In "The Big Banks," China International Capital Corporation: China Shenhua's profit guidance last year slightly missed expectations, maintaining a "Hold" rating

The research report from Bank of China International indicates that China Shenhua (01088.HK) is expected to see a year-on-year decline in net profit of 6.3% to 14.7% in 2025, amounting to RMB 50.8 billion to 55.8 billion, which is 0.6% to 9.5% lower than the bank's forecast. This also implies a quarter-on-quarter decline in profit of 1.5% to 35.6% in the fourth quarter of last year.

The bank believes that the quarter-on-quarter profit decline is mainly due to higher costs in the coal business and changes in the sales mix, while the power business faces issues such as rising coal costs, falling electricity prices, and reduced utilization rates. The bank maintains a "Hold" rating with a target price of HKD 42.5