HONG KONG, Aug. 22, 2013 /PRNewswire/ -- Guangshen Railway
Company Limited ("Guangshen Railway" or the "Company") (HKEx Share
Code: 525; SSE Share Code: 601333; American Depositary Shares
("ADS") Ticker Symbol: GSH) today announced its unaudited operating
results for the six months ended June 30,
2013 (the "Period") of the Company and its subsidiaries (the
"Group").
During the Period, operating revenue of the Company reached
RMB7,626 million, an increase of
8.77% year-on-year. Profit from operations was RMB959 million, down 3.23% year-on-year. Profit
attributable to equity holders amounted to RMB649 million, a decline of 4.33% year-on-year.
Basic earnings per share came to RMB0.09. The board of directors of the Company
does not recommend the payment of any interim dividend for
2013.
In the first half of 2013, the PRC economic growth slowed due to
the combined influence of complicated and changing domestic and
overseas market conditions. Facing lower demand in the railway
transportation industry and the unfavorable operating environment
caused by the dilution in the client base by Express Rail Links,
the management strictly upheld the Company's operating objectives,
accelerated migration of operation development mode, vigorously
improved infrastructure safety, proactively promoted the strategy
of diversified operation, stepped up regulation of operation
management and strived to enhance the quality of services. These
measures have helped the Company successfully realized the safety
and stability of transportation production and a moderate increase
in the transportation revenue. However, due to higher expenses for
railway network usage settlement, higher labor costs and
significant decrease in net cash flows from investment activities,
profitability has been impacted.
During the Period, the Company recorded passenger delivery
volume of 44.84 million persons, marking a year-on-year increase of
5.71%. Revenue from passenger transportation increased by 6.50%
year-on-year to RMB3,985 million. Of
which, the passenger delivery volumes of Through Trains increased
3.06% year-on-year to 1.87 million, and the passenger volumes of
long-distance trains amounted to 26.02 million, a year-on-year
increase of 10.90%. Through Trains and long-distance trains
realized revenues of RMB237 million
and RMB2,574 million, respectively,
marking year-on-year increases of 5.14% and 10.92%. The passenger
delivery of Guangzhou-Shenzhen trains decreased by 0.53% to 17.95
million, realizing revenue of RMB1,174
million.
The increase in passenger transportation was mainly due to a
relatively significant period-on-period increase in the passenger
delivery volume upon the successive opening of long-distance trains
to Nanning and Chengdu after the
commencement of operation of Shenzhen East station on December 21, 2012. Meanwhile, there was
replacement in new trains for the Canton-Kowloon Through Trains.
The opening of Shenzhen-Shanghai South and Guangzhou-Yantai long
distance trains by the Company from July 1,
2012 also contributed to the increase.
During the Period, freight tonnage (outbound and inbound) was
28,262,406 tonnes, a dip of 7.51% year-on-year and generating
revenue of RMB642 million, down 4.60%
year-on-year. The decrease in freight volumn was mainly due to the
sluggish market demand for bulk goods such as metal ores, non-metal
ores and coal under the impact from factors including the
decelerated domestic economic growth and the State's continuously
increasing effort on industry and organization adjustments.
Therefore the inbound freight volume decreased which led to the
drop in the revenue from inbound freight transportation.
In respect of railway network usage and other transportation
related services, the business recorded revenue of RMB2.499 million, up 16.40% year-on-year. The
prominent increase in revenue from railway network usage services
was mainly due to the increase in service volume and unit price of
locomotive traction services that led to an increase in revenue
from locomotive traction services. The Revenue from railway
operation services increased 6.84%, mainly due to the increase in
the provision of railway operation services provided by the Company
to GZIR under the increased frequency of trains run by GZIR. The
revenue from other transportation services decreased by 30.82%,
mainly due to the fact that a majority of locomotives and passenger
cars of the Company leased to other railway bureaus (companies)
were returned upon expiry during the reporting period that led to a
decrease in revenue from the usage of locomotives and passenger
cars.
Looking forward to its development in the second half of 2013,
the Company said: "despite the unlikeliness of significant change
in both domestic and overseas economic downturn situations, with
the completion and commence of operation of a series of high-speed
railways and inter-city railways and the gradual advancement of
national rail freight organizational reform, railway passenger
delivery volume in the PRC will maintain faster growth, and freight
volume is hoped to record turnaround. The Company will continue to
follow the sound leadership and scientific decisions of the Board
under the guidance of scientific development and resilience to
market changes, and on the other hand persevere in the principle of
'reinforcing the foundation, enhancing the quality, expanding the
market, invigorating the operation, enhancing the systems and
regulating the management', fulfill the responsibilities as a
market corporate, adjust its mode of development, fortify the
safety foundation, regulate the management of operation, enhance
the quality of service, and strive to maintain the stability of
transport production and continuous growth in transportation
revenue."
In respect of passenger transportation, the Company will further
increase the marketing efforts for the Guangzhou-Shenzhen section of passenger transportation,
to enhance the operating plan of Guangzhou-Shenzhen section, to aggressively explore new
growth points for the Guangzhou-Shenzhen inter-city passenger transportation,
to tangibly expedite the establishment of inter-city passenger
transportation business at Pinghu stations. Meanwhile, fully
develop the potential of Shenzhen East station in order to enhance
the operating plans for long-distance trains in the Shenzhen region, and to improve the
transportation capacity and transportation efficiency of
long-distance trains. In addition, we will persistently cater to
the needs of travelers, improve the hardware of passenger
transportation services and enhance the quality of passenger
transportation services.
In respect of freight transportation, the Company will further
carry out the in-depth progression of the freight transportation
organization reform, implement the service delivery transform, and
enhance service quality.
For the 2013 Interim Results Main Accounting Data, please visit:
http://www.prnasia.com/sa/attachment/2013/08/20130822203146581575.pdf
About Guangshen Railway Company Limited
Guangshen Railway Company Limited was established in
March 1996. The H shares and ADS
issued by the Company were listed on The Stock Exchange of Hong
Kong Limited and the New York Stock Exchange in May 1996. In December
2006, the Company returned to the A share market and
successfully listed its shares on the Shanghai Stock Exchange. The
Company is currently the only PRC railway enterprise with its
shares listed on the Shanghai,
Hong Kong and New York stock exchanges. The Company is
engaged in the railway passenger business between Shenzhen, Guangzhou and Pingshi, providing Guangzhou-Shenzhen inter-city train service,
long-distance passenger transportation service, freight
transportation service, and the Hong Kong Through Train passenger
service in cooperation with MTR Corporation in Hong Kong, as well as entrustment
transportation service for other domestic railway companies. As at
June 30, 2013, the Company operated
233.5 pairs of passenger trains in accordance with its daily train
schedules, including 105 pairs of Guangzhou-Shenzhen trains (includes 19 pairs of spare
trains), 13 pairs of Hong Kong Through Trains (Canton-Kowloon
Through Train: 11 pairs, Zhaoqing-Kowloon Through Train: 1 pair and
Beijing (Shanghai)-Kowloon Trough Train: 1 pair), and
115.5 pairs of long-distance trains.
For further enquiries, please contact
Guangshen Railway
Company Limited
|
Hill + Knowlton
Strategies Asia
|
Mr. Guo
Xiangdong
|
Mr. Sam
Han
|
Tel: (86755)
2558 8150
|
Tel: (852) 2894
6289
|
Fax: (86755) 2559
1480
|
Email:
sam.han@hkstrategies.com
|
Ms. Grace
Deng
|
Ms. Lucinda
Mao
|
Tel: (86755)
2558 8150
|
Tel: (852) 2894
6254
|
Fax: (86755) 2559
1480
|
Email:
lucinda.mao@hkstrategies.com
|
SOURCE Guangshen Railway Company Limited