Changjiang Securities·2025-11-12 08:12Investment Rating - The investment rating for the company is "Buy" and is maintained [7]. Core Insights - The company reported a revenue of 2,169.256 billion yuan for the first three quarters of 2025, a decrease of 3.9% year-on-year, and a net profit attributable to shareholders of 126.294 billion yuan, down 4.9% year-on-year. In the third quarter alone, revenue was 719.157 billion yuan, an increase of 2.3% year-on-year, while net profit was 42.287 billion yuan, a decrease of 3.9% year-on-year [2][5]. - The company achieved a slight increase in oil and gas production, coupled with cost reduction and efficiency improvements, leading to better performance in oil, gas, and new energy businesses compared to the decline in oil prices. Although chemical product prices fell, refining operations improved the performance of the refining and chemical segments [11]. - The natural gas sales business saw a continuous increase in profitability due to effective cost control and an increase in sales volume, with natural gas sales reaching 218.541 billion cubic meters, up 4.2% year-on-year, resulting in an operating profit of 31.279 billion yuan, an increase of 23.79% year-on-year [11]. - The company emphasizes shareholder returns, maintaining a stable cash dividend policy with a mid-year dividend of 0.22 yuan per share, totaling approximately 40.265 billion yuan. Additionally, the controlling shareholder announced a plan to increase holdings of the company's A-shares and H-shares, with a planned investment of no less than 2.8 billion yuan and no more than 5.6 billion yuan, reflecting confidence in the company [11]. Financial Performance Summary - For the first three quarters of 2025, the company achieved an oil and gas equivalent production of 1,377.2 million barrels, a year-on-year increase of 2.6%. Domestic production rose by 3.2% to 1,234.3 million barrels, while overseas production decreased by 2.0% to 142.8 million barrels. The unit operating cost for oil and gas was $10.79 per barrel, down 6.1% year-on-year [11]. - The average Brent crude futures price for the first three quarters of 2025 was $70.93 per barrel, down 14.3% year-on-year, while the company's realized oil price was $66.2 per barrel, a decrease of 14.5% year-on-year. The operating profit for the oil and gas segment was 125.103 billion yuan, down 13.28% year-on-year, which was better than the decline in international oil prices [11]. - The refining and chemical segments achieved an operating profit of 16.240 billion yuan, an increase of 6.28% year-on-year, with refining operations contributing 14.453 billion yuan (up 22.68% year-on-year) and chemical operations contributing 1.787 billion yuan (down 48.93% year-on-year) due to declining prices of most chemical products [11].