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Huaneng Power International Inc Class H (HK:0902)
:0902
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Huaneng Power International (0902) AI Stock Analysis

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HK

Huaneng Power International

(OTC:0902)

Rating:68Neutral
Price Target:
HK$5.00
â–˛(4.17%Upside)
The overall score reflects strong financial performance with notable profit margin improvements, offset by liquidity concerns due to capital expenditures. The stock's valuation is favorable with a reasonable P/E ratio and high dividend yield, while technical indicators suggest cautious optimism.
Positive Factors
Earnings Growth
A strong rebound of over 50% in earnings is expected due to margin recovery in its coal-fired units.
Renewable Energy Expansion
Huaneng Power is expanding its renewable energy exposure by adding around 40GW of clean power capacity during the period of the 14th Five-Year Plan.
Negative Factors
Electricity Tariff and Utilization
Expect the lowest growth in power generation in FY25 due to declining utilisation hours at coal-fired units.
Financial Risk
High financial risk from the company’s stretched balance sheet, with an almost 400% net debt-equity ratio, which is the highest amongst its peers.

Huaneng Power International (0902) vs. iShares MSCI Hong Kong ETF (EWH)

Huaneng Power International Business Overview & Revenue Model

Company DescriptionHuaneng Power International, Inc. (0902) is a major power producer in China, focusing primarily on the generation and sale of electricity. The company operates a diverse portfolio of power plants, utilizing coal, natural gas, wind, and solar energy sources. Huaneng Power International is one of the largest listed power producers in Asia, providing reliable electricity to millions of residential, commercial, and industrial customers across various regions.
How the Company Makes MoneyHuaneng Power International makes money primarily through the generation and sale of electricity. The company operates a wide array of power plants, including coal-fired, gas-fired, and renewable energy facilities, to produce electricity which is then sold to the grid. Revenue is generated based on the volume of electricity sold and the prevailing tariffs set by regulatory authorities. Additionally, the company may benefit from government subsidies and incentives for renewable energy projects, enhancing its income from wind and solar power operations. Strategic partnerships or joint ventures for developing new power projects or upgrading existing facilities can also contribute to its revenue streams.

Huaneng Power International Earnings Call Summary

Earnings Call Date:Apr 28, 2025
(Q3-2024)
|
% Change Since: 6.36%|
Next Earnings Date:Jul 29, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mix of positive and negative developments. While there was notable progress in renewable energy capacity and net profit growth, the company faced challenges with declining revenues, tariff reductions, and asset impairments. Overseas operations, particularly in Singapore, also showed a decrease in profitability.
Q3-2024 Updates
Positive Updates
Net Profit Increase
Net profit attributable to the parent after deducting nonrecurring profit and losses was CNY 10.028 billion, increasing by CNY 633 million or 6.73%.
Growth in Renewable Capacity
The company added 5,278.6 megawatts of new units, including 1,467.5 megawatts of wind power and 3,753.1 megawatts of solar power.
Improved Coal Cost Management
The unified cost of coal decreased by 8.74% year-on-year.
Record Performance in Pakistan
The Sahiwal power plant in Pakistan reached a record high with a profit before tax of CNY 670 million, increasing by CNY 241 million.
Negative Updates
Decrease in Operating Revenue
The company achieved a consolidated operating revenue of JPY 184.396 billion in the first three quarters, decreasing by 3.62%.
Tariff Decline
The average tariff decreased by 2.63% to CNY 496.27 per megawatt hour.
Overseas Profit Decline
Profit before tax of Tuas Power decreased by CNY 1.394 billion.
Asset Impairment
Asset impairment for Jiangjin power plant amounted to CNY 727 million, and for non and biomass, the impairment was about CNY 409 million.
Company Guidance
During the third quarter earnings call for Huaneng Power International, several key metrics and guidance were discussed. The company reported a consolidated operating revenue of JPY 184.396 billion, showing a 3.62% decrease compared to the previous year. Net profit attributable to shareholders was CNY 10.41 billion, with earnings per share at JPY 0.53. The company saw a 1.14% increase in domestic on-grid power sales, reaching 341.24 billion kilowatt hours, despite a 2.63% decrease in average tariff to CNY 496.27 per megawatt hour. The unified cost for coal decreased by 8.74% to CNY 303.47 per megawatt hour. Key developments included the addition of 5,278.6 megawatts in new units, with 1,467.5 in wind power and 3,753.1 in solar power. The foreign operations faced challenges with a profit before tax in Singapore's Tuas Power dropping by CNY 1.394 billion. The company projects improvements in coal supply and demand balance for 2025, with expectations of stable coal consumption and a slight increase in coal supply. Additionally, the company incurred a CNY 727 million asset impairment for Jiangjin power plant, with future impairments being evaluated based on ongoing assessments.

Huaneng Power International Financial Statement Overview

Summary
Huaneng Power International shows solid profitability improvements with an increase in EBIT and net profit margins. The balance sheet is reasonable but high debt levels are a risk. Cash flow is a concern due to negative free cash flow from high capital expenditures.
Income Statement
72
Positive
Huaneng Power International demonstrates a strong improvement in profit margins, with a notable increase in EBIT and Net Profit Margins over recent periods. The TTM Gross Profit Margin stands at 15.63%, and the Net Profit Margin improved to 4.38% from previous losses, indicating a positive profitability trend. However, revenue has shown fluctuations, with a slight decline recently, which could pose challenges for sustaining growth.
Balance Sheet
68
Positive
The company's balance sheet shows a reasonable Debt-to-Equity Ratio of 1.84, implying moderate leverage relative to industry norms. The Equity Ratio is at 24.10%, reflecting a healthy proportion of equity financing. While the Return on Equity has improved to 7.41% for TTM, indicating effective income generation from equity, the high total debt level remains a potential risk factor.
Cash Flow
60
Neutral
Cash flow analysis reveals a deterioration in free cash flow due to significant capital expenditures, resulting in negative free cash flow in the TTM period. The Operating Cash Flow to Net Income Ratio is strong at 2.98, indicating robust cash generation relative to net income. However, the Free Cash Flow to Net Income Ratio is negative, pointing to potential liquidity concerns if investment levels remain high.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue245.55B254.40B246.72B204.61B169.44B
Gross Profit37.19B30.78B7.50B41.77B29.56B
EBITDA51.71B47.04B24.13B16.44B39.32B
Net Income10.14B8.45B-10.08B-13.19B4.56B
Balance Sheet
Total Assets586.84B541.16B502.61B500.77B438.21B
Cash, Cash Equivalents and Short-Term Investments19.93B16.85B17.18B16.35B13.87B
Total Debt256.93B253.78B300.51B297.70B236.77B
Total Liabilities383.79B369.80B376.06B367.21B296.73B
Stockholders Equity137.41B52.51B108.54B113.05B121.70B
Cash Flow
Free Cash Flow-13.12B-13.88B-8.21B-37.45B-617.57M
Operating Cash Flow50.53B45.50B32.52B6.03B42.05B
Investing Cash Flow-63.60B-55.23B-39.97B-42.66B-42.07B
Financing Cash Flow15.48B9.42B7.97B39.77B1.52B

Huaneng Power International Technical Analysis

Technical Analysis Sentiment
Positive
Last Price4.80
Price Trends
50DMA
4.81
Negative
100DMA
4.55
Positive
200DMA
4.27
Positive
Market Momentum
MACD
<0.01
Positive
RSI
45.98
Neutral
STOCH
16.35
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0902, the sentiment is Positive. The current price of 4.8 is below the 20-day moving average (MA) of 4.89, below the 50-day MA of 4.81, and above the 200-day MA of 4.27, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 45.98 is Neutral, neither overbought nor oversold. The STOCH value of 16.35 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:0902.

Huaneng Power International Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
$190.53B13.038.56%3.62%3.95%-6.94%
71
Outperform
HK$101.26B6.5915.59%5.86%1.89%29.67%
70
Outperform
$38.10B10.448.59%5.69%20.21%23.24%
68
Neutral
$107.10B9.937.63%6.16%-5.49%28.25%
67
Neutral
£57.35B11.3217.92%3.77%-1.05%―
64
Neutral
$61.36B8.5313.59%3.34%-5.59%25.60%
63
Neutral
HK$30.53B8.635.37%4.95%-3.09%4.51%
* Utilities Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0902
Huaneng Power International
4.80
0.17
3.76%
HK:0836
China Resources Power Holdings Co
19.56
-1.24
-5.98%
HK:1071
Huadian Power International
4.25
0.42
11.00%
HK:1816
CGN Power Co
2.85
-0.42
-12.71%
HK:0991
Datang International Power Generation Co
2.02
0.49
32.37%
HK:2380
China Power International Development
3.08
-0.36
-10.44%

Huaneng Power International Corporate Events

Huaneng Power International Issues Twelfth Tranche of Mid-Term Notes
Jul 17, 2025

Huaneng Power International Inc. has successfully issued its twelfth tranche of mid-term notes for 2025, amounting to RMB2 billion with a five-year maturity and an interest rate of 1.81%. The proceeds will be used to enhance the company’s working capital, restructure debts, and repay bank loans, potentially strengthening its financial position and operational capabilities.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International to Review Interim Results in Upcoming Board Meeting
Jul 16, 2025

Huaneng Power International, Inc. has announced that its board of directors will meet on July 29, 2025, to review and approve the interim results for the first half of the year ending June 30, 2025. This meeting is significant as it will provide insights into the company’s financial performance and operational strategies, potentially impacting its market positioning and stakeholder interests.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International Reports Decrease in Electricity Sales Amid Green Transition
Jul 15, 2025

In the first half of 2025, Huaneng Power International reported a total electricity sale of 205.683 billion KWh in China, marking a 2.37% decrease from the previous year. Despite a decline in coal-fired power generation due to increased new energy capacity and market conditions, the company saw growth in wind and photovoltaic power generation, reflecting its ongoing transition towards green energy solutions.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International Appoints New Chief Accountant
Jul 10, 2025

Huaneng Power International, Inc. has announced the appointment of Mr. Wen Minggang as the new Chief Accountant, following the resignation of Mr. Zhu Daqing. Mr. Wen, who has a strong background in accounting and leadership roles within the Huaneng Group, brings extensive experience to the position. This appointment, approved by the company’s board and relevant committees, is expected to strengthen the company’s financial management and operational oversight.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International Issues Fifth Tranche of Short-Term Commercial Papers
Jul 9, 2025

Huaneng Power International, Inc. has successfully issued its fifth tranche of super short-term commercial papers for 2025, amounting to RMB3 billion with a maturity period of 99 days and an interest rate of 1.42%. The proceeds will be used to supplement working capital, adjust the debt structure, and repay bank loans, thereby strengthening the company’s financial position.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International Secures Shareholder Approval at 2024 AGM
Jun 24, 2025

Huaneng Power International, Inc. announced that all resolutions were passed at their 2024 Annual General Meeting held on June 24, 2025. The meeting was conducted in compliance with relevant regulations, and a significant portion of shareholders participated, with no opposition to the resolutions. This outcome reflects strong shareholder support and could positively impact the company’s strategic initiatives and operational stability.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International Announces Board Composition and Committee Membership
Jun 24, 2025

Huaneng Power International, Inc. has announced the composition of its board of directors, which includes a mix of executive, non-executive, and independent non-executive directors. The board is structured into four specialized committees: Strategy, Audit, Nomination, and Remuneration and Appraisal, each with designated members. This announcement reflects the company’s governance structure and could impact its strategic direction and operational efficiency.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International Announces Final Dividend for 2024
Jun 24, 2025

Huaneng Power International, Inc. announced a final cash dividend of RMB 0.27 per share for the year ending December 31, 2024, with the payment to be made in Hong Kong dollars at a rate of HKD 0.2924 per share. The announcement includes details on the ex-dividend date, record date, and payment date, along with information on withholding tax rates applicable to different categories of shareholders. This dividend declaration reflects the company’s financial performance and commitment to returning value to its shareholders, potentially impacting its market positioning and investor relations.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International Issues Eleventh Tranche of Mid-Term Notes
Jun 16, 2025

Huaneng Power International, Inc. has successfully issued its eleventh tranche of mid-term notes for 2025, raising RMB1.5 billion with a three-year maturity and an interest rate of 1.67%. The proceeds from these notes will be utilized to supplement the company’s working capital, adjust its debt structure, and repay existing bank loans, thereby strengthening its financial position and operational flexibility.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International Issues Tenth Tranche of Mid-Term Notes
Jun 12, 2025

Huaneng Power International, Inc. has successfully issued its tenth tranche of mid-term notes for 2025, amounting to RMB1.5 billion with a 3+N year maturity and a 1.95% interest rate. The funds raised will be used to supplement working capital, adjust debt structure, and repay existing bank loans, highlighting the company’s strategic financial management and its efforts to strengthen its market position.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International Issues Ninth Tranche of Mid-Term Notes
Jun 9, 2025

Huaneng Power International, Inc. has successfully issued its ninth tranche of mid-term notes for 2025, amounting to RMB2 billion with a 1.97% interest rate. The proceeds will be used to enhance the company’s working capital, restructure debts, and repay bank loans, indicating a strategic move to strengthen its financial position.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International Declares Final Dividend for 2024
May 30, 2025

Huaneng Power International, Inc. announced a final cash dividend of RMB 0.27 per share for the year ended December 31, 2024. The announcement includes details on the ex-dividend date, book close period, and record date, with specific tax withholding information for non-resident shareholders. This dividend declaration reflects the company’s financial health and commitment to returning value to its shareholders, potentially impacting investor sentiment and market positioning.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International Announces 2024 AGM and Key Resolutions
May 30, 2025

Huaneng Power International, Inc. has announced its 2024 Annual General Meeting to be held on June 24, 2025, in Beijing, China. Key resolutions include approval of the 2024 financial statements, profit distribution plan, and proposals for debt financing and share issuance. The meeting will also address changes in the company’s domicile and amendments to its Articles of Association, alongside the appointment of new non-executive directors. The profit distribution plan proposes a cash dividend of RMB0.27 per share, amounting to approximately RMB4,238 million.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power Completes Fourth Tranche of 2025 Debentures
May 29, 2025

Huaneng Power International, Inc. has announced the completion of its fourth tranche of super short-term debentures for 2025, raising RMB3 billion with a 63-day maturity and a 1.50% interest rate. The funds will be used to supplement working capital, adjust debt structure, and repay bank loans, reflecting the company’s strategic financial management and positioning in the domestic bond market.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International Advances REIT Spin-Off and Bond Issuance
May 28, 2025

Huaneng Power International’s board approved resolutions for a spin-off listing and connected transactions related to the Huaneng Coal Power REIT, utilizing assets from its subsidiary, Huaneng Qingdao Thermal Power Co., Ltd. The company also received approval to issue corporate bonds to professional investors, demonstrating compliance with relevant Chinese laws and regulations.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International Announces Infrastructure REIT Application
May 28, 2025

Huaneng Power International, Inc. has announced its plan to apply for the public offering and listing of an infrastructure real estate investment trust (REIT) on the Shanghai Stock Exchange. This move involves the establishment of a project company to manage assets including the Huaneng Dongjiakou 2 350 MW Thermal Power Cogeneration Project and related facilities. The strategic placement will see Qingdao Company, a subsidiary, subscribe to 51% of the infrastructure REIT, allowing Huaneng Power to maintain control over the assets, which could strengthen its market position and attract investment in its infrastructure projects.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International Issues Third Tranche of Super Short-Term Debentures
May 26, 2025

Huaneng Power International, Inc. has successfully issued its third tranche of super short-term debentures for 2025, amounting to RMB3 billion with a 62-day maturity and a 1.47% interest rate. The proceeds from this issuance will be used to enhance the company’s working capital, adjust its debt structure, and repay existing bank loans, thereby strengthening its financial position in the domestic bond market.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$5.00 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power International to Engage in 2025 Collective Results Briefing
May 6, 2025

Huaneng Power International, Inc. will participate in the 2025 Collective Results Briefing of Power Generation Sector Listed Companies under China Huaneng Group Co., Ltd., scheduled for May 16, 2025. This event will allow the company to discuss its 2024 financial results and first-quarter 2025 performance with investors, providing insights into its operations and addressing investor concerns.

Huaneng Power Announces Board Changes and New Appointments
Apr 28, 2025

Huaneng Power International, Inc. announced changes in its board of directors and board committee members. Mr. Wang Zhijie and Mr. Li Haifeng have resigned from their respective positions due to age and job relocation, effective April 29, 2025. Their resignations do not affect the board’s quorum, and both have confirmed no disagreements with the board. The board has proposed the appointment of Mr. Li Jin and Mr. Gao Guoqin as non-executive directors, pending shareholder approval. These appointments aim to enhance board diversity and effectiveness.

Huaneng Power International Announces Board Composition and Committee Roles
Apr 28, 2025

Huaneng Power International, Inc. has announced the composition of its Board of Directors, detailing the roles and functions of each member. The board is structured with executive, non-executive, and independent non-executive directors, and includes four specialized committees: Strategy, Audit, Nomination, and Remuneration and Appraisal. This announcement reflects the company’s commitment to structured governance and strategic oversight, potentially impacting its operational efficiency and stakeholder confidence.

Huaneng Power International Reports Strong Q1 2025 Financial Performance
Apr 28, 2025

Huaneng Power International, Inc. has released its first quarterly report for 2025, highlighting a 7.70% decrease in operating revenue compared to the same period last year. Despite this, the company reported an 8.19% increase in net profit attributable to equity holders, driven by a significant 43.26% rise in net cash flows from operating activities. The report, prepared in accordance with PRC GAAP, underscores the company’s robust financial health and its ability to generate profit amidst fluctuating market conditions, which may positively influence stakeholder confidence.

Huaneng Power International Proposes Domicile Change to Xiong’an New Area
Apr 28, 2025

Huaneng Power International, Inc. has announced a proposal to change its company domicile from Beijing to the Xiong’an New Area in Hebei Province, reflecting its business development needs. This move, pending approval from relevant authorities, will also involve amendments to the company’s Articles of Association to reflect the new address, indicating a strategic shift that could impact its operations and stakeholder engagement.

Huaneng Power International to Host Q1 2025 Results Conference Call
Apr 21, 2025

Huaneng Power International has announced a conference call scheduled for April 29, 2025, to discuss its first quarter results for 2025 with global investors. This call aims to provide insights into the company’s operational and financial performance, allowing investors to engage directly with key company executives and address common concerns, thereby enhancing transparency and investor relations.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 19, 2025