Yanzhou Coal Mining Company said Monday its January-June net profit fell 2.5% year on year to Yuan 4.91 billion ($771.4 million), despite revenue jumping 37.2% to Yuan 29.21 billion.
The selling price of the company's coal products averaged Yuan 644.75/mt in the first half of 2012, down 11% year on year, while sales costs rose 12.6% to Yuan 332.23/mt.
But in the the first half of the year, Yanzhou Coal produced 32.42 million mt of crude coal, up 21.2% year on year, largely due to the acquisition of the Syntech and Premier coal mines in Australia in August and September 2011, respectively. Yanzhou Coal's Australia-based subsidiary mined 6.81 million mt of coal over January-June, up 55.1% year on year.
The coal miner sold a total 43.32 million mt of coal in H1, up 56.5% year on year. Of the total, sales of captive coal -- or coal mined by the company -- stood at 29.71 million mt, up 21.2% year on year. Non-captive coal sales accounted for 13.61 million mt, sharply higher than the 3.16 million mt in the year-ago period.
The company said that in light of the Chinese government's measures to curb national coal output growth, it expects China's domestic coal prices to stop falling and stabilize in the second half of 2012.
Yanzhou Coal Mining Company is the listed subsidiary of China's Yanzhou Coal Mining Group. It did not provide a quarterly breakdown of earnings.
