COSCO SHIPPING Energy Transportation (1138) H2 2024 earnings summary

Executive summary

• Net profit attributable to shareholders rose 19.5% year-over-year to RMB 4,038 million, with revenue increasing 2.6% to RMB 23,133 million, marking the best performance since the 2016 merger.

• EBITDA increased 7.5% year-over-year to RMB 10,219 million, and basic/diluted EPS reached RMB 84.64 cents, up from RMB 70.83 cents.

• The Group expanded its fleet, completed significant business integration in chemical logistics, and acquired LPG and chemical marine transportation businesses.

• Declared a full-year cash dividend of RMB 0.43 per share, representing a 50.82% payout ratio.

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 RMB 8,625 million, down 3.4% year-over-year.

• Final dividend proposed at RMB 0.21 per share, with total dividends for 2024 at RMB 2,719 million.

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

• Total assets grew 10.37% to RMB 81,042 million; debt-to-asset ratio rose to 51.9%.

Outlook and guidance

• 2025 revenue is targeted at RMB 24.7 billion with operating costs of RMB 19.3 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.

• Planned capex for 2025–2028 totals over RMB 25 billion, focused on shipbuilding and fleet upgrades.

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

• Global oil production and consumption expected to grow through 2026, driving ton-mile demand.