Group 1 - As of August 26, 2025, China Coal Energy's stock price is 12.05 yuan, down 0.20 yuan from the previous trading day, with a trading volume of 317,883 hands and a transaction amount of 384 million yuan [1] - China Coal Energy is a significant player in the coal industry, involved in coal production and trade, coal chemical industry, and coal mining equipment manufacturing, headquartered in Beijing as a large state-owned energy enterprise [1] - In the second quarter of 2025, China Coal Energy saw an increase in insurance fund holdings, aligning with the trend of insurance capital increasing allocations to cyclical industries [1] Group 2 - On August 26, 2025, the net outflow of main funds for China Coal Energy was 16.62 million yuan, with a cumulative net outflow of 49.81 million yuan over the past five trading days [1]

Investment Rating - The report maintains a "Buy" rating for the company, indicating a favorable outlook compared to the market [8]. Core Views - The company reported a slight decline in performance for the first half of 2025, with revenue of 74.44 billion yuan, down 20% year-on-year, and a net profit of 7.71 billion yuan, down 21.3% year-on-year. The earnings slightly exceeded market expectations [8]. - The company plans to distribute a cash dividend of 0.166 yuan per share, totaling 2.198 billion yuan, with a dividend payout ratio of 28.5% [8]. - The company experienced a minor increase in self-produced coal sales, while the overall coal sales volume decreased by 3.6% year-on-year. The average selling price of self-produced coal fell by 19.5% [8]. - The company is optimizing its debt structure, resulting in reduced financial expenses and a decrease in total expenses by 8.8% year-on-year [8]. - The company is advancing its construction projects, including coal-electricity integration and renewable energy initiatives [8]. - Due to a decline in coal prices, the profit forecasts for 2025-2027 have been adjusted downward, with the current market valuation reflecting a discount compared to comparable companies [8]. Financial Data and Profit Forecast - Total revenue for 2025 is projected at 171.16 billion yuan, with a year-on-year decline of 9.6% [2]. - The net profit for 2025 is estimated at 16.35 billion yuan, reflecting a year-on-year decrease of 15.4% [2]. - The earnings per share for 2025 is expected to be 1.23 yuan [2]. - The gross profit margin is projected to be 23.8% for 2025 [2]. - The return on equity (ROE) is forecasted at 10.7% for 2025 [2]. Market Data - As of August 25, 2025, the closing price of the company's stock was 12.25 yuan, with a market capitalization of 112.11 billion yuan [3]. - The price-to-earnings (P/E) ratio for 2025 is projected at 10 [2][3]. - The company has a dividend yield of 1.80% based on the most recent dividend announcement [3].

Investment Rating - The investment rating for China Coal Energy (601898.SH) is "Recommended (Maintain)" with a stock price of 12.25 CNY [1] Core Views - The report highlights that the company is returning cash dividends to shareholders and anticipates a rebound in performance driven by recovering coal prices [1][5] - The company reported a decline in revenue and net profit for the first half of 2025, with revenue at 744.36 billion CNY, down 19.9% year-on-year, and net profit at 77.05 billion CNY, down 21.3% year-on-year [4][7] - The report suggests that while coal prices have been under pressure, there are signs of recovery, with market coal prices rebounding since July 2025 [8] Summary by Sections Financial Performance - In H1 2025, the company achieved revenue of 744.36 billion CNY, a decrease of 19.9% year-on-year, and a net profit of 77.05 billion CNY, down 21.3% year-on-year [4] - The company plans to distribute a cash dividend of 0.166 CNY per share, with a cash dividend rate of 30% [4] Coal Business - The total coal sales volume for H1 2025 was 12.868 million tons, a decrease of 3.6% year-on-year, with coal business revenue at 605.68 billion CNY, down 22.1% year-on-year [7] - The company's self-produced coal sales volume increased slightly by 1.4% year-on-year, but the selling price dropped by nearly 20% [7] Coal Chemical Business - The coal chemical business reported revenue of approximately 93.6 billion CNY, down 13.6% year-on-year, with a gross profit of 14.2 billion CNY, down 36.0% year-on-year [8] - The report indicates that the company is accelerating the progress of ongoing projects to build a "coal-electric-chemical-new" integrated industrial chain [8] Market Outlook - The report notes that coal prices have started to recover, with the Qinhuangdao port Q5500 thermal coal price rising from a low of 609 CNY/ton to 704 CNY/ton as of August 22, 2025 [8] - The company is expected to benefit from its rich coal resources and ongoing project developments, which may lead to improved performance as coal prices rise [8]

Investment Rating - The investment rating for the company is "Buy" (maintained) [5] Core Views - The report highlights that cost reduction and incremental growth are offsetting the decline in coal prices, leading to stable performance and potential for increased dividends [5] - The company reported a significant decrease in revenue and net profit for the first half of 2025, with revenue at 744.4 billion yuan, down 19.9% year-on-year, and net profit at 77.0 billion yuan, down 21.3% year-on-year [6] - The coal division's net profit decreased by 32.6% year-on-year due to falling coal prices, despite a slight increase in production and sales volume [6] - The company is expected to maintain a high proportion of long-term contracts, which stabilizes performance amid market fluctuations [7] Summary by Sections Financial Performance - In H1 2025, the company achieved a coal production of 67.34 million tons, a year-on-year increase of 1.3%, with sales volume also increasing by 1.4% [6] - The average selling price of self-produced coal was 470 yuan per ton, down 19.5% year-on-year [6] - The company managed to reduce its unit sales cost to 263 yuan per ton, a decrease of 10.2% year-on-year [6] Business Segments - The chemical business faced challenges due to maintenance of the olefin unit, but the decline in coal prices helped reduce costs for methanol and urea [6] - The company is progressing with new projects, including coal and electricity integration and renewable energy initiatives, which are expected to contribute to future growth [7] Profit Forecast and Valuation - The forecasted net profits for 2025-2027 are 15.4 billion, 16.8 billion, and 17.96 billion yuan respectively, with corresponding growth rates of -20.3%, +9.2%, and +6.8% [7] - The current price-to-earnings ratio is projected to be 10.6, 9.7, and 9.0 for the years 2025, 2026, and 2027 respectively [7]

Investment Rating - The report maintains a "Buy" rating for the company [9] Core Views - The company reported a net profit attributable to shareholders of 7.7 billion yuan for the first half of 2025, a decrease of 2.08 billion yuan year-on-year (21.3%) [2][6] - In Q2, the net profit attributable to shareholders was 3.73 billion yuan, down 1.19 billion yuan year-on-year (22.7%) and down 0.25 billion yuan quarter-on-quarter (6.3%) [2][6] - The company is characterized by stable profitability and low valuation, with long-term dividend potential expected to increase, making it a key focus for investors [2][6] Summary by Sections Financial Performance - In H1 2025, the company produced 67.34 million tons of commercial coal, an increase of 0.84 million tons (1.3%) year-on-year, with Q2 production at 33.99 million tons, up 0.22 million tons (0.7%) year-on-year [12] - The average selling price of self-produced coal in H1 2025 was 470 yuan/ton, down 114 yuan/ton (19.5%) year-on-year, with Q2 price at 449 yuan/ton, down 122 yuan/ton (21.3%) year-on-year [12] - The cost of self-produced coal in H1 2025 was 263 yuan/ton, down 30 yuan/ton (10.2%) year-on-year, with Q2 cost at 256 yuan/ton, down 58 yuan/ton (18.5%) year-on-year [12] Dividend Policy - The company plans to distribute a cash dividend of 0.166 yuan per share (including tax) based on 30% of the net profit attributable to shareholders of 7.32 billion yuan for H1 2025 [12] Profit Forecast - The company is expected to achieve net profits attributable to shareholders of 15.66 billion yuan, 15.88 billion yuan, and 16.09 billion yuan for 2025, 2026, and 2027 respectively, with corresponding PE ratios of 10.19x, 10.05x, and 9.92x based on the closing price on August 22 [2][12]

Financial Data and Key Metrics Changes - Operating revenue for the first half of the year was 74.44 billion RMB, with total profit at 11.94 billion RMB, down 28.6% year over year [4] - Net profit attributable to shareholders was 7.7 billion RMB, down 21.3% year over year, with basic earnings per share at 0.58 RMB, down 21.6% [4] - Under international accounting standards, profit before tax was 11.6 billion RMB, down 35.5% year over year [4] - The asset to liability ratio improved to 45%, down 1.3 percentage points from the beginning of the year [12] Business Line Data and Key Metrics Changes - The company produced 67.34 million tons of commercial coal, an increase of 0.84 million tons or 1.3% year over year [5] - Self-produced commercial coal sales reached 67.11 million tons, up 0.92 million tons or 1.4% year over year [6] - Sales of key coal chemicals totaled 3.166 million tons, an increase of 83,000 tons or 2.7% year over year [6] - The unit sales cost of self-produced commercial coal was 2,262.97 RMB per ton, down 10.2% year over year [7] Market Data and Key Metrics Changes - Average sales price of self-produced commercial coal was 470 RMB per ton, down 19.5% [9] - Thermal coal price was 436 RMB per ton, down 14.7%, while coking coal price dropped to 885 RMB per ton, down 35.4% [9] - The overall market saw a decline in coal prices, impacting profitability significantly [10] Company Strategy and Development Direction - The company is committed to high-quality development goals and will strengthen production sales coordination to achieve annual targets [15] - Focus on enhancing lean management and cost control to maintain profitability levels [15] - Plans to accelerate key project construction and implement innovation-driven strategies [16] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in maintaining stable operations despite falling coal prices and lower industry profitability [10] - Future coal prices are expected to stabilize around 675 RMB for long-term contracts and slightly over 700 RMB for spot prices [24][42] - The company aims to continue enhancing corporate governance and investor communication [16] Other Important Information - The company plans to distribute an interim cash dividend of 2.198 billion RMB or 0.166 RMB per share, consistent with the previous year [14] - Capital expenditures for the first half increased by 32%, with a total of 6.972 billion RMB invested [46] Q&A Session All Questions and Answers Question: Impact of supply changes on coal prices - Management noted a drop in prices followed by a recovery, with spot prices expected to stabilize around 700 RMB per ton [21][24] Question: Cost management strategies - The company reported a 10% reduction in sales costs due to optimized procurement and cost management [27] Question: Long-term contract coal prices - Long-term contract coal prices dropped by 3.6%, while spot prices saw a larger decline of nearly 11% [32] Question: Profitability of subsidiaries - Profitability improved for certain subsidiaries due to effective cost management despite price declines [39] Question: Production volume changes - Production volume was impacted by accidents and weather conditions, but the company remains confident in meeting annual targets [51] Question: Dividend payout standards - The company will continue to use the lower of international or Chinese accounting standards for dividend payouts [76]

Financial Data and Key Indicator Changes - Operating revenue for the first half of the year was 74.44 billion RMB, with total profit at 11.94 billion RMB, down 28.6% year over year [4] - Net profit attributable to shareholders was 7.7 billion RMB, down 21.3% year over year, with basic earnings per share at 0.58 RMB, down 21.6% [4][5] - Under international accounting standards, profit before tax was 11.6 billion RMB, down 35.5% year over year [4] Business Line Data and Key Indicator Changes - The company produced 67.34 million tons of commercial coal, an increase of 0.84 million tons or 1.3% year over year [5] - Self-produced commercial coal sales were 67.11 million tons, up 0.92 million tons or 1.4% year over year [6] - Sales of key coal chemicals totaled 3.166 million tons, an increase of 83,000 tons or 2.7% year over year [6] Market Data and Key Indicator Changes - Average sales price of self-produced commercial coal was 470 RMB per ton, down 19.5% year over year [9] - Thermal coal price was 436 RMB per ton, down 14.7%, while coking coal price was 885 RMB per ton, down 35.4% [9] - The unit sales cost of self-produced commercial coal was 2,262.97 RMB per ton, down 10.2% year over year [7] Company Strategy and Development Direction - The company aims to strengthen production sales coordination and enhance lean management and cost control to maintain profitability [15] - There is a commitment to high-quality development goals and the implementation of an innovation-driven strategy [16] - The company is focused on accelerating key project construction and enhancing corporate governance and investor communication [16] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in maintaining stable operations despite falling coal prices and lower industry profitability [10] - The company actively strengthened cash flow management, achieving a cash collection ratio of 110.1% [12] - Future coal prices are expected to stabilize, with long-term contract prices projected around 690 RMB per ton [42] Other Important Information - The company plans to distribute an interim cash dividend of 2.198 billion RMB or 0.166 RMB per share for 2025 [14] - Capital expenditures for the first half increased by 32%, with 92% of the annual target already completed [46] Q&A Session Summary Question: Impact of supply changes on coal prices - Management noted a drop in prices followed by a recovery, with spot prices expected to stabilize around 700 RMB per ton [21][24] Question: Cost management strategies - The company reported a 10% reduction in sales costs due to optimized procurement and cost management [27] Question: Long-term contract coal pricing - Long-term contract coal prices dropped by 3.6%, while spot prices fell by nearly 11% [32] Question: Profitability of subsidiaries - Profitability improved for certain subsidiaries due to effective cost management despite price declines [39] Question: Production volume changes - Production volume was impacted by accidents and weather conditions, but the company remains confident in meeting annual targets [51] Question: Dividend policy - The company will consider both international and Chinese accounting standards for dividend payouts, balancing shareholder interests with sustainable development [75][77]

格隆汇8月25日｜国海证券研报指出，中煤能源上半年归母净利润77亿元，同比-21.3%；Q2归母净利润 37.27亿元，环比-6.3%，同比-22.7%。煤炭业务：2025H1自产煤受价格下滑拖累吨毛利，但销量增（同 比+1.4%）成本降（同比-10.2%）为业绩提供一定韧性，其中吨煤成本下降主要在于加大安全费和维简 费使用减少专项基金结余。量端，公司2025H1实现商品煤产量6734万吨，同比+1.3%，商品煤销量 12868万吨，同比-3.6%，自产煤销量6711万吨，同比+1.4%，其中动力煤、炼焦煤销量分别为6206、 505万吨，同比+2.49%、-10.46%。考虑到公司长协比例高，业绩稳定性强，同时未来公司里必煤矿以 及苇子沟煤矿投产，煤化工业务陆续放量，业绩仍有增长空间，同时公司提高分红加大对股东回报，维 持"买入"评级。 ...

Core Viewpoint - China Coal's 1H25 results exceeded expectations due to effective cost reduction and expense control despite a decline in net profit and coal prices [1][2]. Financial Performance - A-shares net profit attributable to shareholders fell 21% YoY to Rmb7.71 billion, while recurring attributable net profit also dropped 21% YoY to Rmb7.65 billion [1]. - H-shares attributable net profit decreased 32% YoY to Rmb7.33 billion [1]. - In 2Q25, A-shares net profit attributable to shareholders rose 3.0% YoY but fell 3.0% QoQ to Rmb4.8 billion [1]. Production and Sales - Commercial coal output increased slightly by 1.3% YoY to 67.34 million tonnes, while sales volume decreased by 3.6% YoY to 128.68 million tonnes [1]. - Self-produced coal sales volume rose 1.4% YoY to 67.11 million tonnes [1]. - In 2Q25, commercial coal output and self-produced coal sales volume rose 0.7% YoY and 1.6% YoY to 33.99 million tonnes and 34.43 million tonnes, respectively [1]. Pricing and Costs - The selling price of self-produced coal fell 20% YoY to Rmb470 per tonne in 1H25, with a further decline to Rmb449 per tonne in 2Q25, down 21% YoY and 8.7% QoQ [1]. - The unit sales cost of self-produced coal dropped Rmb32 per tonne YoY to Rmb205 per tonne, with reductions in material, labor, and other costs [2]. Cash Flow and Capital Expenditure - Net operating cash inflow dropped Rmb8,244 million YoY to Rmb7,496 million, while capital expenditure reached Rmb6.972 billion [3]. Future Outlook - There is optimism for earnings recovery in 2H25, with spot coal prices rebounding from a YTD low [3]. - The firm proposed a stable interim dividend of Rmb0.166 per share, reflecting its commitment to rewarding shareholders despite industry pressures [3]. Earnings Forecast and Valuation - Earnings forecasts for 2025 and 2026 have been raised by 5% and 13% for A-shares, and 5% and 15% for H-shares, respectively [3]. - A-shares are trading at 9.8x and 9.0x 2025e and 2026e P/E, while H-shares are at 7.6x and 6.8x [3]. - Target prices for A-shares and H-shares have been raised by 8% to Rmb14.00 and 22% to HK$11.00, respectively, indicating potential upside [3].

Core Viewpoint - China Coal Energy Co., Ltd. has experienced fluctuations in stock price and financial performance, with a notable decrease in revenue and net profit for the first half of 2025 compared to the previous year [2][3]. Financial Performance - As of June 30, 2025, the company reported operating revenue of 74.436 billion yuan, a year-on-year decrease of 19.95% [2]. - The net profit attributable to shareholders was 7.705 billion yuan, reflecting a year-on-year decline of 21.28% [2]. - Cumulative cash dividends since the company's A-share listing amount to 42.873 billion yuan, with 19.185 billion yuan distributed over the past three years [3]. Stock Market Activity - On August 25, 2025, the stock price increased by 2.08%, reaching 12.29 yuan per share, with a trading volume of 2.21 billion yuan [1]. - The stock has seen a year-to-date increase of 0.90%, with a 5-day increase of 2.85%, a 20-day increase of 2.85%, and a 60-day increase of 14.75% [1]. - The company had a total market capitalization of 162.949 billion yuan as of the latest trading session [1]. Shareholder Information - As of June 30, 2025, the number of shareholders decreased by 12.08% to 95,000 [2]. - The top ten circulating shareholders include significant institutional investors, with changes in holdings noted for several ETFs [3].