CSEC,China Shenhua(601088)2024-04-30 07:37Financial Performance - In 2023, China Shenhua achieved a net profit attributable to shareholders of CNY 59.7 billion, with basic earnings per share of CNY 3.004 [1] - The company reported a coal sales volume of 450 million tons, a year-on-year increase of 3.5% [1] - The total power generation reached 212.3 billion kWh, reflecting an 11% year-on-year growth [2] Operational Highlights - The coal division's profit totaled CNY 58.53 billion, while the power generation division's profit increased by 34.1% to CNY 10.64 billion [2] - The average selling price of coal was CNY 584 per ton [2] - The company maintained a low production cost of CNY 179 per ton for self-produced coal, with a year-on-year increase of 1.5% [2] Strategic Initiatives - The company is focusing on enhancing energy security and integrated operations, with a production capacity increase of 3 million tons approved for Baode coal mine [2] - Investments in technology and digital development led to 763 patents granted and 51 awards received in 2023 [2] - The company is actively pursuing clean development initiatives and has established a low-carbon development group [3] ESG and Governance - China Shenhua has been proactive in ESG management since 2007, with ongoing improvements in governance and information disclosure [3] - The company aims to align its market value with intrinsic value through effective market management strategies [7] Capital Expenditure and Cash Management - The capital expenditure for 2024 is planned at approximately CNY 36.8 billion, consistent with previous levels [5] - As of the end of last year, the company had cash reserves of about CNY 150 billion and a debt-to-asset ratio of 24.1% [5] Shareholder Returns - The cash dividend payout ratio for 2023 is proposed at 75.2%, exceeding the minimum commitment of 60% [6] - The company is committed to sustainable and high-level returns for shareholders, with plans for a new three-year shareholder return strategy [6]