cement has come. The increase of acquisition and management cost of mineral resources, the increase of environmental protection cost, the increase of investment in energy saving and consumption reduction, the need for digital and intelligent upgrading, and the increase of labor costs constitute the cost pressure faced by cement enterprises.
Shangfeng Cement said in its semi-annual report of 2024 that the purchase cost of coal, electricity and other energy consumption in the company's cement products accounted for more than 50% of the total cost of the products on average, and once the coal price rose considerably, the company's production cost would face upward pressure. If the resulting cost increases can not be fully transmitted to product prices, it will have a negative impact on the company's profits. With the rising cost of safety, environmental protection and labor, the cost pressure of enterprises will further increase.
In response to this situation, Shangfeng Cement will continue to pay attention to the changes in the supply and demand of coal and other raw materials, reform the raw coal procurement methods, and give full play to the advantages of large-scale procurement. Reduce procurement costs; accelerate the research and development and application of technologies in the field of fuel substitution and clean energy, reduce the proportion of traditional energy use, persist in promoting energy-saving and consumption-reducing technological transformation, continuously improve the technological level, and further reduce the coal and electricity consumption indicators. In addition, the company continues to promote the construction of clean production and intelligent factories, constantly optimize the technical indicators of environmental protection facilities, and reduce the cost of environmental protection investment.
It is understood that in the first half of 2024, Shangfeng Cement realized an operating income of 2.392 billion yuan, a year-on-year decrease of 25.44%; an operating cost of 1.784 billion yuan, a year-on-year decrease of 20.80%; a net profit attributable to shareholders of listed companies of 171 million yuan, a year-on-year decrease of 67.85%. The year-on-year decrease in
operating costs was due to the year-on-year decrease in coal prices in the first half of 2024, which affected the year-on-year decrease in manufacturing costs, the continuous progress in cost reduction and efficiency enhancement of the Company, and the year-on-year decrease in controllable manufacturing costs of clinker and cement.
