【2638 Results】HK Electric's Net Profit Increased 1.2% YoY to Over HK$3.1 Billion, Final Dividend 16.09 Cents; Gas-Fired Power Generation Accounts for Approximately 69%

Hong Kong Electric Power Investment (02638) Last year, net profit increased by 1.2% year-on-year to HKD 3.149 billion, while EBITDA before interest, taxes, depreciation, and amortization rose 0.3% year-on-year to HKD 8.749 billion. Hong Kong Electric’s final dividend was HKD 0.1609 per share, combined with an interim dividend of HKD 0.1594 per share, totaling HKD 0.3203 per share for the year.

Hong Kong Electric stated that the piling work for Gas Unit L13 has been completed, and major civil engineering works are underway. Meanwhile, detailed design and manufacturing of plant equipment are progressing. The unit is scheduled to start operation in early 2029, at which point Hong Kong Electric’s gas-fired power generation will account for approximately 80% of total electricity output, further reducing carbon emissions. By 2025, gas-fired generation is expected to make up about 69% of Hong Kong Electric’s total electricity output.

Hong Kong Electric is constructing 3 new single-cycle oil-fired units

The group is building 3 new single-cycle oil-fired units to replace the current 4 aging units. These new units are crucial for ensuring power supply reliability, enhancing system resilience, and maintaining operational flexibility. The units will be commissioned in phases starting from early 2027.

Hong Kong Electric revealed that last year, it was developing an internal platform called “AI Powerhouse,” which is expected to be completed in early 2026. The platform aims to promote broader adoption of artificial intelligence technologies across the company’s departments. The group believes that AI’s advanced data analysis, automation, and integration capabilities can effectively improve operational efficiency and support more comprehensive and data-driven decision-making.

Patrick Ho: Committed to Managing Electricity Prices to Keep Them Affordable

Hong Kong Electric Chairman Patrick Ho stated that affordable electricity prices remain a key concern for customers. Despite ongoing capital investments leading to an increase in basic electricity charges, net electricity costs in January this year still saw a decrease. The group is committed to managing electricity prices to strike a balance between affordability, supply reliability, and long-term sustainable development.

As of the end of last year, Hong Kong Electric’s committed but unused credit facilities amounted to HKD 7.1 billion, while bank deposits and cash totaled HKD 28 million. The net debt-to-total capital ratio remained at 51%.

Source: HKEX Announcement