China Petroleum & Chemical (386) Q1 2015 earnings summary

Executive summary

• International crude oil prices remained low, impacting profitability across segments.

• Net profit attributable to equity shareholders was RMB 1.69 billion (ASBE) and RMB 2.17 billion (IFRS), both down sharply year-over-year.

• Company focused on cost control, market expansion, and operational efficiency to maintain stability.

Financial highlights

• Operating income for Q1 2015 was RMB 478.2 billion, down 25.4% year-over-year.

• Net profit attributable to equity shareholders fell 87.5% (ASBE) and 84.6% (IFRS) compared to Q1 2014.

• Net cash flow from operating activities dropped 47.1% year-over-year to RMB 6.68 billion.

• Basic earnings per share was RMB 0.014 (ASBE) and RMB 0.018 (IFRS), both down over 85% year-over-year.

Outlook and guidance

• Company expects continued volatility in crude oil prices and will maintain focus on cost control and market-driven strategies.