.5%[26] Cash Flow - The net cash flow from operating activities was negative at CNY -223,046,289.28, a decline of 155.08% compared to CNY 404,955,670.63 in the same period last year[4] - The net cash flow from operating activities for Q1 2022 was -¥1,023,882,066.52, a significant decline from ¥924,368,024.11 in Q1 2021[32] - Total cash inflow from operating activities in Q1 2022 was 4,882,481,660.99 RMB, compared to 3,866,427,632.05 RMB in Q1 2021, representing an increase of approximately 26.1%[24] - Cash outflow from operating activities in Q1 2022 was 5,105,527,950.27 RMB, up from 3,461,471,961.42 RMB in Q1 2021, indicating a rise of about 47.4%[24] - The company reported cash inflow from operating activities of ¥4,214,478,765.25 in Q1 2022, down from ¥6,901,285,160.09 in Q1 2021[31] - Total cash outflow from operating activities in Q1 2022 was ¥5,238,360,831.77, compared to ¥5,976,917,135.98 in Q1 2021[31] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 49,412[10] - The company's total equity increased to 6,341,762,756.48 RMB in Q1 2022 from 6,310,843,602.85 RMB in Q4 2021, a slight increase of about 0.5%[27] - The company’s retained earnings rose to 70,355,190.58 RMB in Q1 2022, compared to 39,436,036.95 RMB in Q4 2021, marking an increase of approximately 78.5%[27] Research and Development - The company reported a decrease in research and development expenses by 43.84% during the reporting period[9] - Research and development expenses for Q1 2022 were ¥1,533,632.95, down from ¥2,730,990.77 in Q1 2021, indicating a reduction of 43.9%[20] Financial Expenses - Financial expenses for Q1 2022 were ¥261,978,662.48, an increase of 12.3% compared to ¥233,349,014.77 in Q1 2021[20] - The company incurred financial expenses of -¥2,889,997.97 in Q1 2022, a decrease from ¥933,170.64 in Q1 2021[28] Investment Activities - The company reported an investment loss of ¥4,976,551.38 in Q1 2022, compared to a gain of ¥459,973.12 in Q1 2021[21] - The company reported a net cash outflow from investing activities of -112,250,160.30 RMB in Q1 2022, compared to -208,839,779.69 RMB in Q1 2021, indicating an improvement of about 46.3%[24] Other Information - The company has not disclosed any new product developments or market expansion strategies in the current report[15] - There are no significant mergers or acquisitions reported during this period[15]