Shannxi Coal Industry Co. Ltd., the third-largest listed coal miner by volume in China, saw its net loss reach 955 million yuan over January-June, compared with a net profit of 825.8 million from the same period last year, showed data from the half-year report of the company.
During the same period, total revenue of the company stood at 18.98 billion yuan or 44.83% of the annual plan, falling 10.11% from a year ago.
The average price of the company’s commercial coal fell 12.51% on year to 267.73 yuan/t over January-June, with the price of self-produced coals falling 25.73% to 181.27 yuan/t.
Coal output from Shaanxi Coal stood at 53.02 million tonnes or 50% of the annual plan during the same period, a drop of 7.92% on year.
It sold 66.58 million tonnes of commercial coal in the first half of the year, edging up 1.4% year on year, it said.
The company predicted a sharper drop in profit in the second half of the year, given the persisting sluggish coal market.http://en.sxcoal.com/0/130637/DataShow.html
Yanzhou Coal Mining, the listed unit of China's fourth largest coal miner Yankuang Group, plunged into the red in the first half of the year, as cost reduction was insufficient to counter the impact of a sharp drop in coal prices and sales volume.
Net loss amounted to 50.63 million yuan ($7.91 million) in the half, compared with a profit of 587.24 million yuan in the year-earlier period.
First-half revenue plummeted 41.4% year on year to 18.14 billion yuan, on the back of a 27.6% decline in coal sales to 43 million tonnes, and a 24.1% tumble in average selling price to 505 yuan/t.
Output of processed saleable coal produced by its own mine fell 5% year on year to 32 million tonnes in the first half.
First-half operating profit from coal mining dropped 14% year on year to 406.41 million yuan, which came despite the firm slashing its production cost per tonne by about 15% year on year at its domestic mines, and by 24-28% at its overseas mines.
Yanzhou said it has cut costs mainly by downsizing staff, "optimization of human resource", streamlining of production systems and processes, and by cutting materials consumption.
In the year's second half, it said, it would continue to cut costs by "centralized purchasing, competitive negotiation and online procurement for materials and equipment" to control costs.http://en.sxcoal.com/0/130633/DataShow.html