Financial Performance - Total revenue for the first half of 2022 was RMB 25,958,552 thousand, a decrease of 3.3% compared to RMB 26,851,392 thousand in the same period of 2021[16] - Gross profit increased by 5.5% to RMB 2,664,294 thousand from RMB 2,524,351 thousand year-on-year[16] - Operating profit remained stable at RMB 1,167,517 thousand, reflecting a slight increase of 0.6% from RMB 1,161,083 thousand in 2021[16] - Profit attributable to equity holders of the company was RMB 1,354,606 thousand, up 0.6% from RMB 1,347,127 thousand in the previous year[16] - Basic earnings per share increased to RMB 0.31 from RMB 0.30, marking a growth of 0.6%[16] - The total comprehensive income for the period was RMB 1,386,644,000, up 2.9% from RMB 1,347,293,000[59] - The group's net profit for the period was RMB 1.355 billion, showing no significant change compared to the previous year[67] - The net profit margin improved to 5.2% from 5.0% year-on-year[111] Assets and Liabilities - Total assets as of June 30, 2022, were RMB 72,256,949 thousand, a decrease of 0.9% from RMB 72,917,243 thousand at the end of 2021[15] - Current liabilities decreased by 2.4% to RMB 40,382,299 thousand from RMB 41,370,338 thousand at the end of 2021[15] - Asset-liability ratio decreased to 59.1% as of June 30, 2022, down from 60.1% at the end of 2021[17] - Total liabilities decreased to RMB 42,729,985 thousand from RMB 43,793,907 thousand, a reduction of approximately 2.4%[162] - The equity attributable to equity holders increased to RMB 29.52 billion, an increase of RMB 404 million from the end of 2021, mainly due to retained earnings growth[107] Revenue Segments - The engineering contracting segment generated revenue of RMB 14.785 billion, down 9.1% year-on-year, while the construction segment reported revenue of RMB 12.566 billion, a decrease of 3.1% year-on-year[38] - The refining segment's revenue was RMB 3.985 billion, down 25.6% year-on-year, while the petrochemical segment's revenue increased by 7.3% to RMB 16.145 billion[39] - Revenue from the petrochemical industry was RMB 16.145 billion, a year-on-year increase of 7.3%[40] - Revenue from the refining industry was RMB 3.985 billion, a year-on-year decrease of 25.6%[40] - Total revenue from domestic operations was RMB 23.781 billion, a year-on-year decrease of 3.9%[42] - Total revenue from overseas operations was RMB 2.177 billion, a year-on-year increase of 3.6%[42] Contracts and Projects - The company signed new contracts worth RMB 44.150 billion during the reporting period, representing a year-on-year increase of 20.4%[33] - The total amount of uncompleted contracts was RMB 120.916 billion, an increase of 8.9% compared to the end of 2021[43] - The company has 1,138 ongoing projects under control in terms of progress, costs, safety, quality, and environmental protection[32] - New projects such as Tianjin Nangang Ethylene and Xinjiang Kuqa Green Hydrogen were successfully launched during the reporting period[32] Cash Flow and Investments - Cash flow from operating activities showed an improvement, with a net outflow of RMB 1,378,489 thousand, a reduction of 30.3% compared to RMB 1,978,359 thousand in the same period last year[16] - Capital expenditures were approximately RMB 276 million, a year-on-year decrease of 27.6%[44] - The company’s investment in property, plant, and equipment was RMB (401,253) thousand, up from RMB (274,275) thousand in 2021, indicating an increase of about 46.2%[166] Research and Development - The company signed 265 technology development contracts and 39 technology licensing contracts, with the total value of technology licensing contracts exceeding RMB 150 million[50] - The company completed 272 new patent applications and received 280 new authorized patents, including 126 invention patents, indicating a steady improvement in patent quality[50] - Research and development costs for the period were RMB 897,120 thousand, slightly higher than RMB 892,152 thousand in the previous year[159] Strategic Initiatives - The company aims to enhance its service levels in safety, efficiency, and sustainability as part of its strategic vision to become a world-leading technology-driven engineering company[10] - The company plans to expand its business scope and extend its value chain, focusing on engineering innovation and value creation as key development engines[10] - The company is focusing on the transformation and upgrading of traditional refining and chemical industries towards green and low-carbon development[34] - The company aims to enhance its technical research and engineering transformation capabilities in response to the challenges posed by the evolving energy market[34] Employee and Management - As of June 30, 2022, the total number of employees in the group was 16,541, with 77.9% being engineering and technical personnel[146] - Employee costs for the first half of 2022 were approximately RMB 2.22 billion, compared to RMB 2.31 billion for the same period in 2021[148] - The company has a good labor relationship, with employee compensation including salary, discretionary bonuses, and mandatory social security contributions[148] Audit and Compliance - The audit opinion confirms that the consolidated financial statements present a true and fair view of the group's financial position as of June 30, 2022[151] - The audit committee reviewed the interim report and had no dissenting opinions regarding the financial performance[133] - The board of directors and supervisors confirmed compliance with the standards set forth in the Hong Kong Listing Rules during the reporting period[143]
中石化炼化工程(02386) - 2022 - 中期财报