By Martin Mou
China Shenhua Energy Co. expects its net profit for the first half to fall 16% from a year earlier, as the Covid-19 pandemic reduced demand for its products.
Net profit is estimated to be 20.4 billion yuan ($2.91 billion), said China Shenhua, which produces and sells coal and electricity.
The company said Thursday it experienced lower sales of coal, electric power and coal chemical products, as well as reduced product prices due to the weakened demand.
A one-off investment gain in the first half of 2019 created a large base for comparison, which was partly responsible for the sharp profit fall, Shenhua said.
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