COSCO SHIPPING Energy Transportation (1138) H2 2024 earnings summary

Executive summary

• Revenue rose 2.6% year-over-year to RMB23,133 million, with net profit attributable to shareholders up 19.5% to RMB4,038 million, marking the best performance since the 2016 merger and restructuring.

• EBITDA increased 7.5% year-over-year to RMB10,219 million, and basic/diluted EPS reached RMB84.64 cents, up from RMB70.83 cents last year.

• The Group expanded its fleet, maintained its leading position in oil and LNG shipping, and completed significant business integration in chemical logistics.

Financial highlights

• Gross profit margin declined by 2.2 percentage points to 27.0% as operating costs rose 5.8% year-over-year.

• Net cash from operating activities was RMB8,625 million, down 3.4% from last year.

• Final dividend proposed at RMB0.21 per share, with total dividends for 2024 at RMB2,719 million.

• Net debt-to-equity ratio increased to 78% from 64% due to higher borrowings.

Outlook and guidance

• 2025 revenue is targeted at RMB24.7 billion with operating costs of RMB19.3 billion.

• The Group plans to operate 156 oil tankers and 58 LNG vessels, with 14 new LNG vessels and 1 chemical tanker to be delivered.

• Focus areas include operational efficiency, LNG value chain extension, digital supply chain, green transformation, and talent development.