HPI(SH:600011)2024-08-01 01:54Financial Performance - For 1H24, the company's operating revenue was 118.8 billion yuan, a year-on-year decrease of 5.73% while the net profit attributable to shareholders (excluding perpetual bonds) was 6.32 billion yuan, an increase of 24.8% [1] - Earnings per share stood at 0.40 yuan, with no interim dividend declared [1] R&D and Management Expenses - Starting from Q2, there has been an increase in expenses related to the implementation of certain research projects [2] Dividend Policy - The company has cumulatively distributed dividends of 62.7 billion yuan since its listing, maintaining a policy of distributing at least 50% of the distributable profits in cash when conditions allow [3] Operations - In the first half of the year, the company added a grid-connected capacity of 3,102.2 MW, including 1,054.5 MW from wind power and 1,989.7 MW from solar power, bringing the total installed capacity to 138.57 GW, with low-carbon clean energy accounting for 32.78% [4] Electricity Generation and Pricing - Domestic electricity generation was 210.678 billion kWh, a slight decrease of 0.22% year-on-year, with an average settlement price of 498.7 yuan/MWh, down 3.21% [5] - Wind power abandonment rate increased to 5.56%, while solar power abandonment rate rose to 6.05% [5] - Average electricity prices for wind and solar power were 511.89 yuan/MWh and 426.98 yuan/MWh, respectively, reflecting decreases of 6.04% and 9.77% year-on-year [6] - The average fuel cost for domestic power plants was 300.5 yuan/MWh, down 11.18% year-on-year [7] Market Transactions and Green Energy - The company participated in green electricity trading, with a total transaction volume of 2.2 billion kWh, a year-on-year increase of 586 million kWh, and an average trading price of 441.68 yuan/MWh [6] - The carbon market saw a trading volume of 25 million tons, with an average price of 87.8 yuan/ton [10] Losses and Low-Carbon Transformation - The company operated 71 coal-fired power plants, with 20 reporting losses, resulting in a loss ratio of 28% [11] - The company is preparing projects for low-carbon transformation technologies, including biomass co-firing and carbon capture [11] Overseas Business - In Singapore, the company’s Da Shi Energy achieved a pre-tax profit of 1.724 billion yuan, despite a decrease in wholesale and retail electricity prices [12][13] - The company’s operations in Pakistan's Sahiwal power plant reached a record high, with total profits of 429 million yuan, an increase of 117 million yuan year-on-year [13] Management Comments on Future Outlook - The management emphasized the importance of adhering to a stable dividend policy and actively researching new policies to promote multiple dividends per year [3] - The company is closely monitoring the operating environment and market conditions to adapt its strategies accordingly [10] Q&A Session Summary Question: What is the company's strategy regarding dividend distribution? - The company reiterated its commitment to a stable dividend policy, aiming to distribute at least 50% of its distributable profits in cash when conditions permit [3] Question: How is the company addressing the challenges in the electricity market? - The management highlighted the need to adapt to changing market conditions and emphasized the importance of maintaining stable electricity prices [6][10] Question: What are the company's plans for low-carbon transformation? - The company is exploring various low-carbon technologies and is preparing projects to implement these technologies, while also seeking subsidies to improve profitability [11]