China Resources Gas Group (1193) H1 2025 earnings summary

Executive summary

• Revenue for the first half of 2025 was HK$49.79 billion, down 4.4% year-over-year, with gross profit at HK$8.52 billion and a margin of 17.1%. Profit attributable to owners was HK$2.40 billion, a 30.5% decrease year-over-year.

• Net cash from operating activities was HK$3.01 billion, and the Group maintained a healthy liquidity position with cash and bank balances of HK$11.24 billion at period end.

• Basic EPS was HK$1.05, down 30.9% from HK$1.52 in the prior year.

• Gross gas sales volume was 20.76 billion m³, nearly flat year-over-year, while accumulated total connected customers rose 4.3% to 61.37 million.

• The Group declared an interim dividend of HK$0.30 per share, up from HK$0.25 per share in the prior year.

Financial highlights

• Gross profit margin declined to 17.1% from 18.6% year-over-year; net profit margin attributable to owners was 4.8%, down from 6.6%.

• Total assets increased 4.5% to HK$138.49 billion, while total borrowings rose 12.8% to HK$25.95 billion.

• Return on equity (annualised) was 11.1%, compared to 16.6% a year earlier.

• Credit ratings maintained at A2 (Moody’s), A- (S&P), and A- (Fitch), reflecting stable financial performance.

• Operating cash flow reached HK$3.01 billion, supporting ongoing capital expenditure and operations.

Outlook and guidance

• The Group expects global natural gas prices to remain volatile in the second half of 2025, with domestic demand anticipated to gradually rebound as the economy stabilizes and green energy transformation deepens.

• The Group will continue to focus on core business, expand comprehensive services and energy solutions, and enhance shareholder value.