Towngas profit climbs 34% to $778m

It saw a sharp increase in demand as the COVID-19 situation was taken under control in China.

Towngas China Company Limited reported its profit rose by 34% to $778m in the six months as the COVID-19 situation in China remains under control.

The group saw an increase in demand for energy as seen in its total revenue that grew by 40% to $7.77b.

“The COVID-19 pandemic of mainland China was controlled effectively which in turn recovered economic growth and sharply increased in energy demand,” Towngas said in its report.

In particular, sales revenue from the piped gas and energy segment increased by 40% to $6.51b, whilst gas connection and extended business segment saw a 20% growth to $903m and 152% to $355m, respectively.

“In the first half of the year, the group made a positive start in our business development, actively ramping up and implementing various business plans,” it said.

“Looking forward to the entire year, we will fully grasp the many opportunities available in China's economic recovery.”

During the year, its Jintan Gas Storage developed a working gas capacity of over 130 million cubic metres.

The group also actively pushed for the building of regional gas capacities, including the Tangshan LNG terminal of Hong Kong and China Gas Company Limited, its parent company.

Moving forward, the group plans to grow its clean energy demand and transform the city gas industry to achieve our main goals as we move towards a "Smart Innovation" year.

It will also scale up and improve the quality of its business development plans.