Image credit: Visual China
Recently, China Green Electricity (full name: Tianjin China Green Electricity Investment Co., Ltd.) released its performance report. During the period, it achieved 1.805 billion yuan in revenue, a YoY decrease of 5.89%; the net profit attributable to shareholders of listed companies was 0.465 billion yuan, a YoY decrease of 16.22%. This is the first decline in performance after its main business was changed in 2022.
China Green Electricity Investment Co., Ltd., formerly known as Tianjin Guangyu Development Co., Ltd. (hereinafter referred to as Guangyu Development), changed its name to Tianjin China Green Electricity Investment Co., Ltd. in September 2022. Previously, it was a listed real estate platform under the banner of the Luneng Group. Subsequently, it used equity swaps to transfer all 23 subsidiaries' shareholdings and transferred 100% equity of Luneng New Energy under the Luneng Group.
Guangyu Development no longer engages in real estate development and sales, but instead has changed its business to the development, investment and operation of wind and solar energy.
In March 2022, China Green Electricity released its "14th Five-Year Plan" development outline, which once again stated that it plans to build and operate an installed capacity of 30 million kW (30 GW) by the end of the 14th Five-Year Plan.
According to the financial report, as of the end of 2023, China Green Electricity's total installed capacity was 5.6165 million kW (5.61 GW), a YoY growth of 30.72%, and the newly invested installed capacity was 1.32 million kW (1.32 GW).
China Green Electricity said that the current scale of its under-construction and in-operation projects has exceeded 20 million kW (20 GW). After the projects are completed and put into use, China Green Electricity's independently operated installed capacity will be greatly increased, and it is expected to exceed the planned target of 30 million kW (30 GW) by the end of the 14th Five-Year Plan.
At the same time, during the reporting period, China Green Electricity accumulated a total on-grid electricity of 8.796 billion kWh, a YoY increase of 11.61%. Among them, the amount of electricity traded in the electricity market was 4.62 billion kWh, accounting for 53.12% of the on-grid electricity; the amount of purchased electricity was 0.048 billion kWh, a YoY decrease of 11.52%. The company's wind power utilization hours were 2322 hours, a YoY increase of 41 hours; and the photovoltaic utilization hours were 1393 hours, a YoY decrease of 134 hours.
Regarding this performance decline, China Green Electricity stated in its performance report that due to the poor wind resources, commissioning of new grid-connected projects, and regional power restrictions, some of the company's financial indicators declined YoY during the reporting period.
With both revenue and profits decreasing, China Green Electricity said that it will focus on improving efficiency, actively expanding high-quality project resources, steadily promoting various business activities, and reducing the cost of goods sold, management expenses, and financial expenses, which have all fallen YoY.
It is worth noting that China Green Electricity is still selling off its stock assets. On April 17th, China Green Electricity proposed to transfer its self-owned property located in Liuxiang Road, Fengtai District, Beijing. According to the evaluation by Beijing Zhongqi Hua Asset Appraisal Co., Ltd., its book value is 1.131 billion yuan, the assessment value is 1.269 billion yuan, the appreciation amount is 0.138 billion yuan, and the appreciation rate is 12.22%.
According to the 2023 annual report of China Green Electricity, by product, its electricity accounts for 98% of its overall revenue, and real estate leasing accounts for only 2%.
