Sinopec’s first-half profits shrank amid lower oil prices and fuel demand being weighed down by China’s sluggish economic recovery.
China Petroleum & Chemical Corp., as it’s officially known, posted net income of 36.12 billion yuan ($4.96 billion), according to international financial reporting standards. That compared with a revised 44.8 billion yuan a year earlier.
Domestic sales of refined oil products at Sinopec, China’s largest fuel-maker, rose 18% in the first six months from the previous year, when residents in megacities like Shanghai were completely locked down for months on end. Still, a lingering property crisis and weaker overseas demand for exports have kept the recovery in check.
Meanwhile, crude prices were 24% lower than the year before, reducing the value of Sinopec’s global oil and gas production.
The company said in a separate stock exchange filing Sunday that it plans to spend 800 million yuan to 1.5 billion yuan on a share buyback on the A-share market. It declared an interim dividend of 0.145 yuan a share compared with 0.16 yuan a year earlier.
Sinopec’s larger state-owned sister firm, PetroChina Co., will report earnings Wednesday. The country’s offshore driller, Cnooc Ltd., said earlier this month that first-half profit fell on lower oil prices.
Tags Bloomberg News Agency China China Petroleum & Chemical Corporation (Sinopec Limited)
Check Also
Czech Republic to End Russian Oil Imports by next Summer
The Czech Republic will phase out Russian oil imports by July 2025, Deputy chairman of …