CHINA COAL ENERGY(SH:601898)2018-08-21 16:00Financial Performance - The company achieved operating revenue of RMB 50,209,981 thousand, a year-on-year increase of 34.5% compared to RMB 37,330,161 thousand in the same period last year [24]. - The net profit attributable to shareholders of the listed company reached RMB 2,756,161 thousand, representing a significant increase of 67.5% from RMB 1,645,236 thousand in the previous year [24]. - The net cash flow from operating activities was RMB 8,255,938 thousand, up 52.9% from RMB 5,401,058 thousand in the same period last year [25]. - The total profit for the period was RMB 59,990,000 thousand, reflecting a 54.5% increase compared to the previous year [36]. - The company’s basic earnings per share rose to RMB 0.21, a 75.0% increase from RMB 0.12 in the same period last year [26]. - The weighted average return on net assets increased to 3.08%, up 1.18 percentage points from 1.90% in the previous year [26]. - The company’s total assets increased to RMB 256,228,099 thousand, a growth of 2.0% from RMB 251,351,543 thousand at the end of the previous year [25]. - The company’s investment income increased by 117.4% year-on-year, contributing to profit growth [36]. - The company maintained a cost-to-profit ratio of 13.3%, an improvement of 1.6 percentage points compared to the previous year [36]. - The total profit for the company in the first half of 2018 was 5.999 billion RMB, a 54.5% increase from 3.884 billion RMB in the same period of 2017 [101]. Production and Sales - The company completed a coal production of 36.81 million tons and coal sales volume of 74.29 million tons, marking a year-on-year increase of 23.2% [35]. - The company achieved a total coal sales volume of 74.29 million tons, representing a year-on-year increase of 23.2% [47]. - The company reported a significant increase in purchased coal sales volume, reaching 35.20 million tons, a year-on-year growth of 70% [48]. - The coal business segment contributed RMB 39.01 billion in operating revenue, up 26.1% from RMB 30.93 billion in the first half of 2017, while the coal chemical business saw an 88.1% increase to RMB 8.59 billion [66]. - The total sales volume of coal products reached 7,429,000 tons, a 23.2% increase from 6,032,000 tons in the same period last year [49]. - The company completed a total coal production of 36.81 million tons, with thermal coal production at 32.30 million tons and coking coal at 4.51 million tons [45]. Costs and Expenses - Operating costs rose to RMB 34.95 billion, a 47.8% increase from RMB 23.65 billion in the previous year, primarily due to higher material costs and increased production [67]. - The company reported a total of RMB 6.82 billion in material costs, a 73.5% increase from RMB 4.71 billion in the first half of 2017, driven by increased sales volume and raw material price hikes [68]. - The company’s coal business operating costs rose by 39.7% to 26.345 billion RMB, with significant increases in costs for purchased trade coal, which grew by 70.6% to 18.635 billion RMB [76][79]. Risk Management - The report highlights significant risks including price volatility of coal and coal chemical products, which can greatly impact operational performance [6]. - The company emphasizes the importance of risk management and is continuously improving its risk control system to mitigate potential impacts from macroeconomic changes and regulatory adjustments [6]. - The company has identified risks including macroeconomic fluctuations and product price volatility, which may impact operational performance [125][126]. Environmental and Social Responsibility - The company has committed to environmental protection initiatives, aligning with national energy-saving and emission reduction policies [129]. - The company has identified 10 key pollution discharge units, with total annual permitted emissions of 105.2 tons of COD, 10.5 tons of ammonia nitrogen, 8,451.9 tons of sulfur dioxide, 8,903.6 tons of nitrogen oxides, and 2,344.0 tons of particulate matter [163]. - In the first half of 2018, actual emissions from key pollution discharge units were 71.8 tons of COD, 2.7 tons of ammonia nitrogen, 2,561 tons of sulfur dioxide, 2,707 tons of nitrogen oxides, and 446 tons of particulate matter, all within permitted limits [163]. - The company invested a total of RMB 12.49 million in poverty alleviation efforts, benefiting 2,650 individuals [158]. - A total of 1,006 registered poor individuals were lifted out of poverty through various initiatives [156]. - The company implemented 27 poverty alleviation projects, focusing on infrastructure, industrial development, and education [158]. Capital Expenditures and Investments - The capital expenditure for the first half of 2018 was RMB 3.922 billion, representing 24.06% of the annual plan of RMB 16.300 billion [114]. - The company plans to focus capital expenditures on coal, coal chemical, coal mining equipment, and power generation sectors in 2018 [114]. - The company completed external equity investments totaling 321 million yuan in the first half of 2018, an increase of 306 million yuan compared to the same period last year [118]. Shareholder Information - The company distributed cash dividends of 724.33 million yuan, representing 30% of the net profit attributable to the parent company for 2017 [136]. - The total number of ordinary shareholders as of the end of the reporting period is 171,663 [179]. - The largest shareholder, China Coal Energy Group, holds 7,605,207,608 shares, representing 57.36% of total shares [181]. Debt and Financing - The company successfully issued bonds worth 7 billion yuan, achieving the lowest issuance cost in the industry [37]. - The company issued bonds with a total value of 10 billion CNY at an interest rate of 4.61% maturing on July 20, 2022 [187]. - A second bond issuance of 11 billion CNY at an interest rate of 4.85% is set to mature on May 9, 2023 [188]. - The company has a third bond issuance of 4 billion CNY at an interest rate of 5.00% maturing on May 9, 2025 [188]. - The company plans to issue a fifth bond of 8 billion CNY at an interest rate of 4.89% maturing on July 6, 2025 [188]. - All funds raised from the bonds have been fully utilized for debt repayment, including short-term financing and bank loans [195].