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Sinopec says Q3 net income rose 13%, cuts 2017 capex 11%

Published 10/30/2017, 10:40 AM
© Reuters.  Sinopec says Q3 net income rose 13%, cuts 2017 capex 11%
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  • Sinopec(SNP +1.8%) says Q3 net profit rose 13% Y/Y to 11.3B yuan from 9.9B yuan in the year-ago period, missing a J.P. Morgan forecast of 12.1B yuan, while revenue rose 19% Y/Y to 579.1B yuan.
  • The Q3 profit contrasts with the 16.6B yuan reported in Q2, with SNP citing a tough domestic retail market as the main reason for slowing growth.
  • SNP does not report Q3 operational performance figures, but Bloomberg calculates operating profit from refining in the quarter jumped 48% Y/Y to 14.46B yuan, while losses from exploration and production narrowed to ~8.2B yuan.
  • SNP also cuts its 2017 capex outlook by 11% to 98.5B yuan from its target of 110.2B yuan, as crude oil production in the first nine months fell 4% Y/Y to 332.6M bbl/day.
  • Now read: 'Safer' Dividend Energy Dogs Chase CONE Midstream October Net Gains

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