CHINA POWER(02380) 长江证券·2024-08-26 13:47Investment Rating - The investment rating for the company is "Buy" and is maintained [6]. Core Insights - The company's performance has significantly improved, with a notable increase in net profit driven by both hydropower and new energy asset injections. The net profit for the first half of the year reached 2.802 billion yuan, representing a year-on-year growth of 51.50% [4][5]. - The company announced a special dividend of 0.05 yuan per share to celebrate its 20th anniversary of listing, alongside a commitment to a minimum dividend payout of 50%, enhancing its investment value [4][5]. Summary by Sections Financial Performance - In the first half of 2024, the company achieved operating revenue of 26.472 billion yuan, a year-on-year increase of 24.18%. The net profit attributable to equity holders was 2.802 billion yuan, up 51.50% year-on-year [4]. - Hydropower sales volume reached 10.675 billion kWh, a year-on-year increase of 89.85%, with net profit from hydropower at 766 million yuan, marking a significant turnaround [4][5]. - Wind power sales volume was 13.148 billion kWh, up 57.54%, while solar power sales volume reached 11.831 billion kWh, increasing by 96.67% [4]. - The company’s coal-fired power segment achieved a net profit of 1.108 billion yuan, a year-on-year growth of 97.23%, with a profit per kWh of 0.041 yuan, reflecting strong operational performance [5]. Investment Outlook - The company is positioned as a flagship platform under the State Power Investment Corporation, with expectations for accelerated asset securitization. The projected earnings for 2024-2026 are 5.004 billion, 6.046 billion, and 7.157 billion yuan, respectively, with corresponding EPS of 0.40, 0.49, and 0.58 yuan [5]. - The price-to-earnings ratios are projected to be 8.09, 6.70, and 5.66, indicating sufficient value for investment [5].