CHINA GAS HOLDINGS (384) H2 2024 earnings summary

Executive summary

• Revenue declined 11.5% year-over-year to HK$81.41 billion, with gross profit down 6.1% to HK$11.30 billion.

• Profit attributable to owners fell 25.8% to HK$3.18 billion; adjusted net profit (excluding non-operating/one-time items) decreased 4.3% to HK$3.97 billion.

• Free cash flow surged 70.2% to HK$4.29 billion, and net cash flow from operating activities rose 13.1% to HK$11.34 billion.

• Final dividend proposed at HK35 cents per share, total annual dividend unchanged at HK50 cents per share.

Financial highlights

• Gross profit margin improved to 13.9% from 13.1% year-over-year.

• Earnings per share dropped to HK$0.59 from HK$0.80.

• Finance costs increased 14.4% to HK$2.12 billion due to higher average financing costs.

• Income tax expenses decreased 17.8% to HK$760 million.

• Net gearing ratio rose to 0.79 from 0.76; current ratio declined to 0.90 from 1.01.

Outlook and guidance

• Focus on high-quality development, safety management, and digital transformation to enhance operational efficiency.

• Plans to leverage supportive national policies, upgrade infrastructure, and expand value-added services and integrated energy segments.

• Emphasis on price pass-through mechanisms and innovative business models in LPG and VAS.