Project Progress - The Zhangjiagang project is progressing smoothly and has entered the equipment debugging and production preparation phase [2] - The Ningbo project has started comprehensive construction with all work proceeding in an orderly manner [2] - The Caofeidian New Materials Industrial Park has been signed and is actively being planned [4] PDH Project Economics - The economic benefits of the PDH project mainly depend on the price difference between propane and propylene [2] - Locking in and controlling the cost of propane as raw material is a key factor determining the project's profit margin [2] - The company has made progress in international propane resource locking and has gradually implemented FOB procurement models since 2014 [4] Hydrogen By-product Utilization - The hydrogen by-product from the Zhangjiagang Phase I project has secured sales channels with main customers including Kailing Chemical and Huachang Chemical [3] - The hydrogen sales from PDH project by-products show considerable economic benefits based on current hydrogen prices and costs [3] Logistics Development - The company's subsidiary has signed long-term lease agreements for 13 refrigerated ships, expected to start operations from 2016 [3] - These agreements help establish the company's own ocean logistics platform, break through logistics bottlenecks, and reduce costs [3] - The logistics platform provides necessary support for international resource locking and cost control [3] Strategic Development - Focus on accelerating alkane resource deep processing projects to form a new materials manufacturing business sector [4] - Develop clean energy business including LPG international trade and domestic sales to provide raw material supply guarantee [4] - Aim to become a comprehensive operator of alkane resources, covering resources, logistics, storage, deep processing, and downstream industries [4] Financial Performance - The company expects a 50%-100% increase in net profit attributable to shareholders for 2014 [5] - LPG trade, chemical storage, and vehicle gas filling business sectors are operating normally, consistent with initial performance expectations [5] - International crude oil price fluctuations and domestic energy policy changes may affect the accuracy of performance forecasts [5]

Group 1: Company Overview and Transition - Donghua Energy is transitioning from liquefied gas trading to deep processing manufacturing, leveraging its position as the largest LPG trader in China to create a comprehensive international hydrocarbon resource operation platform [3] - The company has established strong competitive barriers due to high entry thresholds in international liquefied gas trading, which require significant credit proof, storage facilities, and payment conditions [3] Group 2: Project Implementation and Team Building - The company is enhancing its workforce by recruiting technical talents from major oil companies and implementing internal training systems to cultivate skilled workers [4] - The successful launch of the Zhangjiagang project will provide a model for future team building and talent acquisition efforts [4] Group 3: Market Demand and Applications - The demand for imported liquefied gas is increasing, driven by its high purity, environmental benefits, and stable heat value, particularly in the civil gas and industrial fuel markets [5] - The domestic demand for high-purity imported liquefied gas is expected to grow, influenced by the needs of the basic chemical raw material sector and clean fuel requirements [5] Group 4: Competitive Advantages of PDH Project - Donghua Energy's PDH project benefits from extensive international trade experience and established relationships with resource markets in the Middle East and North America [6] - The PDH project's final product, polypropylene, has a broad application market and significant profit potential, with domestic demand exceeding 20 million tons and a continuous upward trend [6] Group 5: Future Outlook - The release of capacity from the PDH project will also allow for the full utilization of hydrogen by-products, contributing to substantial sales profits [7]

Financial Performance - In the first three quarters of 2016, the company achieved operating revenue of 13.793 billion RMB, a year-on-year increase of 26.78% [3] - The net profit attributable to the parent company was 365 million RMB, reflecting a year-on-year growth of 162.11% [3] - Earnings per share reached 0.26 RMB, with a weighted average return on net assets of 10.66% [3] - In Q3 2016, the company reported operating revenue of 4.758 billion RMB, up 36.74% year-on-year, and a net profit of 198 million RMB, an increase of 233.54% [3] - The estimated net profit for the full year 2016 is projected to be between 411 million and 617 million RMB, indicating a growth of 0% to 50% [3] Operational Highlights - The company’s propane dehydrogenation (PDH) project and polypropylene project are operating safely and steadily, with increasing load and capacity [4] - The Ningbo Fuki polypropylene facility has completed trial runs and is ready for production [4] - The company successfully issued 228 million shares at a price of 12.70 RMB per share, raising approximately 2.9 billion RMB [5] Market Challenges - The company faces uncertainties due to fluctuations in international oil and gas prices and domestic energy demand [4] - Increased costs and transportation fees for North American long-term contracts are impacting profitability [6] - The competition in the liquefied petroleum gas (LPG) market is intensifying, particularly with price reductions from Middle Eastern producers [6] Strategic Outlook - The company aims to maintain its competitive edge in alkane trading and expand into new material product lines [4] - Future profitability is expected to be supported by a diversified trading strategy and improved operational flexibility [7] - The company is actively negotiating to establish price review mechanisms to address high costs of North American LPG [6]

Group 1: Investor Relations Activities - The investor relations activity involved specific object research and analyst meetings [2] - Participants included analysts from CITIC Securities and Hangzhou Zhongda Junyue Investment [2] - The meeting took place on November 12, 2020, from 10:00 to 12:00 at the company's Nanjing headquarters [2] Group 2: Key Discussion Points - The company emphasized its investment logic, strategic transformation direction, and implementation strategies [2] - Updates were provided on the progress of the Ningbo Phase II and III projects, as well as the Maoming Phase I project [2] - The company discussed its vision and measures for the development of the hydrogen energy industry [2] - Responses were given to inquiries regarding the company's trade asset divestiture, polypropylene, and new materials industries [3] - Financial concerns raised by investors were thoroughly communicated [3]

Competitive Advantages in C3 Industry Chain - Core competitive advantage lies in the systemic advantages of the entire industry chain [2] - Control over raw material resources: As a member of the LPG international procurement "club," the company actively participates in LPG international trade, ensuring stable supply and gradually gaining pricing power [3] - LPG fleet: Currently operates over 10 ships, with plans to expand through self-building and leasing to improve logistics and ensure stable supply [3] - Port facilities: Owns 50,000-ton deep-water ports in Ningbo and Qinzhou, and a 50,000-ton deep-water port in Zhangjiagang, with additional port facilities approved in Maoming [3] - Storage capacity: Current storage capacity is 866,000 cubic meters, with a 2 million cubic meter underground storage facility under construction in Ningbo [3] - Production capacity: Current PDH capacity is 1.2 million tons/year (domestic leader), PP capacity is 900,000 tons/year (domestic leader among private enterprises), expected to reach 1.8 million tons/year for both PDH and PP by Q1 2021 [3] - Product development: Focus on high-value-added specialty products, with 10 specialty grades developed and 12 patents filed, including high-quality non-woven fabric and automotive materials [4] - Hydrogen utilization: With the expansion of PDH facilities, hydrogen by-product sales are expected to grow, with stable supply relationships established in Zhangjiagang and Ningbo [4] Strategic Investment in Maoming - Maoming is strategically located at the geographic center of RCEP, facing both the Greater Bay Area and ASEAN markets [5] - Maoming offers abundant beach land resources and a reconfigurable social governance structure, providing significant late-development advantages [5] - As a southern oil city, Maoming has a strong tradition in the petrochemical industry, making it easier for the company to integrate and promote the transition from petrochemicals to green chemicals and hydrogen energy [5] Progress of Ongoing Projects - Ningbo Phase II project is in the commissioning stage, expected to produce propylene products around Spring Festival 2021 [5] - Ningbo Phase III project is nearing completion, expected to start commissioning in March 2021 [5] - Maoming Phase I project is progressing smoothly, with capital and external financing plans in place, expected to meet construction milestones [6]

证券代码：002221 证券简称：东华能源 编号：2022-001 | --- | --- | --- | --- | --- | |----------------------------------|--------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- ...

Financial Performance - The company's operating revenue for Q3 2022 was ¥6,816,574,542.66, a decrease of 5.27% compared to the same period last year[2] - Net profit attributable to shareholders was ¥12,619,009.44, down 94.37% year-on-year[2] - The basic earnings per share were ¥0.0080, reflecting a decline of 94.38% compared to the previous year[3] - Net profit for Q3 2022 was CNY 180,709,721.08, a significant decrease of 82.34% compared to CNY 1,022,527,659.29 in Q3 2021[15] - The company reported a basic and diluted earnings per share of CNY 0.1006, down from CNY 0.6479 in the previous year[16] - Other comprehensive income after tax for Q3 2022 was CNY -109,894,563.25, compared to CNY 121,006,346.27 in the same period last year[16] - The company reported a total comprehensive income of CNY 70,815,157.83 for Q3 2022, a significant decrease from CNY 1,143,534,005.56 in Q3 2021[16] Cash Flow - The net cash flow from operating activities was negative at -¥614,026,727.31, a decrease of 234.37% year-on-year[3] - The net cash flow from operating activities for the current period was -614,026,727.31 CNY, compared to 456,972,486.56 CNY in the previous period, indicating a significant decline[18] - Total cash inflow from operating activities was 23,621,935,063.34 CNY, up from 22,639,466,916.43 CNY in the previous period, reflecting a growth of approximately 4.35%[18] - Cash outflow from operating activities totaled 24,235,961,790.65 CNY, compared to 22,182,494,429.87 CNY in the previous period, representing an increase of about 9.25%[18] - The net cash flow from investment activities was -4,364,613,051.31 CNY, worsening from -2,284,473,202.87 CNY in the previous period[18] - Cash inflow from financing activities increased to 16,629,202,262.17 CNY from 12,642,067,305.41 CNY, marking a growth of about 31.5%[18] - The net cash flow from financing activities was 2,265,841,978.24 CNY, compared to 1,366,065,465.50 CNY in the previous period, indicating an increase of approximately 66%[18] - The company reported a cash and cash equivalents net decrease of 2,705,833,466.17 CNY, compared to a decrease of 462,788,414.07 CNY in the previous period[18] Assets and Liabilities - Total assets at the end of the reporting period were ¥39,183,956,841.10, an increase of 6.30% from the end of the previous year[3] - The total liabilities as of Q3 2022 were CNY 27,270,951,539.29, an increase from CNY 24,045,426,580.30 in the previous year[15] - The total equity attributable to shareholders of the parent company decreased to CNY 10,273,862,626.49 from CNY 11,111,015,785.45[15] Research and Development - The company's R&D expenses increased by ¥1,795.60 million, a growth of 31.39% year-on-year, indicating increased investment in innovation[8] - Research and development expenses for Q3 2022 amounted to CNY 75,153,741.46, an increase from CNY 57,197,787.38 in the same quarter last year[15] Strategic Initiatives - The company signed a strategic cooperation agreement with China National Nuclear Corporation to enhance multi-dimensional collaboration[12] - The company is actively working on the Maoming project, which is progressing as planned[12] - The company aims to leverage its integrated operational advantages to reduce raw material costs amid geopolitical instability and high raw material prices[12] Sales and Inventory - The total sales revenue for the first nine months of the year reached RMB 22 billion, with a net profit of RMB 1.8 billion[12] - The sales volume of industrial by-product hydrogen was 17,000 tons, generating revenue of RMB 234 million, representing a year-on-year growth of 87%[12] - Accounts receivable increased by ¥984.21 million, a growth of 40.14%, primarily due to slow collection of sales payments impacted by the pandemic[6] - Accounts receivable increased from RMB 2.45 billion to RMB 3.44 billion during the same period[13] - Inventory rose from RMB 2.88 billion to RMB 3.80 billion, indicating a significant increase in stock levels[13] Shareholder Information - The total number of common shareholders at the end of the reporting period was 43,732[10] - The largest shareholder, Donghua Petroleum (Yangtze) Co., Ltd., holds 20.64% of the shares, amounting to 325,360,000 shares[11] Financial Reporting - The company did not conduct an audit for the third quarter report[18]

Financial Performance - The company's operating revenue for the first half of 2022 was ¥15,192,142,967.47, representing a 6.54% increase compared to ¥14,259,120,307.14 in the same period last year[11]. - Net profit attributable to shareholders of the listed company decreased by 80.60% to ¥145,904,855.12 from ¥752,230,302.27 year-on-year[11]. - The net profit after deducting non-recurring gains and losses was ¥94,919,843.47, down 86.53% from ¥704,453,475.29 in the previous year[11]. - The net cash flow from operating activities was ¥237,456,397.51, a decline of 55.78% compared to ¥536,970,180.50 in the same period last year[11]. - Basic and diluted earnings per share were both ¥0.0926, down 80.60% from ¥0.4773 in the previous year[11]. - The total assets at the end of the reporting period were ¥36,956,775,960.67, an increase of 2.81% from ¥35,947,388,107.11 at the end of the previous year[11]. - The net assets attributable to shareholders of the listed company decreased by 1.50% to ¥10,679,439,002.17 from ¥10,842,000,106.94 at the end of the previous year[11]. - The weighted average return on net assets was 1.34%, down from 7.09% in the previous year[11]. - The gross profit margin decreased by 5.42% to 4.53% compared to the same period last year[25]. - The investment income amounted to ¥5,591,305.66, contributing 2.97% to the total profit[26]. Revenue and Sales - The hydrogen sales reached approximately 12,200 tons, generating revenue of about CNY 166 million, representing a 102% increase year-on-year[19]. - The company reported a significant increase in polypropylene revenue, reaching approximately CNY 6.92 billion, up 84.79% from CNY 3.74 billion in the previous year[24]. - The revenue from polypropylene was ¥6,916,331,245.69, with a significant year-on-year increase of 84.79%[25]. - The revenue from the East China region (excluding Jiangsu) increased by 110.70% year-on-year[25]. Investments and R&D - The company invested approximately CNY 42.58 million in R&D, an increase of 14.72% compared to CNY 37.11 million in the previous year[22]. - The company invested ¥1,943,845,577.23 during the reporting period, a 102.75% increase compared to the previous year[32]. - The company invested CNY 1.195 billion in significant non-equity projects during the reporting period, with a cumulative investment of CNY 3.171 billion, achieving an 80% project progress for the Ningbo underground gas storage project[35]. Cash Flow and Liquidity - Cash and cash equivalents at the end of the period were CNY 6,956,528,000.63, compared to CNY 5,793,017,821.15 at the end of the previous year[109]. - The ending cash and cash equivalents balance for the first half of 2022 was ¥1.65 billion, up from ¥712.28 million at the end of the first half of 2021, marking an increase of approximately 132%[111]. - The net cash flow from financing activities was -¥396.98 million in the first half of 2022, compared to -¥950.71 million in the same period of 2021, indicating an improvement[111]. Environmental and Social Responsibility - The company is classified as a key pollutant discharge unit, with specific emissions monitored and reported[53]. - The total emissions for COD were reported at 28.956 tons, with no exceedance of discharge standards[53]. - The company actively fulfills its social responsibilities, focusing on environmental protection and energy conservation[56]. - The company emphasizes environmental protection, having implemented an environmental management system certified by ISO14001, and has established control measures and standards for environmental protection[57]. Corporate Governance and Management - The company plans not to distribute cash dividends or issue bonus shares[2]. - There were changes in management, with two executives resigning in early 2022 due to personal reasons[50]. - The company maintains a strong commitment to protecting the rights of minority investors, ensuring transparency and fairness in shareholder meetings and decision-making processes[60]. - The company held three shareholder meetings in 2022, with participation rates of 40.48%, 36.95%, and 7.64% respectively[49]. Financial Position and Liabilities - The asset-liability ratio increased to 66.43%, up by 1.33% from the previous year[97]. - Total liabilities reached CNY 24,550,480,786.65, up from CNY 23,401,259,815.20, marking an increase of around 4.9%[101]. - The total liabilities at the end of the period were 3,988,774,422.55 yuan, showing a manageable debt level[117]. Related Party Transactions - The company reported a total of 506,452.8 thousand yuan in related party transactions during the reporting period, with significant contributions from various subsidiaries[66]. - The actual performance of related party transactions during the reporting period was 111,013.3 thousand yuan, with a significant portion attributed to sales and service agreements[67]. Strategic Initiatives - The company plans to introduce strategic investors to develop a zero-carbon industrial park in Maoming, focusing on high polymer materials and hydrogen energy industries[15]. - The company aims to enhance its integrated operations and expand its hydrogen energy ecosystem, leveraging partnerships with various enterprises[20]. - The company is focusing on expanding its market presence through acquisitions and strategic partnerships[82]. Accounting and Financial Reporting - The financial statements are prepared in accordance with the enterprise accounting standards, reflecting the company's financial position and operating results accurately[139]. - The company adopts the equity method for accounting treatment in mergers under common control, measuring assets and liabilities at the book value in the consolidated financial statements of the ultimate controlling party[143]. - The company recognizes goodwill when the merger cost exceeds the fair value of identifiable net assets acquired[145].

东华能源股份有限公司 2022 年第一季度报告全文 东华能源股份有限公司 2022 年第一季度报告 本公司及董事会全体成员保证信息披露的内容真实、准确、完整， 没有虚假记载、误导性陈述或重大遗漏。 重要内容提示: 1.董事会、监事会及董事、监事、高级管理人员保证季度报告的真实、准 确、完整，不存在虚假记载、误导性陈述或重大遗漏，并承担个别和连带 的法律责任。 2.公司负责人、主管会计工作负责人及会计机构负责人(会计主管人员)声 明：保证季度报告中财务信息的真实、准确、完整。 3.第一季度报告是否经过审计 □ 是 √ 否 一、主要财务数据 (一)主要会计数据和财务指标 1 证券代码：002221 证券简称：东华能源 公告编号：2022-025 公司是否需追溯调整或重述以前年度会计数据 | --- | --- | --- | --- | --- | |-----------------------------------------------------|-------------------|-------|-------------------|---------------------------| | ...

Production Capacity and Technology - The company has achieved an annual production capacity of 1.8 million tons of propylene and nearly 2 million tons of polypropylene, with plans to add an additional 4 million tons of PP capacity over the next five years, positioning itself among the global leaders in the industry [3]. - The PDH project utilizes electric drive technology, with a current hydrogen production capacity of 75,000 tons per year, projected to reach 350,000 tons upon full completion, equivalent to a reduction of 5 million tons of CO2 emissions [2]. - The company operates three 600,000 tons/year PDH units and four 400,000 tons/year PP units, with ongoing construction of additional facilities expected to be completed by the end of 2022 [29]. - The company plans to focus on high molecular composite lightweight materials, collaborating with Guangzhou Industrial Control to invest in new production facilities for acrylonitrile and ABS [3]. - The company aims to become a leading supplier of green hydrogen in China, supported by government initiatives and its strategic location in the Beibu Gulf urban agglomeration [5]. Financial Performance - The company reported a total revenue of 10 billion CNY for the year 2021, representing a year-on-year increase of 15% [19]. - The net profit attributable to shareholders was 1.5 billion CNY, reflecting a growth of 20% compared to the previous year [19]. - The company's operating revenue for 2021 was ¥26,367,072,956.07, a decrease of 9.33% compared to ¥29,081,749,414.40 in 2020 [21]. - The net profit attributable to shareholders for 2021 was ¥1,139,939,187.34, down 5.82% from ¥1,210,328,463.30 in 2020 [21]. - The company reported a total revenue of 1.5 billion RMB for the fiscal year, representing a year-over-year increase of 12% [96]. Market Expansion and Strategy - The company plans to expand its market presence in Southeast Asia, targeting a 30% market share by 2025 [19]. - The company aims to expand its market presence by leveraging its production capabilities and enhancing its product sales through vertical integration and overseas market development [30]. - Donghua Energy plans to expand its market presence by entering three new regions in 2022, targeting a 20% increase in market share [94]. - The company is exploring potential mergers and acquisitions to enhance its supply chain efficiency, with a budget of 1 billion CNY allocated for this purpose [19]. - A strategic acquisition of a local competitor is expected to enhance the company's product offerings and increase market penetration [96]. Research and Development - The company is committed to enhancing its technological capabilities through independent and collaborative research and development, aiming to improve process efficiency and reduce costs [8]. - Research and development expenses increased by 18%, totaling 300 million CNY, focusing on advanced petrochemical technologies [19]. - The company developed 15 new grades of high-melt fiber catalyst, enhancing product competitiveness [54]. - The company’s R&D expenditure increased by 25% in 2021, reflecting its commitment to innovation [94]. - Investment in R&D increased by 20% year-over-year, focusing on new technologies in energy efficiency and sustainability [96]. Environmental and Social Responsibility - The company aims to achieve carbon neutrality by 2030, aligning with national environmental goals [19]. - The company has implemented a comprehensive environmental monitoring plan and has received no administrative penalties for environmental issues during the reporting period [132]. - Donghua Energy actively fulfills its social responsibilities in accordance with relevant laws and regulations [133]. - The company has successfully implemented measures to ensure compliance with environmental laws and regulations, achieving standard emissions [130]. - The company has established a dedicated environmental supervision management position to ensure the stable operation of pollution control facilities [130]. Governance and Compliance - The company has established a governance structure that includes a board of directors, supervisory board, and management team, with clear responsibilities and decision-making processes [84]. - The company has maintained complete independence from its controlling shareholders in terms of organization and management, ensuring compliance with related regulations [84]. - The company emphasizes the importance of investor relations and information disclosure, ensuring transparency and accuracy in its communications [84]. - The company has a robust internal control mechanism in place, with continuous optimization to support business development [120]. - The company reported no significant deficiencies in non-financial reporting [126]. Shareholder and Financial Management - The profit distribution plan includes a cash dividend of 2.17 RMB per 10 shares, based on a total of 1,576,127,767 shares [9]. - The total pre-tax remuneration for the board of directors and senior management was CNY 1,159.14 million [99]. - The company has a structured remuneration process for its executives, approved by the board and shareholders [99]. - The company has a total of 40,868 common shareholders at the end of the reporting period [185]. - The company has not engaged in any repurchase transactions during the reporting period [188]. Operational Efficiency and Cost Management - The company has successfully reduced propane procurement costs by approximately 5% compared to market averages, translating to savings of over 300 RMB per ton [7]. - The gross profit margin for the company was 9.89%, reflecting a slight increase of 1.23% year-on-year [43]. - The company aims to reduce operational costs by 15% through strategic partnerships and process optimization [94]. - The company aims to reduce operational costs by 5% through efficiency improvements in the supply chain [96]. - The company has implemented advanced energy-saving and environmental protection technologies in its propane dehydrogenation projects, achieving a nearly 100% increase in single-pass conversion rate and a 30% reduction in energy consumption [134].