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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:0902

Huaneng Power International

(0902)

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Neutral 63 (OpenAI - 4o)
Rating:63Neutral
Price Target:
HK$7.00
▲(7.69% Upside)
The stock score is primarily influenced by strong technical indicators and reasonable valuation metrics. However, financial performance is a concern due to high leverage and negative revenue growth, which slightly dampens the overall score.
Positive Factors
Negative Factors

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

Huaneng Power International Business Overview & Revenue Model

Company DescriptionHuaneng Power International, Inc., together with its subsidiaries, engages in the generation and sale of electric power to the regional or provincial grid companies in the People's Republic of China and internationally. It is involved in the development, construction, operation, and management of power plants and related projects. The company also generates power from gas turbine, hydro, wind, photovoltaic, coal-fired, and biomass resources. In addition, it is involved in the sale of coal ash and lime; cargo loading and storage; port, warehousing, and conveying activities; photovoltaic power generation projects development and construction; and provision of thermal energy and cold energy services, as well as thermal heating services. Further, the company engages in the repair and maintenance of power equipment; supply of steam and hot water; plumbing pipe installation and repair; and energy engineering construction activities. Additionally, it is involved in the provision of transportation services; construction and operation of electricity distribution networks and heating pipe networks; energy supply, energy transmission, and substation project contracting activities; cargo handling and transportation; and port management, investment, and development activities. The company engages in the management of industrial water and waste, as well as provides environment engineering, and information technology and management consulting services. It also sells raw and processed coal; and offers central heat and desalinated water services. As of December 31, 2021, the company had a controlled generating capacity of 118,695 megawatts and an equity-based installed capacity of 103,875 megawatts. Huaneng Power International, Inc. was incorporated in 1994 and is based in Beijing, the People's Republic of China.
How the Company Makes MoneyHuaneng Power International generates revenue primarily through the sale of electricity generated from its various power plants. The company's revenue model is heavily reliant on the regulated pricing frameworks set by the government, which typically includes feed-in tariffs for renewable energy and fixed pricing for traditional energy sources. Key revenue streams include electricity sales to state-owned grid companies, which are mandated to purchase a certain amount of power from large generators. Additionally, Huaneng capitalizes on ancillary services, such as capacity reserves and grid stability support. The company has also been expanding its investments in renewable energy projects, aligning with governmental policies promoting clean energy, which may provide additional revenue through green certificates and incentives. Strategic partnerships with local governments and other energy firms further bolster its operational capabilities and market reach, contributing to overall earnings.

Huaneng Power International Earnings Call Summary

Earnings Call Date:Oct 28, 2025
(Q3-2024)
|
% Change Since: |
Next Earnings Date:Mar 24, 2026
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 improved profitability with better margins, but faces significant challenges in revenue growth and cash flow management. The high leverage on the balance sheet indicates potential financial risks. The company needs to focus on improving revenue streams and managing cash flows to ensure long-term financial stability.
Income Statement
65
Positive
The income statement shows a mixed performance. The gross profit margin has improved to 17.02% in TTM, indicating better cost management compared to previous years. However, the revenue growth rate is negative at -55.6% in TTM, reflecting a significant decline in sales. Net profit margin improved to 5.00% in TTM, showing enhanced profitability. Overall, the company demonstrates improved profitability but faces challenges in revenue growth.
Balance Sheet
55
Neutral
The balance sheet reveals a high debt-to-equity ratio of 1.84 in TTM, indicating significant leverage which could pose financial risks. Return on equity is moderate at 8.55%, showing decent returns on shareholders' investments. The equity ratio is relatively low, suggesting a higher reliance on debt financing. Overall, the balance sheet reflects a stable but leveraged financial position.
Cash Flow
50
Neutral
Cash flow analysis indicates challenges with negative free cash flow growth of -23.33% in TTM, which could impact future investments. The operating cash flow to net income ratio is 0.34, showing adequate cash generation relative to net income. However, the free cash flow to net income ratio is negative, highlighting cash flow management issues. Overall, cash flow stability is a concern.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue238.78B245.55B254.40B246.72B204.61B169.44B
Gross Profit40.65B37.19B30.78B7.50B41.77B29.56B
EBITDA36.77B51.71B47.04B24.13B16.44B39.32B
Net Income11.94B10.14B8.45B-10.08B-13.19B4.56B
Balance Sheet
Total Assets594.61B586.84B541.16B502.61B500.77B438.21B
Cash, Cash Equivalents and Short-Term Investments23.13B19.93B16.85B17.18B16.35B13.87B
Total Debt261.12B256.93B253.78B300.51B297.70B236.77B
Total Liabilities383.64B383.79B369.80B376.06B367.21B296.73B
Stockholders Equity142.05B137.41B52.51B108.54B113.05B121.70B
Cash Flow
Free Cash Flow-5.69B-13.12B-13.88B-8.21B-37.45B-617.57M
Operating Cash Flow57.68B50.53B45.50B32.52B6.03B42.05B
Investing Cash Flow-62.92B-63.60B-55.23B-39.97B-42.66B-42.07B
Financing Cash Flow6.81B15.48B9.42B7.97B39.77B1.52B

Huaneng Power International Technical Analysis

Technical Analysis Sentiment
Positive
Last Price6.50
Price Trends
50DMA
5.81
Positive
100DMA
5.47
Positive
200DMA
4.87
Positive
Market Momentum
MACD
0.20
Negative
RSI
74.31
Negative
STOCH
79.86
Neutral
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 6.5 is above the 20-day moving average (MA) of 5.92, above the 50-day MA of 5.81, and above the 200-day MA of 4.87, indicating a bullish trend. The MACD of 0.20 indicates Negative momentum. The RSI at 74.31 is Negative, neither overbought nor oversold. The STOCH value of 79.86 is Neutral, 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 (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
HK$67.19B8.7114.91%5.16%8.09%24.77%
73
Outperform
HK$206.58B15.717.61%3.27%-1.16%-14.97%
73
Outperform
$98.16B7.4613.23%5.54%1.42%-10.32%
72
Outperform
HK$42.31B11.627.09%6.83%4.20%-5.31%
68
Neutral
£63.78B8.7620.65%2.51%-0.44%333.39%
66
Neutral
$17.65B18.105.60%3.62%6.62%11.55%
63
Neutral
$128.14B10.428.00%4.50%-3.78%34.93%
* Utilities Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:0902
Huaneng Power International
6.50
2.51
62.74%
HK:0991
Datang International Power Generation Co
2.40
0.95
65.29%
HK:1816
CGN Power Co
3.16
0.45
16.69%
HK:2380
China Power International Development
3.42
0.27
8.54%
HK:0836
China Resources Power Holdings Co
18.96
1.07
6.01%
HK:1071
Huadian Power International
4.73
1.07
29.38%

Huaneng Power International Corporate Events

Huaneng Power International Issues Eleventh Tranche of Short-Term Commercial Papers
Oct 31, 2025

Huaneng Power International, Inc. has successfully issued its eleventh tranche of super short-term commercial papers for 2025, amounting to RMB3 billion with a 50-day maturity period and an interest rate of 1.45%. The proceeds from this issuance will be used to supplement the company’s working capital, adjust its debt structure, and repay bank loans, thereby enhancing its financial flexibility and operational efficiency.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$7.00 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 Strong Profit Growth
Oct 29, 2025

Huaneng Power International, Inc. is a major player in the energy sector, primarily engaged in the generation and sale of electricity in China. The company operates a diverse range of power plants, including coal-fired, wind, solar, and hydroelectric facilities, making it a significant contributor to China’s energy infrastructure.

Huaneng Power International Reports Asset Impairment Impacting Q3 Profits
Oct 28, 2025

Huaneng Power International announced that its board of directors approved a provision for asset impairment, reflecting a decrease in the recoverable amounts of certain assets. This decision, made during the 15th meeting of the 11th session of the board, resulted in a total impairment of RMB367 million at the consolidated level for the third quarter of 2025, primarily due to policy impacts and loss of utility of certain assets. The impairment provision is expected to decrease the company’s profit for the quarter, highlighting the financial challenges faced by the company in adapting to evolving market conditions.

The most recent analyst rating on (HK:0902) stock is a Sell with a HK$4.85 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 Strong Financial Growth in Q3 2025
Oct 28, 2025

Huaneng Power International, Inc. has released its third quarterly report for 2025, showcasing significant financial growth. The company reported a 59.32% increase in profit before tax and an 88.54% rise in net profit attributable to equity holders compared to the same period last year. Despite a slight decline in operating revenue, the company’s net cash flows from operating activities rose by 13.59%, reflecting strong operational performance. The report indicates a robust financial position, with total assets increasing by 1.59% and equity attributable to equity holders rising by 6.99%. These results highlight Huaneng’s strengthened market position and potential positive implications for stakeholders.

The most recent analyst rating on (HK:0902) stock is a Sell with a HK$4.85 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 Key Framework Agreements for 2026 Onwards
Oct 28, 2025

Huaneng Power International has entered into two significant framework agreements effective from January 2026. The Huaneng Group Framework Agreement involves multiple transactions with its controlling shareholder, Huaneng Group, covering areas such as equipment purchase, fuel and transportation services, and carbon emission reduction resources. Some transactions require independent shareholder approval due to their scale. Additionally, the Tiancheng Leasing Framework Agreement with Tiancheng Finance will govern finance lease services, including direct leases and sales and leaseback, from 2026 to 2028. These agreements are expected to enhance operational efficiency and financial flexibility for Huaneng Power International.

The most recent analyst rating on (HK:0902) stock is a Sell with a HK$4.85 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 Commercial Papers
Oct 24, 2025

Huaneng Power International, Inc. has successfully issued its tenth tranche of super short-term commercial papers for 2025, amounting to RMB3 billion with a 92-day maturity period and an interest rate of 1.53%. The proceeds from this issuance will be utilized to supplement the company’s working capital, adjust its debt structure, and repay existing bank loans, thereby enhancing its financial flexibility and operational efficiency.

The most recent analyst rating on (HK:0902) stock is a Sell with a HK$4.85 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 Host Q3 2025 Results Conference Call
Oct 21, 2025

Huaneng Power International has announced a conference call for global investors to discuss its 2025 third quarter results, scheduled for October 29, 2025. The call aims to provide a comprehensive understanding of the company’s operating results and financial position for the first three quarters of 2025, with key company executives participating to address common investor concerns.

The most recent analyst rating on (HK:0902) stock is a Sell with a HK$4.85 price target. To see the full list of analyst forecasts on Huaneng Power International stock, see the HK:0902 Stock Forecast page.

Huaneng Power Issues Eighth Tranche of Short-Term Papers
Oct 17, 2025

Huaneng Power International, Inc. has successfully issued its eighth tranche of super short-term commercial papers for 2025, amounting to RMB3 billion with a maturity of 92 days and an interest rate of 1.46%. The proceeds from this issuance will be used to enhance the company’s working capital, adjust its debt structure, and repay existing bank loans, reflecting its strategic financial management and positioning in the energy sector.

The most recent analyst rating on (HK:0902) stock is a Sell with a HK$4.85 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 Decline in Electricity Sales Amid Green Transition
Oct 15, 2025

Huaneng Power International reported a decrease in electricity sales for the first three quarters of 2025, with a total of 331.451 billion kWh sold, down 2.87% from the previous year. This decline is attributed to the company’s strategic shift towards green and low-carbon energy, with increased capacity in wind and photovoltaic power, which has reduced the generation space for coal-fired plants. Despite the overall decrease, there was notable growth in renewable energy generation, particularly in photovoltaic and biomass power.

The most recent analyst rating on (HK:0902) stock is a Sell with a HK$4.85 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 Commercial Papers
Oct 15, 2025

Huaneng Power International, Inc. has announced the successful issuance of its ninth tranche of super short-term commercial papers for 2025, amounting to RMB3 billion with a 92-day maturity and a 1.50% interest rate. The proceeds will be used to enhance the company’s working capital, adjust its debt structure, and repay existing bank loans, reflecting strategic financial management to support its operations.

The most recent analyst rating on (HK:0902) stock is a Sell with a HK$4.85 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 Nine-Month Financial Results
Oct 14, 2025

Huaneng Power International, Inc. has announced that its Board of Directors will meet on October 28, 2025, to review and approve the unaudited consolidated financial results for the nine months ending September 30, 2025. This meeting is significant as it will provide insights into the company’s financial health and operational performance, potentially impacting its market position and stakeholder confidence.

The most recent analyst rating on (HK:0902) stock is a Sell with a HK$4.85 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 Approves Key Resolutions in 2025 Meetings
Sep 23, 2025

Huaneng Power International, a company involved in the energy sector, held its 2025 first extraordinary general meeting and H share class meeting on September 23, 2025. During these meetings, all proposed resolutions were approved, including the adoption of new articles of association and procedural rules for general and board meetings, changes to the board of directors and its committees, and the abolition of the supervisory committee. The meetings were conducted in compliance with relevant laws and regulations, and a significant portion of shareholders participated, representing over 68% of the company’s voting shares.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$6.00 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 Roles
Sep 23, 2025

Huaneng Power International, Inc. has announced the composition of its Board of Directors, detailing the roles and functions of each member. The announcement highlights the structure of the board’s specialized committees, which are crucial for strategic decision-making and governance, potentially impacting the company’s operational efficiency and stakeholder confidence.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$6.00 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 2025 Extraordinary General Meeting
Aug 8, 2025

Huaneng Power International, Inc. has announced its 2025 first extraordinary general meeting to be held on September 23, 2025, in Beijing. The meeting will address several resolutions, including the appointment of a new director and proposed amendments to the company’s Articles of Association and Rules of Procedure, which involve the abolition of the supervisory committee and changes related to class shareholders.

The most recent analyst rating on (HK:0902) stock is a Buy 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 2025 H Share Class Meeting
Aug 8, 2025

Huaneng Power International, Inc. has announced the convening of its first H Share Class Meeting of 2025, scheduled for September 23, 2025, in Beijing. The meeting aims to consider and approve special resolutions related to amendments in the company’s Articles of Association and Rules of Procedure for General Meetings, which could impact shareholder rights and governance structures.

The most recent analyst rating on (HK:0902) stock is a Hold with a HK$4.85 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 Seventh Tranche of Commercial Papers
Aug 7, 2025

Huaneng Power International, Inc. announced the completion of its seventh tranche of super short-term commercial papers for 2025, raising RMB2 billion with a 99-day maturity period and an interest rate of 1.43%. The proceeds will be used to enhance working capital, adjust debt structure, and repay existing bank loans, reflecting the company’s strategic financial management to maintain operational efficiency and stability.

The most recent analyst rating on (HK:0902) stock is a Buy 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 Strong Profit Growth Amid Revenue Decline
Jul 31, 2025

Huaneng Power International, Inc. is a leading power generation company in China, engaged in the construction, operation, and management of power plants, with a significant focus on low-carbon and clean energy sources.

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: Oct 31, 2025