Huaneng Power International (902) Q2 2024 earnings summary

Executive summary

• Operating revenue for H1 2024 was RMB118.81 billion, down 5.73% year-over-year, while net profit attributable to equity holders rose up to 19.80% to RMB7.78 billion and EPS reached RMB0.40.

• Net asset per share was RMB3.97 as of June 30, 2024.

• The company focused on cost control, green energy expansion, and operational efficiency.

• Total on-grid power generation in China was 210.68 billion kWh, down 0.22% year-over-year, with a shift toward green and low-carbon energy sources.

• Overseas operations in Singapore and Pakistan contributed, with Singapore's pre-tax profit declining and Pakistan's profit increasing.

Financial highlights

• Operating revenue: RMB118.81 billion, down 5.73% year-over-year; net profit attributable to equity holders: RMB7.78 billion, up 19.80% year-over-year; EPS: RMB0.40.

• Operating expenses dropped 8.69% to RMB103.41 billion, with fuel costs down 12.11% to RMB68.11 billion.

• Net cash from operating activities rose 71.53% to RMB23.60 billion.

• Total assets reached RMB561.27 billion, with an asset-liability ratio of 67.18%.

• Net current liabilities were RMB76.82 billion.

Outlook and guidance

• The company aims to intensify new energy development, optimize asset structure, and deepen operational reform in H2 2024.

• Anticipates continued pressure on electricity prices and increased competition as new energy accelerates market entry.

• Plans to optimize coal procurement, leverage green finance, and expand financing channels to control costs and support green transformation.