By Tracy Qu
China Petroleum & Chemical Corporation, or Sinopec, posted a drop in net profit for 2023 amid volatility in global oil prices, a market trend it thinks will persist this year.
Profit fell 13% to 58.31 billion yuan ($8.07 billion) for the year ended December 31, 2023, from CNY66.93 billion a year earlier.
Revenue came in at CNY3.21 trillion, declining from CNY3.32 trillion in 2022. The company attributed the fall to lower crude-oil prices.
The company said it expects international oil prices to "fluctuate at medium to high levels" in 2024 due to changes in supply and demand dynamics, geopolitics, and inventory levels. Domestic demand for natural gas, refined oil products and chemicals will likely continue to grow as the Chinese economy recovers, it said.
Sinopec's Hong Kong-listed shares closed 2.8% lower on Friday, taking 12-month losses to 5.1%.
Write to Tracy Qu at tracy.qu@wsj.com
(END) Dow Jones Newswires
03-24-24 2106ET
