Investment Rating - The investment rating for Huadian International (600027.SH) is "Buy" [1][4] Core Views - The company's revenue has steadily increased, with a significant year-on-year growth in net profit. In 2023, the company achieved a revenue of 117.176 billion yuan (+9.45%) and a net profit attributable to shareholders of 4.522 billion yuan (+3789.00%) [1][5] - The increase in revenue is primarily driven by an increase in coal trading volume, while the substantial growth in net profit is attributed to a decrease in fuel costs, which were approximately 75.462 billion yuan in 2023 (-8.93%) [1][5] - The company's installed capacity for thermal power generation has further increased, which is expected to drive performance growth. As of 2023, the company has a controlling installed capacity of 58.45 GW, including coal power (46.89 GW), gas power (9.09 GW), and hydro power (2.46 GW) [1][14] - The stabilization of electricity prices and the decline in coal prices are expected to further improve the profitability of thermal power generation [1][15] Summary by Sections Financial Performance - In 2023, the company reported a revenue of 117.176 billion yuan, a 9.45% increase from the previous year. The net profit attributable to shareholders was 4.522 billion yuan, reflecting a dramatic increase of 3789.00% [2][5] - The company's investment income was approximately 3.776 billion yuan, a decrease of 21.41% year-on-year, mainly due to reduced earnings from coal enterprises [1][5] Installed Capacity and Projects - The company has increased its thermal power generation capacity, with 3.70 GW of new power generation projects put into operation in 2023, including 3.02 GW of coal power and 0.68 GW of gas power [1][14] - The company has approved and under-construction units with a total capacity of 6.54 GW, which includes 3.32 GW of coal power and 2.92 GW of gas power [1][14] Profitability and Cost Management - The company's gross margin improved to 6.43% in 2023, an increase of 6.00 percentage points year-on-year, primarily due to the decline in coal prices [1][12] - The company is implementing various measures to enhance operational efficiency, including optimizing coal procurement and reducing financial costs through refinancing [1][15] Future Outlook - The company has raised its profit forecast due to the growth in coal power generation capacity and the decline in coal prices. Expected net profits for 2024-2026 are projected to be 6.8 billion yuan, 7.5 billion yuan, and 8.1 billion yuan, respectively [1][15]

Investment Rating - The report maintains a "Buy" rating for the company [3][5]. Core Views - The company's performance in Q4 2023 met expectations, with revenue of 116.4 billion RMB, a year-on-year increase of 9.8%, and a net profit attributable to shareholders of 4.6 billion RMB, marking a turnaround from losses [3]. - The report anticipates a potential increase in dividends, with a proposed dividend of 0.15 RMB per share, representing 43.7% of the net profit attributable to ordinary shareholders [3]. - The company's gross profit margin for 2023 was 6.4%, an increase of 6.0 percentage points year-on-year, attributed mainly to a decrease in fuel costs, which were approximately 75.5 billion RMB, down 8.93% year-on-year [3]. - The balance sheet is expected to continue improving, with a debt ratio of 62.6% as of Q4 2023, a slight decrease from the previous quarter [3]. Financial Summary - Revenue (million RMB): 2020: 89,382; 2021: 100,984; 2022: 105,960; 2023: 116,376; 2024E: 124,897; 2025E: 126,210; 2026E: 125,647 [2]. - Net profit attributable to shareholders (million RMB): 2020: 4,167; 2021: -3,342; 2022: -31; 2023: 4,601; 2024E: 6,442; 2025E: 6,576; 2026E: 7,034 [2]. - The report projects EPS for 2024-2026 to be 0.63, 0.64, and 0.69 RMB respectively, with a current PE ratio of 6.1 times for 2024E [3].

Investment Rating - The investment rating for the company is "Buy" (maintained) [1][8] Core Views - The company reported a significant improvement in its financial performance for 2023, achieving a revenue of 117.18 billion yuan, a year-on-year increase of 9.45%, and a net profit attributable to shareholders of 4.52 billion yuan, compared to 0.1 billion yuan in the previous year [3][4] - The fourth quarter of 2023 saw a revenue of 26.45 billion yuan, a decrease of 3.5% year-on-year, but the net profit attributable to shareholders turned positive at 0.02 billion yuan, recovering from a loss of 2.23 billion yuan in the same period last year [3][4] - The company’s operational cash flow showed a notable recovery, with a net inflow of 13.25 billion yuan, up 37.3% year-on-year [5] Summary by Sections Financial Performance - In 2023, the company’s net profit improved significantly due to better performance in thermal power, with an estimated net profit of approximately 1.5 billion yuan from thermal power operations, compared to a loss of 4.1 billion yuan in 2022 [4][6] - The overall gross margin for the company improved to 4.7% in Q4 2023, compared to -5.1% in Q4 2022 [4] Dividend Distribution - The company declared a cash dividend of 0.15 yuan per share for the 2023 fiscal year, totaling 1.53 billion yuan, which represents a payout ratio of 44% based on net profit after deducting perpetual bond interest [3] Investment Income - The company reported investment income of 3.78 billion yuan in 2023, a decrease of 21% year-on-year, primarily due to a 31% decline in coal investment income [4][6] - In Q4 2023, the investment income was 640 million yuan, down 26.5% year-on-year [4] Future Outlook - The company is expected to see further improvement in thermal power performance and growth contributions from renewable energy installations in the coming years, with projected net profits of 6.50 billion yuan, 6.93 billion yuan, and 7.33 billion yuan for 2024, 2025, and 2026 respectively [6][7]

Investment Rating - The investment rating for Huadian International (600027) is maintained as "Buy" with a target price of 8.19 CNY, up from the previous target of 6.84 CNY [1][2]. Core Insights - The report highlights a reduction in impairment losses and a continuous improvement in the balance sheet, indicating potential for increased dividends in the future [1][2]. - The company's revenue for 2023 is reported at 117.2 billion CNY, a year-on-year increase of 9.5%, with a net profit attributable to shareholders of 4.52 billion CNY, reflecting a significant year-on-year growth of 3789% [1][3]. - The report anticipates that the profitability of the coal power segment is likely to recover to previous levels due to changes in pricing factors [1][3]. Summary by Sections Financial Performance - The company achieved a revenue of 117.2 billion CNY in 2023, with a net profit of 4.52 billion CNY, marking a substantial increase compared to the previous year [1][3]. - The earnings per share (EPS) for 2024 is projected to be 0.63 CNY, up from the previous estimate of 0.57 CNY [1][2]. Balance Sheet - As of Q4 2023, the company's total liabilities amounted to 307 billion CNY, with a debt ratio of 62.6%, showing a slight decrease from the previous year [1][2]. - The report indicates that the balance sheet is expected to continue improving, with potential for enhanced dividend capacity in the future [1][2]. Market Comparison - The report compares Huadian International with its peers, suggesting a valuation based on a 13x PE ratio for 2024, which supports the target price adjustment [1][2][7]. - The average PE ratio for comparable companies is noted to be around 10.7 for 2024, indicating a competitive positioning for Huadian International [7].

Investment Rating - The report maintains an "Accumulate" rating for Huadian International [2] Core Views - Huadian International reported a significant increase in profitability for coal-fired power generation, with a notable decrease in leverage [2] - The company achieved a total operating revenue of 117.176 billion yuan in 2023, representing a year-on-year increase of 9.45% [2][3] - The net profit attributable to shareholders reached 4.522 billion yuan, a remarkable year-on-year growth of 3789% [2][3] - The operating cash flow was 13.252 billion yuan, up 37.27% year-on-year [2] - The gross profit margin for coal-fired power generation improved to 8.1%, an increase of 6.8 percentage points year-on-year [2] Financial Summary - Total revenue for 2023 was 117,176 million yuan, with a projected revenue of 116,283 million yuan for 2024, indicating a slight decline of 0.8% [3][4] - The net profit attributable to shareholders is forecasted to grow to 7,225 million yuan in 2024, reflecting a year-on-year increase of 59.8% [3][4] - The gross margin is expected to rise to 10.1% in 2024, compared to 6.4% in 2023 [3][4] - The company's asset-liability ratio decreased to 62.6%, down 5.83 percentage points year-on-year [2][3] - The earnings per share (EPS) for 2023 was 0.44 yuan, projected to increase to 0.71 yuan in 2024 [3][4] Investment Recommendations - The report suggests maintaining the "Accumulate" rating based on the company's strong performance and improved financial metrics [2] - The forecast for net profit attributable to shareholders for 2024-2026 is adjusted to 7.225 billion, 8.340 billion, and 8.721 billion yuan, respectively [2][3]

Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company achieved a revenue of 117.18 billion yuan in 2023, representing a year-on-year growth of 9.45%, and a net profit attributable to shareholders of 4.52 billion yuan, a significant increase of 3789% year-on-year [2][3] - The cash dividend ratio for 2023 was 43.65%, indicating a strong return to shareholders [3] - The report anticipates further recovery in the profitability of the thermal power industry, driven by a decline in coal prices and reduced capital expenditures in the coal power sector [3] - The company is expected to benefit from a decrease in coal prices, with projections indicating a drop of 100-200 yuan/ton to a price range of 800-900 yuan/ton in 2024 [3] - The company’s electricity generation increased by 1.21% year-on-year, while the average electricity price decreased by 0.44% [3] Financial Forecasts and Valuation - The company’s net profit forecasts for 2024 and 2025 have been adjusted to 6.44 billion yuan and 7.32 billion yuan, respectively, with a projected net profit of 8.25 billion yuan for 2026, reflecting year-on-year growth rates of 42.40%, 13.62%, and 12.79% [4] - The report estimates the price-to-earnings (P/E) ratio to be 11, 9, and 8 times for the years 2024, 2025, and 2026, respectively [4] - The company’s total revenue is projected to grow from 119.20 billion yuan in 2024 to 126.93 billion yuan in 2026 [4]

Financial Performance - The company's operating revenue for 2023 reached RMB 117,176,125 thousand, representing a 9.45% increase compared to RMB 107,058,536 thousand in 2022[14] - The net profit attributable to shareholders for 2023 was RMB 4,522,125 thousand, a significant increase of 3,789.00% from RMB 116,280 thousand in 2022[14] - The net cash flow from operating activities was RMB 13,251,646 thousand, up 37.26% from RMB 9,654,498 thousand in the previous year[14] - The company's total assets as of the end of 2023 were RMB 223,036,299 thousand, a slight decrease of 0.10% from RMB 223,260,470 thousand at the end of 2022[14] - The net assets attributable to shareholders increased by 17.25% to RMB 69,756,242 thousand from RMB 59,492,252 thousand in 2022[14] - Basic earnings per share for 2023 were RMB 0.35, compared to a loss of RMB 0.08 per share in 2022[15] - The diluted earnings per share also stood at RMB 0.35, reflecting a recovery from the previous year's loss[15] - The return on equity increased to 9.34%, up 11.41 percentage points from -2.07% in 2022[15] Dividend Distribution - The company plans to distribute a dividend of RMB 0.15 per share, totaling approximately RMB 1,534,134.17 thousand, which accounts for 43.65% of the distributable net profit[3] - The cash dividend amount (including tax) is CNY 1,534,134.17 thousand, which accounts for 43.65% of the net profit attributable to ordinary shareholders in the consolidated financial statements[142] - The cash dividend per 10 shares is CNY 1.50 (including tax)[142] Operating Activities - The company's operating income for Q1 2023 was CNY 31,978,448 thousand, while Q2 was CNY 27,471,203 thousand, Q3 was CNY 31,275,461 thousand, and Q4 was CNY 26,451,013 thousand[20] - The net profit attributable to shareholders for Q3 2023 was CNY 1,916,602 thousand, while Q4 showed a drastic decline to CNY 23,624 thousand[20] - The cash flow generated from operating activities in Q3 2023 was CNY 7,825,670 thousand, while Q4 was CNY 1,702,167 thousand[20] Government Subsidies and Non-Recurring Gains - The company's total government subsidies recognized in 2023 amounted to CNY 490,350 thousand, down from CNY 659,805 thousand in 2022[21] - The company reported a total of CNY 719,373 thousand in non-recurring gains and losses for 2023, compared to CNY 676,048 thousand in 2022[21] Asset Management - The company's total assets measured at fair value decreased from CNY 370,055 thousand at the beginning of the period to CNY 351,434 thousand at the end of the period[23] - The company's total installed capacity reached 58,449.78 MW, with coal-fired generation accounting for approximately 80.22% of this capacity[30] - The company completed the commissioning of power projects totaling 3,695.54 MW in 2023, including 3,020 MW of efficient coal-fired units and 675.54 MW of gas-fired units[26] Environmental and Sustainability Efforts - The company has completed ultra-low emission renovations for all coal-fired power generation units, ensuring compliance with environmental standards[148] - The company has set up 272 main discharge outlets in accordance with the pollution discharge permits, with all emissions meeting the required standards[147] - The company has achieved a 100% treatment rate for hazardous waste, minimizing solid waste storage[154] - The company emphasizes the importance of ecological environment restoration and protection, conducting regular fish breeding activities[154] - The company is committed to sustainability, with a goal to reduce carbon emissions by 20% by 2025[118] Corporate Governance - The company completed the election of the 10th Board of Directors and Supervisory Board, with 5 new directors elected and 7 re-elected, ensuring gender diversity with 2 female directors[87] - The company has established a robust internal control system and conducted an internal control evaluation report for 2022, enhancing risk prevention capabilities[89] - The company emphasizes investor protection and has improved communication with investors through various channels[88] - The company has established a remuneration and assessment committee responsible for reviewing and proposing changes to the remuneration policies for directors and senior management[121] Market Expansion and Strategic Initiatives - The company is actively expanding its market presence with new projects and technologies, focusing on both traditional and renewable energy sources[63] - The company is focused on expanding its market presence and enhancing its operational efficiency through strategic management and investment[113] - The company plans to enhance its supply chain management, aiming to reduce costs by 10% over the next year[116] - A strategic acquisition of a local competitor is anticipated to enhance operational efficiency and increase market penetration by 30%[114] Related Party Transactions - The company maintains strict management of related party transactions, ensuring fairness and compliance with legal procedures[96] - The company has a total of 5,745,860 thousand RMB in related party debts to its controlling shareholder, China Huadian[178] - The company reported a total loan amount of 30,389,159 thousand RMB from Huadian Finance, with a repayment amount of 32,472,354 thousand RMB during the period[180] Financial Management - The company’s financial management is overseen by a newly elected financial director, ensuring compliance and strategic financial planning[123] - The company has a structured process for determining the remuneration of its directors and senior management, which requires shareholder approval[121] - The total pre-tax compensation for the company's executives during the reporting period amounted to 642.12 million CNY[106] Risk Management - The company faces risks from the electricity market due to the rapid growth of renewable energy installations, which may reduce the generation capacity of thermal power[82] - The company is actively researching coal procurement strategies to mitigate risks associated with decreasing long-term contract coverage and rising fuel costs[83] Employee Management - The total number of employees in the parent company and major subsidiaries is 24,778, with 10,773 retirees[136] - The company conducted training for 323,097 employees in 2023, achieving a training rate of 98.85%[139] - The company emphasizes a salary policy that links total salary to efficiency and effectiveness, ensuring fair distribution among employees[137]

Investment Rating - The report maintains a "Cautious Recommendation" rating for the company, with target prices set at 7.35 CNY for A-shares and 5.33 HKD for H-shares [5][2]. Core Views - The company reported a revenue of 117.176 billion CNY for 2023, representing a year-on-year growth of 9.45%. The net profit attributable to shareholders reached 4.522 billion CNY, a significant increase of 3789.00% year-on-year. The company plans to distribute a cash dividend of 0.15 CNY per share, totaling 1.534 billion CNY, which accounts for 43.65% of the distributable net profit [1][3]. - The growth in installed capacity is expected to mitigate electricity price risks, with fire power revenue projected to continue increasing. In 2023, the company achieved a fire power generation of 200.312 billion kWh, a 1.5% increase year-on-year. Despite a slight decline in the average selling price, fire power revenue is anticipated to grow due to increased installed capacity [1][2]. - Financial expenses have decreased, and impairment losses have narrowed, offsetting the impact of investment income. The financial expense ratio fell by 0.7 percentage points to 3.1%, with total financial expenses decreasing by 4.43 billion CNY, a decline of 11.0% [1][2]. Financial Forecasts - The company forecasts earnings per share (EPS) of 0.49 CNY, 0.61 CNY, and 0.68 CNY for the years 2024, 2025, and 2026, respectively. The corresponding price-to-earnings (PE) ratios are projected at 13.9, 11.0, and 10.0 for A-shares, and 8.0, 6.4, and 5.8 for H-shares [2][10]. - Revenue growth rates are expected to be 2.99% in 2024 and 1.65% in 2025, with net profit growth rates of 30.59% and 9.74% for the same years [10][11]. - The company's total assets are projected to grow from 223.036 billion CNY in 2023 to 254.042 billion CNY by 2026, with a corresponding decrease in the debt-to-asset ratio from 62.62% to 61.12% [9][10].

Financial Performance - The group achieved a revenue of approximately RMB 116.38 billion in 2023, representing an increase of about 9.83% compared to 2022[2]. - The net profit attributable to shareholders for the year was approximately RMB 4.601 billion, with basic earnings per share of RMB 0.355[2]. - Operating profit for 2023 was approximately RMB 4.101 billion, an increase of RMB 8.285 billion from the previous year, primarily due to lower fuel prices and contributions from new projects[16]. - The company reported a net profit attributable to equity holders of RMB 4,601,094 thousand in 2023, compared to a loss of RMB 14,322 thousand in 2022[88]. - Basic earnings per share improved to RMB 0.355 in 2023 compared to a loss of RMB 0.093 in 2022, indicating a significant turnaround[88]. - The company reported a basic earnings per share of RMB 0.35 for 2023, recovering from a loss of RMB 0.08 per share in 2022[104]. - Total revenue for the year 2023 reached RMB 117,176,125 thousand, an increase of 9.9% compared to RMB 107,058,536 thousand in 2022[103]. Dividend and Shareholder Information - The board proposed a final cash dividend of RMB 0.15 per share, totaling approximately RMB 1.534 billion, subject to shareholder approval[3]. - The proposed cash dividend is expected to be paid on or before August 30, 2024, pending approval at the upcoming annual general meeting[3]. - Proposed final dividend per share for 2023 is RMB 0.15, down from RMB 0.20 in 2022, totaling RMB 1,534,134 thousand[95]. - Major shareholder China Huadian holds 44.33% of the total issued A-shares and 0.84% of the total issued H-shares as of December 31, 2023[50]. Operational Highlights - In 2023, the total electricity generation of the group was 223.80 million MWh, an increase of approximately 1.30% year-on-year[2]. - The total on-grid electricity generated was 209.55 million MWh, reflecting a year-on-year growth of about 1.21%[14]. - The average annual utilization hours for the group's power generation units were 3,956 hours, with coal-fired units at 4,301 hours and gas-fired units at 2,188 hours[14]. - The group operates 45 power generation companies with a total installed capacity of 58,449.78 MW, including 46,890 MW from coal-fired power and 9,094.59 MW from gas-fired power[4]. - The group maintains a diversified portfolio of power generation assets, including coal, gas, and hydropower plants, to ensure stable energy supply[4]. Investment and Future Plans - The group plans to invest approximately RMB 9.7 billion in 2024 for power generation projects, environmental protection, and energy-saving technology upgrades[21]. - The group plans to continue expanding its renewable energy projects and enhancing operational efficiency in existing power plants[4]. - The group aims to maintain stable operating hours for power generation equipment in 2024, with an expected generation volume of around 220 billion kWh, remaining flat compared to the previous year[21]. - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[103]. Financial Position and Liabilities - As of December 31, 2023, the total borrowings of the group amounted to approximately RMB 93.532 billion, with a debt-to-asset ratio of approximately 62.07%[34]. - The total liabilities of the group as of December 31, 2023, were RMB 139,656,521 thousand, down from RMB 152,833,689 thousand in 2022, indicating a reduction of 8.6%[101]. - The group's total equity increased to RMB 83,379,778 thousand from RMB 70,426,781 thousand, reflecting a growth of 18.4% year-over-year[102]. - The company's total assets at the end of 2023 were RMB 71,638,659 thousand, an increase from RMB 61,408,847 thousand at the beginning of the year[106]. Governance and Compliance - The company emphasizes adherence to corporate governance principles, enhancing management innovation and compliance with relevant laws and regulations[53]. - The company has adopted a comprehensive corporate governance code, including rules for board meetings and independent director systems[54]. - The company has established a strategic committee in addition to the audit, remuneration, and nomination committees, enhancing its governance structure[57]. - The new regulations effective from March 31, 2023, eliminate the distinction between A-share and H-share holders, simplifying shareholder meetings[46].

目录 CONTENTS | 关于本报告 | 01 | | --- | --- | | 管理层致辞 | 03 | | 关于华电国际 | 05 | | 公司介绍 | 05 | | 业务情况 | 05 | | 年度大事记 | 06 | | 未来展望 | 53 | | 附录 | 55 | | 关键绩效表 | 55 | | 指标索引 | 60 | | 免责声明 | 64 | | 秉德践信 | 07 | | --- | --- | | 强化管治策略 | | | 公司治理 | 09 | | 风险管理 | 11 | | 股东权益保护 | 12 | | 投资者关系管理 | 13 | | 信息披露透明 | 13 | | ESG 管理 | 14 | | 严格管理 | | --- | | 守护绿水青山 | | 加强环境管理 | | 加强环境管理 | 37 | | --- | --- | | 应对气候变化 | 38 | | 严控运营排放 | 39 | | 紧抓生态保护 | 41 | | 大道为简 | | | --- | --- | | 促进高质量发展 | | | 规范公司运营 | 21 | | 积极开拓市场 | 26 | | 推动精益 ...