Financial Performance - The company's operating revenue for 2021 was RMB 104,422,213 thousand, representing a 12.27% increase compared to RMB 93,009,907 thousand in 2020[16] - The net profit attributable to shareholders of the listed company was a loss of RMB 4,965,346 thousand, a decrease of 211.80% from a profit of RMB 4,441,268 thousand in the previous year[16] - The net cash flow from operating activities was a negative RMB 6,350,506 thousand, down 124.00% from RMB 26,465,861 thousand in 2020[16] - The total assets at the end of 2021 were RMB 218,860,429 thousand, a decrease of 9.84% from RMB 242,750,409 thousand at the end of 2020[16] - The net assets attributable to shareholders of the listed company decreased by 16.88% to RMB 61,829,644 thousand from RMB 74,383,869 thousand in 2020[16] - The company reported a decrease in the net profit after deducting non-recurring gains and losses to a loss of RMB 8,368,162 thousand, down 327.93% from RMB 3,671,424 thousand in 2020[16] - The basic earnings per share for 2021 was -0.61 CNY, a decrease of 269.44% compared to 0.36 CNY in 2020[17] - The weighted average return on equity decreased to -13.67% in 2021, down 20.93 percentage points from 7.26% in 2020[17] - The net profit attributable to shareholders under Chinese accounting standards was -4,965,346 thousand CNY for the current period, compared to 4,441,268 thousand CNY in the previous period[18] Revenue and Costs - The company's total operating costs were approximately RMB 117.969 billion, a year-on-year increase of 38.64%[33] - The company's fuel costs amounted to approximately RMB 75.743 billion, reflecting a significant year-on-year increase of 74.68% due to rising coal prices[35] - The company's total revenue from power generation was RMB 83,642,028 thousand, a decrease of 5.76% compared to the previous year[37] - Revenue from heating services was RMB 7,468,176 thousand, down 32.10% year-on-year, with a gross margin decrease of 28.63 percentage points to 10.61%[37] - The total revenue from coal sales was RMB 11,616,654 thousand, reflecting a 5.55% decrease, with a gross margin reduction of 4.91 percentage points to 4.03%[37] Operational Efficiency and Capacity - The company's total electricity generation reached 233.801 billion kWh, an increase of 7.52% compared to the previous year[26] - The company's total installed capacity reached approximately 53,355.55 MW, with coal-fired generation accounting for about 79%[29] - The company's coal consumption per unit of electricity generated was 287.55 grams/kWh, with all 95 coal-fired units meeting ultra-low emission standards[26] - The company's power generation efficiency showed a utilization rate of 4.86%, with an increase in annual utilization hours to 4,066 hours, up by 422 hours year-on-year[62] Investments and Future Plans - The company plans to expand its renewable energy capacity, particularly in wind and solar sectors, to enhance sustainability[53] - The company aims to achieve a 20% increase in overall power generation capacity by 2025 through strategic investments and expansions[57] - The company plans to invest around RMB 17 billion in 2022 for power project infrastructure, environmental protection, and energy-saving technology upgrades[74] - The company is focusing on the development of new energy projects, with related asset contribution plans being discussed and approved[120] Governance and Compliance - The company emphasizes the importance of compliance management and enhancing governance levels to ensure regulatory adherence and risk prevention[75] - The company has established a three-tier internal control assessment mechanism to promote efficient internal control work[79] - The company strictly adheres to insider information management, ensuring no illegal gains from insider trading[80] - The company is committed to continuous improvement in corporate governance and internal management to promote stable and healthy development[87] Shareholder and Management Information - The total pre-tax compensation for the chairman, Ding Huande, was CNY 450,000[95] - The total pre-tax compensation for the general manager, Luo Xiaoqian, was CNY 852,900[95] - The total pre-tax compensation for the financial director, Feng Rong, was CNY 760,400[95] - The total pre-tax compensation for the deputy general manager, Peng Guoquan, was CNY 778,400[99] - The company has appointed new directors and supervisors, including Zhang Zhiqiang and Li Pengyun, who were newly elected as directors[109] Environmental and Social Responsibility - The company achieved a 100% operational rate for desulfurization equipment and reduced wastewater discharge by approximately 99%, totaling about 7.86 million tons[146] - The company’s carbon emission intensity decreased by 7.4 grams per kilowatt-hour compared to the previous year, reflecting effective energy-saving technology research and management[147] - In 2021, the company allocated 4.921 million yuan for poverty alleviation projects, contributing significantly to the consolidation of poverty alleviation results in various regions[148] - The company received recognition for its poverty alleviation efforts, with its Hubei office awarded as an advanced collective in poverty alleviation[148] Financial Transactions and Debt Management - The company entered into a loan framework agreement with China Huadian, allowing for an annual borrowing limit of RMB 200 billion, with an outstanding balance of approximately RMB 171.66 billion as of December 31, 2021[157] - The company has issued a total of 15 billion RMB in corporate bonds, with interest rates ranging from 3.58% to 5.20%[196] - The total amount raised from the issuance of bonds was 43.50 billion RMB, with all funds fully utilized[199] - The company has no significant contracts or guarantees applicable for the reporting period[175]

[Definitions](index=4&type=section&id=Section%201%20Definitions) This section defines key technical terms used in the report, providing a foundation for understanding its content - This section defines key technical terms used in the report, including **power supply coal consumption**, **utilization hours**, **power generation**, **controlling installed capacity**, and **plant power consumption rate**, providing a basis for understanding the report's content[7](index=7&type=chunk)[404](index=404&type=chunk) [Company Profile and Key Financial Indicators](index=5&type=section&id=Section%202%20Company%20Profile%20and%20Key%20Financial%20Indicators) This section presents the company's basic information, key financial performance, accounting standard differences, and non-recurring profit and loss items [Company Information](index=5&type=section&id=I.%20Company%20Information) This section provides the company's basic details, including names, legal representative, contact information, and stock listing information Company Basic Information | Item | Information | | :--- | :--- | | Chinese Name | 华电国际电力股份有限公司 | | Chinese Short Name | 华电国际 | | English Name | HUADIAN POWER INTERNATIONAL CORPORATION LIMITED | | Legal Representative | Mr. Wang Xuxiang | | A-Share Listing Exchange | Shanghai Stock Exchange | | A-Share Stock Ticker/Code | 华电国际 / 600027 | | H-Share Listing Exchange | Hong Kong Stock Exchange | | H-Share Stock Ticker/Code | 华电国际电力股份 / 01071 | [Key Accounting Data and Financial Indicators](index=6&type=section&id=VII.%20Key%20Accounting%20Data%20and%20Financial%20Indicators) In H1 2020, net profit attributable to shareholders grew significantly despite a decline in operating revenue Key Accounting Data for H1 2020 (Unit: RMB thousand) | Key Accounting Data | Current Period | Prior Year Period (Adjusted) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 41,531,486 | 44,140,958 | -5.91 | | Net Profit Attributable to Shareholders | 2,385,988 | 1,662,874 | 43.49 | | Net Profit Attributable to Shareholders (Excluding Non-recurring Items) | 2,126,905 | 1,600,528 | 32.89 | | Net Cash Flow from Operating Activities | 11,548,801 | 9,368,247 | 23.28 | Key Financial Indicators for H1 2020 | Key Financial Indicators | Current Period (Jan-Jun) | Prior Year Period (Adjusted) | Change | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (RMB/share) | 0.198 | 0.146 | Increased by 35.62% | | Basic EPS Excluding Non-recurring Items (RMB/share) | 0.171 | 0.140 | Increased by 22.14% | | Weighted Average Return on Equity (%) | 4.19 | 3.26 | Increased by 0.93 percentage points | | Weighted Average ROE Excluding Non-recurring Items (%) | 3.64 | 3.16 | Increased by 0.48 percentage points | [Accounting Data Differences under Domestic and International Standards](index=6&type=section&id=VIII.%20Accounting%20Data%20Differences%20under%20Domestic%20and%20International%20Standards) This section outlines the differences in net profit and net assets under PRC and International accounting standards H1 2020 Net Profit and Period-end Net Assets Standards Reconciliation (Unit: RMB thousand) | Item | Net Profit (Current Period) | Net Assets (Period-end) | | :--- | :--- | :--- | | **As per PRC Accounting Standards** | **2,385,988** | **67,106,078** | | Business combinations under common control | -121,142 | 2,191,052 | | Government grants | 16,796 | -303,597 | | Maintenance fees, safety production fees | 54,819 | 39,301 | | Separation of "three supplies, one property" | -618 | - | | Tax impact of adjustments | 30,314 | -447,206 | | Attributable to minority interests | 45,278 | -416,163 | | **As per International Accounting Standards** | **2,411,435** | **68,169,465** | - Key differences between domestic and international accounting standards explained: - **Business Combination**: International standards require measurement at fair value, while PRC standards use book value for combinations under common control[20](index=20&type=chunk)[21](index=21&type=chunk) - **Government Grants**: Under IFRS, some grants are recognized as deferred income, while under PRC GAAP, some are credited to capital reserve[20](index=20&type=chunk)[21](index=21&type=chunk) - **Maintenance/Safety Fees**: Under IFRS, these are treated as profit distribution upon provision, while under PRC GAAP, they are expensed in the current period[20](index=20&type=chunk)[21](index=21&type=chunk) - **"Three Supplies, One Property" Separation**: Under IFRS, transferred assets are recognized in current profit/loss, while under PRC GAAP, related losses are offset against equity[20](index=20&type=chunk)[21](index=21&type=chunk) [Non-recurring Profit and Loss Items](index=8&type=section&id=IX.%20Non-recurring%20Profit%20and%20Loss%20Items) The company's non-recurring profit and loss totaled RMB 259 million, mainly from government grants and asset disposals Non-recurring Profit and Loss Items for H1 2020 (Unit: RMB thousand) | Non-recurring P&L Item | Amount | | :--- | :--- | | Gain/Loss on disposal of non-current assets | 25,405 | | Government grants recognized in current profit or loss | 98,681 | | Reversal of impairment provision for individually tested receivables and contract assets | 7,108 | | Gains from entrusted loans | 7,597 | | Other non-operating income and expenses | 161,789 | | Minority interest impact | -16,163 | | Income tax impact | -25,334 | | **Total** | **259,083** | [Company Business Overview](index=9&type=section&id=Section%203%20Company%20Business%20Overview) This section details the company's primary business operations, operating model, industry context, and core competitive strengths [Main Business, Operating Model, and Industry Overview](index=9&type=section&id=I.%20Report%20Period%20Main%20Business%2C%20Operating%20Model%2C%20and%20Industry%20Overview) The company is a large integrated energy firm in China, primarily engaged in constructing and operating power plants - The company's main business is selling electricity and heat products in the regions where its power assets are located, accounting for approximately **87% of its main business revenue**[24](index=24&type=chunk) Controlling Installed Capacity Structure (as of the reporting date) | Energy Type | Controlling Installed Capacity (million kW) | Percentage | | :--- | :--- | :--- | | Coal-fired Power | 43.235 | 76% | | Gas-fired Power | 6.8781 | 12% | | Renewable Energy (Hydro, Wind, Solar) | 6.8402 | 12% | | **Total** | **56.9533** | **100%** | [Core Competency Analysis](index=9&type=section&id=III.%20Core%20Competency%20Analysis%20during%20the%20Reporting%20Period) The company's core competitiveness lies in its scale, advanced equipment, management experience, and strong governance - The company's core competencies include: - **Scale Advantage**: One of the largest listed power generation companies in China by installed capacity, with assets across 14 provinces and a relatively complete industrial chain[25](index=25&type=chunk) - **Advanced Equipment**: Over **90% of its thermal power units are large-capacity, high-efficiency, and environmentally friendly units of 300 MW or above**, with units of 600 MW and above accounting for about 60%, far exceeding the national average[26](index=26&type=chunk) - **Management Experience**: Possesses an experienced management and technical team with extensive experience in power plant construction and operation[27](index=27&type=chunk) - **Corporate Governance**: As a dually-listed company, it has established a standardized internal management and control system, enjoying a good market reputation and strong financing capabilities[27](index=27&type=chunk) [Discussion and Analysis of Operations](index=11&type=section&id=Section%204%20Discussion%20and%20Analysis%20of%20Operations) This section reviews operational performance, business segments, asset and liability status, investments, and key risks [Overall Analysis of Operations](index=11&type=section&id=I.%20Discussion%20and%20Analysis%20of%20Operations) In H1 2020, net profit grew 43.49% to RMB 2.386 billion despite lower power generation and revenue, driven by reduced fuel costs H1 2020 Operating Performance Overview | Indicator | H1 2020 | YoY Change | | :--- | :--- | :--- | | Cumulative Power Generation | 92.976 billion kWh | -8.66% | | On-grid Power Generation | 87.062 billion kWh | -8.53% | | Total Operating Revenue | RMB 41.531 billion | -5.91% | | Operating Costs | RMB 34.570 billion | -9.45% | | Net Profit Attributable to Parent | RMB 2.386 billion | +43.49% | | Basic EPS | RMB 0.198 | +35.62% | - The decrease in power generation was mainly due to the impact of the COVID-19 pandemic and increased external power purchases in the Shandong region[28](index=28&type=chunk) - The company's **power supply coal consumption was 288.52 g/kWh**, significantly lower than the national average, reflecting high operational efficiency[28](index=28&type=chunk) [Company's Controlling Installed Capacity](index=12&type=section&id=I.%20Company's%20Controlling%20Installed%20Capacity) The company's installed capacity is diversified, with a clear trend towards clean energy in its new and under-construction projects Newly Added Installed Capacity in H1 2020 (MW) | Project | Unit Type | Capacity (MW) | | :--- | :--- | :--- | | Shijiazhuang Heating Group | Gas-fired Power | 4 | | Shuoluohe Company | Hydropower | 124 | | Longkou Dongyi Wind Power Co. | Wind Power | 50 | | Shandong New Energy Co. | Wind Power | 40 | | Ningxia New Energy Co. | Wind Power | 100 | | Ningxia New Energy Co. | Solar Power | 70 | | **Total** | **-** | **388** | Major Units Under Construction (MW) | Unit Type | Planned Installed Capacity (MW) | | :--- | :--- | | Coal-fired Power Units | 510 | | Gas-fired Power Units | 1,629 | | Hydropower Units | 168 | | Wind Power Units | 1,716.5 | | Photovoltaic Power Units | 11.3 | | **Total** | **4,034.8** | [Analysis of Main Business](index=17&type=section&id=(I)%20Analysis%20of%20Main%20Business) In H1 2020, operating revenue fell due to lower power generation, but operating profit grew 42.21% as cost reductions outpaced the revenue decline Analysis of Financial Statement Item Changes in H1 2020 (Unit: RMB thousand) | Account | Current Period | Prior Year Period (Restated) | Change (%) | Main Reason | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 41,531,486 | 44,140,958 | -5.91 | Decrease in power generation | | Operating Costs | 34,570,239 | 38,179,877 | -9.45 | Decrease in power generation and coal prices | | Finance Costs | 2,379,309 | 2,623,631 | -9.31 | Reduced interest-bearing debt and financing costs | | Net Cash Flow from Operating Activities | 11,548,801 | 9,368,247 | 23.28 | Increased company profitability | [Analysis of Assets and Liabilities](index=19&type=section&id=(III)%20Analysis%20of%20Assets%20and%20Liabilities) As of June 30, 2020, the company's balance sheet saw significant changes in working capital accounts and debt structure Major Changes in Balance Sheet Items (Unit: RMB thousand) | Item Name | End of Current Period | End of Prior Year Period | Change (%) | Main Reason | | :--- | :--- | :--- | :--- | :--- | | Notes Receivable | 3,201,669 | 1,645,555 | 94.56 | Increased scale of electricity bill settlement via notes | | Contract Liabilities | 493,243 | 1,757,069 | -71.93 | End of heating season, reduced prepaid heating fees | | Employee Benefits Payable | 580,481 | 236,568 | 145.38 | Impact of employee compensation payment schedule | | Non-current Liabilities Due within One Year | 8,621,349 | 13,286,633 | -35.11 | Repayment of medium-term notes and long-term loans | | Other Current Liabilities | 316,107 | 3,573,409 | -91.15 | Repayment of super short-term financing bills | - As of June 30, 2020, certain subsidiaries pledged electricity and heating fee collection rights of approximately **RMB 17.589 billion** and mortgaged power generation units, equipment, land use rights, and mining rights of approximately **RMB 4.162 billion** to secure loans[44](index=44&type=chunk) [Analysis of Investment Status](index=20&type=section&id=(IV)%20Analysis%20of%20Investment%20Status) As of June 30, 2020, the company's long-term equity investment was RMB 11.831 billion, a slight increase from the beginning of the year Significant Changes in Equity Investments (Unit: RMB thousand) | Company Name | Business Scope | Shareholding (%) | Change in Amount | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Huadian Coal Industry Group Co., Ltd. | Coal industry development and supply | 12.98 | 108,276 | 6.64 | | Otog Front Banner Great Wall Coal Mine Co., Ltd. | Sales of coal mining machinery and accessories | 35 | 47,652 | 6.27 | | Guodian Inner Mongolia Dongsheng Thermal Power Co., Ltd. | Power generation, sales, and heating | 20 | 22,031 | 14.12 | | China Huadian Finance Co., Ltd. | Financial services | 16.46 | -54,267 | -4.02 | | Xibaipo Second Power Generation Co., Ltd. | Power generation and sales | 35 | -44,073 | -8.45 | [Analysis of Major Subsidiaries and Investees](index=21&type=section&id=(VI)%20Analysis%20of%20Major%20Subsidiaries%20and%20Investees) Huadian Hubei Power Generation Co., Ltd. was the main subsidiary contributing over 10% to the company's net profit Key Financial Data of Huadian Hubei Power Generation Co., Ltd. (Unit: RMB thousand) | Indicator | Amount | | :--- | :--- | | Total Assets (2020-06-30) | 18,614,493 | | Net Assets (2020-06-30) | 8,370,329 | | Operating Revenue (H1 2020) | 4,577,485 | | Net Profit (H1 2020) | 537,764 | [Potential Risks](index=21&type=section&id=(II)%20Potential%20Risks) The company faces three main risks: electricity market risk, coal market risk, and environmental risk - Key risks and mitigation strategies: - **Electricity Market Risk**: Uncertain power demand due to COVID-19 and trade protectionism, along with pressure from external power purchases and market competition, may impact generation volume and tariffs; the company will enhance marketing and adopt differentiated strategies[51](index=51&type=chunk) - **Coal Market Risk**: Capacity adjustments in major production areas and cross-regional transportation create uncertainty in coal supply and prices; the company will strengthen market analysis and optimize procurement and inventory control[51](index=51&type=chunk) - **Environmental Risk**: Stricter environmental regulations may increase compliance expenditures; the company will rigorously implement environmental policies and enhance facility maintenance to ensure compliance[51](index=51&type=chunk) [Important Matters](index=23&type=section&id=Section%205%20Important%20Matters) This section covers profit distribution, commitment fulfillment, related-party transactions, contracts, and social responsibility initiatives [Profit Distribution Plan](index=23&type=section&id=II.%20Profit%20Distribution%20or%20Capital%20Reserve%20Capitalization%20Plan) The company has no profit distribution or capitalization of capital reserve plan for the first half of 2020 - The Board of Directors has resolved that there will be no profit distribution plan or capitalization of capital reserve for the first half of 2020[4](index=4&type=chunk)[55](index=55&type=chunk) [Fulfillment of Commitments](index=23&type=section&id=III.%20Fulfillment%20of%20Commitments) The company and its controlling shareholder, China Huadian Corporation, have strictly fulfilled all commitments during the reporting period - The controlling shareholder, China Huadian, has committed to injecting its non-listed conventional energy generation assets into the company within three years after they meet the injection criteria to resolve inter-industry competition, and this commitment is in progress[57](index=57&type=chunk) - China Huadian committed not to sell the 1.15 billion A-shares subscribed in the non-public offering on July 18, 2014, for 72 months (until July 18, 2020), and this commitment was strictly fulfilled during the reporting period[57](index=57&type=chunk)[96](index=96&type=chunk) [Significant Related-Party Transactions](index=26&type=section&id=X.%20Significant%20Related-Party%20Transactions) The company engaged in significant related-party transactions, primarily involving fuel and equipment procurement, engineering, and financial services - The company has ongoing daily related-party transactions with its controlling shareholder, China Huadian, and its affiliates in areas such as fuel procurement, engineering services, and financial services, with all transaction amounts within the annual caps[62](index=62&type=chunk)[63](index=63&type=chunk)[64](index=64&type=chunk) Related-Party Borrowings (Unit: RMB thousand) | Related Party | Relationship | Opening Balance | Current Period Amount | Closing Balance | | :--- | :--- | :--- | :--- | :--- | | China Huadian | Controlling Shareholder | 2,570,000 | 3,830,000 | 6,400,000 | | Huadian Finance | Subsidiary of Parent Company | 8,513,060 | -478,033 | 8,035,027 | | **Total** | | **11,083,060** | **3,351,967** | **14,435,027** | [Major Contracts and Guarantees](index=28&type=section&id=XI.%20Major%20Contracts%20and%20Their%20Performance) The company had no major custody, contracting, or leasing matters, while its guarantee exposure remains low and controllable Total Guarantees (Unit: RMB thousand) | Item | Amount | | :--- | :--- | | Total year-end guarantee balance for subsidiaries (B) | 81,625 | | Total year-end external guarantee balance (A) | 43,575 | | **Total Guarantees (A+B)** | **125,200** | | Total Guarantees as a percentage of Net Assets (%) | 0.14 | [Poverty Alleviation Work](index=30&type=section&id=XII.%20Listed%20Company's%20Poverty%20Alleviation%20Work) In H1 2020, the company actively fulfilled its social responsibilities by investing in targeted poverty alleviation efforts Targeted Poverty Alleviation Achievements in H1 2020 | Indicator | Amount and Progress | | :--- | :--- | | Funds Invested | RMB 4.9738 million | | Value of Materials Donated | RMB 64,500 | | Number of Registered Poor People Lifted out of Poverty | 1,443 people | | Number of Industrial Poverty Alleviation Projects | 8 | | Investment in Industrial Poverty Alleviation Projects | RMB 2.8993 million | [Environmental Information](index=32&type=section&id=XIV.%20Environmental%20Information) The company prioritizes environmental protection, with most coal-fired units achieving ultra-low emissions through continuous investment - The company continues to increase investment in environmental protection facilities for its coal-fired power plants, with the vast majority of units achieving ultra-low emissions and ensuring the normal operation of these facilities[82](index=82&type=chunk)[84](index=84&type=chunk) - As of the reporting date, the company was fined a total of **RMB 595,000** for environmental issues (fugitive emissions and others)[82](index=82&type=chunk)[83](index=83&type=chunk) [Share Capital Changes and Shareholder Information](index=34&type=section&id=Section%206%20Ordinary%20Share%20Capital%20Changes%20and%20Shareholder%20Information) This section provides details on the company's shareholder structure as of the end of the reporting period [Shareholder Information](index=34&type=section&id=II.%20Shareholder%20Information) As of the period-end, the company had 114,783 ordinary shareholders, with China Huadian Corporation as the largest shareholder Top Ten Shareholders at the End of the Reporting Period | Shareholder Name | Number of Shares Held | Percentage (%) | | :--- | :--- | :--- | | China Huadian Corporation Limited | 4,620,061,224 | 46.84 | | HKSCC Nominees Limited | 1,794,747,811 | 18.20 | | Shandong Development & Investment Holding Group Co., Ltd. | 800,766,729 | 8.12 | | China Securities Finance Corporation Limited | 397,071,140 | 4.03 | | Shenergy Company Limited | 142,800,000 | 1.45 | | China National Arts & Crafts Group Corporation Ltd. | 91,000,000 | 0.92 | | Central Huijin Asset Management Ltd. | 77,978,400 | 0.79 | | Shanghai Electric Group Company Limited | 75,000,005 | 0.76 | | National Social Security Fund Portfolio 103 | 65,990,592 | 0.67 | | Caitong Fund - Bank of Ningbo - Cinda Guocui Equity Investment Fund | 43,780,292 | 0.44 | [Information on Preferred Shares](index=37&type=section&id=Section%207%20Information%20on%20Preferred%20Shares) The company had no preferred shares during the reporting period - During the reporting period, the company had no preferred shares[98](index=98&type=chunk) [Directors, Supervisors, and Senior Management](index=38&type=section&id=Section%208%20Directors%2C%20Supervisors%2C%20and%20Senior%20Management) This section details the changes in the company's board of directors, supervisory committee, and senior management during the period [Changes in Directors, Supervisors, and Senior Management](index=38&type=section&id=II.%20Changes%20in%20Company%20Directors%2C%20Supervisors%2C%20and%20Senior%20Management) The company's board, supervisory committee, and senior management underwent significant personnel changes during the reporting period Key Changes in Directors, Supervisors, and Senior Management | Name | Position | Change | | :--- | :--- | :--- | | Luo Xiaoqian | Director, General Manager | Elected, Appointed | | Peng Xingyu | Director | Elected | | Hao Bin | Director | Elected | | Feng Rong | Director | Elected | | Tian Hongbao | Former Vice Chairman, Director, General Manager | Resigned | | Chen Haibin | Former Director | Resigned | | Tao Yunpeng | Former Director | Resigned | [Information on Corporate Bonds](index=39&type=section&id=Section%209%20Information%20on%20Corporate%20Bonds) This section provides an overview of the company's outstanding corporate bonds, use of proceeds, credit ratings, and debt service capabilities [Basic Information on Corporate Bonds](index=39&type=section&id=I.%20Basic%20Information%20on%20Corporate%20Bonds) As of the period-end, the company had several series of corporate bonds outstanding with a total balance of RMB 7 billion Overview of Outstanding Corporate Bonds | Bond Ticker | Code | Maturity Date | Bond Balance (RMB billion) | Interest Rate (%) | | :--- | :--- | :--- | :--- | :--- | | 18 Huadian Y1 | 143992.SH | 2021-07-17 | 1.50 | 5.00 | | 18 Huadian Y2 | 143993.SH | 2023-07-17 | 1.50 | 5.20 | | 18 Huadian Y3 | 143963.SH | 2021-08-15 | 1.15 | 4.87 | | 18 Huadian Y4 | 143965.SH | 2023-08-15 | 0.85 | 5.05 | | 19HDGJ01 | 155747.SH | 2022-10-17 | 2.00 | 3.58 | [Use of Proceeds from Bond Issuance](index=41&type=section&id=III.%20Use%20of%20Proceeds%20from%20Corporate%20Bond%20Issuance) The proceeds from all issued corporate bonds have been fully used as disclosed in the respective offering circulars - The proceeds from each bond issuance have been fully utilized for their disclosed purposes (repayment of company debt and supplementing working capital) after deducting issuance costs[107](index=107&type=chunk) [Corporate Bond Credit Ratings](index=41&type=section&id=IV.%20Corporate%20Bond%20Credit%20Ratings) The company maintains a AAA corporate credit rating with a stable outlook, and all its issued bonds also carry a AAA rating - The company's corporate credit rating is **AAA** with a stable outlook; all outstanding corporate bonds are also rated **AAA**[108](index=108&type=chunk)[109](index=109&type=chunk) [Financial Indicators Related to Debt Service Ability](index=42&type=section&id=VIII.%20The%20following%20accounting%20data%20and%20financial%20indicators%20as%20of%20the%20end%20of%20the%20reporting%20period%20and%20the%20end%20of%20the%20previous%20year%20(or%20the%20current%20reporting%20period%20and%20the%20same%20period%20of%20the%20previous%20year)) The company's debt service indicators remained robust, with improved liquidity ratios and a stronger interest coverage multiple Key Debt Service Financial Indicators | Key Indicator | End of Current Period / Current Period | End of Prior Year / Prior Year Period | Change | | :--- | :--- | :--- | :--- | | Current Ratio | 0.44 | 0.40 | Increased by 10.00% | | Quick Ratio | 0.39 | 0.35 | Increased by 11.43% | | Asset-Liability Ratio (%) | 61.42 | 65.61 | Decreased by 4.19 percentage points | | EBITDA Interest Coverage Ratio | 4.71 | 3.74 | Increased by 25.94% | [Bank Credit Facilities](index=43&type=section&id=XI.%20Company's%20Bank%20Credit%20Facilities%20during%20the%20Reporting%20Period) The company maintains excellent credit standing and has access to substantial unused credit facilities from major domestic banks - As of the end of the reporting period, the company had total bank credit facilities of **RMB 244.2 billion**, with an unused amount of **RMB 139.4 billion**[116](index=116&type=chunk) [Financial Report](index=44&type=section&id=Section%2010%20Financial%20Report) This section contains the unaudited consolidated financial statements and accompanying notes for the first half of 2020 [Consolidated Financial Statements](index=45&type=section&id=Consolidated%20Financial%20Statements) This section presents the unaudited H1 2020 consolidated financial statements, showing enhanced profitability and an optimized balance sheet Consolidated Income Statement Core Data (Jan-Jun 2020, Unit: RMB thousand) | Item | Current Period Amount | Prior Period Amount (Restated) | | :--- | :--- | :--- | | Total Operating Revenue | 41,531,486 | 44,140,958 | | Total Operating Costs | 38,191,515 | 41,972,440 | | Operating Profit | 3,835,300 | 2,696,929 | | Total Profit | 4,018,352 | 2,720,180 | | Net Profit | 3,182,069 | 2,174,165 | | Net Profit Attributable to Parent Company Shareholders | 2,385,988 | 1,662,874 | Consolidated Balance Sheet Core Data (as of 2020-06-30, Unit: RMB thousand) | Item | Period-end Balance | Beginning-of-Period Balance | | :--- | :--- | :--- | | Total Assets | 227,832,489 | 229,875,595 | | Total Liabilities | 139,940,743 | 150,820,587 | | Total Equity Attributable to Parent Company Shareholders | 67,106,078 | 61,510,437 | | Total Shareholders' Equity | 87,891,746 | 79,055,008 | Consolidated Cash Flow Statement Core Data (Jan-Jun 2020, Unit: RMB thousand) | Item | Current Period Amount | Prior Period Amount (Restated) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 11,548,801 | 9,368,247 | | Net Cash Flow from Investing Activities | -6,191,443 | -4,138,754 | | Net Cash Flow from Financing Activities | -5,778,870 | -2,646,388 | | Net Increase in Cash and Cash Equivalents | -421,512 | 2,583,105 | [Notes to the Financial Statements](index=55&type=section&id=Notes%20to%20the%20Financial%20Statements) The notes provide detailed explanations of accounting policies and key items in the consolidated financial statements - The company adopted several new accounting standards and interpretations issued by the Ministry of Finance starting January 1, 2020, which did not have a material impact on its financial position or operating results[230](index=230&type=chunk)[232](index=232&type=chunk)[233](index=233&type=chunk) - Certain subsidiaries of the company enjoy preferential tax policies, including a **15% preferential tax rate for Western Development** and "three-year exemption, three-year half" income tax benefits for engaging in state-supported public infrastructure projects[236](index=236&type=chunk)[237](index=237&type=chunk)[238](index=238&type=chunk) - The company has extensive related-party transactions with its controlling shareholder, China Huadian, and its subsidiaries, including procurement/sales, provision/receipt of services, related-party leases, guarantees, and fund borrowing, all conducted within pre-agreed framework agreements[356](index=356&type=chunk)[360](index=360&type=chunk)[361](index=361&type=chunk) [Directory of Documents for Inspection](index=139&type=section&id=Section%2011%20Directory%20of%20Documents%20for%20Inspection) This section lists the reference documents available for inspection, including signed financial statements and public filings - This section lists the available reference documents, including financial statements signed and sealed by the responsible persons, originals of all company documents and announcements publicly disclosed during the reporting period, and the interim report announced on the Hong Kong Stock Exchange[397](index=397&type=chunk)

Financial Performance - The total operating revenue for 2019 was RMB 93,654,431 thousand, an increase of 4.86% compared to RMB 89,313,661 thousand in 2018[13] - The net profit attributable to shareholders of the listed company reached RMB 3,406,920 thousand, representing a significant increase of 97.44% from RMB 1,725,565 thousand in the previous year[13] - The cash flow generated from operating activities was RMB 21,376,881 thousand, up 18.84% from RMB 17,987,493 thousand in 2018[13] - The basic earnings per share for 2019 was RMB 0.29, an increase of 81.25% compared to RMB 0.16 in 2018[14] - The weighted average return on net assets was 6.46% for 2019, up 2.77 percentage points from 3.69% in 2018[14] - The net profit after deducting non-recurring gains and losses was RMB 3,437,909 thousand, an increase of 103.09% from RMB 1,692,795 thousand in 2018[13] - The company's total assets increased by 17.40% compared to the previous year, with net assets attributable to shareholders reaching RMB 61,510,437 thousand[13] - The net profit for the current period according to Chinese accounting standards is CNY 3,406,920, an increase from CNY 1,725,565 in the previous period[15] - According to international accounting standards, the adjusted net profit for the current period is CNY 3,385,324, compared to CNY 1,445,736 in the previous period[15] Revenue and Costs - The company's operating costs were approximately RMB 80.48 billion, up about 2.81% year-on-year, primarily due to the increase in newly commissioned units[29] - The company's total operating revenue for the power generation segment reached RMB 73.92 billion, an increase of 5.67% year-on-year, with a gross margin of 17.08%, up by 1.98 percentage points[30] - The heating segment reported operating revenue of RMB 5.71 billion, a year-on-year increase of 15.05%, but with a gross margin of -8.44%, down by 0.75 percentage points[30] - The coal sales segment generated RMB 12.84 billion in revenue, a decrease of 4.14% year-on-year, with a gross margin of 0.67%[30] Assets and Liabilities - The total assets at the end of 2019 amounted to RMB 229,875,595 thousand, reflecting a 1.52% increase from RMB 226,428,520 thousand in 2018[13] - The total liabilities decreased to RMB 150,820,587 thousand from RMB 159,386,669 thousand, a reduction of approximately 5.67%[190] - The company's total liabilities included RMB 789.93 million in accounts payable, which increased by 37.61% year-on-year due to a rise in fuel payment settlements[37] - The total equity increased to RMB 79,055,008 thousand from RMB 67,041,851 thousand, reflecting a growth of approximately 17.91%[190] Cash Flow - The net cash inflow from operating activities was approximately RMB 21.38 billion, an increase of 18.84% compared to the previous year, primarily due to improved company performance[36] - The cash flow from operating activities in Q4 2019 was CNY 6,496,435, indicating a strong operational performance towards the end of the year[18] - The net cash flow from financing activities was negative at RMB 6,826,773 thousand, compared to negative RMB 2,242,029 thousand in the previous period, indicating a worsening of approximately 204.5%[195] Dividends and Shareholder Returns - The company plans to distribute a cash dividend of RMB 0.146 per share, totaling RMB 1,439,995 thousand based on a total share capital of 9,862,976,653 shares[3] - In 2019, the company distributed cash dividends amounting to RMB 1,439,995 thousand, representing 50.29% of the net profit attributable to ordinary shareholders[73] - The cash dividend per 10 shares was RMB 1.46 in 2019, compared to RMB 0.66 in 2018 and RMB 0.18 in 2017[73] Environmental and Social Responsibility - The company emphasizes the importance of environmental protection and compliance with increasingly strict regulations on pollution control[70] - The company has committed to enhancing its poverty alleviation efforts, focusing on project development, employment, and education[108] - The company has committed a total of RMB 48,208.58 thousand for poverty alleviation efforts in 2019, focusing on various initiatives including education and infrastructure[103] Corporate Governance - The company has established a robust investor relations management system to improve transparency and communication with shareholders[156] - The board of directors consists of 12 members, including 4 independent directors, exceeding the legal requirement of one-third[152] - The company has implemented a three-tier internal control assessment mechanism to enhance internal control efficiency[148] Future Outlook - The company expects to achieve an electricity generation volume of approximately 2,100 to 2,200 billion kWh in 2020[69] - The company plans to invest about 16 billion RMB in power generation projects, environmental protection, and energy-saving technology upgrades in 2020[69] - The company anticipates a 4%-5% year-on-year growth in national electricity consumption for 2020[67]

Financial Performance - The operating revenue for the first three quarters was RMB 64.31 billion, representing a growth of 10.71% year-on-year, primarily due to increased power generation revenue[12]. - The net profit attributable to shareholders of the listed company was RMB 1.53 billion, a significant turnaround from a loss of RMB 0.24 billion in the same period last year[12]. - The total profit for the first three quarters was RMB 2.65 billion, a substantial increase of 453.95% year-on-year, driven by higher power generation and electricity prices[12]. - The company's investment income for the first three quarters was RMB 799 million, up 90.41% year-on-year, mainly due to increased earnings from coal mine investments[12]. - Total operating revenue for Q3 2018 reached RMB 22,777,203 thousand, an increase of 6.24% compared to RMB 21,444,971 thousand in Q3 2017[25]. - Total operating costs for Q3 2018 were RMB 22,258,815 thousand, up 4.91% from RMB 21,217,702 thousand in the same period last year[25]. - Net profit attributable to shareholders of the parent company was RMB 539,259 thousand, compared to a loss of RMB 25,536 thousand in Q3 2017[26]. - The company reported a net profit of RMB 780,236 thousand for Q3 2018, significantly higher than RMB 237,190 thousand in Q3 2017[26]. - Total profit for Q3 2018 was RMB 977,452 thousand, compared to RMB 444,828 thousand in Q3 2017, reflecting a growth of 119.4%[25]. - Investment income for Q3 2018 was RMB 398,944 thousand, a substantial increase from RMB 124,094 thousand in the same quarter last year[25]. - The total comprehensive income for Q3 2018 was RMB 780,236 thousand, compared to RMB 238,136 thousand in Q3 2017[26]. Assets and Liabilities - The total assets at the end of the reporting period were RMB 218.03 billion, an increase of 0.81% compared to the end of the previous year[6]. - The net assets attributable to shareholders of the listed company reached RMB 48.20 billion, reflecting a year-on-year increase of 15.43%[7]. - The total liabilities due within one year decreased by 54.20% to RMB 7.66 billion compared to the beginning of the year, primarily due to the repayment of private placement bonds[12]. - Total liabilities decreased to RMB 155,273,621 thousand from RMB 160,857,095 thousand, a decline of approximately 3.5%[19]. - Current liabilities decreased to RMB 65,611,614 thousand from RMB 80,317,325 thousand at the beginning of the year, reflecting a reduction of approximately 18.3%[19]. - Long-term borrowings increased to RMB 74,103,792 thousand from RMB 62,209,160 thousand, representing a growth of about 19.5%[19]. - Owner's equity increased to RMB 62,755,019 thousand from RMB 55,421,493 thousand, marking an increase of about 13.5%[19]. - The company reported a significant increase in long-term equity investments, rising to RMB 11,324,253 thousand from RMB 10,820,254 thousand, an increase of approximately 4.7%[18]. Cash Flow - The net cash flow from operating activities for the year-to-date was RMB 13.57 billion, up 42.15% compared to the same period last year[7]. - Operating cash inflow for the year-to-date period reached ¥74,069,675, an increase of 10.4% compared to ¥67,360,351 in the previous year[31]. - Net cash flow from operating activities was ¥13,569,861, up 42.5% from ¥9,546,074 year-on-year[31]. - Cash outflow from investment activities totaled ¥11,767,410, compared to ¥10,513,053 in the previous year, resulting in a net cash flow of -¥11,000,083[31]. - Cash inflow from financing activities increased to ¥64,906,626, up 20.5% from ¥53,693,296 in the previous year[32]. - Net cash flow from financing activities was -¥2,825,645, a decline from a positive net flow of ¥715,381 in the previous year[32]. - The company's cash and cash equivalents at the end of the period were ¥7,160,934, a decrease from ¥6,766,483 in the previous year[32]. - Total sales revenue from goods and services received was ¥72,691,619, compared to ¥66,196,803 in the previous year, reflecting a growth of 9.5%[31]. - Cash paid for purchasing goods and services was ¥51,956,110, an increase from ¥49,465,861 year-on-year[31]. - The company reported a total cash outflow of ¥67,732,271 from financing activities, compared to ¥52,977,915 in the previous year[32].

Financial Performance - The company's operating revenue for the first half of 2018 was CNY 41,536,846, an increase of 13.34% compared to CNY 36,648,213 in the same period last year[18]. - The net profit attributable to shareholders of the listed company reached CNY 986,480, a significant recovery from a loss of CNY 211,860 in the previous year[18]. - The net cash flow from operating activities was CNY 7,467,871, representing a 25.06% increase from CNY 5,971,590 in the same period last year[18]. - The total assets at the end of the reporting period were CNY 216,385,213, a slight increase of 0.05% from CNY 216,278,588 at the end of the previous year[18]. - The net assets attributable to shareholders of the listed company increased to CNY 42,654,488, up 2.14% from CNY 41,758,901 at the end of the previous year[18]. - The basic earnings per share for the first half of 2018 was CNY 0.100, a recovery from a loss of CNY 0.021 in the same period last year[19]. - The weighted average return on equity increased to 2.33%, up 2.83 percentage points from -0.50% in the previous year[19]. - The company reported a significant improvement in net profit under international accounting standards, reaching CNY 1,041,312 compared to a loss of CNY 180,842 in the previous year[20]. Operational Highlights - The company's total electricity generation for the first half of 2018 was 95.821 billion kWh, an increase of approximately 8.18% compared to the same period in 2017[36]. - The average utilization hours for the company's power generation units were 1,947 hours, with coal-fired units achieving 2,208 hours[37]. - The company's coal consumption for power generation was 297.5 grams/kWh, significantly lower than the national average[37]. - The installed capacity of the company's power plants reached 49.2849 million kW, with coal-fired capacity accounting for 79%[29]. - The company operates 57 power plants across 14 provinces, cities, and autonomous regions in China[29]. - The clean energy generation capacity, including gas, hydro, wind, and solar, constitutes approximately 21% of the total installed capacity[29]. Financial Position - The company's total liabilities were RMB 159,676,310 thousand, a decrease from RMB 160,857,095 thousand at the start of the year[117]. - The total equity attributable to shareholders of the parent company reached RMB 42,654,488 thousand, up from RMB 41,758,901 thousand at the beginning of the year[117]. - Cash and cash equivalents decreased to RMB 6,776,856 thousand from RMB 7,482,162 thousand[117]. - The company's inventory increased to RMB 3,334,688 thousand from RMB 2,871,233 thousand[117]. - Short-term borrowings decreased to RMB 26,011,650 thousand from RMB 31,697,106 thousand[117]. - Long-term borrowings increased to RMB 70,931,144 thousand from RMB 62,209,160 thousand[117]. Investment and Development - The company has a total of 8,057 MW of power generation capacity under construction, including 4,360 MW of coal-fired and 2,499 MW of gas-fired units[45]. - The company has a significant investment in solar power, with multiple photovoltaic projects contributing to its renewable energy portfolio[42]. - The company is actively involved in the development of new energy technologies, aiming to transition towards a more sustainable energy model[43]. - The company is exploring potential mergers and acquisitions to enhance its market position and expand its operational capabilities[43]. Regulatory and Compliance - The company has changed its auditing firm to Hong Kong Lixin Dehao CPA for international audits and Lixin CPA for domestic audits for the 2018 fiscal year[65]. - The financial statements comply with the requirements of the enterprise accounting standards, accurately reflecting the company's financial position as of June 30, 2018[146]. - The company evaluated its ability to continue as a going concern for the 12 months starting from June 30, 2018, and found no significant doubts regarding its ability to continue operations[145]. Social Responsibility - The company is actively engaged in poverty alleviation efforts, focusing on energy project construction in impoverished areas and transitioning from "blood transfusion" to "blood-making" assistance models[78]. - The company invested a total of RMB 1.4629 million in poverty alleviation efforts during the first half of 2018, achieving a total of 326 individuals lifted out of poverty[79]. - The company allocated RMB 2.65 million to support 14 impoverished students and invested RMB 4.67 million to improve educational resources in impoverished areas[81]. - The company plans to focus on seven key areas for poverty alleviation in the second half of 2018, including project development, infrastructure, and employment support[83].

Financial Performance - Operating revenue for the first quarter was RMB 22.47 billion, an increase of 17.60% year-on-year, driven by growth in power generation and coal trading [14]. - Net profit attributable to shareholders was RMB 687.32 million, a significant increase of 5,707.04% compared to the same period last year, primarily due to increased power generation and higher on-grid electricity prices [14]. - Cash flow from operating activities reached RMB 5.37 billion, up 133.11% year-on-year, reflecting increased revenue from power generation, heating, and coal sales [15]. - Total operating revenue for Q1 2018 was CNY 22,471,788 thousand, an increase of 17.8% compared to CNY 19,109,043 thousand in the same period last year [26]. - Net profit for Q1 2018 reached CNY 795,074 thousand, significantly up from CNY 82,824 thousand in Q1 2017, representing a year-over-year increase of 861.5% [26]. - The total cost of operations for Q1 2018 was CNY 21,711,947 thousand, up from CNY 19,114,306 thousand, indicating a year-over-year increase of 8.4% [26]. - The company received CNY 25,997,694 from sales of goods and services, an increase from CNY 21,954,549 in the previous year [31]. Assets and Liabilities - The company's total assets at the end of the reporting period were RMB 216.10 billion, a decrease of 0.08% compared to the end of the previous year [5]. - The company's total assets as of March 31, 2018, were CNY 216,098,916 thousand, slightly down from CNY 216,278,588 thousand at the beginning of the year [19]. - Current liabilities decreased to CNY 73,070,359 thousand from CNY 80,317,325 thousand at the beginning of the year, a reduction of 9.3% [20]. - Long-term borrowings increased to CNY 68,553,966 thousand from CNY 62,209,160 thousand, reflecting a rise of 10.5% [20]. - The total liabilities as of March 31, 2018, were CNY 159,795,158 thousand, a slight decrease from CNY 160,857,095 thousand at the beginning of the year [20]. Cash Flow and Investments - The company's cash outflow from investing activities was RMB 3.53 billion, an increase of 57.03% year-on-year, driven by increased capital expenditures on infrastructure and technological upgrades [15]. - Cash flow from operating activities generated CNY 5,367,078, a significant increase from CNY 2,302,424 in the previous year [31]. - Total cash inflow from financing activities was CNY 19,085,604, while cash outflow was CNY 20,450,999, resulting in a net cash outflow of CNY 1,365,395 [32]. - Investment activities resulted in a net cash outflow of CNY 3,526,242, compared to a net outflow of CNY 2,245,537 in the previous year [31]. - Investment income for the quarter was RMB 201 million, up 20.42% year-on-year, due to increased earnings from equity investments in coal mines [14]. - The company reported an investment income of CNY 200,864 thousand, compared to CNY 166,799 thousand in the previous year, marking an increase of 20.4% [26]. Shareholder Information - The total number of shareholders at the end of the reporting period was 135,858 [10]. - Earnings per share for Q1 2018 were CNY 0.070, compared to CNY 0.001 in the same quarter last year [26]. Financial Standards and Expenses - The company's financial expenses for the first quarter were RMB 1.30 billion, an increase of 9.91% year-on-year, attributed to rising interest-bearing liabilities and funding costs [14]. - The company received a decrease in financial expenses to CNY 382,718 from CNY 296,286 year-over-year [28]. - The company adopted new accounting standards starting January 1, 2018, which impacted the classification of financial assets and their measurement [12].

Financial Performance - In 2017, the company's operating revenue reached RMB 79,006,836 thousand, an increase of 24.72% compared to RMB 63,346,051 thousand in 2016[21] - The net profit attributable to shareholders of the listed company was RMB 430,127 thousand, a decrease of 87.14% from RMB 3,344,443 thousand in 2016[21] - The basic earnings per share for 2017 was RMB 0.044, down 87.02% from RMB 0.339 in 2016[23] - The weighted average return on equity decreased to 1.02% in 2017, down 6.91 percentage points from 7.93% in 2016[23] - The net cash flow from operating activities was RMB 12,789,154 thousand, a decline of 42.21% compared to RMB 22,132,247 thousand in 2016[21] - The total assets at the end of 2017 were RMB 216,278,588 thousand, an increase of 2.93% from RMB 210,111,953 thousand at the end of 2016[21] - The net assets attributable to shareholders of the listed company decreased by 2.02% to RMB 41,758,901 thousand at the end of 2017 from RMB 42,619,387 thousand at the end of 2016[21] - The company reported a decrease in the net profit after deducting non-recurring gains and losses to RMB 446,725 thousand, down 85.13% from RMB 3,003,703 thousand in 2016[21] - The company's total revenue for 2017 was approximately RMB 79.01 billion, an increase of 24.72% compared to the previous year[46] - Operating costs for 2017 reached RMB 70.68 billion, up 44.14% year-on-year, primarily due to significant increases in fuel and coal sales costs[50] - The company's total power generation for the year was 191.72 billion kWh, representing a growth of approximately 0.87% year-on-year[44] - The company's income tax expense in 2017 was approximately RMB 522 million, a significant decrease of 70.45% year-on-year, primarily due to reduced profitability[58] Operational Efficiency - The average utilization hours for coal-fired power plants were reported at 4,209 hours, an increase of 23 hours year-on-year[36] - The company's power generation efficiency improved, with a power plant utilization rate of 5.48%, an increase of 0.01 percentage points year-on-year[75] - The average coal consumption for power generation was 299.61 g/kWh, which is 1.73 g/kWh lower than the previous year[75] - The company reported a total of 3,991 hours of annual utilization for its power generation units, a decrease of 124 hours compared to the previous year[75] Environmental Performance - The company has completed ultra-low emission upgrades on 82 out of 87 coal-fired units, enhancing its environmental performance[38] - The company’s advanced power generation equipment includes over 90% of its thermal power units being 300 MW or above, with 51% being 600 MW or above[38] - The company is committed to improving safety and environmental standards through the implementation of advanced technologies and strict safety protocols[87] - The management team emphasized the importance of sustainability, aiming for a 40% reduction in carbon emissions by 2030[164] Investment and Capital Expenditure - The company's capital expenditures for the reporting period amounted to approximately RMB 119.74 billion for infrastructure investments, RMB 38.2 billion for technical upgrades, and RMB 12.6 billion for equity investments[76] - The company has ongoing construction projects with a planned total capacity of 12,017 MW, including 4,904 MW for coal-fired units and 1,550 MW for wind power[74] - The company has a total of 100% ownership in several renewable energy projects, including 920 MW from Sichuan Huadian Luding Hydropower Co., Ltd.[69] Market Presence and Strategy - The company operates in 14 provinces, cities, and autonomous regions, demonstrating a broad geographical presence in the energy sector[35] - The company plans to continue expanding its renewable energy capacity in the future[68] - The company aims to achieve an electricity generation of approximately 200 billion kWh in 2018, with a planned investment of around RMB 19 billion, of which 70% is allocated for power generation infrastructure projects[86] - The company is focused on expanding its market presence and enhancing operational efficiency through strategic investments[162] - The company plans to explore potential mergers and acquisitions to strengthen its market position[162] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 136,146[146] - China Huadian Group Co., Ltd. holds 4,620,061,224 shares, representing 46.84% of total shares[147] - The total number of shares held by the top ten unrestricted shareholders is 5,000,000,000[147] Corporate Governance - The company emphasizes strict compliance with information disclosure regulations, ensuring transparency and fairness in information dissemination to all shareholders[186] - The company has established a performance evaluation mechanism for senior management, linking compensation to annual operational performance[194] - The board of directors consists of 11 members, including 4 independent directors, exceeding the legal requirement of one-third[182] - The company has implemented strict insider information management, ensuring no illegal gains from insider trading[179] Social Responsibility - The company invested a total of RMB 6.5557 million in poverty alleviation efforts across multiple provinces in 2017[134] - A total of 601 registered impoverished individuals were lifted out of poverty through the company's initiatives[136] - The company provided vocational training for 183 individuals, resulting in 35 registered impoverished households achieving employment[136] - The company plans to continue its poverty alleviation efforts in 2018, focusing on enhancing the self-development capabilities of impoverished areas[138]

Financial Performance - The company expects a decrease in net profit attributable to shareholders of approximately RMB 278 million to RMB 310 million, representing a year-on-year decline of about 83% to 93%[3] - The net profit attributable to shareholders after deducting non-recurring gains and losses is expected to decrease by RMB 231 million to RMB 275 million, a year-on-year decline of approximately 77% to 92%[3] - The net profit for the previous year (2016) was RMB 334.44 million[3] - The basic earnings per share for the previous year (2016) was RMB 0.339[3] Cost Factors - The primary reason for the expected decrease in net profit is the significant increase in coal prices, leading to higher costs[3] Forecast and Reporting - The forecasted data is preliminary and subject to change, with the final audited financial data to be disclosed in the official annual report[3]

Financial Performance - Operating revenue for the first three quarters was RMB 58.09 billion, an increase of 26.62% year-on-year, primarily due to increased coal trading revenue[12] - The net loss attributable to shareholders for the first three quarters was RMB 237.40 million, a decrease of 106.38% year-on-year, mainly due to mismatched coal procurement prices and electricity pricing adjustments[13] - The company's total profit for the first three quarters was RMB 478 million, a decrease of 93.00% year-on-year, attributed to significant increases in coal procurement prices[12] - Total operating revenue for the first nine months reached CNY 58,093,184 thousand, an increase of 26.7% compared to CNY 45,880,503 thousand in the same period last year[29] - Net profit attributable to the parent company was CNY (237,396) thousand, compared to CNY 3,718,428 thousand in the previous year, indicating a significant decline[29] - The company reported a basic earnings per share of CNY (0.003) for the current period, compared to CNY 0.110 in the same period last year[30] - The total comprehensive income for the first nine months was CNY 83,455 thousand, down from CNY 5,122,644 thousand year-on-year[30] - The total comprehensive income for the period was a loss of 217,191 thousand RMB, compared to a profit of 532,259 thousand RMB in the same period last year[34] Assets and Liabilities - The company's total assets at the end of the reporting period were RMB 209.73 billion, a decrease of 0.18% compared to the end of the previous year[7] - The company's total liabilities increased by 130.46% year-to-date, with short-term borrowings reaching RMB 332.01 billion[13] - The company's total owner's equity decreased to CNY 54,658,196,000 from CNY 56,434,523,000, a decline of approximately 3.1%[22] - The company's current assets increased to CNY 22,497,712,000 from CNY 21,060,686,000, reflecting a growth of approximately 6.8%[20] - The total liabilities of the company reached CNY 155,073,274,000, compared to CNY 153,677,430,000 at the beginning of the year, showing a slight increase[22] - Current liabilities totaled CNY 31,296,452 thousand, slightly decreased from CNY 31,836,584 thousand at the beginning of the year[25] - The company’s total liabilities were CNY 48,187,472 thousand, down from CNY 50,680,335 thousand at the beginning of the year[25] Cash Flow and Investments - The company's cash flow from operating activities for the first three quarters was RMB 9.55 billion, a decrease of 44.68% year-on-year[7] - Cash flow from operating activities generated a net amount of 9,546,074 thousand RMB, down 44% from 17,257,163 thousand RMB in the previous year[36] - Total cash inflow from financing activities was 53,693,296 thousand RMB, an increase of 22% compared to 44,081,706 thousand RMB in the previous year[37] - The company's cash and cash equivalents stood at CNY 6,835,377,000, an increase from CNY 6,463,739,000[20] - Cash and cash equivalents at the end of the period totaled 6,766,483 thousand RMB, a decrease from 7,220,162 thousand RMB at the end of the previous year[37] - Cash and cash equivalents at the beginning of the period were 1,991,778[39] - Cash and cash equivalents at the end of the period were 917,552, a decrease of approximately 54%[39] - The company's investment income for the first three quarters was RMB 420 million, an increase of 278.64% year-on-year, mainly due to increased earnings from associated coal mines[12] - Investment income for the period was 438,616 thousand RMB, down from 543,489 thousand RMB in the same period last year[34] Operating Costs - The company's operating costs for the first three quarters were RMB 51.99 billion, an increase of 53.53% year-on-year, primarily due to rising coal prices[12] - Total operating costs for the same period were CNY 58,265,244 thousand, up 46.9% from CNY 39,607,310 thousand year-on-year[29] - The company reported an increase in operating costs to 2,572,260 thousand RMB, up from 1,810,486 thousand RMB in Q3 2022[34] - The company's financial expenses rose to 353,363 thousand RMB, compared to 299,729 thousand RMB in the same period last year[34] Future Outlook - The company has committed to injecting relevant assets to avoid substantial competition, with plans to assess the conditions for asset injection over the next three years[17] - The company's net profit for the year is expected to decline by more than 50% compared to the previous year due to high coal prices[17]