HONG KONG, April 19, 2013 /PRNewswire/ -- Sinopec Shanghai Petrochemical Company Limited ("Shanghai Petrochemical" or the "Company") (HKEx: 00338; SSE: 600688; NYSE: SHI) today announced the unaudited operating results of the Company and its subsidiaries (the "Group") for the three-month period ended March 31, 2013 (the "Period").
Under the China Accounting Standards for Business Enterprises, the Group's operating income for the Period amounted to RMB28.857 billion (corresponding period of 2012: RMB23.550 billion). It recorded an operating profit of RMB254 million (corresponding period of 2012: an operating loss of RMB243 million). Net profit attributable to equity shareholders of the Company was RMB173 million (corresponding period of 2012: net loss attributable to equity shareholders of the Company of RMB190 million). Basic earnings per share was RMB0.024 (corresponding period of 2012: basic loss per share of RMB0.026).
Mr. Wang Zhiqing, the newly elected Chairman, said, "In the first quarter of 2013, the global situation remained complex and volatile, and the Chinese domestic economy did not show obvious growth momentum, while demand for petrochemicals continued to be sluggish. However, the Group endeavoured to ensure the smooth and stable operation of its newly built plants of the Phase 6 Project, and to achieve good material balance and well planned production and sales linking up. The Company strengthened its capabilities in deep processing of crude oil and optimized its petrochemical feedstock and product mix upon the completion and operation of the Phase 6 Project. As a result, the operating results of the Company for the first quarter recorded a profit. The Company will strive to become an advanced enterprise of refineries and petrochemicals producer as well as to continue to optimize its production and operations, to strengthen safety management, to adjust its structure, and to make the most of the advantages it derives from the operation of the Refinery Revamping and Expansion Project and the Technological Advancement Programme in order to improve profitability."
Shanghai Petrochemical is one of the largest petrochemical companies in China in terms of sales revenue and was one of the first Chinese companies to complete a global securities offering. Located at Jinshanwei in the southwest of Shanghai, it is a highly integrated petrochemical enterprise which processes crude oil into a broad range of products such as synthetic fibres, resins and plastics, intermediate petrochemicals and petroleum products.
This press release contains statements of a forward-looking nature. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by terminology such as "will", "expects", "anticipates", "future", "intends", "plans", "believes", "estimates" and similar statements. The accuracy of these statements may be impacted by a number of business risks and uncertainties that could cause actual results to differ materially from those projected or anticipated, including risks such as the risk that the PRC economy may not grow at the same rate in future periods as it has in the last several years, or at all, due to the PRC government's implementation of macro-economic control measures to curb over-heating of the economy; the risk of uncertainty as to global economic growth in future periods; the risk that prices of the Company's raw materials, particularly crude oil, will continue to increase, the Company may not be able to raise the prices of its products as appropriate, which would adversely affect the Company's profitability; the risk that new marketing and sales strategies may not be effective; the risk that fluctuations in demand for the Company's products may cause the Company to either over-invest or under-invest in production capacity in one or more of its four major product categories; the risk that investments in new technologies and development cycles may not produce the benefits anticipated by the management; the risk that the trading price of the Company's shares may decrease for a variety of reasons, some of which may be beyond the control of the management; the risk of competition in the Company's existing and potential markets; and other risks outlined in the Company's filings with the U.S. Securities and Exchange Commission. The Company does not undertake any obligation to update this forward-looking information, except as required under applicable laws.
Encl: Consolidated Income Statement (Unaudited)
SOURCE Sinopec Shanghai Petrochemical Company Limited