Huaneng Power International, Inc. Announces 2013 Interim Results

       Huaneng Power International, Inc. Announces 2013 Interim Results

The Profit Attributable to Equity Holders of the Company was RMB5.623billion,
Representing an Increase of 164.98% Compared to the Same Period Last Year

PR Newswire

BEIJING, July 30, 2013

BEIJING, July 30, 2013 /PRNewswire/ -- Huaneng Power International, Inc.
("HPI", the "Company") (NYSE: HNP; HKEx: 902; SSE: 600011) today announced its
unaudited operating results for the six months ended June 30, 2013.

For the six months ended June 30, 2013, the Company and its subsidiaries
recorded consolidated operating revenue of RMB 64.062 billion (equivalent to
approximately USD 10.368 billion), representing a decrease of 4.64% compared
to the same period last year. The profit attributable to equity holders of
the Company was RMB 5.623 billion (equivalent to approximately USD 0.91
billion), representing an increase of 164.98% compared to the same period last
year. The earnings per share were RMB 0.40 and earnings per ADS were RMB 16.00
(equivalent to approximately USD 2.59). The increase of the Company's net
profit was mainly attributable to the fall of the fuel cost from the same
period last year and effective controls of other costs and expenses.

For the first half of 2013, in spite of the national economic restructuring
and decrease of total electricity consumption growth nationwide compared to
the same period of last year, the Company took advantage of the continuing
decline of coal market prices by encouraging power generation and coal price
controls by its power plants, exercised strict control in expenditure and
strengthened internal fuel management. For the first half of 2013, the Company
accomplished each of its business plans and substantially improved its overall
profitability.

Power Generation. For the first half of this year, the operating power plants
of the Company within China achieved total power generation of 149.483 billion
kWh on consolidated basis and aggregate electricity sales volume of 141.268
billion kWh, representing a decrease of 0.46% and 0.26%, respectively, from
the same period of last year; the operating units of those power plants
registered 2,398 utilization hours, representing a decrease of 130 hours
compared to the same period of previous year. The aggregate power generation
of Singapore Tuas Power Ltd. accounted for a market share of 20.9% in
Singapore, representing a decrease of 5.8 percentage points from the same
period of last year, which was mainly due to the intensified competition as a
result of operation of many new generating units in the Singaporean market.

Cost Control. The coal oversupply experienced in 2012 continued during the
first half of 2013 as a result of soft national and world economy, leading to
steady fall of coal price. The Company promoted direct purchase from large
mines to power plants by seizing the opportunity in the coal market and ample
capacity of railway transportation. The Company also made various efforts to
lower average coal purchase price, including increasing the purchase of
cost-effective imported coal; optimizing purchase, transportation and
contractual structures; strengthening the management of purchase plans and
internal controls; and rationalizing inventory arrangement based on production
needs.

Energy Conservation and Environmental Protection.  The Company attaches great
importance to energy conservation and environmental protection, and has
equipped all of its coal-fired generating units with desulphurization devices.
For the first half of this year, a total of 62 coal-fired generating units
representing approximately 60% of the Company's power generation capacity were
equipped with denitrification devices. The Company also strengthened its
management over the operation and maintenance of environmental protection
facilities so as to improve their operating efficiency and in-operation rate.

In order to meet the requirements of the newly issued Standards for the
Emission  of Air Pollutants for Thermal Power Plants (GB13223-2011), the
Company will further its environmental protection efforts during the Twelfth
Five-Year Plan period by modifying certain desulphurization devices to improve
operating efficiency, installing denitrification devices on all coal-fired
generating units, and using advanced dust control technologies to enhance dust
removal efficiency.

Project Development and Construction. For the first half of 2013, the Company
obtained approval for the "replacing small units with large ones" Project
(2×660 MW) of Zhejiang Changxing Power Plant and the Hunan Subaoding Wind Farm
Project (150 MW).

The generating units of the Company that commenced operation during the first
half of this year included Unit 6 (1,000 MW) of Henan Huaneng Qinbei Power
Plant, Unit 3 (1,036 MW) and Unit 4 (1,036 MW) of Guangdong Huaneng Haimen
Power Plant, two units (2x191 MW) of Jiangsu Huaneng Jinling Gas Turbine Power
Plant, and the Tembusu Multi-Utilities Complex Project Phase I (101MW) of Tuas
Power.

As of 30 June 2013, the Company had controlled generating capacity of 66,341
MW and equity-based generating capacity of 59,155 MW.

For the second half of this year, the Company will continue to accelerate
transformation of its development mode, further consolidate and optimize its
geographical coverage, redouble efforts for structural adjustment, strengthen
its investment and presence in clean energy, and effectively promote synergy
in the sector so as to accomplish the targets for this year.

The major tasks of the Company for the second half of 2013 include:
strengthening safe production management by ensuring safe, stable and
economical operation of its generating units; reinforcing marketing efforts in
the electricity market and maintaining its leading position in terms of
utilization hours; striving to reduce financial costs by strengthening costs
controls and optimizing debt structure; and continuously improving
construction projects management and ensuring sustainable, stable and sound
development focusing on profitability.

About the Company
The Company is one of China's largest listed power producers with controlled
generation capacity of 66,341 MW and equity-based generation capacity of
59,155 MW. The power plants of the Company are located in 19 provinces,
municipalities and autonomous regions in China. The Company also has a
wholly-owned power company in Singapore.

For enquiries, please contact:

Huaneng Power International, Inc.
Ms. MENG Jing / Ms. ZHAO Lin
Tel: (8610) 6608 6765 / 6322 6596
Fax: (8610) 6641 2321
Email: zqb@hpi.com.cn

Wonderful Sky Financial Group Limited
Ms. Olive Zhang/ Ms. Erica Tao / Mr. Henry Li/Ms. Irene Gao
Tel: (852) 2851 1038
Fax: (852) 2865 1638
Email: olivezhang@wsfg.hk/ ericatao@wsfg.hk/ henryli@wsfg.hk/
irenegao@wsfg.hk



HUANENG POWER INTERNATIONAL, INC.
CONDENSED CONSOLIDATED INTERIM BALANCE SHEET (UNAUDITED) AS AT June 30, 2013
(Amounts expressed in thousands)
                             As at                              As at
                             June 30, 2013                      December 31,
                                                                2012
                             RMB               US$            RMB
ASSETS
Non-current assets
Property, plant and          176,422,192        28,553,287      177,013,627
equipment
Investments in associates
 /jointly controlled        16,218,984         2,624,983       14,596,771
entities
Available-for-sale financial 3,265,700          528,542         3,052,822
assets
Land use rights              4,354,293          704,726         4,297,183
Power generation licence     3,887,294          629,144         4,084,506
Mining rights                1,922,655          311,175         1,922,655
Deferred income tax assets   454,829            73,612          532,387
Derivative financial assets  9,777              1,582           13,723
Goodwill                     13,870,400         2,244,874       14,417,543
Other non-current assets     2,892,826          468,193         3,082,894
Total non-current assets     223,298,950        36,140,118      223,014,111
Current assets
Inventories                  6,544,903          1,059,269       7,022,384
Other receivables and assets 3,229,417          522,669         2,990,395
Accounts receivable          13,689,339         2,215,569       15,299,964
Trading securities           -                  -               93,753
Derivative financial assets  49,453             8,004           55,268
Bank balances and cash       15,702,540         2,541,399       10,624,497
Total current assets         39,215,652         6,346,910       36,086,261
Total assets                 262,514,602        42,487,028      259,100,372
EQUITY AND LIABILITIES
Capital and reserves
attributable to equity
 holders of the Company
Share capital                14,055,383         2,274,812       14,055,383
Capital surplus              17,363,907         2,810,285       17,719,077
Surplus reserves             7,085,454          1,146,755       7,085,454
Currency translation         (664,307)          (107,516)       (35,937)
differences
Retained earnings
- Proposed dividend          -                  -               2,951,631
- Others                     19,976,709         3,233,158       14,354,526
                             57,817,146         9,357,494       56,130,134
Non-controlling interests    11,094,431         1,795,593       9,830,208
Total equity                 68,911,577         11,153,087      65,960,342
Non-current liabilities
Long-term loans              68,413,203         11,072,427      72,564,824
Long-term bonds              25,408,624         4,112,293       22,884,688
Deferred income tax          1,966,932          318,341         2,011,729
liabilities
Derivative financial         435,860            70,542          837,005
liabilities
Other non-current            1,201,236          194,415         1,247,464
liabilities
Total non-current            97,425,855         15,768,018      99,545,710
liabilities
Current liabilities
Accounts payable and other   22,548,564         3,649,402       19,992,901
liabilities
Taxes payable                1,542,048          249,575         1,275,430
Dividends payable            3,518,004          569,376         70,839
Salary and welfare payables  203,869            32,995          217,967
Derivative financial         71,140             11,514          88,641
liabilities
Short-term bonds             25,360,079         4,104,436       35,449,763
Short-term loans             29,656,560         4,799,806       27,442,076
Current portion of long-term 9,288,230          1,503,266       9,056,703
loans
Current portion of long-term 3,988,676          645,553         -
bonds
Total current liabilities    96,177,170         15,565,923      93,594,320
Total liabilities            193,603,025        31,333,941      193,140,030
Total equity and liabilities 262,514,602        42,487,028      259,100,372
For the convenience of the reader, translation of amounts from Renminbi (Rmb)
into United States dollars (US$) has been made at the rate of
US$1.00=Rmb6.1787 announced by the People's Bank of China on June 28, 2013. No
representation is made that Renminbi amounts could have been, or could be,
converted into United States dollars at that rate as at June 30, 2013, or at
any other certain rate.





HUANENG POWER INTERNATIONAL, INC.
CONDENSED CONSOLIDATED INTERIM STATEMENT OF COMPREHENSIVE INCOME (UNAUDITED)
FOR THE SIX MONTHS ENDED JUNE 30, 2013
(Amounts expressed in thousands, except per share data)
                           For the six months ended June 30,
                           2013                                2012
                           RMB                 US$             RMB
Operating revenue          64,062,329          10,368,254      67,180,473
Tax and levies on          (521,253)           (84,363)        (318,556)
operations
Operating expenses
Fuel                       (35,677,117)        (5,774,211)     (43,271,787)
Maintenance                (1,433,270)         (231,970)       (1,309,178)
Depreciation               (5,605,718)         (907,265)       (5,612,839)
Labor                      (2,409,750)         (390,009)       (2,192,451)
Service fees on
transmission and
transformer facilities of  (70,386)            (11,392)        (70,386)
HIPDC
Purchase of electricity    (2,664,797)         (431,288)       (3,823,905)
Others                     (3,364,720)         (544,567)       (3,070,444)
Total operating expenses   (51,225,758)        (8,290,702)     (59,350,990)
Profit from operations     12,315,318          1,993,189       7,510,927
Interest income            83,862              13,573          77,042
Financial expenses, net
Interest expense      (3,948,892)         (639,114)       (4,564,904)
 Exchange gain/(loss) and 85,959              13,912          (51,308)
bank charges, net
 Total financial          (3,862,933)         (625,202)       (4,616,212)
expenses, net
Share of profits of
associates/jointly         319,493             51,709          290,666
controlled entities
Loss/(gain) on fair value
changes of financial       7,427               1,202           (1,036)
assets/liabilities
Other investment income    185,576             30,035          185,333
Profit before income tax   9,048,743           1,464,506       3,446,720
expense
Income tax expense         (2,288,062)         (370,315)       (994,643)
Net profit                 6,760,681           1,094,191       2,452,077
Other comprehensive
income/(loss), net of tax
Items that may be
reclassified subsequently
to profit or loss:
Fair value changes of
available-for-sale         9,659               1,563           35,809
financial asset
Share of other
comprehensive
(loss)/income of investees (38,022)            (6,154)         13,357
accounted for under the
equity method
Effective portion of cash  308,856             49,987          (463,510)
flow hedges
Translation differences of
the financial statements   (629,007)           (101,801)       236,457
of foreign operations
Other comprehensive loss,  (348,514)           (56,405)        (177,887)
net of tax
Total comprehensive        6,412,167           1,037,786       2,274,190
income
Net profit attributable
to:
- Equity holders of the    5,622,740           910,020         2,121,963
Company
- Non-controlling          1,137,941           184,171         330,114
interests
                           6,760,681           1,094,191       2,452,077
Total comprehensive income
attributable to:
- Equity holders of the    5,274,863           853,717         1,943,512
Company
- Non-controlling          1,137,304           184,068         330,678
interests
                           6,412,167           1,037,785       2,274,190
Earnings per share attributable to the equity holders of
the
Company(expressed in RMB per share)
 - Basic and diluted   0.40                0.06            0.15
Dividends paid             -                   -               -
For the convenience of the reader, translation of amounts from Renminbi (Rmb)
into United States dollars (US$) has been made at the rate of
US$1.00=Rmb6.1787 announced by the People's Bank of China on June 28, 2013. No
representation is made that Renminbi amounts could have been, or could be,
converted into United States dollars at that rate as at June 30, 2013, or at
any other certain rate.

SOURCE Huaneng Power International, Inc.
 
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