HPI(600011) 招商证券·2025-03-27 01:39Investment Rating - The report maintains a rating of "Add" for Huaneng International [3] Core Views - Huaneng International's 2024 annual report shows a revenue of 245.55 billion yuan, a decrease of 3.48% year-on-year, while the net profit attributable to shareholders increased by 20.01% to 10.135 billion yuan [7][10] - The improvement in performance is attributed to lower domestic fuel costs enhancing thermal power profitability and the expansion of the company's renewable energy capacity contributing to profit growth [7] - The company plans to distribute a cash dividend of 0.27 yuan per share, totaling 4.238 billion yuan, with a dividend payout ratio of 58.78% [7] Financial Performance Summary - In 2024, Huaneng International achieved a total electricity generation of 4,529.39 billion kWh, a year-on-year increase of 1.13%, despite a slight decline in coal and gas power generation [7] - The average on-grid electricity price for 2024 was 494.26 yuan/MWh, down 2.85% year-on-year, with wind and solar power contributing significantly to profit despite a decrease in unit profit margins [7] - The company's gross margin improved to 15.14%, an increase of 3.03 percentage points year-on-year, while the net margin rose to 5.75%, up 2.18 percentage points [7][11] Profit Forecast and Valuation - The company is expected to see net profits of 11.723 billion yuan, 12.631 billion yuan, and 13.650 billion yuan for 2025, 2026, and 2027 respectively, reflecting year-on-year growth rates of 16%, 8%, and 8% [7][8] - The current stock price corresponds to a price-to-earnings ratio (PE) of 9.3x for 2025, 8.6x for 2026, and 8.0x for 2027, indicating a favorable valuation outlook [7][8]