Sinopec Announces 2016 Business Prospects; 2015 Profit Declines

(RTTNews) - China Petroleum & Chemical Corp. (SNP) announced, in 2016, the company plans to produce 332 million barrels of crude oil, of which 58 million barrels will be overseas production. Sinopec plans to produce 865 billion cubic feet of natural gas. Capital expenditures for the year are budgeted at RMB 100.4 billion, down by 10.6% from 2015. Sinopec said, in 2016, it will leverage the opportunities arising from favorable national policies and economic growth in China to drive quality upgrading and efficiency growth.

In accordance with the International Financial Reporting Standards, the company's 2015 net profit was RMB 43.7 billion, decreased by 8.9% year-on-year. The company's operating profit was RMB 57.0 billion, representing a decline of 22.4% from last year. Profit attributable to shareholders of the company was RMB 32.4 billion, 30.2% lower than last year. Earnings per share was RMB 0.268 compared to RMB 0.397.

In accordance with IFRS, total turnover and other operating revenue was RMB 2.02 trillion, down by 28.6% year-on-year. In 2015, the operating revenues of Exploration and Production segment were RMB 138.7 billion, representing a decrease of 39.1% over 2014.

In 2015, production dropped by 1.7% to 471.91 million barrels of oil equivalent, with domestic crude oil production down by 4.7% and overseas production up by 6.6%. Natural gas production rose by 2.6%. Total capital expenditures were RMB 112.249 billion, down by 27.4% from the previous year.

The Board of Sinopec proposed a final dividend of RMB 0.06 per share. Combined with the interim dividend of RMB 0.09 per share, the total annual cash dividend for 2015 is RMB 0.15 per share.