CLP (2) H2 2023 earnings summary

Executive summary

• Solid 2023 results reflected dependable Hong Kong and Mainland China operations and a progressive recovery in EnergyAustralia; approved a HK$52.9b 2024–28 development plan.

• Operating earnings before fair value movements rose 33% to HK$10,127m; total earnings increased to HK$6,655m, including fair value gains and comparability items.

Financial highlights

• Revenue fell 13% to HK$87,169m; 2023 revenue no longer included consolidated Apraava Energy following its 2022 sell-down.

• Operating earnings before fair value movements were HK$10,127m, up 33%; reported operating earnings were HK$12,252m, up 165%.

• Total earnings were HK$6,655m versus HK$924m; total earnings per share was HK$2.63 versus HK$0.37.

• Recurring EBITDAF increased 12% to HK$23,611m; declared FY2023 dividend was HK$3.10 per share.

Outlook and guidance

• The approved 2024–28 Hong Kong plan commits HK$52.9b: HK$38.3b for transmission and distribution, HK$13.2b for generation and HK$1.4b for customer and corporate services.

• Hong Kong tariffs were reduced in 2024; the Basic Tariff is projected to remain at moderate levels over the next five years.

• Mainland China targets doubling renewable capacity over the medium term; Apraava has a ~1.2GW pipeline of non-carbon projects won in 2023/early 2024.

• EnergyAustralia plans up to 3GW of renewable energy committed or operational by 2030, alongside storage and firming investment.

• Portfolio transition milestones include phasing out coal-fired generation across the portfolio before 2040 and retiring Yallourn in mid-2028.