Concord New Energy Group (182) H2 2024 earnings summary

Executive summary

• Attributable installed capacity rose 14.0% to 4,615MW, with wind power making up 80.9% and solar PV 19.1%, and 3,189MW being subsidy-free.

• Attributable power generation increased 10.5% year-over-year, supporting revenue and net profit growth.

• Secured 1,399MW of new wind and solar projects globally and 308MW/616MWh of energy storage projects.

• Administrative expenses decreased by 15% due to cost reduction and efficiency measures.

• Comprehensive financing rate dropped 62 bps to 3.98%, reflecting improved capital structure and lower financing costs.

Financial highlights

• Revenue from continuing operations grew 6.3% year-over-year to RMB 2.75 billion.

• Profit attributable to owners/equity holders fell 16.5% to RMB 805.13 million, mainly due to lower other gains and increased curtailment.

• Net assets increased to RMB 8.91 billion; total assets up 3.0% to RMB 32.13 billion.

• Cash and cash equivalents decreased 42.9% to RMB 2.23 billion.

• Gross profit increased to RMB 1,516 million from RMB 1,406 million year-over-year.

Outlook and guidance

• Focus on high-quality project development, safety, and equipment management to improve efficiency.

• Plans to strengthen power trading and marketing, optimize assets, and lower financing costs.

• Will flexibly adjust business strategies and intensify cost reduction and efficiency improvements.

• Global renewable energy sector expected to grow rapidly, supported by favorable monetary policies and energy transition trends.

• Expects global rate cuts and accommodative monetary policy in China to support renewable energy investment in 2025.