Ping An Securities: China Coal Energy's profitability is gradually improving, and the "recommend" rating is maintained.

Ping An Securities research report pointed out that with the recovery of coal prices and the continuous reduction of costs, the profitability of China Coal Energy is gradually improving. In 2025, the revenue was 148.06 billion yuan, a year-on-year decrease of 21.8%; the sales gross profit margin was 27.49%, up 2.61 percentage points year-on-year; the net profit attributable to the parent company was 17.88 billion yuan, a year-on-year decrease of 7.3%. The 2025 dividend proposal: distribute a dividend of 3.83 yuan for every 10 shares, with cash dividends accounting for 28.37% of the net profit attributable to the parent company. Looking ahead, on the supply side, with the continued strict supervision of mine safety and restrictions on overproduction, the pace of coal supply increase may continue to slow down; on the demand side, the year-on-year growth of coal consumption in thermal power generation from January to February 2026 is expected to be positive, and coal consumption in electricity generation is expected to achieve good growth. With good fundamental expectations, coal prices are expected to continue the upward trend. The company has high-quality coal resources and a leading scale, with good performance resilience. In the future, with the commissioning of various coal, power, and coal chemical projects under construction, the advantages of scale and cost are expected to further expand. The rating of "recommended" is maintained.