The country's three big oil majors made their full debut in 2014, as cnooc's annual report revealed on March 27th. Affected by the international oil prices halved type down, "three barrels of oil" ability to make money less, net profit totaled 214.8 billion yuan, an average day earn 588 million yuan, compared to earn 694 million yuan in 2013, a 15.3% decline sharply. Only cnooc's net profit was rising, and sinopec finished bottom of nearly 30 per cent in net profit.
The paper noted that the average asset-liability ratio of "three barrels of oil" was still around 50 per cent last year, well above the average asset-liability ratio of 20 per cent to 30 per cent for international oil companies. And the start of 2015 worse than expected, under lower oil prices, combined with high debt, the former of deep-pocketed "three barrels of oil this year had to tighten their belts for the winter, low capital expenditure continuous innovation, is expected to cut $82.7 billion in 2015.
Cnooc's 2014 annual revenue was 274.434 billion yuan, down 3.9 percent from 2858.57 billion yuan a year earlier, according to the annual report. Net income of 60.199 billion yuan, increased by 6.6% year on year, become the only "three barrels of oil" in 2014 net profit growth of oil companies, for three consecutive years to secure the position of China's second oil companies to make money, but in the first half of 2014, its net profit fell 2.3% year on year, petrochina, sinopec's net profit year-on-year growth of 4% and 4% respectively.
Behind all this reversal, the international oil price collapsed in the second half of 2014. With cnooc, volume is small, focus on overseas business is different, with upstream exploration and development as the core business of oil shock in the larger, the former is known as "Asia's most profitable company" turnover of 2.28 trillion yuan in 2014, the company increased 1.1% year on year. Among them, the price of crude oil fell, and the price of domestic refined oil products fell continuously. The net profit fell 17.3 percent year on year to 107.172 billion yuan.
It is important to note that even though oil prices tumbled down international spot price of natural gas market, but the oil does not seem to have benefit, its gas imports business still losses, natural gas sales plate net loss of 35.02 billion yuan in 2014, compared with the same loss-mitigation 6.852 billion yuan.
Sinopec has had a more difficult time, with revenues and net profits falling for the first time in nearly five years. Although thanks to its gas station network all over the country more than 30, sinopec in 2014 to $2.8 trillion in revenue ranked first, has exceeded the total revenue of petrochina and cnooc, but net income was at the bottom, an annual report showed that because oil refining chemical business losses and more than millions of employees of a large manpower cost, belongs to the company shareholder's net income of 47.43 billion yuan, fell 29.4% year on year, sinopec and cnooc has also been gradually widening gap of net profit.
Overall, the net profit of "three barrels of oil" totaled 214.8 billion yuan in 2014, with an average daily profit of 588 million yuan. Among them, petrochina earned 2.94 billion yuan on average, while cnooc earned 1.65 billion yuan on average, while sinopec earned an average of 130 million yuan per day. From 2011 to 2013, the daily average of "three barrels of oil" earned $710 million, 660 million yuan and 694 million yuan respectively. This was a worse result than previous reports, which were based on a sharp drop in oil revenue. According to the annual report, the "three barrels of oil" oil special gains in 2014 amounted to a total of 16.09 billion yuan.
It is hard to ignore that the start of 2015 has been worse than expected, and the oil price has continued to fall. That is not good for oil companies with high debt ratios. Figures show that 2014 years of oil and cnooc asset-liability ratio more than 45.7% in 2013 and 45% fell slightly, 45.2% and 42.7%, respectively, while sinopec in 2013 from 54.9% to 55.4%, far higher than the international oil companies 20% to 30% of the average asset-liability ratio.
Sinopec expects to be unprofitable in the first quarter of 2015, with profits "estimated to be near the break-even point". "In the case of low oil prices, when there is no certainty of investment, capital expenditure must be reduced." Sinopec chairman fu chengyu said it would cut capital spending to rmb136bn in 2015, down 12 per cent year on year.
"At low oil prices, the balance of cash flows is a key element to tide over." Petrochina, vice chairman and President Wang Dongjin, according to the third year in a row, petrochina will cut back on spending, in 2013 and 2013 was reduced by 10% and 10%, respectively, on the basis of capital spending to fall 10% in 2015, is expected to be 266 billion yuan.
Cnooc, for the first time, has cut its capital spending for the first time, with a planned rmb70bn to rmb90bn in 2015, down 26 to 35 per cent from the rmb108.3 billion expected in 2014.