Sinopec Kantons (HKEX: 00934) reported 1H 2026 revenue of HK$353.47 million, up 14.96% year on year, supported mainly by the consolidation of Tangshan Caofeidian Shihua Crude Oil Terminal. However, profit attributable to shareholders fell 31.41% to HK$386.49 million as declining contributions from joint ventures and associates offset the top-line expansion. Basic and diluted EPS decreased to HK$0.1555 (1H 2025: HK$0.2266).

Gross profit increased 7.25% to HK$166.96 million, but operating profit slipped 16.01% to HK$141.19 million, weighed by a 27.49% drop in other income and a 31.07% rise in administrative expenses. Share of profits from joint ventures declined 44.98% to HK$158.52 million, reflecting weaker throughput at domestic terminal affiliates, lower tank-leasing income at Fujairah Oil Terminal amid Middle East tensions, and the reclassification of Caofeidian Shihua from a JV to a subsidiary. Associate earnings fell 27.14% to HK$30.25 million, mainly due to reduced volumes at Zhanjiang Port Petrochemical.

Finance income softened 3.91% to HK$127.02 million, while finance costs remained low at HK$0.62 million. After a 6.36% rise in tax expenses to HK$69.96 million, net profit settled at HK$386.40 million.

Balance-sheet strength improved: total assets reached HK$17.30 billion (+2.62% versus end-2025), bolstered by a 46.4% rise in non-current time deposits to HK$5.79 billion. Cash and time deposits (original maturities >3 months) totalled HK$8.04 billion, and the group remained debt-free, keeping the gearing ratio at zero. Equity attributable to shareholders rose 2.25% to HK$16.88 billion; the liabilities-to-assets ratio stayed low at 2.09%.

The board declared an interim dividend of HK$0.10 per share (unchanged year on year), payable on or around 24 September 2026 to shareholders on record as of 9 September 2026.

Operationally, domestic crude-oil terminal throughput contracted 33.17% to 53.04 million tonnes, reflecting lower refinery utilization and the liquidation of Rizhao Shihua. Overseas storage occupancy rates fell: Fujairah Oil Terminal’s utilisation dropped to 85.8% (1H 2025: 98.5%) and Vesta’s Belgian and Dutch sites recorded occupancy of 98% and 84.4%, respectively. The LNG shipping fleet completed 45 voyages, transporting 7.44 million m³ of LNG, contributing HK$54.10 million to profits (+49.42%).

During the period, Sinopec Kantons completed the step acquisition of Caofeidian Shihua, remeasuring its prior stake to fair value and recognising HK$40.9 million gain alongside a HK$74.7 million exchange-reserve recycling loss. The transaction added HK$323.57 million in non-current assets and HK$10.84 million of goodwill; non-controlling interests totalled HK$53.94 million.

Management flagged ongoing geopolitical risks in the Middle East, safety/environmental obligations, and currency volatility as key uncertainties. The group continues to prioritise cost control, capital discipline and risk management while targeting high-quality growth across domestic crude-oil terminals, overseas storage, and LNG logistics.