SPNG(SZ:002267)2023-05-26 10:14Business Overview - The company, Shaanxi Natural Gas Co., Ltd., was listed in August 2008, with a controlling shareholder, Shaanxi Gas Group Co., Ltd., holding 64.43% of shares [1] - Main business includes the construction, operation, and management of long-distance pipelines and urban gas sales, focusing on midstream and downstream natural gas transportation, supply, and sales [1] Infrastructure and Capacity - As of the end of the year, the company has constructed and put into operation several long-distance pipelines, totaling 4,030 kilometers, with an annual gas transmission capacity of 16.5 billion cubic meters, covering 11 cities in Shaanxi Province [1] - The urban gas segment operates through 11 subsidiaries, with over 680,000 users and a pipeline network of 2,300 kilometers [1] Business Model and Changes - The primary business model involves long-distance pipeline transportation and urban gas services, with over 95% of gas sourced from PetroChina and Yanchang Petroleum Group [2] - Since July 2020, the company has shifted from a unified purchase and sale model to a mixed model of unified purchase and sale plus transportation, leading to a decrease in the proportion of unified sales and an increase in transportation service revenue [2][3] Revenue and Profitability - In 2022, the proportion of transportation business exceeded that of unified sales, with an expected annual ratio of approximately 60% for transportation services [3] - Seasonal demand fluctuations significantly impact quarterly profits, with higher sales during the heating season (November 15 to March 15) [3] - The company reported a gas transmission capacity of 16.5 billion cubic meters in 2022, but actual transmission was only 7.255 billion cubic meters, indicating a utilization rate of less than 50% due to seasonal demand variations [3] Pricing and Revenue Impact - The pricing for long-distance pipeline transportation is regulated, with a reasonable return rate of 7% under standard load conditions, and varies by region [4] - Revenue decline in the first quarter is attributed to changes in purchasing and sales models, alongside lower demand from interruptible users due to falling LNG prices [4] Future Goals and Strategies - The company aims for a 2023 target of 7.45 billion cubic meters in planned gas transmission, with projected revenues of 6.8 billion yuan and profits of 650 million yuan, which are lower than 2022 figures [4] - The urban gas segment is diversified, including gas sales, transportation, installation services, and value-added services [4] - Future growth will focus on expanding long-distance pipeline construction and enhancing market presence while maintaining a high cash dividend policy [5] Financial Policies - The company has maintained a high dividend payout, distributing 6 yuan per 10 shares in 2022, with plans to continue this trend based on operational performance and capital needs [5] - There are plans for potential equity refinancing and integration of gas assets in collaboration with the parent company [5]