Zhonghau Gas Holdings has announced its 2019 annual results, reporting a 7.3% year-on-year increase in total revenue from continuing operations, from HKD 366.7m (€43.1m) in the previous year to HKD 384.9m (€45.3m).
The New Energy Business contributed over 99.9% to the group’s total revenue. Profit and total comprehensive income attributable to owners of the company decreased by 46.7%, from HKD94.6m (€11.1m) for the previous year to HKD49.4m (€5.8m) for the current year.
Drop is the gross profit ratio and net profit were mainly due to LNG supplies having a lower gross profit margin and an expected credit losses provision being made for the trade receivable at RMB9.4m (€1.2m).
During the current year, the group focused on the expansion of the New Energy Business in terms of strengthening LNG supply during the heat supply period and enhanced its sales platforms and capabilities.
The subsidiary that operated LNG supply and related businesses brought stable income to the group. The rental and management fees from LNG storage tanks and trading of new energy related industrial products were also other income sources for the group.
Zhonghau Gas Holdings has been seeking new partnerships in different regions, aiming to adopt a win-win strategy through co-exploring the LNG markets and securing stable LNG supplies with an extended and strong supply chain.