CHINA RES POWER(HK:00836) Ge Long Hui·2025-08-30 10:47Core Viewpoint - The company reported a decline in profit for the first half of 2025, primarily due to one-time non-cash losses and the impact of coal business, but core business performance remains resilient [1][3]. Financial Performance - In H1 2025, the company achieved revenue of HKD 50.267 billion, a year-on-year decrease of 1.67% [1]. - Shareholder profit was HKD 7.872 billion, down 15.92% year-on-year, while core profit attributable to shareholders was HKD 8.278 billion, a slight increase of 0.1% [1]. - The basic earnings per share were HKD 1.52, a decrease of 22.05% year-on-year [1]. - The return on equity (ROE) was 7.46%, down 2.89 percentage points year-on-year [1]. - The company declared a dividend of HKD 0.356 per share, with a cash dividend payout ratio of 23.42% [1]. Business Segments Coal Power Business - In H1 2025, coal power sales volume decreased by 1.4% due to a temporary slowdown in electricity demand and competition from new energy installations [3]. - The average coal price for the company's coal-fired power plants decreased by 11.8% to HKD 823.8 per ton, leading to a significant recovery in profitability [3]. - Core profit from pure coal power business increased by over 20% year-on-year, indicating a notable recovery [3]. Renewable Energy Business - In H1 2025, sales volume for wind and solar power increased by 15.5% and 31.3% respectively, contributing to a core profit of HKD 5.637 billion, up 1.5% year-on-year [4]. - The average selling price for wind and solar power decreased by 11.0% and 6.1% respectively, primarily due to the commissioning of grid parity projects [4]. - The company expects stable growth in renewable energy business driven by continuous installation and stable utilization hours [4]. Capacity and Projects - As of June 2025, the company's installed capacity reached 78,094 MW, with coal power accounting for 50.1% and renewable energy accounting for 49.9% [2]. - The company plans to add 10,000 MW of wind and solar capacity in 2025, with a capital expenditure of HKD 56.8 billion allocated for project development [2]. - The company has a robust pipeline of projects, with significant capacity under construction and approved for wind and solar energy [2]. Future Outlook - The company forecasts revenue growth of 1.68%, 6.17%, and 3.91% for 2025-2027, with net profit expected to fluctuate [5]. - The company maintains a balanced approach to shareholder returns and development, emphasizing a steady dividend policy [4].