HONG KONG, Oct. 30, 2014 /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 nine-month period ended September 30, 2014 (the "Period").
Under the China Accounting Standards for Business Enterprises,
the Group's revenue for the Period amounted to RMB76.719 billion (corresponding period of 2013:
RMB RMB86.356 billion). It recorded
an operating loss of RMB252 million
(corresponding period of 2013: an operating profit of RMB1.395 billion). Net loss attributable to
equity shareholders of the Company was RMB152 million (corresponding period of 2013: net
profit attributable to equity shareholders of the Company of
RMB1.004 billion). Basic loss per
share was RMB0.014 (corresponding
period of 2013: basic earnings per share (restated) of RMB0.093).
Mr. Wang Zhiqing, Chairman of Shanghai Petrochemical, said, "The
price of petrochemical products weakened in the first three
quarters of 2014, given the continuous downturn in petrochemical
demand in the PRC. This led to a significant year-on-year decline
in the prices of the Group's major petrochemical products. In
addition, domestic prices of refined oils fell in the PRC as a
consequence of the continuous decrease in international crude oil
prices since the third quarter. As there is a lag effect from the
Company's crude oil procurement to sales of refined oil products,
this led to reduced profit for the refinery segment in the short
term. The Company expects that the aforementioned situation will
not improve significantly in the fourth quarter. Facing a
challenging market environment, we will focus on improving the
quality and efficiency of our development, and will continue to
focus on safety and environmental protection as well as stable
production. The Group will also continue to consolidate its system
optimization and cost reductions, as it strives to achieve a
turnaround in its efficiency."
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
southwest Shanghai, the Group is a
highly integrated petrochemicals 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.
For the financial tables that accompany
this release, please refer to the following
PDF: http://photos.prnasia.com/prnk/20141030/8521406404
SOURCE Sinopec Shanghai Petrochemical Company Limited