Harbin Electric Co. Ltd. Class H (1133) AI Stock Analysis

• Market Cap: HK$16.15B
• Dividend Yield: 3.28%
• Average Volume (3M): 13.51M
• Price to Earnings (P/E): 8.8
• Beta (1Y): 0.86
• Revenue Growth: 30.12%
• EPS Growth: 139.92%
• Country: HK
• Employees: 11,094
• Sector: Industrials
• Sector Strength: 78
• Industry: Industrial - Machinery
• EPS (TTM): 0.56
• Shares Outstanding: 675,571,000
• 10 Day Avg. Volume: 6,572,356
• 30 Day Avg. Volume: 13,510,463
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: HK$8.06
• Price Target Upside: 11.64% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 78 Outperform
• Price Target: HK$8.00 ▲(10.80% Upside)

The stock's overall score is driven by strong technical analysis indicating bullish momentum and a favorable valuation with an attractive P/E ratio and dividend yield. Financial performance supports this with robust revenue growth and improved profitability, although cash flow management requires attention for sustained growth.

Harbin Electric Co. Ltd. Class H Business Overview & Revenue Model

Company Description

Harbin Electric Company Limited, together with its subsidiaries, manufactures and sells power plant equipment in the People's Republic of China. The company provides thermal power main equipment, including boilers, steam turbines, and steam turbine generators; hydropower main equipment, such as hydropower generators units; nuclear power main equipment comprising nuclear island and conventional island equipment; and a set of steam power equipment, including 9F/9H class gas turbine, and combined gas and steam cycle sets. It also engages in the research and development, and production of clean energy products comprising solar energy, tidal power, and desalination products; and ancillary equipment for power stations, industrial boilers, industrial steam turbines, control devices, and AC/DC motors, as well as valves for power stations, pressure vessels, axial compressors, etc. In addition, the company is involved in the construction of power station projects; servicing of thermal and hydropower equipment; import and export of equipment for power stations; provision of after sales service for power station equipment products; research and development of engineering technology for power equipment and its ancillary products; and provision of environmental protection engineering services, such as desulfurization, denitrification, and dust removal. It also exports its products to Asia and South America. The company was founded in 1994 and is based in Harbin, the People's Republic of China. Harbin Electric Company Limited is a subsidiary of Harbin Electric Corporation Co., Ltd.

How the Company Makes Money

Harbin Electric Co. Ltd. generates revenue primarily through the sale of power generation equipment and related services. Its key revenue streams include the manufacturing and sale of thermal power equipment, hydroelectric equipment, and nuclear power equipment. The company also significantly benefits from engineering, procurement, and construction (EPC) contracts, where it provides comprehensive project management solutions. Additionally, Harbin Electric engages in research and development activities to innovate and improve its product offerings, which can lead to new business opportunities and revenue growth. Collaborations and partnerships with other industry players and government entities also play a crucial role in expanding its market reach and revenue potential.

Harbin Electric Co. Ltd. Class H Financial Statement Overview

Summary

Harbin Electric Co. Ltd. Class H has demonstrated strong revenue growth and improved profitability, with a solid equity base and better financial leverage management. However, there are concerns about cash flow inefficiencies that could impact future investments.

Income Statement

The income statement reflects a strong revenue growth with a notable increase from the previous year, indicating positive business expansion. Gross profit margin improved significantly, showing better cost management and efficiency. Net profit margin also increased, highlighting improved profitability. Despite the historical volatility in EBIT margins, recent figures show stabilization and improvement.

Balance Sheet

The balance sheet demonstrates a solid equity base with an improving debt-to-equity ratio, indicating better financial leverage management. The return on equity has increased, suggesting enhanced shareholder value creation. However, the equity ratio shows some fluctuation, pointing to potential stability concerns in asset management.

Cash Flow

The cash flow statement indicates challenges with operating cash flow in the most recent period, contrasting with stronger historical performance. Free cash flow has seen recent declines, which could affect future investment capabilities. The operating cash flow to net income ratio suggests recent inefficiencies in cash generation from operations.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	38.30B	28.84B	24.64B	21.23B	23.76B
Gross Profit	4.80B	3.10B	2.63B	-1.36B	2.52B
EBITDA	1.89B	1.10B	460.02M	-3.96B	453.58M
Net Income	1.69B	574.76M	98.64M	-4.14B	-7.28M
Balance Sheet
Total Assets	71.95B	71.30B	63.28B	60.61B	57.96B
Cash, Cash Equivalents and Short-Term Investments	16.05B	21.62B	17.50B	13.90B	12.85B
Total Debt	5.68B	12.27B	14.34B	14.77B	13.41B
Total Liabilities	55.76B	56.71B	50.91B	48.42B	41.76B
Stockholders Equity	15.48B	13.86B	11.73B	11.57B	15.68B
Cash Flow
Free Cash Flow	-1.93B	1.19B	4.37B	657.60M	1.63B
Operating Cash Flow	-241.97M	2.28B	4.75B	1.03B	1.98B
Investing Cash Flow	-1.07B	-1.71B	-660.43M	974.76M	-1.18B
Financing Cash Flow	-803.43M	521.88M	-464.07M	-657.77M	1.37B

Harbin Electric Co. Ltd. Class H Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.22
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1133, the sentiment is Positive. The current price of 7.22 is below the 20-day moving average (MA) of 7.63, above the 50-day MA of 6.58, and above the 200-day MA of 4.17, indicating a neutral trend. The MACD of 0.26 indicates Positive momentum. The RSI at 55.25 is Neutral, neither overbought nor oversold. The STOCH value of 30.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1133.

Harbin Electric Co. Ltd. Class H Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1882	80 Outperform	$34.51B	10.33	15.54%	3.35%	21.08%	21.27%
1133	78 Outperform	HK$16.15B	8.84	11.35%	3.28%	30.12%	139.92%
1072	75 Outperform	$71.54B	16.45	8.13%	2.45%	15.29%	-9.20%
2338	75 Outperform	HK$147.79B	11.82	13.40%	4.66%	-1.07%	16.00%
2208	74 Outperform	$44.95B	18.25	5.64%	1.80%	10.95%	28.53%
2727	67 Neutral	$123.73B	51.64	1.91%	―	2.20%	―
Sector *	63 Neutral	$10.80B	16.80	6.58%	2.07%	2.49%	-15.77%

Harbin Electric Co. Ltd. Class H Corporate Events

Harbin Electric Co. Ltd. Projects Significant Profit Growth for H1 2025

Harbin Electric Co. Ltd. has announced a positive profit alert for the first half of 2025, anticipating a significant increase in net profit to approximately RMB1,020 million, compared to RMB523 million in the same period last year. This growth is attributed to increased operating revenue and improved efficiency and quality, leading to a higher gross profit margin. The final financial results for the period are yet to be audited and will be released by the end of August 2025.

Harbin Electric Announces Capital Injection Agreement with Notable Asset Appreciation

Harbin Electric Co. Ltd. has announced a capital injection agreement with Jiamusi Electric and Power Equipment Company, highlighting a significant appreciation in the valuation of Power Equipment Company. The valuation shows an increase in both current and fixed assets, with a notable rise in net assets by 47.58%, which could enhance the company’s financial position and market competitiveness.

Harbin Electric Completes Nuclear Power Technology Upgrade Project

Harbin Electric Co. Ltd. announced the full utilization of RMB96 million raised from a 2017 domestic share subscription for a nuclear power technology upgrade project. Initially planned for completion by the end of 2023, the project was extended to December 2024, aligning with project progress. This completion marks a significant step in the company’s strategic focus on enhancing its nuclear power technology capabilities.

Harbin Electric Co. Ltd. Appoints New Senior Vice-President

Harbin Electric Co. Ltd. has announced the appointment of Mr. Zhang Lian-bin as a senior vice-president, effective immediately. Mr. Zhang, who has a strong background in electrical engineering and extensive experience within the company, is expected to enhance the leadership team and contribute to the company’s strategic goals.

Leadership Changes at Harbin Electric Co. Ltd.

Harbin Electric Co. Ltd. announced the resignation of Mr. Cao Zhi-an from his roles as executive director, chairman, and chairman of the nomination committee, due to a job reassignment. Mr. Huang Wei has been appointed as the new chairman of the board and chairman of the nomination committee, while resigning from his position as president. The company is in the process of filling the vacancies left by these changes, which are expected to impact its leadership structure and operational continuity.

Harbin Electric Engages in Capital Injection with Jiamusi Electric

Harbin Electric Co. Ltd. Class H has entered into a Capital Injection Agreement with Jiamusi Electric and Power Equipment Company, involving a capital injection of RMB140,000,000.00 and RMB483,257,062.92 respectively. This transaction will result in Harbin Electric holding a 39.42% equity interest in Power Equipment Company, a reduction of 9.58%. The transaction is classified as a connected transaction under Chapter 14A of the Listing Rules, requiring an announcement but exempting the company from certain approval requirements.

Harbin Electric Co. Ltd. Announces Successful AGM and Class Meeting Resolutions

Harbin Electric Co. Ltd. announced the results of its annual general meeting and class meetings held on May 23, 2025. All resolutions, including the approval of the Directors’ Report, Board of Supervisors’ Report, audited accounts, and the declaration of a final dividend, were passed. The company also re-elected Mr. Du Xing-kai as an executive director and appointed ShineWing Certified Public Accountants as the auditor for 2025. These decisions reflect the company’s ongoing commitment to transparency and governance, potentially strengthening its position in the electric industry.

Harbin Electric Appoints New Senior Vice-President

Harbin Electric Co. Ltd. has announced the appointment of Mr. Yang Xiao as a senior vice-president, effective immediately. Mr. Yang brings extensive experience in financial management and leadership roles from his previous positions at FAW Group and its subsidiaries, which is expected to strengthen Harbin Electric’s strategic and financial operations.