Sinopec net profit fell 30% in 2014

Net profit at state-owned China Petroleum & Chemical (Sinopec) fell 30% in 2014, South China Morning Post reported, citing a statement to the Shanghai stock exchange. The company said it expects to more or less break even in the first quarter as it “digested high cost crude oil and refined oil product inventories” while crude oil prices plunged. Earnings for last year of RMB46.47 billion (US$7.474 billion) fell well short of analyst estimates, likely due in part to unexpected hedging losses. Revenue last year declined 1.9% to RMB2.83 trillion (US$455.2 billion). The company said it planned to cut oil output by around 3.6%, but raise total gas output by 24% this year.