Yankuang Energy Group Company (1171) H2 2025 earnings summary

Executive summary

• Revenue was RMB133.34bn, down 5.5% YoY; net profit attributable to shareholders was RMB8.52bn, down 41.6%.

• Salable coal output reached a record 182mn tons, up 6.3% YoY; chemical output rose 8.5% to 9.77mn tons.

• Per-ton coal sales cost fell 7.4% YoY; debt-to-asset ratio improved to 62.2%.

• Proposed 2025 cash dividend was RMB0.50/share, with a 60% payout ratio.

Financial highlights

• Revenue was RMB133.34bn, down 5.5% YoY; gross profit was RMB33.64bn, down 28.4%.

• Net profit attributable to shareholders was RMB8.52bn, down 41.6%; EPS was RMB0.85 versus RMB1.47 in 2024.

• Net cash from operating activities was RMB16.64bn, down 42.8% YoY.

• Year-end cash was CNY26.68bn; total assets were RMB451.97bn and shareholders’ equity was CNY71.3bn.

• Proposed dividend was RMB0.50/share, comprising interim CNY0.18 and planned final CNY0.32; total payout was CNY5.02bn and payout ratio 60%.

Outlook and guidance

• 2026 production targets: 186–190mn tons of salable coal and 9.5–11mn tons of chemical products.

• Planned cost reductions include a 3% cut in coal sales cost per ton and RMB30/ton reductions in methanol and acetic acid costs.

• 2026 CapEx budget is RMB19.83bn, focused on capacity expansion, supply-chain extension and equipment upgrades.

• 2026 cost-reduction and efficiency-improvement target exceeds CNY1.5bn; controllable costs targeted to fall by more than CNY300mn, with inventory reduction of 10%.

• Strategic priorities include coal capacity, high-end chemicals, new energy and internationalization; 2026–2028 dividend policy targets at least 50% of net profit.