Zhongman Petroleum and Natural Gas Group (603619) Q2 2025 earnings summary

Executive summary

• Achieved revenue of RMB 1.98 billion in H1 2025, up 3.29% year-over-year; net profit attributable to shareholders was RMB 300.21 million, down 29.81% year-over-year, mainly due to lower international oil prices and increased management expenses from new projects in Iraq.

• Oil and gas output reached 548,200 tons of oil equivalent, with crude oil production up 8.37% year-over-year; core asset output from the Wen Su project remained stable, while the Jien Ge project saw a 36.3% increase in crude oil production.

• Board approved an interim cash dividend of RMB 2.00 per 10 shares, totaling RMB 91.67 million.

Financial highlights

• Revenue: RMB 1.98 billion (+3.29% YoY); net profit: RMB 300.21 million (-29.81% YoY); operating cash flow: RMB 429.18 million (-11.96% YoY).

• Gross margin: 30.6%; basic and diluted EPS: RMB 0.76 (-30.28% YoY); net assets attributable to shareholders: RMB 4.19 billion (+4.73% from end-2024).

• Adjusted net profit (excluding non-recurring items): RMB 291.28 million (-30.38% YoY).

Outlook and guidance

• Company will continue to focus on oil and gas exploration and development, leveraging integrated operations and international expansion, especially in the “Belt and Road” regions.

• Plans to further enhance digital transformation, R&D, and cost control to strengthen competitiveness and risk resilience.