Financial Performance - The group achieved a revenue of approximately RMB 52.894 billion, a decrease of about 10.43% compared to the same period in 2023[5]. - The profit attributable to equity holders of the company for the period was approximately RMB 3.432 billion, an increase of about 19.29% year-on-year[5]. - Basic earnings per share were approximately RMB 0.286, reflecting a growth of about 19.67% compared to the same period last year[5]. - The company's revenue for the period was approximately RMB 52.894 billion, a decline of about 10.43% year-on-year, primarily due to decreases in electricity generation and on-grid prices[24]. - The company's total revenue for the six months ending June 30, 2024, was RMB 52,893,953 thousand, a decrease of approximately 10.3% from RMB 59,053,025 thousand in the same period of 2023[73]. - The revenue from electricity sales was RMB 42,876,950 thousand, down from RMB 47,129,670 thousand in 2023, reflecting a decline of about 9.5%[73]. - The revenue from coal sales decreased significantly to RMB 4,403,661 thousand from RMB 6,441,207 thousand, marking a decline of approximately 31.6%[73]. - The company reported a total comprehensive income of RMB 3,988,029 for the period, compared to RMB 3,033,088 in the previous year, marking a growth of 31.6%[60]. Dividends and Shareholder Returns - The company proposed an interim dividend of RMB 0.08 per share, totaling approximately RMB 818.20 million based on a total share capital of 10,227,561,133 shares[6]. - The company plans to distribute a cash dividend of RMB 0.08 per share, totaling approximately RMB 818.20 million, based on a total share capital of 10,227,561,133 shares as of June 30, 2024[43]. - The total dividend declared for the fiscal year 2023 was approximately RMB 1.534 billion, down from RMB 2.045 billion for the fiscal year 2022, reflecting a decrease of about 25%[108]. Operational Capacity and Generation - The group operates 45 power generation enterprises with a total installed capacity of 58,815.32 MW, including 46,750 MW from coal-fired power, 9,600.13 MW from gas-fired power, and 2,459 MW from hydropower[7]. - The company's total electricity generation was approximately 101.30 million MWh, a decrease of about 5.85% compared to the same period in 2023[23]. - The average utilization hours of power generation units decreased by 192 hours to 1,741 hours, with coal-fired units averaging 1,926 hours, down 225 hours year-on-year[23]. - The company added a new gas power generation unit with a capacity of 505.54 MW during the reporting period[21]. - The company plans to add a total of 6,031.30 MW of new capacity, including gas and coal power units, in the near future[21]. Costs and Expenses - The group's fuel costs for the period were approximately RMB 32.839 billion, a decrease of about 15.43% compared to the same period in 2023, primarily due to lower coal and gas prices and a decrease in power generation[25]. - The group's coal sales costs were approximately RMB 3.819 billion, a decrease of about 37.64% compared to the same period in 2023, mainly due to a decline in coal trading volume[25]. - The group's depreciation and amortization expenses were approximately RMB 5.363 billion, an increase of about 3.90% compared to the same period in 2023, primarily due to the impact of newly commissioned units[25]. - The total operating expenses for the first half of 2024 amounted to RMB 751,942 thousand, up from RMB 684,020 thousand in the same period of 2023, representing a rise of 9.9%[77]. Financial Position and Cash Flow - The group's total borrowings as of June 30, 2024, were approximately RMB 92.846 billion, with a debt-to-asset ratio of approximately 60.78%, a decrease of about 1.29 percentage points compared to the end of 2023[30]. - The group's cash and cash equivalents as of June 30, 2024, were approximately RMB 5.267 billion[31]. - The net cash inflow from operating activities for the first half of 2024 was approximately RMB 5.285 billion, an increase of about RMB 3.534 billion compared to the same period in 2023, primarily due to improved operating performance[33]. - The company reported a net cash increase of RMB 96,813 thousand for the period, compared to RMB 615,007 thousand in the previous year, indicating a decrease of about 84.3%[67]. - The company has a net current liability of approximately RMB 37,483 million as of June 30, 2024, indicating potential liquidity concerns[69]. Strategic Initiatives and Future Outlook - The management discussed future business outlook and strategies for the second half of the year, emphasizing growth and market expansion[5]. - The company is actively pursuing new technologies and product development to enhance operational efficiency and sustainability[5]. - The group plans to strengthen market analysis and adjust pricing strategies to enhance power generation efficiency in response to risks in the electricity market[36]. - The group will closely monitor changes in the coal market and optimize coal procurement strategies to control costs amid rising coal prices due to supply pressures[37]. - The company is enhancing carbon asset management in response to the reduction in carbon quotas, encouraging coal power enterprises to adopt low-carbon technologies[38]. - The company is actively pursuing low-carbon transformation initiatives in line with national policies for coal power sector decarbonization[38]. Governance and Compliance - The company has maintained a strict governance structure, adhering to various regulatory requirements to enhance its governance level[52]. - The company has complied with the environmental, social, and governance requirements of the Hong Kong Listing Rules during the first half of the year[52]. - The company is revising its articles of association to comply with new regulatory requirements, including the transition to a paperless listing mechanism[40]. - The audit committee has reviewed the unaudited condensed consolidated financial statements prepared in accordance with International Accounting Standard 34[51]. Employee and Management Information - As of June 30, 2024, the total number of employees in the group was 24,232[51]. - The company has adopted a remuneration policy based on performance, ensuring a fair and effective compensation distribution mechanism[51]. - The remuneration for key management personnel for the six months ended June 30, 2024, was RMB 1,804 thousand, down from RMB 2,133 thousand for the same period in 2023, indicating a decrease of about 15.4%[132]. Acquisitions and Investments - The company has agreed to acquire 80% of Huadian Jiangsu Energy Co., Ltd. and several other energy companies, with the total consideration yet to be determined[41]. - The company is planning to issue new A-shares to raise funds not exceeding 100% of the consideration for the asset acquisitions, with the number of new shares not exceeding 30% of the total issued shares post-transaction[41]. - The company issued a total of RMB 2.358 billion in green medium-term notes and RMB 2.566 billion in the second phase of medium-term notes as of June 30, 2024, with actual annual interest rates ranging from 2.14% to 3.61%[98][99]. - The company issued RMB 1.5 billion in short-term financing bonds on June 12, 2024, with a maturity of 90 days and a coupon rate of 1.7%[100].
华电国际电力股份(01071) - 2024 - 中期财报