2022-09-09 08:00Financial Performance - The operating revenue for the first half of 2022 reached RMB 1,612,126 million, representing a 27.9% increase compared to RMB 1,260,773 million in the same period of 2021[9]. - The net profit attributable to shareholders of the parent company was RMB 43,530 million, up 10.4% from RMB 39,426 million in the first half of 2021[9]. - Basic earnings per share for the first half of 2022 were RMB 0.360, reflecting a 10.4% increase from RMB 0.326 in the first half of 2021[10]. - The company's net profit attributable to shareholders rose by 10.5% to RMB 44,451 million for the first half of 2022, compared to RMB 40,227 million in the same period of 2021[16]. - The company's operating profit for the first half of 2022 was RMB 62.9 billion, reflecting a year-on-year growth of 7.6%[40]. - The company achieved a net profit attributable to shareholders of RMB 44.5 billion, a 10.5% increase compared to the previous year[40]. - The company's total revenue for the first half of 2022 was RMB 1,612.126 billion, representing a year-on-year increase of 27.9%[90]. - The gross profit margin for the overall business was 9.1%, a decrease of 2.1 percentage points compared to the previous year[90]. Cash Flow and Financial Position - The net cash flow from operating activities decreased significantly to RMB 4,947 million, a decline of 89.8% compared to RMB 48,347 million in the same period last year[9]. - The company reported a cash flow from operating activities of RMB 4,947 million for the first half of 2022, a decrease of 89.8% compared to RMB 48,347 million in the same period of 2021[16]. - Total assets as of June 30, 2022, amounted to RMB 2,059,814 million, marking a 9.0% increase from RMB 1,889,255 million at the end of 2021[9]. - Total liabilities were RMB 1,129.073 billion, reflecting an increase of RMB 154.892 billion from the end of 2021, with current liabilities rising by RMB 152.343 billion[77]. - The company's current ratio is 0.89, an increase of 0.02 compared to the previous year, indicating a greater increase in current assets than current liabilities[154]. - The debt-to-asset ratio stands at 54.77%, which is an increase of 3.26 percentage points from the previous year, reflecting a higher growth in liabilities compared to assets[154]. Operational Highlights - The company processed 120.76 million tons of crude oil, a decrease of 4.2% compared to the same period last year, with total refined oil sales volume at 98.42 million tons, down 9.8% year-on-year[26][29]. - In the first half of 2022, the company's oil and gas equivalent production reached 242.01 million barrels, a year-on-year increase of 2.9%[24]. - Domestic crude oil production was 124.63 million barrels, up 0.8% year-on-year, while natural gas production increased by 5.4% to 6,139.2 billion cubic feet[24]. - The production of ethylene reached 6.846 million tons, reflecting a year-on-year growth of 5.9%[32]. - The company maintained a stable operation of its refining facilities while optimizing product structure in response to high oil prices and pandemic challenges[25]. Market and Strategic Initiatives - The company plans to continue expanding its hydrogen energy business and invest in renewable energy sources such as solar and wind power[6]. - The company plans to continue expanding its market presence and investing in new technologies to enhance operational efficiency and profitability[19]. - The company aims to transform into a comprehensive energy service provider, actively promoting digitalization and resource optimization[27]. - The company is focusing on enhancing market foresight and operational synergy to drive innovation and market expansion[36]. Environmental and Social Responsibility - The company has reduced external wastewater COD emissions by 2.1% year-on-year and sulfur dioxide emissions by 4.1% year-on-year, achieving a solid waste disposal rate of 100%[102]. - In the first half of 2022, the company reduced greenhouse gas emissions by 1.59 million tons of CO2 equivalent, with 745,000 tons of CO2 and 390 million cubic meters of methane recycled[102]. - The company emphasizes corporate social responsibility and adheres to a sustainable development model[107]. Dividend and Shareholder Information - As of June 30, 2022, Sinopec's interim dividend distribution plan is set at RMB 0.16 per share (tax included) to be distributed before September 29, 2022[96]. - The total cash dividend for the year 2021 was RMB 0.47 per share (tax included), which includes a final dividend of RMB 0.31 per share[95]. - The company distributed cash dividends totaling RMB 37,532 million during the first half of 2022[178]. Risks and Challenges - The company faces risks related to fluctuations in oil and gas prices, which can impact its financial performance and operational results[135]. - The oil and petrochemical industry is capital-intensive, and despite the company's cautious investment strategy, there are inherent investment risks due to market fluctuations and project execution challenges[137]. - The company's overseas operations face risks from geopolitical changes, economic recovery uncertainties, and various legal and regulatory challenges in foreign markets[138].