Towngas Smart Energy Company reports 1 percent drop in net profit last year

Towngas Smart Energy Company (1083) net profit dropped 1 percent to HK$1.58 billion last year, according to a filing released on Wednesday.

A final dividend of HK14 cents per share was declared, bringing the total dividends to HK19 cents.

Revenue decreased 2 percent to HK$20.91 billion, while core operating profit fell 1.7 percent to HK$1.57 billion.

Revenue from the gas business fell 1 percent to HK$19.25 billion, while revenue from the renewable energy business fell nearly 11 percent to HK$16.59 million.

Besides, gas sales volume increased by 1 percent to 17.37 billion cubic metres. With the steady implementation of cost pass-throughs during the year, the dollar margin for city-gas rose to 0.58 yuan per cubic metre. 

The number of city-gas customers increased over 4 percent to 18.39 million last year.

Peter Wong Wai-yee, the company's chief executive officer, believes China will take measures to curb the rise in gas prices amid the conflict in the Middle East and the company will implement internal cost-control measures.