Enhanced Industrial Synergy, Solid Financial Performance, and Promising Shareholder Returns

On August 27, ENN Natural Gas Co., Ltd. (“ENN NG” or “the Company”, Stock Code: 600803.SH) announced its interim results for 2025. Despite global uncertainties and heightened volatility in the energy market, the Company delivered counter-cyclical growth by leveraging a resilient business foundation and innovative business model.

During the reporting period, total natural gas sales reached 20.33 billion cubic meters, up 6.4% year-on-year. Operating cash flow increased 15.7% to CNY 5.573 billion. A solid business and financial base provides strong support for sustained shareholder returns. For 2025, cash dividend per share will not be less than CNY 1.14. Following the completion of the major asset restructuring, annual cash dividend payout for 2026–2028 will be no less than 50% of core profit attributable to shareholders.

Diversified Portfolio Driving Synergy and Unlocking Value

1.     Steady Growth in Natural Gas Business

ENN NG continued to pursue a volume-driven strategy by expanding its customer base, optimizing resource allocation, and improving operational efficiency. Platform trading sales reached 2.69 bcm, retail sales 12.95 bcm, and wholesale sales 4.69 bcm. By aggregating demand across multiple channels and aligning resources, the Company further strengthened customer reach and service depth, reinforcing demand-side momentum.

The GreatGas platform also made progress in capability building. More than 30 professional capability products have been validated, initially forming a closed loop of capability building, product rollout, and value realization.

On the supply side, ENN NG expanded its diversified resource portfolio to meet customers’ needs for cost-effective and flexible energy. Leveraging overseas platforms for flexible spot procurement, combined with domestic optimization, the Company achieved a balance between cost efficiency and supply stability. Supply resilience was further enhanced through resource swaps and portfolio optimization, enabling more competitive service solutions.

In infrastructure, Phase III of the Zhoushan LNG Receiving Terminal was completed and commissioned. With four new storage tanks and supporting facilities, the terminal’s annual processing capacity now exceeds 10 million tons. Its subsea pipeline network can deliver 8 bcm per year, significantly strengthening resource security and delivery capacity in East China and the Yangtze River Delta. During the reporting period, Zhoushan handled 1.137 million tons of LNG, up 11.7%. The Company also expanded services including bonded storage, bunkering, leasing, and seasonal trading, improving utilization through third-party inflows and ecosystem partnerships.

In trading and risk management, ENN NG continued to build its industry-leading ETMO digital risk management system. With risk management embedded at the core of trading operations, the Company expanded diversified hedging tools to mitigate exposure and cushion market volatility. Amid growing demand from energy enterprises for risk solutions, ENN NG promoted innovative practices and ecosystem cooperation to help customers manage uncertainty. In the first half, Tianjin International Trading Center recorded 2.35 million tons of trading volume with a transaction value of CNY 10.3 billion.

2.     Steady Growth in Integrated Energy Business

Newly installed solar PV capacity totaled 324.46 MW, up 231% year-on-year. Total operating and under-construction capacity reached 15.0 GW, up 9.2%. The Company accelerated PV, energy storage, and efficiency retrofit projects in energy-intensive industrial parks and among specialized enterprises, further unlocking value in the integrated energy business.

3.     Expansion in Smart Home Business

The smart home segment served more than 32.07 million households, with an overall penetration rate of 10.4% and average revenue per household of CNY 649. Proprietary Gratle products recorded 60% sales growth. Smart products and services, including the safety Guardian portfolio, achieved contracted sales of CNY 553 million, up 81%, indicating strong scalability in this business line.

Clean Energy Innovation Gains Market Recognition

ENN NG advanced clean energy technology development. A 30 kW SOEC high-temperature electrolysis prototype completed trial runs at the Luoyang base. The 50 kW SOFC power system, fueled by coke oven gas, achieved stable demonstration operation, the first of its kind in China to use low-calorific coke oven gas. The Company also made breakthroughs in IGFC and clean coal-to-gas utilization.

ENN NG further strengthened its ESG leadership under the “WISE” philosophy. The Company’s MSCI ESG rating was upgraded to AAA. It was included in the Hang Seng A-share Sustainability Index, the S&P Global Sustainability Yearbook (China Edition) 2025, and the Fortune China ESG Leadership List. These recognitions reflect ENN NG’s leading role in green transition and long-term value creation.

Outlook: Continuing the Transition and Creating Sustainable Value

Looking ahead, ENN NG will remain committed to its energy transition mission. The Company will deepen its natural gas business, accelerate R&D and industrial application of green and low-carbon technologies, and strengthen governance and sustainability practices. With resilient performance and expanding growth momentum, ENN NG will continue to build a solid foundation for long-term development and create sustainable value for shareholders, customers, and society.