China Coal Energy Company (1898) investor relations material

Executive summary

• Profit attributable to equity holders rose 11.8% year-over-year to RMB8.192 billion, with profit before tax up 7.1% to RMB12.427 billion and EBITDA up 4.1% to RMB17.564 billion.

• Revenue for H1 2026 was RMB73.136 billion, down 1.8% year-over-year, mainly due to lower coal trading and equipment sales, but gross profit grew 10.1% to RMB16.027 billion, with gross margin up 2.3 points to 21.9%.

• Net cash inflow from operating activities increased 28.6% to RMB9.864 billion, with production and sales activities generating RMB12.614 billion, up 68.2%.

• Interim dividend of RMB0.184 per share declared, totaling RMB2.445 billion, representing 30% of net profit.

• Major business segments—coal, chemicals, equipment, finance, and power—operated well, with notable improvements in profitability and operational resilience.

Financial highlights

• Gross profit increased 10.1% year-over-year to RMB16.027 billion, with gross margin up 2.3 points to 21.9%.

• Basic EPS rose to RMB0.62 from RMB0.55 year-over-year.

• Net cash from operating activities: RMB9.864 billion, up 28.6%; net cash from production and sales: RMB12.614 billion, up 68.2%.

• Total assets grew 4.3% to RMB386.465 billion; equity attributable to holders increased 3.8% to RMB166.402 billion.

• Gearing ratio increased to 27.2% from 26.1% at year-end 2025.

Outlook and guidance

• Management targets high-quality growth, further integration of coal, power, chemical, and new energy, and continued cost control.

• Focus on intelligent, green, and integrated development, with accelerated construction of key projects and innovation in management and technology.

• Emphasis on risk prevention, production safety, and environmental protection.

• Chemical business margins expected to remain strong in H2, with significant incremental growth in polyolefin output anticipated next year.

• Renewable energy installation target set at 50 million kilowatts for the group during the 15th Five-Year Plan.