中国电力：水电资产重组，清洁能源旗舰扬帆起航

Investment Rating - The report maintains a "Buy" rating for the company [2]. Core Views - The company is undergoing a restructuring of its hydropower assets, positioning itself as a flagship in clean energy [2]. - The total electricity sales volume for the first ten months of the year reached 108,220,668 MWh, representing a significant increase of 30.56% year-on-year [2]. - The company plans to sell its hydropower assets (5.9 GW) to its parent company's subsidiary, Yuanda Environmental Protection, in exchange for newly issued shares, which will enhance its position in the clean energy sector [2]. - The company aims to integrate approximately 20 GW of remaining hydropower assets into Yuanda Environmental Protection over the next three years [2]. - The company has accelerated the construction of wind and solar projects, with a total of 3.3 GW of new clean energy capacity added in the first half of the year [2]. - The company targets a clean energy installed capacity ratio of 90% by 2025, with expected new installations of about 7 GW for the year [2]. Summary by Sections Sales Performance - The company reported a year-on-year increase in wind power sales volume of 57.05% and solar power sales volume of 79.55% [2]. - Hydropower sales volume increased by 62.62% due to improved water conditions in the first half of the year [2]. Financial Projections - The company forecasts revenue growth from 44,262 million in 2023 to 50,228 million in 2024, representing a 13.5% increase [4]. - The net profit attributable to shareholders is projected to rise from 2,660 million in 2023 to 5,109 million in 2024, indicating a 92.1% growth [4]. - The company expects to achieve a basic earnings per share of 0.41 in 2024, up from 0.22 in 2023 [4]. Asset Management - The company’s total assets are projected to grow from 305,807 million in 2023 to 329,340 million in 2024 [4]. - The debt ratio is expected to increase from 68.9% in 2023 to 70.7% in 2024, indicating a rising leverage [4]. Market Position - The company aims to solidify its status as a comprehensive clean energy flagship platform, leveraging its control over Yuanda Environmental Protection [2]. - The target price for the company's stock is set at 4.73 HKD, reflecting a potential upside of 52% from the current price of 3.11 HKD [2].