Huaneng Power International Inc: Financial Highlights and Market Movements

Huaneng Power International, Inc., a prominent utility service provider in China, has recently been in the spotlight due to its financial performance and market activities. The company, which operates in the Independent Power and Renewable Electricity Producers sector, is listed on the Shanghai Stock Exchange and trades in Hong Kong Dollars (HKD).

Recent Financial Performance

On April 30, 2025, HSBC Research reported that Huaneng Power International’s first-quarter results slightly exceeded expectations. The company reported an 8% year-over-year growth in attributable net profit under PRC GAAP, surpassing HSBC Global Research’s estimates. This positive performance led HSBC to maintain a “Buy” rating on HUANENG POWER’s H-shares, with a target price of $5.2. The report also highlighted that coal prices are expected to continue falling due to high domestic inventories in China, which remain 35% higher year-over-year in Northern ports.

Market Movements

Despite the positive earnings report, Huaneng Power International’s stock experienced a decline. On May 1, 2025, the company’s stock was trading down at $0.58, with a one-day change of -$0.04, representing a 5.84% decrease. The stock’s 52-week range has been between $0.44 and $0.73.

Sector and ETF Insights

The broader utilities sector, including Huaneng Power International, has seen mixed performance. On April 30, 2025, the China stock market experienced a losing streak, with the Shanghai Composite Index slightly declining by 0.05% to 3,286.65. However, the global forecast for Asian markets remains positive, with expectations of a rebound following the earnings season.

In the ETF space, the Power ETF (159611) has shown resilience, with a single-day trading volume exceeding 3 billion yuan, making it the top performer among similar products. The ETF’s market capitalization has grown by 16.41 billion yuan over the past six months, and it has seen significant net inflows, with over 7.6 million yuan in the latest trading day.

Conclusion

Huaneng Power International Inc. continues to navigate the complexities of the energy market, balancing its growth in net profits with the challenges posed by fluctuating coal prices. While its stock has faced recent declines, the company’s strong performance in the first quarter and the positive outlook from HSBC Research suggest potential for recovery and growth in the coming months. Investors and market watchers will be keenly observing the company’s future performance and the broader market trends in the utilities sector.