Caixin
Caixin Global – Latest China News & Headlines

Home >

ABOUT US

CX Live is Caixin Global's real-time news portal, featuring 24-hour breaking news, short-form analysis, and roundups from business and social media in China.

TRENDING
Chinese DNA Sequencing Firm BGI Faces Legal Battle with Illumina
DHL, Panasonic Deny Severing Huawei Ties
China Readies 600 Kph Maglev Prototype
LATEST
Huawei Seeks $1 Billion in First Big Funding Test After U.S. Ban
Chinese Chipmaker SMIC to Delist From NYSE, Focus on Hong Kong
Just Add Water, Physics-Defying Car Company Claims
Hong Kong Banking Tycoon Passes Baton to Two Sons
Fears Grow as Fall Armyworm Continues Invasion of Chinese Farms
Rural Policy Bank Sells Bond to Retail Investors in Hong Kong
Baidu Continues Shaking Up Its Management Board
Xiaomi Fires Vice President for ‘Obscene’ Behavior
Update: Chinese EV Startup Digs Into Real Estate
Chinese DNA Sequencing Firm BGI Faces Legal Battle with Illumina
U.S. Companies and Consumers Pay for China Tariff Costs, IMF Says
Weibo Shares Slump After Q1 Revenue Growth Slows
Anxin Trust Questioned for Plunging Profits and Accounting Errors
Meituan Sees Strong Revenue Growth, Despite Drag From Mobike
DHL, Panasonic Deny Severing Huawei Ties
China Renewables Industry Comes of Age With Ambitious Subsidy-Free Projects
China Readies 600 Kph Maglev Prototype
Mercedes-Benz Makes it Easier to Trade in Defective New Cars in Wake of PR Nightmare
Shanghai Man Sentenced to Death for Child Murder
How to Find Illegal Lenders? Watch Who’s Taking Cases to the Courts
Coal King Predicts Weak Year But Rosier Days Ahead

By Luo Guoping, Zhou Wenmin and Zhao Runhua / Mar 26, 2019 01:13 PM / Business & Tech

Photo: VCG

Photo: VCG

China’s largest coal company is lowering its operational targets for this year, while making a case for a rosier long-term outlook, according to a fiscal performance conference Monday.

State-owned China Shenhua Energy Company — whose shares are traded in Shanghai and Hong Kong — plans to produce 290 million tons of coal for commercial sales this year, down 6.6 million tons from 2018, due to what it called changes in its mining capabilities.

Shenhua’s coal sales will likely drop around 34 million tons to 427 million tons — a 7% fall from last year — which the company attributed to caution in the industry after mine accidents led to stricter safety inspections and national environmental-protection goals.

Most strikingly, Shenhua expects 2019 operational revenue to fall 16.2% year-on-year, a decline of 221.2 billion yuan ($32.98 billion).

After years of overcapacity in the industry, Shenhua expects a more balanced market supply and demand of coal, even as coal's share of China’s non-renewable energy will continue to decline, company President Ling Wen said.

Ling also said that China’s push to phase out dirtier and less-efficient power sources won’t shake coal’s leading position in energy landscape, at least in the near future.

Shenhua’s operational revenue for 2018 increased 6.2% to 264.1 billion yuan, while profit attributable to its parent company dropped 2.6% to 43.9 billion yuan.

Related: Coal Producers Post Third Year of Profit Growth

Share this article
Open WeChat and scan the QR code
Copyright © 2017 Caixin Global Limited. All Rights Reserved.