CGN POWER (1816) H1 2024 earnings summary

Executive summary

• Operates 28 nuclear power units with 43.814 GW installed capacity, representing 43.48% of China's nuclear capacity as of July 2024, and 10 units under construction.

• Achieved safe and stable operation, with no INES level 2 or above incidents and WANO indicators among the industry's best.

• On-grid power generation reached 106,009.67 GWh in 2024H1, up 0.09% year-over-year, with emission reductions equivalent to 87.03 million tons of CO2.

• Fangchenggang Unit 4 commenced commercial operation in May 2024; Ningde Unit 5 construction began July 2024.

• Focuses on clean energy, stable operations, and long-term dividend payouts, aiming for world-class nuclear power supplier status.

Financial highlights

• Revenue for 2024H1 reached RMB39,376.7 million, up 0.3% year-over-year; net profit attributable to shareholders was RMB7,109.3 million, up 2.2%.

• EBITDA for 2024H1 was RMB21,932 million, with an EBITDA margin of 55.7%.

• Net operating cash flow decreased 18.44% to RMB12,789 million.

• Dividend payout ratio for 2023 was 44.26%, with a cumulative payout of RMB31.964 billion since IPO.

• Basic EPS was RMB0.141; weighted average ROE was 6.13%.

Outlook and guidance

• Plans to conduct 8 refuelling outages in H2 2024 and maintain annual utilization hours not less than the three-year average.

• Will advance construction of new units, prepare for FCD of approved projects, and optimize capital structure through convertible bond issuance.

• Focuses on research, innovation, and adapting to policy and financial environment changes.

• No interim dividend recommended for H1 2024.