Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibilities 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.
(a joint stock limited company incorporated in the People's Republic of China with limited liability)
This announcement is made pursuant to Rule 13.09 and Rule 13.10B of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited and the Inside Information Provisions under Part XIVA of the Securities and Futures Ordinance (Chapter 571, Laws of Hong Kong).
By Order of the Board
China Petroleum & Chemical Corporation Zhang ZhengSecretary to the Board of Directors
Beijing, the PRC, 28 April 2026
As of the date of this announcement, directors of the Company are: Hou Qijun*, Zhao Dong*, Zhong Ren*, Wan Tao#, Niu Shuanwen#, Cai Yong*, Xu Lin+, Zhang Liying+, Liu Tsz Bun Bennett+, Zhang Xiliang+, Li Wei+ and Wang Shijie*.
# Executive Director
* Non-executive Director
+ Independent Non-executive Director
China Petroleum & Chemical Corporation The First Quarterly Report for 202628 April 2026 Beijing, China
Important noticeThe Board of Directors of China Petroleum & Chemical Corporation (the "Company") and its directors and senior management warrant the authenticity, accuracy and completeness of the information contained in this quarterly report and there are no false representations, misleading statements or material omissions, and severally and jointly accept full responsibility.
This first quarterly report for 2026 was approved at the 12th meeting of the Ninth Session of the Board of Directors of the Company. All directors attended this meeting and considered this quarterly report.
Mr. Hou Qijun, Chairman of the Board of Directors, Mr. Wan Tao, President, Ms. Shou Donghua, Chief Financial Officer and Head of the Financial Department of the Company warrant the authenticity, accuracy and completeness of the financial statements contained in this quarterly report.
The financial statements in this quarterly report were not audited.
-
Principal financial data
Principal financial data and indicators
Principal financial data and indicators prepared in accordance with China Accounting Standards for Business Enterprises (CASs)
RMB million
Three-month period ended 31 March
2026
Three-month period ended 31 March
2025
Change
(%)
Operating income
706,695
735,356
(3.9)
Profit before taxation
24,206
18,252
32.6
Net profit attributable to equity shareholders of the Company
17,006
13,264
28.2
Net profit attributable to equity shareholders of the Company excluding extraordinary gains
and losses
17,087
13,223
29.2
Net cash flow (used in)/ generated from operating activities
(5,558)
8,138
-
Basic earnings per share (RMB)
0.141
0.109
29.4
Diluted earnings per share (RMB)
0.141
0.109
29.4
Weighted average return on net assets (%)
2.04
1.60
0.44
percentage
points
RMB million
As of 31
March 2026
As of 31
December 2025
Change
(%)
Total assets
2,255,913
2,155,617
4.7
Total equity attributable to equity shareholders
of the Company
833,137
830,324
0.3
Extraordinary items and corresponding amounts
RMB million
Extraordinary items
Three-month period ended 31 March 2026
(income)/expenses
Net gain on disposal of non-current assets
(186)
Donations
9
Government grants
(164)
Gains on holding and disposal of various investments
(65)
Other extraordinary expenses, net
392
Subtotal
(14)
Tax effect
69
Total
55
Attributable to:
Equity shareholders of the Company
81
Minority interests
(26)
Principal financial data and indicators prepared in accordance with IFRS Accounting Standards
RMB million
Three-month period ended 31 March
2026
Three-month period ended 31 March
2025
Change
(%)
Revenue
706,695
735,356
(3.9)
Operating profit
25,731
20,895
23.1
Profit attributable to shareholders of the Company
17,739
13,975
26.9
Net cash (used in)/ generated from operating activities
(5,558)
8,138
-
Basic earnings per share (RMB)
0.147
0.115
27.8
Diluted earnings per share (RMB)
0.147
0.115
27.8
Return on capital employed (%)
1.87
1.62
0.25
percentage
points
RMB million
As of 31
March 2026
As of 31
December 2025
Change
(%)
Total assets
2,253,781
2,153,485
4.7
Total equity attributable to shareholders of the Company
830,286
827,463
0.3
Significant changes in major items contained in the consolidated financial statements prepared in accordance with CASs.
Items
For three-month period ended
31 March
Increase/(Decrease)
Main reasons for changes
2026
2025
Amount
Percentage
RMB
million
RMB
million
RMB
million
(%)
Profit before taxation
24,206
18,252
5,954
32.6
Mainly due to the inventory gain resulting from the increased prices of crude oil, and improved margins of
refining by-products.
Net cash flow (used in)/ generated from operating activities
(5,558)
8,138
(13,696)
-
Mainly due to the increased payment of margin deposits of hedging business and operating capital such as inventories, caused by the rising prices of international crude oil.
-
Shareholders information
Total number of shareholders and top ten shareholders at the end of the reporting period
Total number of ordinary shareholders at the end of the
reporting period
Total number of shareholders was 690,459, including 685,442 holders of A shares and 5,017 holders of H shares.
The shareholdings of top ten shareholders (excluding shares lent through refinancing) 1
Name of shareholder
Nature of shareholde r
Total number of shares held (share)
Perce ntage (%)
Number of restricted shares held (share)
Shares subject to
pledges, marked or freezing
Status
Amount (share)
China Petrochemical Corporation
State-owned share
83,180,556,253
68.79
2,390,438,247
None
-
HKSCC Nominees Limited 2
H share
23,647,983,793
19.56
-
Unknown
Unknown
中国石油天然气集 团有限公司
A share
2,165,749,530
1.79
-
None
-
中国证券金融股份 有限公司
A share
1,978,558,034
1.64
-
None
-
香港中央结算有限 公司
A share
561,765,398
0.46
-
None
-
国新宏盛投资（北 京）有限公司
A share
495,725,348
0.41
-
None
-
中国人寿保险股份有限公司－传统－普通保险产品－005L－ CT001 沪
A share
374,139,453
0.31
-
None
-
中央汇金资产管理有限责任公司
A share
315,223,600
0.26
-
None
-
国丰兴华（北京）私 募基金管理有限公司－国丰兴华鸿鹄志远
三期私募证券投资 基金 1 号
A share
304,958,594
0.25
-
None
-
国信证券股份有限 公司
A share
235,375,724
0.19
-
Pledged
109,603,10
0
Note 1: Compared to shareholders' holdings at the end of 2025, 国信证券股份有限公司 was newly added to the list of the top ten shareholders, while 中国工商银行－上证 50 交易型开放式指数证券投资基金 withdrew from top ten shareholders.
Note 2: Sinopec Century Bright Capital Investment Limited, an overseas wholly-owned subsidiary of China Petrochemical Corporation, held 1,404,842,000 H shares, accounting for 1.16% of the total issued share capital of the Company. Those shareholdings were included in the total number of the shares held by HKSCC Nominees Limited.
The shareholdings of top ten shareholders with non-restricted shares (excluding shares lent through refinancing)
Name of shareholder
Number of non-restricted shares held (share)
Class and number of shares
Class
Amount (share)
China Petrochemical Corporation
80,790,118,006
RMB ordinary share
80,790,118,006
HKSCC Nominees Limited
23,647,983,793
Overseas listed foreign share
23,647,983,793
中国石油天然气集团 有限公司
2,165,749,530
RMB ordinary share
2,165,749,530
中国证券金融股份有 限公司
1,978,558,034
RMB ordinary share
1,978,558,034
香港中央结算有限公 司
561,765,398
RMB ordinary share
561,765,398
国新宏盛投资（北京 ）有限公司
495,725,348
RMB ordinary share
495,725,348
中国人寿保险股份有限公司－传统
－普通保险产品－005L－CT001 沪
374,139,453
RMB ordinary share
374,139,453
中央汇金资产管理有 限责任公司
315,223,600
RMB ordinary share
315,223,600
国丰兴华（北京）私 募基金管理有限公司－国丰兴华鸿鹄志远三期私募
证券投资基金 1 号
304,958,594
RMB ordinary share
304,958,594
国信证券股份有限公 司
235,375,724
RMB ordinary
share
235,375,724
Shareholders holding more than 5% of the shares, top ten shareholders and top ten shareholders with non-restricted shares have not participated in lending of shares through refinancing.
Statement on the connected relationship or acting in concert among the aforementioned shareholders:The Company is not aware of any connected relationship or acting in concert among or between the above-mentioned top ten shareholders.
-
Review of operating results
In the first quarter of 2026, China's economy maintained stable growth, registering a GDP growth of 5.0% year-on-year. Affected by the geopolitical conflict in the Middle East, international crude oil prices increased significantly, with the spot price of Platts Brent averaged USD80.6 per barrel, up by 6.5% year-on-year. Based on the Company's statistics, domestic demand for natural gas increased by 3.1% year-on-year. Mainly affected by alternative energy, domestic consumption of refined oil products declined by 2.3% year-on-year. The domestic demand for chemicals went up steadily, with the consumption of ethylene equivalent and the apparent consumption of PX increased by 1.0% and 6.5% year-on-year respectively, the apparent consumption of synthetic resin and synthetic fiber rose by 0.8% and 4.6% year-on-year respectively, and the apparent consumption of synthetic rubber fell by 0.4% year-on-year.
In the first quarter of 2026, the Company strengthened market research, particularly in response to the impact of the Middle East geopolitical conflicts since March, dynamically adjusted production and operation arrangements to maintain steady operation of the whole industrial chain. In accordance with CASs, net profit attributable to equity shareholders of the Company was RMB17.006 billion in the first quarter of 2026, up by 28.2% year-on-year. In accordance with IFRS Accounting Standards, net profit attributable to shareholders of the Company was RMB17.739 billion in the first quarter of 2026, up by 26.9% year-on-year.
Exploration and Production: The Company intensified the exploration and development efforts, striving to increase production and achieve good performance. In terms of exploration, significant breakthroughs were made in tight gas in Northern Sichuan and coalbed methane in the Southern Ordos. In terms of development, we accelerated the construction of key projects such as Tahe, West Junggar, and offshore fields, strengthened the development of shale oil, and proceeded with the fine development in mature oil and gas fields. At the same time, we further boosted the synergy of production, supply, storage and sales to enhance the profitability of the natural gas business. In thefirst quarter, the Company's production of oil and gas was 131.49 million barrels of oil equivalent, up by 0.4% year-on-year, among which, the crude oil production totaled 69.80 million barrels and natural gas production reached 370.0 billion cubic feet. The exploration and production segment realised earnings before interest and tax (EBIT) of RMB13.047 billion.
Exploration and Production
Unit
Three-month period ended 31 March
Changes
2026
2025
(%)
Oil and gas production
million boe
131.49
130.97
0.4
Crude oil production
million barrels
69.80
69.53
0.4
China
million barrels
63.41
62.81
1.0
Overseas
million barrels
6.39
6.72
(4.9)
Natural gas production
billion cubic feet
370.00
368.43
0.4
Realised crude oil price
USD/barrel
71.69
71.50
0.3
Realised natural gas price 1
RMB/cubic meter
2.13
2.38
(10.5)
Note 1: The average realised price of natural gas sold by exploration and production segment, including self-produced natural gas and LNG.
Refining: Facing the complex and volatile external environment, the Company adhered to synergy of production and marketing, insisted on the coordination across trading, storage, transportation and production, and refined the resource procurement structure and pacing to ensure a stable supply. Based on market demand and profitability, we optimised the utilisation rate, adjusted the product mix, and produced more products such as high-end carbon materials, lubricant and grease to enhance the profitability of refining by-products. In the first quarter, the Company processed 62.02 million tonnes of crude oil, and produced 38.06 million tonnes of refined oil products, up by 2.3% year-on-year. The refining segment realised EBIT of RMB18.936 billion.Refining
Unit
Three-month period ended 31 March
Changes
(%)
2026
2025
Refinery throughput
million tonnes
62.02
62.13
(0.2)
Gasoline, diesel and kerosene production
million tonnes
38.06
37.19
2.3
Gasoline
million tonnes
16.41
16.18
1.4
Diesel
million tonnes
12.98
12.70
2.2
Jet fuel
million tonnes
8.67
8.31
4.3
Light chemical feedstock production
million tonnes
9.90
11.33
(12.6)
Note: Includes 100% of the production from domestic joint ventures.
Marketing and Distribution: The Company fully leveraged on its integration and network advantages, optimised operating strategies, actively expanded the market and boosted sales, with the rising sales volume of premium gasoline and further enhancement of domestic market share for refined oil products. We stepped up efforts in expanding network for gas refueling, EV charging and battery swapping, proactively promoted hydrogen mobility, and achieved significant volume growthin automotive LNG refueling, EV charging and hydrogen refueling. We accelerated the development of the "vehicle ecosystem" and "home lifestyle" model to improve Easy Joy service quality. In the first quarter, domestic sales volume of refined oil products was 43.42 million tonnes, up by 0.6% year-on-year. The marketing and distribution segment realised EBIT of RMB6.312 billion.
Marketing and Distribution
Unit
Three-month period ended 31 March
Changes
(%)
2026
2025
Total sales volume of refined oil products
million tonnes
55.46
55.59
(0.2)
Domestic sales volume of refined oil products
million tonnes
43.42
43.17
0.6
Retail sales
million tonnes
27.75
27.43
1.2
Direct sales and Distribution
million tonnes
15.67
15.73
(0.4)
Note: The total sales volume of refined oil products includes the amount of refined oil sales and trading volume.
Chemicals: Facing tough environment of continuously narrowing chemical margins, the Company continuously optimised the structure of feedstock to reduce costs of raw material. We dynamically adjusted the utilisation rate and product mix to promote efficient resource allocation. With further coordination of production, sales, R&D and application, we sped up the development of new chemical materials such as POE. In the first quarter, the ethylene production was 3.553 million tonnes. We strived to deepen strategic partnerships and explore overseas market. Total chemical sales volume reached 20.06 million tonnes. The chemicals segment realised EBIT of RMB-1.334 billion.Chemicals
Unit
Three-month period ended 31 March
Changes
(%)
2026
2025
Ethylene
thousand tonnes
3,553
3,861
(8.0)
Synthetic resin
thousand tonnes
5,138
5,679
(9.5)
Monomers and polymers for synthetic fiber
thousand tonnes
2,838
2,596
9.3
Synthetic fiber
thousand tonnes
297
293
1.4
Synthetic rubber
thousand tonnes
380
411
(7.5)
Note: Including 100% production of domestic joint ventures.
Capital Expenditure: In the first quarter, the total capital expenditure was RMB25.168 billion. The capital expenditure of the E&P segment was RMB15.586 billion, mainly for the crude capacity building in Jiyang and Tahe, natural gas capacity building in West and South Sichuan, and oil and gas storage and transportation facilities. The capital expenditure of the refining segment was RMB3.757 billion, mainly for Guangzhou Petrochemical revamping and Maoming Refining upgrading projects, etc. The capital expenditure of the marketing and distribution segment was RMB1.136 billion, mainly for the development of the integrated energy station network. The capital expenditure of the chemical segment was RMB4.208 billion, mainly for the aromatics project in Jiujiang and ethylene project in Maoming, etc. The capital expenditure of corporate and others was RMB0.481 billion, mainly for R&D and digital intelligent projects, etc. -
Other significant events
- Progress of share increase in the Company by China Petrochemical Corporation According to notice from China Petrochemical Corporation, China Petrochemical Corporation and its wholly-owned subsidiary had increased their shareholdings by 89,196,178 shares of the Company during the reporting period.
This report is published in both Chinese and English languages. In the event of any inconsistency between the two versions, the Chinese version shall prevail.
By Order of the Board Hou Qijun Chairman
28 April 2026
Appendix
Quarterly financial statements prepared under China Accounting Standards for Business Enterprises (CASs)
Consolidated Balance Sheet
As at 31 March 2026 Prepared by: China Petroleum & Chemical Corporation
Units: million Currency: RMB Type: unaudited
Items
At 31 March 2026
At 31 December 2025
Current assets:
Cash at bank and on hand
156,123
152,318
Financial assets held for trading
4
4
Derivative financial assets
13,852
1,362
Accounts receivable
65,884
51,172
Receivables financing
18,555
5,340
Prepayments
6,206
5,057
Other receivables
66,995
38,011
Inventories
258,586
230,811
Other current assets
34,242
38,666
Total current assets
620,447
522,741
Non-current assets:
Long-term equity investments
253,566
252,114
Other equity instrument investments
8,401
7,156
Fixed assets
762,369
770,264
Construction in progress
202,613
195,196
Right-of-use assets
164,286
164,188
Intangible assets
147,000
148,260
Goodwill
5,472
5,476
Long-term deferred expenses
12,225
12,539
Deferred tax assets
23,513
20,082
Other non-current assets
56,021
57,601
Total non-current assets
1,635,466
1,632,876
Total assets
2,255,913
2,155,617
Consolidated Balance Sheet (Continued)
Current liabilities:
Short-term loans
64,713
29,455
Derivative financial liabilities
38,198
5,676
Bills payable
60,589
66,457
Accounts payable
202,090
197,002
Contract liabilities
128,553
126,395
Employee benefits payable
15,943
11,509
Taxes payable
44,670
35,296
Other payables
100,827
99,619
Non-current liabilities due within one year
87,251
110,557
Other current liabilities
18,081
16,587
Total current liabilities
760,915
698,553
Non-current liabilities:
Long-term loans
187,550
182,968
Debentures payable
78,268
52,296
Lease liabilities
158,388
157,407
Provisions
51,418
51,086
Deferred tax liabilities
5,705
6,401
Other non-current liabilities
18,655
17,134
Total non-current liabilities
499,984
467,292
Total liabilities
1,260,899
1,165,845
Shareholders' equity:
Share capital
120,926
120,926
Capital reserve
124,891
124,818
Other comprehensive income
(8,263)
6,726
Specific reserve
2,790
2,073
Surplus reserves
231,226
231,226
Retained earnings
361,567
344,555
Total equity attributable to shareholders of
the Company
833,137
830,324
Non-controlling interests
161,877
159,448
Total shareholders' equity
995,014
989,772
Total liabilities and shareholders' equity
2,255,913
2,155,617
Hou Qijun
Wan Tao
Shou Donghua
Chairman
(Legal representative)
President
Chief Financial Officer
Balance Sheet
As at 31 March 2026 Prepared by: China Petroleum & Chemical Corporation
Units: million Currency: RMB Type: unaudited
Items
At 31 March 2026
At 31 December 2025
Current assets：
Cash at bank and on hand
60,782
24,271
Financial assets held for trading
4
4
Derivative financial assets
473
2
Accounts receivable
32,358
25,584
Receivables financing
14,390
3,807
Prepayments
1,629
1,333
Other receivables
73,041
66,067
Inventories
32,817
46,055
Other current assets
25,985
25,503
Total current assets
241,479
192,626
Non-current assets：
Long-term equity investments
482,735
480,867
Other equity instrument investments
16
16
Fixed assets
295,068
299,396
Construction in progress
92,208
83,466
Right-of-use assets
84,590
83,621
Intangible assets
7,995
7,769
Long-term deferred expenses
2,354
2,537
Deferred tax assets
5,304
3,397
Other non-current assets
69,384
70,700
Total non-current assets
1,039,654
1,031,769
Total assets
1,281,133
1,224,395
Current liabilities：
Short-term loans
33,450
4,330
Derivative financial liabilities
1,425
1
Bills payable
6,162
7,848
Accounts payable
56,000
54,107
Contract liabilities
6,275
7,381
Employee benefits payable
7,598
5,764
Taxes payable
20,278
15,061
Other payables
261,148
253,367
Non-current liabilities due within one year
56,881
77,718
Other current liabilities
500
717
Total current liabilities
449,717
426,294
Balance Sheet (Continued)
Non-current liabilities：
Long-term loans
90,830
88,855
Debentures payable
74,758
48,768
Lease liabilities
88,018
87,086
Provisions
42,350
41,946
Other non-current liabilities
1,452
1,380
Total non-current liabilities
297,408
268,035
Total liabilities
747,125
694,329
Shareholders' equity：
Share capital
120,926
120,926
Capital reserve
65,872
65,801
Other comprehensive income
(341)
244
Specific reserve
1,798
1,386
Surplus reserves
231,226
231,226
Retained earnings
114,527
110,483
Total shareholders' equity
534,008
530,066
Total liabilities and shareholders' equity
1,281,133
1,224,395
Hou Qijun
Wan Tao
Shou Donghua
Chairman
(Legal representative)
President
Chief Financial Officer
Consolidated Income Statement
For the three-month period ended 31 March 2026 Prepared by: China Petroleum & Chemical Corporation
Units: million Currency: RMB Type: unaudited
Items
Three-month period ended 31 March
2026
Three-month period ended 31 March
2025
I. Total operating income
706,695
735,356
II. Total operating costs
674,917
722,449
Including: Operating costs
566,141
620,192
Taxes and surcharges
71,392
65,366
Selling and distribution expenses
14,447
14,053
General and administrative expenses
13,434
13,070
Research and development expenses
3,427
2,737
Financial expenses
3,317
4,579
Including: Interest expenses
4,724
4,795
Interest income
1,153
1,332
Exploration expenses, including dry holes
2,759
2,452
Add: Other income
896
1,432
Investment income
880
1,647
Including: Income from investment in
associates and joint ventures
2,558
2,684
(Losses)/gains from changes in fair value
(8,997)
2,463
Credit impairment reversals
25
102
Asset Impairment losses
(190)
(210)
Asset disposal gains
186
202
III. Operating profit
24,578
18,543
Add: Non-operating income
206
205
Less: Non-operating expenses
578
496
IV. Profit before taxation
24,206
18,252
Less: Income tax expense
4,592
3,746
V. Net profit
19,614
14,506
Classification by going concern:
(i) Continuous operating net profit
19,614
14,506
(ii) Termination of net profit
-
-
Classification by ownership:
(i) Equity shareholders of the Company
17,006
13,264
(ii) Minority interests
2,608
1,242
Consolidated Income Statement (Continued)
VI. Total other comprehensive income
(12,786)
1,021
Other comprehensive income (net of tax) attributable to
shareholders of the Company:
(12,516)
1,084
Items that will not be reclassified to profit or loss：
Fair value of other equity instrument investments
1,399
-
Items that may be reclassified subsequently to profit or
loss:
Other comprehensive income that can be converted into
profit or loss under the equity method
(77)
1,873
Cash flow hedges
(11,545)
(551)
Foreign currency translation differences
(2,293)
(238)
Other comprehensive income (net of tax) attributable
to non-controlling interests:
(270)
(63)
VII. Total comprehensive income
6,828
15,527
Equity shareholders of the Company
4,490
14,349
Minority interests
2,338
1,178
VIII. Earnings per share:
(i) Basic earnings per share (RMB/Share)
0.141
0.109
(ii) Diluted earnings per share (RMB/Share)
0.141
0.109
Hou Qijun
Wan Tao
Shou Donghua
Chairman
(Legal representative)
President
Chief Financial Officer
Income Statement
For the three-month period ended 31 March 2026 Prepared by: China Petroleum & Chemical Corporation
Units: million Currency: RMB Type: unaudited
Items
Three-month period ended 31 March 2026
Three-month period ended 31 March 2025
I. Operating income
195,922
243,129
Less: Operating costs
151,988
195,559
Taxes and surcharges
32,586
33,476
Selling and distribution expenses
239
322
General and administrative expenses
4,717
5,146
Research and development costs
3,199
2,599
Financial expenses
3,078
3,292
Including: Interest expenses
3,526
3,791
Interest income
463
502
Exploration expenses, including dry holes
2,525
2,096
Add: Other income
573
1,140
Investment income
5,660
1,115
Including: Income from investment in associates and joint ventures
1,042
910
(Losses) / gains from changes in fair value
(1)
18
Credit impairment reversals / (losses)
6
(6)
Asset Impairment reversals
2
-
Asset disposal gains
11
20
II. Operating profit
3,841
2,926
Add: Non-operating income
76
65
Less: Non-operating expenses
285
294
III. Profit before taxation
3,632
2,697
Less: Income tax expense
(414)
453
IV. Net profit
4,046
2,244
(i) Continuous operating net profit
4,046
2,244
(ii) Termination of net profit
-
-
V. Total other comprehensive income
(623)
23
Items that may be reclassified subsequently to profit or loss
Other comprehensive income that can be converted into profit or loss under the equity
method
(6)
(139)
Cash flow hedges reserve
(617)
162
VI. Total comprehensive income
3,423
2,267
Hou Qijun
Wan Tao
Shou Donghua
Chairman
(Legal representative)
President
Chief Financial Officer
Consolidated Cash Flow Statement
For the three-month period ended 31 March 2026 Prepared by: China Petroleum & Chemical Corporation
Units: million Currency: RMB Type: unaudited
Items
Three-month period ended 31 March
2026
Three-month period ended 31 March
2025
I. Cash flows (used in) / generated from operating
activities:
Cash received from sale of goods and rendering of
services
785,250
793,203
Refund of taxes and levies
763
1,164
Other cash received relating to operating activities
49,326
24,942
Sub-total of cash inflows
835,339
819,309
Cash paid for goods and services
(646,416)
(656,886)
Cash paid to and for employees
(22,632)
(22,647)
Payments of taxes and levies
(78,081)
(90,092)
Other cash paid relating to operating activities
(93,768)
(41,546)
Sub-total of cash outflows
(840,897)
(811,171)
Net cash flow (used in) / generated from operating
activities
(5,558)
8,138
II. Cash flows used in investing activities:
Cash received from disposal of investments
37
36
Cash received from returns on investments
349
304
Net cash received from disposal of fixed assets,
intangible assets and other long-term assets
86
210
Other cash received relating to investing
activities
29,781
17,493
Sub-total of cash inflows
30,253
18,043
Cash paid for acquisition of fixed assets, intangible
assets and other long-term assets
(28,649)
(27,665)
Cash paid for acquisition of investments
(521)
(2,053)
Other cash paid relating to investing activities
(18,463)
(20,771)
Sub-total of cash outflows
(47,633)
(50,489)
Net cash flow used in investing activities
(17,380)
(32,446)
Consolidated Cash Flow Statement (Continued)
III. Cash flows generated from financing
activities:
Cash received from capital contributions
589
482
Including: Cash received from minority shareholders' capital contributions to
subsidiaries
589
482
Cash received from borrowings
167,658
152,893
Other cash received relating to financing
activities
333
13
Sub-total of cash inflows
168,580
153,388
Cash repayments of borrowings
(125,578)
(108,710)
Cash paid for dividends, profits distribution or
interest
(2,649)
(3,990)
Including: Subsidiaries' cash payments for distribution of dividends or profits to minority
shareholders
(500)
(2,268)
Other cash paid relating to financing activities
(3,614)
(4,567)
Sub-total of cash outflows
(131,841)
(117,267)
Net cash flows from financing activities
36,739
36,121
IV. Effects of changes in foreign exchange rate
(421)
233
V. Net increase in cash and cash equivalents
13,380
12,046
Add: Cash and cash equivalents at the beginning
of the period
81,053
91,295
VI. Cash and cash equivalents at the end of the
period
94,433
103,341
Hou Qijun
Wan Tao
Shou Donghua
Chairman
(Legal representative)
President
Chief Financial Officer
Cash Flow Statement
For the three-month period ended 31 March 2026 Prepared by: China Petroleum & Chemical Corporation
Units: million Currency: RMB Type: unaudited
Items
Three-month period ended 31 March
2026
Three-month period ended 31 March
2025
I. Cash flows generated from operating activities:
Cash received from sale of goods and rendering of services
211,470
264,795
Refund of taxes and levies
464
1,059
Other cash received relating to operating activities
5,018
14,876
Sub-total of cash inflows
216,952
280,730
Cash paid for goods and services
(131,502)
(189,019)
Cash paid to and for employees
(10,146)
(10,476)
Payments of taxes and levies
(33,648)
(41,666)
Other cash paid relating to operating activities
(28,905)
(29,383)
Sub-total of cash outflows
(204,201)
(270,544)
Net cash flow generated from operating activities
12,751
10,186
II. Cash flows used in investing activities:
Cash received from disposal of investments
642
1,443
Cash received from returns on investments
4,620
399
Net cash received from disposal of fixed assets, intangible assets and other long-term assets
22
96
Other cash received relating to investing activities
4,720
305
Sub-total of cash inflows
10,004
2,243
Cash paid for acquisition of fixed assets,
intangible assets and other long-term assets
(13,774)
(14,107)
Cash paid for acquisition of investments
(3,255)
(4,085)
Other cash paid relating to investing activities
(5,378)
(16,847)
Sub-total of cash outflows
(22,407)
(35,039)
Net cash flow used in investing activities
(12,403)
(32,796)
III. Cash flows generated from financing activities:
Cash received from borrowings
64,202
52,513
Other cash received relating to financing activities
107,127
78,445
Sub-total of cash inflows
171,329
130,958
Cash repayments of borrowings
(28,391)
(12,133)
Cash paid for dividends or interest
(2,017)
(1,804)
Other cash paid relating to financing activities
(104,163)
(78,177)
Sub-total of cash outflows
(134,571)
(92,114)
Net cash flow generated from financing activities
36,758
38,844
IV. Effects of changes in foreign exchange rate
(1)
(2)
V. Net increase in cash and cash equivalents
37,105
16,232
Cash Flow Statement (Continued)
Add：Cash and cash equivalents at the beginning of
the period
9,964
27,520
VI. Cash and cash equivalents at the end of the period
47,069
43,752
Hou Qijun
Wan Tao
Shou Donghua
Chairman
(Legal representative)
President
Chief Financial Officer
Segment Reporting
For the three-month period ended 31 March 2026 Prepared by: China Petroleum & Chemical Corporation
Units: million Currency: RMB Type: unaudited
Items
Three-month period
ended 31 March 2026
Three-month period
ended 31 March 2025
Income from principal operations
Exploration and production
External sales
40,719
46,041
Inter-segment sales
33,032
29,853
Subtotal
73,751
75,894
Refining
External sales
44,061
44,602
Inter-segment sales
294,904
309,854
Subtotal
338,965
354,456
Marketing and distribution
External sales
346,440
372,249
Inter-segment sales
2,283
2,131
Subtotal
348,723
374,380
Chemicals
External sales
92,353
101,094
Inter-segment sales
20,527
22,957
Subtotal
112,880
124,051
Corporate and others
External sales
167,997
155,846
Inter-segment sales
181,254
184,475
Subtotal
349,251
340,321
Elimination of inter-segment sales
(532,000)
(549,270)
Consolidated income from principal operations
691,570
719,832
Income from other operations
Exploration and production
570
544
Refining
842
798
Marketing and distribution
11,568
11,772
Chemicals
1,482
1,752
Corporate and others
663
658
Consolidated income from other operations
15,125
15,524
Consolidated operating income
706,695
735,356
Segment Reporting (Continued)
Operating profit/(loss)
By segment
Exploration and production
11,809
11,726
Refining
18,395
1,982
Marketing and distribution
5,505
3,968
Chemicals
(1,514)
(1,358)
Corporate and others
10,025
740
Elimination
(9,290)
320
Total segment operating profit
34,930
17,378
Investment income
Exploration and production
688
706
Refining
145
(39)
Marketing and distribution
684
653
Chemicals
(101)
(149)
Corporate and others
(536)
476
Total segment investment income
880
1,647
Financial expenses
(3,317)
(4,579)
(Losses)/gains from changes in fair value
(8,997)
2,463
Asset disposal gains
186
202
Other income
896
1,432
Operating profit
24,578
18,543
Add: Non-operating income
206
205
Less: Non-operating expenses
578
496
Profit before taxation
24,206
18,252
Quarterly financial statements prepared under IFRS Accounting Standards
Consolidated Income Statement
For the three-month period ended 31 March 2026 Prepared by: China Petroleum & Chemical Corporation
Units: million Currency: RMB Type: unaudited
Items
Three-month period ended 31 March
2026
Three-month period ended 31 March
2025
Revenue
Revenue from primary business
691,570
719,832
Other operating revenues
15,125
15,524
Subtotal
706,695
735,356
Operating expenses
Purchased crude oil, products and
operating supplies and expenses
(526,746)
(581,879)
Selling, general and administrative expenses
(12,995)
(12,722)
Depreciation, depletion and amortisation
(31,289)
(30,219)
Exploration expenses, including dry holes
(2,759)
(2,452)
Personnel expenses
(25,812)
(24,668)
Taxes other than income tax
(71,392)
(65,366)
Impairment reversals on trade and other receivables
25
102
Other operating (expenses)/income, net
(9,996)
2,743
Total operating expenses
(680,964)
(714,461)
Operating profit
25,731
20,895
Finance costs
Interest expense
(4,724)
(4,795)
Interest income
1,153
1,332
Foreign currency exchange gains/(losses), net
254
(1,116)
Net finance costs
(3,317)
(4,579)
Investment income
4
41
Share of profits from associates and joint ventures
2,590
2,684
Profit before taxation
25,008
19,041
Income tax expense
(4,592)
(3,746)
Profit for the period
20,416
15,295
Attributable to：
Shareholders of the Company
17,739
13,975
Non-controlling interests
2,677
1,320
Profit for the period
20,416
15,295
Earnings per share
Basic earnings per share (RMB/Share)
0.147
0.115
Diluted earnings per share (RMB/Share)
0.147
0.115
Consolidated Statement of Comprehensive Income
For the three-month period ended 31 March 2026 Prepared by: China Petroleum & Chemical Corporation
Units: million Currency: RMB Type: unaudited
Items
Three-month period
ended 31 March 2026
Three-month period
ended 31 March 2025
Profit for the period
20,416
15,295
Total other comprehensive income:
(12,786)
1,021
Other comprehensive income (net of
tax) attributable to shareholders of the Company:
(12,516)
1,084
Items that will not be reclassified to
profit or loss:
Changes in fair value of investments in
other equity instruments
1,399
-
Items that may be reclassified
subsequently to profit or loss:
Share of other comprehensive income
of associates and joint ventures
(77)
1,873
Cash flow hedges
(11,545)
(551)
Foreign currency translation differences
(2,293)
(238)
Other comprehensive income (net of
tax) attributable to non-controlling interests:
(270)
(63)
Total comprehensive income
7,630
16,316
Attributable to:
Shareholders of the Company
5,223
15,060
Non-controlling interests
2,407
1,256
Consolidated Statement of Financial Position
For the three-month period ended 31 March 2026 Prepared by: China Petroleum & Chemical Corporation
Units: million Currency: RMB Type: unaudited
Items
At 31 March 2026
At 31 December 2025
Non-current assets：
Property, plant and equipment, net
762,266
770,198
Construction in progress
202,613
195,196
Right-of-use assets
264,616
264,972
Goodwill
5,472
5,476
Interest in associates
176,660
174,066
Interest in joint ventures
74,774
75,916
Financial assets at fair value through other
comprehensive income
8,401
7,156
Deferred tax assets
23,513
20,082
Long-term prepayments and other non-current
assets
115,019
117,682
Total non-current assets
1,633,334
1,630,744
Current assets:
Cash and cash equivalents
94,433
81,053
Time deposits with financial institutions
60,197
69,820
Financial assets at fair value through profit or
loss
4
4
Derivative financial assets
13,852
1,362
Trade accounts receivable
65,884
51,172
Financial assets at fair value through other
comprehensive income
18,555
5,340
Inventories
258,586
230,811
Prepaid expenses and other current assets
108,936
83,179
Total current assets
620,447
522,741
Current liabilities：
Short-term debts
114,318
108,335
Loans from Sinopec Group Company and
fellow subsidiaries
15,730
11,921
Lease liabilities
20,663
18,079
Derivatives financial liabilities
38,198
5,676
Trade accounts payable and bills payable
262,679
263,459
Contract liabilities
128,553
126,395
Other payables
177,763
163,081
Income tax payable
3,011
1,607
Total current liabilities
760,915
698,553
Consolidated Statement of Financial Position (Continued)
Net current liabilities
140,468
175,812
Total assets less current liabilities
1,492,866
1,454,932
Non-current liabilities：
Long-term debts
247,275
215,148
Loans from Sinopec Group Company and fellow
subsidiaries
18,543
20,116
Lease liabilities
158,388
157,407
Deferred tax liabilities
5,705
6,401
Provisions
51,418
51,086
Other long-term liabilities
19,409
17,898
Total non-current liabilities
500,738
468,056
Total net assets
992,128
986,876
Equity：
Share capital
120,926
120,926
Reserves
709,360
706,537
Total equity attributable to shareholders of the Company
830,286
827,463
Non-controlling interests
161,842
159,413
Total equity
992,128
986,876
Consolidated Statement of Cash Flows
For the three-month period ended 31 March 2026 Prepared by: China Petroleum & Chemical Corporation
Units: million Currency: RMB Type: unaudited
Items
Three-month period ended 31 March
2026
Three-month period ended 31 March
2025
Net cash (used in)/generated from operating activities(a)
(5,558)
8,138
Investing activities
Capital expenditure
(24,787)
(24,232)
Exploratory wells expenditure
(3,862)
(3,433)
Purchase of investments
(521)
(2,053)
Proceeds from disposal of investments
37
36
Proceeds from disposal of property, plant, equipment and other non-current assets
86
210
Increase in time deposits with maturities over three months
(18,387)
(20,081)
Decrease in time deposits with maturities over three
months
28,543
16,758
Interest received
962
872
Investment and dividend income received
349
304
Proceeds from /(payments of) other investing activities
200
(827)
Net cash used in investing activities
(17,380)
(32,446)
Financing activities
Proceeds from bank and other loans
167,658
152,893
Repayments of bank and other loans
(125,578)
(108,710)
Contributions to subsidiaries from non-controlling interests
589
482
Distributions by subsidiaries to non-controlling
interests
(500)
(2,268)
Interest paid
(2,149)
(1,722)
Repayments of lease liabilities
(3,532)
(3,148)
Proceeds from other financing activities
333
13
Repayments of other financing activities
(82)
(1,419)
Net cash generated from financing activities
36,739
36,121
Net increase in cash and cash equivalents
13,801
11,813
Cash and cash equivalents at the beginning of the period
81,053
91,295
Effect of foreign currency exchange rate changes
(421)
233
Cash and cash equivalents at the end of the period
94,433
103,341
Note to Consolidated Statement of Cash Flows
For the three-month period ended 31 March 2026 Prepared by: China Petroleum & Chemical Corporation
Units: million Currency: RMB Type: unaudited
(a) Reconciliation from profit before taxation to net cash used in operating activities
Items
Three-month period ended 31
March 2026
Three-month period ended 31
March 2025
Operating activities
Profit before taxation
25,008
19,041
Adjustments for:
Depreciation, depletion and amortisation
31,289
30,219
Dry hole costs written off
1,854
1,613
Share of profits from associates and joint ventures
(2,590)
(2,684)
Investment income
(4)
(41)
Interest income
(1,153)
(1,332)
Interest expense
4,724
4,795
Gain on foreign currency exchange rate changes and
derivative financial instruments
(309)
(1,352)
Gain on disposal of property, plant, equipment and other
assets, net
(122)
(120)
Impairment losses on assets
190
210
Impairment reversals on trade and other receivables
(25)
(102)
Operating profit before change of operating capital
58,862
50,247
Accounts receivable and other current assets
(49,114)
(28,071)
Inventories
(27,954)
8,533
Accounts payable and other current liabilities
14,815
(18,266)
Subtotal
(3,391)
12,443
Income tax paid
(2,167)
(4,305)
Net cash (used in)/generated from operating activities
(5,558)
8,138
Segment Reporting
For the three-month period ended 31 March 2026 Prepared by: China Petroleum & Chemical Corporation
Units: million Currency: RMB Type: unaudited
Items
Three-month period ended 31 March 2026
Three-month period ended 31 March 2025
Revenue
Exploration and production
External sales
40,719
46,041
Inter-segment sales
33,032
29,853
Subtotal
73,751
75,894
Refining
External sales
44,061
44,602
Inter-segment sales
294,904
309,854
Subtotal
338,965
354,456
Marketing and distribution
External sales
346,440
372,249
Inter-segment sales
2,283
2,131
Subtotal
348,723
374,380
Chemicals
External sales
92,353
101,094
Inter-segment sales
20,527
22,957
Subtotal
112,880
124,051
Corporate and others
External sales
167,997
155,846
Inter-segment sales
181,254
184,475
Subtotal
349,251
340,321
Elimination of inter-segment sales
(532,000)
(549,270)
Revenue from primary business
691,570
719,832
Other operating revenues
Exploration and production
570
544
Refining
842
798
Marketing and distribution
11,568
11,772
Chemicals
1,482
1,752
Corporate and others
663
658
Other operating revenues
15,125
15,524
Revenue
706,695
735,356
Segment Reporting (Continued)
Result
Operating profit/(loss)
By segment
Exploration and production
12,356
12,910
Refining
18,788
2,438
Marketing and distribution
5,651
4,209
Chemicals
(1,262)
(1,169)
Corporate and others
(512)
2,187
Elimination
(9,290)
320
Total segment operating profit
25,731
20,895
Share of profits/(losses) from
associates and joint ventures
Exploration and production
692
721
Refining
142
(51)
Marketing and distribution
662
651
Chemicals
(66)
(17)
Corporate and others
1,160
1,380
Aggregate share of profits from
associates and joint ventures
2,590
2,684
Investment income
Exploration and production
(1)
-
Refining
6
6
Marketing and distribution
(1)
7
Chemicals
(6)
(135)
Corporate and others
6
163
Aggregate investment income
4
41
Net finance costs
(3,317)
(4,579)
Profit before taxation
25,008
19,041
Differences between consolidated financial statements prepared in accordance with the accounting policies complying with CASs and IFRS Accounting Standards (Unaudited)
Other than the differences in the classifications of certain financial statements captions and the accounting for the items described below, there are no material differences between the Group's consolidated financial statements prepared in accordance with the accounting policies complying with CASs and IFRS Accounting Standards. The reconciliation presented below is included as supplemental information, is not required as part of the basic financial statements and does not include differences related to classification, presentation or disclosures. Such information has not been subject to independent audit or review. The major differences are:
Government grants
Under CASs, grants from the government are credited to capital reserve if required by relevant governmental regulations. Under IFRS Accounting Standards, government grants relating to the purchase of fixed assets are recognised as deferred income and are transferred to the income statement over the useful life of these assets.
Safety production fund
Under CASs, safety production fund should be recognised in profit or loss with a corresponding increase in reserve according to PRC regulations. Such reserve is reduced for expenses incurred for safety production purposes or, when safety production related fixed assets are purchased, is reduced by the purchased cost with a corresponding increase in the accumulated depreciation. Such fixed assets are not depreciated thereafter. Under IFRS Accounting Standards, payments are expensed as incurred, or capitalised as fixed assets and depreciated according to applicable depreciation methods.
Capitalisation of exchange difference of specific loans
Under CASs, exchange difference arising on translation of specific loans and related interest denominated in a foreign currency should be capitalised as part of the cost of qualifying assets. Under IFRS Accounting Standards, such exchange difference is recognised in income statement unless the exchange difference represents an adjustment to interest.
Effects of major differences between the net profit under CASs and the profit for the period under IFRS Accounting Standards are analysed as follows:
Prepared by: China Petroleum & Chemical Corporation
Units: million Currency: RMB Type: unaudited
Items
Three-month period ended 31 March 2026
Three-month period ended 31 March 2025
Net profit under CASs
19,614
14,506
Adjustments:
Government grants(i)
10
13
Safety production fund(ii)
786
778
Others
6
(2)
Profit for the period under IFRS
Accounting Standards
20,416
15,295
Effects of major differences between the shareholders' equity under CASs and the total equity under IFRS Accounting Standards are analysed as follows:
Units: million Currency: RMB Type: unaudited
Items
As of 31
March 2026
As of 31
December 2025
Shareholders' equity under CASs
995,014
989,772
Adjustments:
Government grants(i)
(754)
(764)
Capitalisation of exchange difference
of specific loans(iii)
(2,132)
(2,132)
Total equity under IFRS Accounting
Standards
992,128
986,876
Changes in accounting estimate
(i) Adjustment of the depreciation period for chemical units and natural gas pipelines
On 28 April 2026, the Company's board of directors approved an adjustment of the depreciation period for natural gas pipelines and the new chemical units added since the 14th Five-Year Plan. This accounting estimate change resulted in a reduction of approximately RMB300 million in depreciation and amortisation for the three-month period ended 31 March 2026 of the Company.