NMHD(SH:600863)2021-08-17 16:00Financial Performance - The company reported a total revenue of 1.2 billion CNY for the first half of 2021, representing a year-on-year increase of 15%[10]. - The net profit attributable to shareholders was 300 million CNY, up 20% compared to the same period last year[10]. - The company's operating revenue for the first half of 2021 was CNY 8,123,188,798.64, representing an increase of 11.34% compared to CNY 7,295,715,171.16 in the same period last year[17]. - The net profit attributable to shareholders decreased by 35.39% to CNY 441,761,180.45 from CNY 683,765,308.40 year-on-year[17]. - The net cash flow from operating activities was CNY 1,375,979,248.80, down 37.46% from CNY 2,200,117,183.00 in the previous year[17]. - The company's basic earnings per share decreased by 45.45% to CNY 0.06 from CNY 0.11 in the same period last year[18]. - The weighted average return on equity fell by 2.14 percentage points to 3.15% compared to 5.29% in the previous year[18]. - The company achieved operating revenue of 8.12 billion RMB, an increase of 11.34% year-on-year, with power product sales revenue reaching 6.94 billion RMB, up 2.52%[31]. - The net profit attributable to the parent company was 442 million RMB, a decrease of 35.39% year-on-year, primarily due to rising coal prices and energy consumption controls[31]. - The company reported a significant increase in other payables, totaling 2.372 billion RMB, a decrease of 11.37% compared to the previous period[38]. Operational Capacity - The total installed capacity of the company reached 5,000 MW, with a utilization rate of 85% during the reporting period[10]. - The total installed capacity of the company's power plants reached 12,846,200 kW, with coal-fired capacity accounting for 88.74%[22]. - The company’s controllable installed capacity was 12.8462 million kW, maintaining a significant market share in Inner Mongolia[26]. - The company plans to eliminate 953,500 kW of backward coal power capacity by 2023, enhancing the development of renewable energy[26]. - The company generated 3.5 billion kWh of electricity, marking a 10% increase from the previous year[10]. - The company completed a total power generation of 27,032,000,000 kWh, a decrease of 2.73% year-on-year[23]. Market and Pricing - The average on-grid electricity price was 0.45 CNY/kWh, which is stable compared to the previous year[10]. - The average on-grid electricity price increased by 5.28% to CNY 276.77 per MWh compared to the previous year[23]. - The coal sales price rose by 67.11% to CNY 439.67 per ton year-on-year[23]. - The company's coal production increased by 31.25% to 3,272,300 tons compared to the same period last year[23]. - The company reported a significant increase in coal prices, with some large power generation groups experiencing a 50.5% year-on-year rise in coal prices by June 2021[26]. Environmental Commitment - The management emphasized a commitment to environmental protection and compliance with regulations in the energy sector[5]. - The company has implemented advanced technologies such as flexible transformation and energy-saving measures, with 35 new utility model patents filed in the first half of 2021[28]. - The company achieved a 100% operational rate for dust removal facilities, with a dust removal efficiency of 99.9%[61]. - The desulfurization facilities also maintained a 100% operational rate, achieving a desulfurization efficiency of 98.9%[61]. - The denitrification facilities had a 99.8% operational rate, with a denitrification efficiency of 84%[61]. - The company reported a total of 20 million yuan in fines due to environmental violations, with all issues rectified[64]. - The company has implemented a comprehensive emergency response plan for environmental incidents, including specific plans for various pollution sources[62]. - The company’s subsidiaries have achieved compliance with national environmental protection requirements, obtaining pollution discharge permits[63]. Strategic Initiatives - The company plans to expand its renewable energy capacity by 30% over the next three years, focusing on wind and solar projects[10]. - The company is exploring potential mergers and acquisitions to enhance its market position and operational efficiency[10]. - The company is committed to continuous development and acquisition strategies, enhancing its renewable energy ratio and achieving synergistic benefits from coal and electricity operations[30]. - The company plans to accelerate its green transition by increasing the proportion of clean energy and optimizing its coal power structure through various strategies[49]. - The company has successfully commercialized the Wudale Wind Power Project in April 2021, furthering its expansion in renewable energy[69]. Financial Management - The company's total assets increased, with cash and cash equivalents at approximately 549 million RMB, up 86.02% year-on-year[36]. - The company's short-term borrowings decreased by 9.67% year-on-year, optimizing the debt structure[36]. - The company will ensure that the funds for debt repayment will primarily come from cash flows generated from operating and investment activities, bank loans, and bond issuance[133]. - The company has not engaged in any major litigation or arbitration matters during the reporting period[88]. - The company has not made any adjustments to its profit distribution policy during the reporting period[84]. Shareholder Information - The company plans to distribute at least 70% of the distributable profit from the consolidated financial statements as cash dividends each year from 2022 to 2024, with a minimum dividend of 0.1 RMB per share (including tax)[84]. - The total amount of daily related party transactions with the controlling shareholder, North Company, was 922 million RMB for product sales and 191 million RMB for raw material purchases during the reporting period[89]. - The company has committed to a clear shareholder return plan every three years, which will be submitted for shareholder meeting approval[84]. - The company has not experienced any losses due to ownership defects during the reporting period[85]. - The company has a total of 5,808,544,548 shares outstanding as of the end of the reporting period, with a slight increase of 6,352 shares during the period[101]. Debt and Liquidity - The company's current ratio improved to 0.48 from 0.37, and the quick ratio increased to 0.44 from 0.34, reflecting better liquidity management[125]. - The debt-to-asset ratio stood at 58.13%, slightly up from 57.60% at the end of the previous year[125]. - The interest coverage ratio decreased to 2.05 from 2.97, indicating a decline in the company's ability to cover interest expenses[125]. - The company maintains a loan repayment rate of 100% and an interest payment rate of 100%[125]. - The company has not triggered any investor protection clauses related to its perpetual medium-term notes as of the report date[121]. Accounting and Financial Reporting - The company assesses expected credit losses for financial instruments classified at amortized cost, reflecting the present value of the difference between contractual cash flows and expected cash flows[180]. - The company recognizes expected credit losses for other receivables based on whether the credit risk has significantly increased since initial recognition[192]. - The company measures held-for-sale fixed assets at the lower of carrying amount or fair value less costs to sell, with no depreciation or amortization applied[198]. - The company reflects the carrying value of long-term debt investments at amortized cost on the balance sheet, with those maturing within one year classified as current assets[198]. - The company recognizes non-current assets as held for sale if they can be sold immediately under normal terms and have received necessary approvals[198].