CNOOC ENERGY TECHNOLOGY SERVICES (600968) Q3 2024 earnings summary

Executive summary

• Revenue for Q3 2024 reached RMB 12.04 billion, up 10.16% year-over-year; YTD revenue was RMB 33.67 billion, up 6.59% year-over-year.

• Net profit attributable to shareholders for Q3 was RMB 1.07 billion, up 32.62% year-over-year; YTD net profit was RMB 2.69 billion, up 25.31%.

• Excluding non-recurring items, Q3 net profit was RMB 973 million, up 28.48% year-over-year; YTD adjusted net profit was RMB 2.50 billion, up 26.47%.

• Profit growth driven by increased upstream production, core capability improvements, and effective cost control.

Financial highlights

• Basic and diluted EPS for Q3 were RMB 0.1054, up 32.62% year-over-year; YTD EPS was RMB 0.2645, up 25.31%.

• Operating cash flow for the first nine months was RMB 1.66 billion, down 56.37% year-over-year due to timing differences in collections and payments.

• Total assets at Q3-end were RMB 46.00 billion, up 2.44% from year-end 2023; equity attributable to shareholders was RMB 26.17 billion, up 6.27%.

• Non-recurring gains for Q3 totaled RMB 99 million, mainly from government grants, financial asset fair value changes, and carbon credit sales.

Key financial ratios and metrics

• Weighted average ROE for Q3 was 4.15%, up 0.69 percentage points year-over-year; YTD ROE was 10.50%, up 1.22 percentage points.

• Gross margin improved due to cost control and efficiency initiatives.