Guangshen Railway Announces 2012 Annual Results

               Guangshen Railway Announces 2012 Annual Results

Records Net Profit of RMB1,319 million

PR Newswire

HONG KONG, March 26, 2013

HONG KONG, March 26, 2013 /PRNewswire/ -- Guangshen Railway Company Limited
("Guangshen Railway" or the "Company") (HKEx Share Code: 525; SSE Share Code:
601333; American Depositary Shares ("ADS") Ticker Symbol: GSH) today announced
the audited operating results of the Company and its subsidiaries (the
"Group") for the twelve months ended December 31, 2012 (the "Period").

During the Period, operating revenue of the Company reached RMB15,092 million,
an increase of 2.73% year-on-year. Profit attributable to equity holders
amounted to RMB1,319 million. Basic earnings per share came to RMB0.19. The
board of directors of the Company recommends a final dividend of RMB0.08 for
2012 (2011: RMB0.10 per share), accounting for 42.11% of the basic earnings
per share of this year.

Guangshen Railway said, "In 2012, the PRC economy has slowed due to the
combined influence of complicated and changing domestic and overseas market
conditions. Facing lower demand in the railway transportation industry and the
unfavorable operating environment caused by the dilution in the client base by
Express Rail Links, the management strictly upheld the Company's operating
objectives, accelerated migration of operation development mode, vigorously
improved infrastructure safety proactively promoted the strategy of
diversified operation, stepped up regulation of operation management, strived
to enhance the quality of services, and stimulated the Company's healthy

During the Period, the Company recorded passenger delivery volume of 84.5987
million persons, marking a year-on-year decrease of 6.86%. Revenue from
passenger transportation decreased by 2.31% year-on-year to RMB 7,841 million.
The passenger delivery volumes of Through Trains increased 2.75% year-on-year
to 3.7641 million, and the passenger volumes of long-distance trains amounted
to 45.0504 million, a year-on-year decrease of 6.38%. Through Trains and
long-distance trains realized revenues of RMB 4,987 million and RMB 480
million, respectively, marking year-on-year increases of 0.57% and 4.16%. The
passenger delivery of Guangzhou-Shenzhen trains decreased by 8.35% to 35.7841
million, realizing revenue of RMB 2,374 million.

The lower passenger delivery volume and revenue of Guangzhou-Shenzhen
intercity trains were mainly due to the decrease in number of trains in
operation due to some CRHs being successively sent back to depot for
inspection and repair as they reached the repair level for phase 4 repair
project, leading to a more significant decrease in the transportation capacity
of inter-city trains. In addition, more stringent controls on passenger train
overloading and the opening and operation of the Beijing-Guangzhou High-speed
Railway also reduced and diluted a portion of the Company's client base.

During the Period, freight tonnage (outbound and inbound) was 62.6711 million
tonnes, a dip of 8.78% year-on-year and generating revenue of RMB1,344
million, down 3.07% year-on-year. The dip in freight tonnage was mainly due to
the weak economic recovery in the U.S., Europe and other developed countries,
as well as slower economic growth in China, leading to lower freight volumes
delivered by railway transportation. In addition, the commencement of
operations of the Yiyang-Zhanjiang section of railway had diluted a portion of
demand for freight transportation through the Beijing-Guangzhou Railway.

Revenue from railway network usage and services and other transportation
services rose by 14.91% year-on-year to RMB4,891 million. The higher revenue
from railway network usage services was mainly due to the increase in the
number of long-distance trains operated by other railway bureaus (companies)
that ran to or ran through various stations within the Company's railway
tracks, and the increase in the unit settlement price for railway locomotive
traction fees in China. The increase in revenues of railway operation services
was mainly due to the rise in the provision of services to WGPR and GZIR, as
well as the commencement to provide railway operation services to GSHER from
December 26, 2011.

Looking forward into 2013, the Company said, "Despite the complex internal and
external economic environment in China, driven by earlier austerity measures
aimed at 'stable growth' and a new government focus on promoting a new batch
of economic reforms, the domestic economy is likely to continue on its upward
growth trajectory from the fourth quarter of 2012, and will continue to
sustain steady growth. The Group's railway passenger and freight operations
will also grow steadily amid the economic rebound and with the growing demand
for passenger and freight transportation after the High-speed Railway is in
operation after the completion of the railway network. The Company will
maintain its focus on the Greater Pearl River Delta region, continue to
enhance and optimize its business matrix, will have passenger and freight
delivery as its core business and railway extension as a subsidiary business,
and will improve service quality to realize the Company's development target
of 'Being Great, Being Strong'."

In the area of passenger transportation, in view of new market deployment
after Guangzhou-Shenzhen-Hong Kong Express Rail Links commenced operation, the
Company will increase the marketing efforts for the Guangzhou-Shenzhen section
of passenger transportation, enhance the operating plan of Guangzhou-Shenzhen
section, expedite the establishment of new inter-city passenger transportation
business at Pinghu stations. On the other hand, we will leverage on the
opportunities brought by the completion of reconstruction and commencement of
operation of Shenzhen East station in order to enhance the operating plans for
long-distance trains in the Shenzhen region, and improve the transportation
capacity and transportation efficiency of long-distance trains.

In the area of the freight business, the Company will fully capitalize the
opportunities of release of the freight transportation capability of
Beijing-Guangzhou line, optimize and consolidate the freight transportation
resources within the channel, research and innovate new model of freight
transportation operation, introduce new marketing systems, and promote the
logisticization and marketization of the freight yards. Meanwhile we will
advance the reform of freight transportation organization, build an e-commerce
platform for freight transportation, adjust the model of services and to
enhance the quality of service.

For the 2012 Annual Results Main Accounting Data, please visit:

About Guangshen Railway Company Limited

Guangshen Railway Company Limited was established in March 1996. The H shares
and ADS issued by the Company were listed on The Stock Exchange of Hong Kong
Limited and the New York Stock Exchange in May 1996. In December 2006, the
Company returned to the A share market and successfully listed its shares on
the Shanghai Stock Exchange. The Company is currently the only PRC railway
enterprise with its shares listed on the Shanghai, Hong Kong and New York
stock exchanges. The Company is engaged in the railway passenger business
between Shenzhen, Guangzhou and Pingshi, providing Guangzhou-Shenzhen
inter-city train service, long-distance passenger transportation service,
freight transportation service, and the Hong Kong Through Train passenger
service in cooperation with MTR Corporation in Hong Kong, as well as
entrustment transportation service for other domestic railway companies. As at
December 31, 2012, the Company operated 233.5 pairs of passenger trains in
accordance with its daily train schedules, including 105 pairs of
Guangzhou-Shenzhen trains (includes 19 pairs of spare trains), 13 pairs of
Hong Kong Through Trains (Canton-Kowloon Through Train: 11 pairs,
Zhaoqing-Kowloon Through Train: 1 pair and Beijing (Shanghai)-Kowloon Trough
Train: 1 pair), and 115.5 pairs of long-distance trains.

For further enquiries, please contact

Guangshen Railway Company Limited Hill + Knowlton Strategies Asia
Mr. Guo Xiangdong                 Ms. Cindy Shi
Tel: (86755) 2558 8150           Tel: (852) 2894 6372
Fax: (86755) 2559 1480            Email:
Ms. Grace Deng                    Ms. Lucinda Mao
Tel: (86755) 2558 8150           Tel: (852) 2894 6254
Fax: (86755) 2559 1480            Email:

SOURCE Guangshen Railway Company Limited

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