HUANENG LANCANG RIVER HYDROPOWER (600025) Q4 2024 earnings summary

Executive summary

• Achieved record annual revenue of ¥24.88 billion, up 6.05% year-over-year, driven by increased hydropower and new energy generation capacity and higher demand in Yunnan and for power exports to eastern China.

• Net profit attributable to shareholders rose 8.63% to ¥8.30 billion, with EPS up 10% to ¥0.44, reflecting improved operational efficiency and lower financing costs.

• Hydropower and new energy installed capacity reached 31.01 GW, with total power generation of 1120.12 TWh, up 4.62% year-over-year.

• Maintained “zero accident” safety record and advanced environmental management, with all production sites meeting environmental standards.

Financial highlights

• Operating income: ¥24.88 billion, up 6.05% year-over-year.

• Net profit attributable to shareholders: ¥8.30 billion, up 8.63% year-over-year.

• EBITDA/total debt ratio: 0.14; interest coverage ratio: 3.84; cash interest coverage: 5.6.

• Gross margin for main business: 56.34%; hydropower margin: 56.90%; wind: 37.62%; solar: 48.06%.

• Operating cash flow: ¥17.55 billion, up 2.88% year-over-year.

• Total assets: ¥214.61 billion, up 9.92% from prior year.

Outlook and guidance

• 2025 will focus on safe, stable operations, further expansion of hydropower and new energy, and cost control.

• Plans to accelerate integrated development of hydropower, wind, solar, and storage, and to enhance international business.

• Expects continued growth in clean energy capacity and revenue, with risk management on market, water inflow, and regulatory changes.