SECURITIES AND EXCHANGE COMMISSION

Washington D.C. 20549

 

 

FORM 6-K

 

 

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of January 2024

Commission File Number: 1-12158

 

 

Sinopec Shanghai Petrochemical Company Limited

(Translation of registrant’s name into English)

 

 

No. 48 Jinyi Road, Jinshan District, Shanghai, 200540

The People’s Republic of China

(Address of principal executive offices)

 

 

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

Form 20-F ☒    Form 40-F ☐

 

 

 


EXHIBITS

 

Exhibit

Number

    
99.1    Major Operating Data of the 2023 Financial Year
99.2    Profit Warning—Announcement on Estimated Loss in Annual Results of 2023

Disclaimer—Forward-Looking Statements

We may, in this document, make certain statements that are not historical facts and relate to analyses and other information which are based on forecasts of future results and estimates of amounts not yet determinable. These statements may also relate to our future prospects, expectations, developments and business strategies. Words such as “believe”, “anticipate”, “expect”, “intend”, “seek”, “will”, “plan”, “could”, “may”, “endeavor”, “target”, “forecast” and “project” and similar expressions are intended to identify such forward-looking statements but are not the exclusive means of identifying such statements. By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and there are risks that the predictions, forecasts, projections, and other forward-looking statements will not be achieved. If one or more of these risks materialize, or should underlying assumptions prove incorrect, our actual results may differ materially from those anticipated. You should understand that a number of important factors could cause actual results to differ materially from the plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements. These factors and others are discussed more fully under the section titled “Item 3. Key Information—C. Risk Factors” in our most recent annual report on Form 20-F filed on April 26, 2023, and in other filings with the United States Securities and Exchange Commission. The list of factors discussed therein is not exhaustive; when relying on forward-looking statements to make investment decisions, you should carefully consider both these factors and other uncertainties and events. Forward-looking statements apply only as of the date on which they are made, and we do not undertake any obligation to update or revise any of them, whether as a result of new information, future events or otherwise.

 

2


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

    SINOPEC SHANGHAI PETROCHEMICAL COMPANY LIMITED
Date: January 24, 2024     By:  

/s/ Wan Tao

    Name:   Wan Tao
    Title:   Chairman of the Board of Directors

 

3

Exhibit 99.1

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

 

LOGO

Sinopec Shanghai Petrochemical Company Limited

LOGO

(A joint stock limited company incorporated in the People’s Republic of China)

(Stock Code: 00338)

Major Operating Data of the 2023 Financial Year

According to Rule 15 of the Guidelines of the Shanghai Stock Exchange for Self-regulatory Guidelines for Listed Companies No.3 – Industry Information Disclosure No.13 – Chemical Industry, Sinopec Shanghai Petrochemical Company Limited (the “Company”, together with its subsidiaries, the “Group”) hereby announces the major operating data for the twelve months ended 31 December 2023 as follows:

 

I.

MAJOR OPERATING DATA OF THE 2023 FINANCIAL YEAR

 

Product

   Production
volume
(10,000 tons)
     Sales volume
(10,000 tons)
     Sales
revenue
(RMB1,000)
 

Petroleum products

        

Diesel

     339.23        340.39        22,752,021  

Gasoline

     334.89        335.20        28,705,944  

Jet Fuel note 1

     192.54        132.08        7,731,896  

Intermediate petrochemicals

        

PX note 2

     70.72        70.87        5,261,758  

Benzene note 1

     37.27        34.43        2,199,214  

Ethylene Glycol note 2

     7.19        6.05        219,671  

Ethylene Oxide

     11.97        11.47        639,636  

Ethylene note 2

     64.11        —         —   

Resins and plastics

        

PE

     52.56        49.84        3,815,764  

PP

     42.18        40.64        3,006,997  

Polyester chips note 1 note 2

     3.77        3.81        224,093  

Synthetic fibres

        

Acrylics

     2.14        2.42        331,064  

 

- 1 -


Note 1: Sales volume excluded materials processed on a sub-contract basis.

Note 2: Part of the difference between the production volume and sales volume is for internal use.

The above data for sales volume and sales revenue does not include the data for the Group’s trading of petrochemical products.

 

II.

CHANGE IN PRICES OF MAJOR PRODUCTS AND RAW MATERIALS IN THE 2023 FINANCIAL YEAR

Unit: RMB/ton

 

Product

   The average
price in the
2023 financial
year
     The average
price in the
2022 financial
year
     Year-on-year
Change
    Compared with
the fourth
quarter of 2023
 

Diesel

     6,684        7,158        -6.62     2.02

Gasoline

     8,564        8,901        -3.79     1.44

Jet Fuel

     5,854        6,495        -9.87     5.69

Ethylene

     —         —         —        —   

PX

     7,425        7,433        -0.11     -5.86

Benzene

     6,388        6,920        -7.69     1.69

Ethylene

          

Glycol

     3,634        4,136        -12.13     —   

Ethylene Oxide

     5,578        6,561        -14.98     —   

PE

     7,656        8,703        -12.03     0.24

PP

     7,399        8,186        -9.62     4.12

Polyester chips

     5,882        6,385        -7.88     —   

Acrylics

     13,706        15,794        -13.22     -6.10

 

- 2 -


Raw material

   The average
processing cost
in the 2023
financial year
     The average
processing cost
in the 2022
financial year
     Year-on-year
Change
    Compared with
the fourth
quarter of 2023
 

Crude oil

     4,358        4,683        -6.94     11.39

 

III.

MISCELLANEOUS

The above-mentioned operating data was calculated based on the internal statistics of the Company and is intended to provide an overview of the production and operation of the Company to the investors on a timely basis. The operating data is unaudited and does not make any express or implied forecasts or guarantees in respect of the Company’s future operating conditions. Investors are advised to exercise caution when using such information.

By Order of the Board

Sinopec Shanghai Petrochemical Company Limited

Liu Gang

Joint Company Secretary

Shanghai, the PRC, 23 January 2024

As at the date of this announcement, the executive directors of the Company are Wan Tao, Guan Zemin, Du Jun and Huang Xiangyu; the non-executive directors of the Company are Xie Zhenglin and Qin Zhaohui; and the independent non-executive directors of the Company are Tang Song, Chen Haifeng, Yang Jun, Zhou Ying and Huang Jiangdong.

 

- 3 -

Exhibit 99.2

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

 

LOGO

Sinopec Shanghai Petrochemical Company Limited

 

LOGO

(A joint stock limited company incorporated in the People’s Republic of China)

(Stock Code: 00338)

PROFIT WARNING

ANNOUNCEMENT ON ESTIMATED LOSS IN ANNUAL RESULTS OF 2023

This announcement is made by Sinopec Shanghai Petrochemical Company Limited (the “Company”) pursuant to Part XIVA of the Securities and Futures Ordinance (Cap. 571 of the Laws of Hong Kong) and Rule 13.09 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited.

The board of directors of the Company (the “Board”) and all the members of the Board warrant that there are no false representation, misleading statements or material omissions, and accept legal responsibilities for the truthfulness, accuracy and completeness of its contents.

Important Notice:

 

   

Under the China Accounting Standards for Business Enterprises, the Group estimates to record a net loss attributable to equity shareholders of the Company of approximately RMB1,265 million to RMB1,546 million in 2023.

 

   

Under the China Accounting Standards for Business Enterprises, the Group estimates to record a net loss attributable to equity shareholders of the Company after deducting non-recurring items of approximately RMB1,247 million to RMB1,525 million in 2023.

 

- 1 -


1.

ESTIMATED RESULTS OF THE PERIOD

 

  (1)

Period of estimated results: 1 January 2023 to 31 December 2023 (the “Period”).

 

  (2)

Estimated results: based on preliminary estimates by the finance department of the Company, the Company and its subsidiaries (the “Group”) estimate to record a net loss attributable to equity shareholders of the Company of approximately RMB1,265 million to RMB1,546 million as of 31 December 2023. The Group estimates that the net loss attributable to the equity shareholders of the Group after deducting non-recurring items will be approximately RMB1,247 million to RMB1,525 million as of 31 December 2023. Specific financial figures will be disclosed in the 2023 annual report of the Company.

 

  (3)

The estimated results have not been reviewed or audited by certified public accountants.

 

2.

RESULTS FOR THE CORRESPONDING PERIOD OF THE PREVIOUS YEAR

 

     Under the China
Accounting
Standards for
Business Enterprises
 

Net profit/(loss) attributable to equity shareholders of the Company (RMB’000)

     (2,872,072

Net profit/(loss) attributable to the equity shareholders of the Company after deducting non-recurring items (RMB’000)

     (2,790,773

Earnings/(loss) per share (RMB per share)

     (0.265

 

3.

MAJOR REASONS FOR ESTIMATED LOSS IN THE RESULTS FOR THE PERIOD

In 2023, the crude oil prices fluctuated widely and the market demand was sluggish. The price difference between chemical products and raw materials remained at a low level, and profit margins were narrow. The decrease in the average price of major petrochemical products of the Company exceeded the decrease in the average processing cost of the crude oil. In addition, the Company’s investment income was unsatisfactory, etc. The combination of the above reasons led to a loss in the Company’s operating results.

 

4.

RISK WARNING

The Company does not have any significant uncertainties that will affect the accuracy of the contents of this estimated results.

 

- 2 -


5.

OTHER INFORMATION

The estimated figures above are based on preliminary assessment only. Specific and accurate financial figures will be disclosed in the 2023 annual report to be officially published by the Company. Investors are advised to pay attention to the investment risk.

By Order of the Board

Sinopec Shanghai Petrochemical Company Limited

Liu Gang

Joint Company Secretary

Shanghai, the PRC, 23 January 2024

As at the date of this announcement, the executive directors of the Company are Wan Tao, Guan Zemin, Du Jun and Huang Xiangyu; the non-executive directors of the Company are Xie Zhenglin and Qin Zhaohui; and the independent non-executive directors of the Company are Tang Song, Chen Haifeng, Yang Jun, Zhou Ying and Huang Jiangdong.

 

- 3 -


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