Shan Xi Hua Yang Group New Energy (600348) H2 2024 earnings summary

Executive summary

• Revenue for 2024 was ¥25.06 billion, down 12.13% year-over-year; net profit attributable to shareholders was ¥2.22 billion, down 57.05% year-over-year.

• Coal output and sales volume declined 16.41% and 13.32% year-over-year, respectively, while average coal price fell 6.4%.

• Major investments included coal mine construction, sodium-ion battery projects, and acquisition of new coal resources.

• The company maintained a strong focus on safety, green development, and technological innovation, with significant progress in smart mining and new energy materials.

Financial highlights

• Operating income: ¥25.06 billion, down 12.13% year-over-year.

• Net profit attributable to shareholders: ¥2.22 billion, down 57.05% year-over-year.

• Basic and diluted EPS: ¥0.59, down 59.03% year-over-year.

• Gross margin for coal segment: 40.22%, down 10.98 percentage points year-over-year.

• Operating cash flow: ¥3.49 billion, down 49.73% year-over-year.

Outlook and guidance

• 2025 targets: raw coal output of 38 million tons and revenue of ¥26 billion.

• Strategic focus on dual engines: coal and new energy/new materials, with continued investment in safety, efficiency, and green transformation.

• Emphasis on technological innovation, product upgrades, and expansion in sodium-ion battery and photovoltaic sectors.